The SpeakerThe SpeakerYes, Honourable Members, our Minutes. We have the Minutes of March the 2nd and March the 4th, which have been distributed and are to be confirmed unless there are any objections or any corrections. I will consider those Minutes confirmed. Since there are no objections . The Minutes for March …
Yes, Honourable Members, our Minutes. We have the Minutes of March the 2nd and March the 4th, which have been distributed and are to be confirmed unless there are any objections or any corrections. I will consider those Minutes confirmed. Since there are no objections . The Minutes for March 2nd and March 4th are confirmed.
[Minutes of 2 and 4 March 2016 confirmed]
The SpeakerThe SpeakerThe Minutes for March 7th are deferred. ANNOUNCEMENTS BY THE SPEAKER OR MEMBER PRESIDING APO LOGIES
The SpeakerThe SpeakerYes, Honourable Members, we have several Members who are out today: Junior Minister L. K. Scott, from constituency 30, and MP D. V. Burgess, from constituency 5 are still out. Also out today, excused are MP Wayne Furbert, from constituency 6, and Minister Shawn Crockwell, from constituency 31. In addition, …
Yes, Honourable Members, we have several Members who are out today: Junior Minister L. K. Scott, from constituency 30, and MP D. V. Burgess, from constituency 5 are still out. Also out today, excused are MP Wayne Furbert, from constituency 6, and Minister Shawn Crockwell, from constituency 31. In addition, I would like to inform Members that the Honourable Member from constituency 21, Mr. Commissiong, has met with me and offered an apology. So he is here with us today.
[Desk thumping]
MESSAGES FROM THE SENATE
The SpeakerThe SpeakerThere are none. PAPERS AND OTHER COMMUNICATIONS TO THE HOUSE The Clerk: There are some that need to be read on behalf of S. G. Crockwell.
The SpeakerThe SpeakerAh, yes. The Honourable Minister Crockwell has two papers. S o the Minister of Economic Development will present them. Minister ? MARINE BOARD (PILOTAGE DUES) AMENDMENT REGULATIONS 2016 Dr. the Hon. E. Grant Gibbons : Thank you, Mr. Speaker. I just want to get them in order. Mr. Speaker, with …
Ah, yes. The Honourable Minister Crockwell has two papers. S o the Minister of Economic Development will present them. Minister ?
Dr. the Hon. E. Grant Gibbons : Thank you, Mr. Speaker. I just want to get them in order. Mr. Speaker, with the Governor’s recomm endation and on behalf of my honourable colleague, Mr. Crockwell, and in accordance with section 36(3) of the Bermuda Constitution, I have the honour to attach and submit for the consideration of the Honourable House of Assembly Marine Board (Pilotage Dues ) Amen dment Regulations 2016, proposed to be made by the Minister of Tourism Development and Transport under the provision of section 103 of the Marine Board Act 1962.
The SpeakerThe SpeakerThank you, Minister. Dr. the Hon. E. Grant Gibbons : Shall I keep going?
The SpeakerThe SpeakerCarry on, and do the second one. MARINE AND PORTS AUTHORITY (PORT DUES) AMENDMENT REGULATIONS 2016 Dr. the Hon. E. Grant Gibbons : Mr. Speaker, with the Governor’s recommendation and in accordance with section 36(3) of the Bermuda Constitution, I have the honour to attach and submit for the consideration …
Carry on, and do the second one.
MARINE AND PORTS AUTHORITY (PORT DUES) AMENDMENT REGULATIONS 2016
Dr. the Hon. E. Grant Gibbons : Mr. Speaker, with the Governor’s recommendation and in accordance with section 36(3) of the Bermuda Constitution, I have the honour to attach and submit for the consideration of the Honourable House of Assembly the Marine and Ports Authority (Port Dues) Amendment Regulations [2016], proposed to be made by the Minister of Tour-ism Development and Transport under the provision of section 76(b) of the Marine Board Act 1962. Thank you, Mr. Speaker
The SpeakerThe SpeakerAll right. Thank you very much, Honourable Minister. PETITIONS
The SpeakerThe SpeakerThere are none. 1286 9 March 2016 Official Hansard Report Bermuda House of Assembly STATEMENTS BY MINISTERS AND JUNIOR MINISTERS
The SpeakerThe SpeakerThere ar e none. REPORTS OF COMMITTEES
The SpeakerThe SpeakerThere are none. QUESTION PERIOD
The SpeakerThe SpeakerThere are none. CONGRATULATORY AND/OR OBITUARY SPEECHES
The SpeakerThe SpeakerDoes any Honourable Members wish to speak? There are none. MATTERS OF PRIVILEGE The Spe aker: There 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 GOVERNMENT BILLS
The SpeakerThe SpeakerThere are none. OPPOSITION BILLS
The SpeakerThe SpeakerThere are none. PRIVATE MEMBERS’ BILLS
The SpeakerThe SpeakerThere are none. NOTICES OF MOTIONS
The SpeakerThe SpeakerThere are none. ORDERS OF THE DAY
The SpeakerThe SpeakerYes, Honourable Members, we are now to Orders of t he Day. The Chair will recognise the Minister of F inance. Minister Bob Richards, you have the floor. Hon. E. T. (Bob) Richards : Thank you, Mr. Speaker. Mr. Speaker, I move that the House do now resume into the …
Yes, Honourable Members, we are now to Orders of t he Day. The Chair will recognise the Minister of F inance. Minister Bob Richards, you have the floor. Hon. E. T. (Bob) Richards : Thank you, Mr. Speaker. Mr. Speaker, I move that the House do now resume into the Committee of Supply to consider the Estimate s for the Fiscal Year 2016/17.
The SpeakerThe SpeakerThank you, Minister. Are there any objections to that? There are none. So I would ask that the Honourable Member from constituency 14, MP Glen Smith, if you would please take the Chair [of Commi ttee]. House i n Committee at 10:09 am [Mr. Glen Smith, Chairman] COMMITTEE OF SUPPLY …
Thank you, Minister. Are there any objections to that? There are none. So I would ask that the Honourable Member from constituency 14, MP Glen Smith, if you would please take the Chair [of Commi ttee].
House i n Committee at 10:09 am
[Mr. Glen Smith, Chairman]
COMMITTEE OF SUPPLY
ESTIMATES OF REVENUE AND EXPENDITURE FOR THE YEAR 2016/17
[Continuation thereof]
The ChairmanChairmanGood morning, Members and listening audience. We are now in Committee of Supply for further consideration of Estimates of Revenue and Expenditure for the year 2016/17, for non- Ministry Departments, Head 5, 56, 63, 85 and 98. [Pause]
The ChairmanChairmanHang on a second, Premier. The Clerk: There was a revised schedule that was sent out over a week ago to the Budget Office. Which heads are you going to be discussing, Mr. Premier? Hon. Michael H. Dunkley : Madam Clerk, through the Chair, the schedule was revised from four …
Hang on a second, Premier. The Clerk: There was a revised schedule that was sent out over a week ago to the Budget Office. Which heads are you going to be discussing, Mr. Premier? Hon. Michael H. Dunkley : Madam Clerk, through the Chair, the schedule was revised from four hours to three hours and will be discussed in heads that i nclude the Parli amentary Registrar, that include the Information Commissioner, that include the Internal Audit and the Human Rights Commission.
The Clerk: Yes, that is correct. Hon. Michael H. Dunkley : That is correct. So those numbers are correct.
[Inaudible interject ions]
The ChairmanChairmanThank you for the clarification. Three hours have been allocated to these heads. Bermuda House of Assembly I call on the Premier and Minister of National Security, the Honourable Michael Dunkley, to pr oceed. Hon. Michael H. Dunkley : Thank you, Mr. Chairman. Good morning to you and colleagues. So, …
Thank you for the clarification. Three hours have been allocated to these heads.
Bermuda House of Assembly I call on the Premier and Minister of National Security, the Honourable Michael Dunkley, to pr oceed.
Hon. Michael H. Dunkley : Thank you, Mr. Chairman. Good morning to you and colleagues. So, that having been said and we are clear on the three hours, I would like to move the relevant Heads, 56, 63, 92 and 98, the Human Rights Commission, Parliamentary Registrar, Internal Audit, and Information Commission.
The ChairmanChairmanPlease proceed. NON- MINISTRY DEPARTMENTS HEAD 63 —PARLIAMENTARY REGISTRAR Hon. Michael H. Dunkley : Thank you, Mr. Chairman. Mr. Chairman, I would like now to present the brief for the Parliamentary Registrar, Head 63, found on pages B -20 through B -22 of the Estimates of Revenue and Expenditure. And …
Please proceed.
NON- MINISTRY DEPARTMENTS
HEAD 63 —PARLIAMENTARY REGISTRAR
Hon. Michael H. Dunkley : Thank you, Mr. Chairman. Mr. Chairman, I would like now to present the brief for the Parliamentary Registrar, Head 63, found on pages B -20 through B -22 of the Estimates of Revenue and Expenditure. And before I go there, Mr. Chairman, if your permission is given, I would like to present three heads that, in the current fiscal year, were in the nonMinistry Department, which would be the Parli amentary Registrar, the Information Commission and Internal Audit. And then when I done those three briefs, the Honourable Minister of Community Culture and Sports, which Human Rights fell under in this fiscal year and moves to non- Ministry next year, will present if the Opposition Leader is comfortable.
Hon. Marc A. R. Bean : Good morning, Mr. Chairman. I find that wholly acceptable.
The ChairmanChairmanThank you. Please proceed. Hon. Michael H. Dunkley : Thank you, Mr. Chairman. Thank you, Opposition Leader. So, on pages B -20 and B -22, for Honourable Members, they can find the Parliamentary Registrar, Head 63. The mandate of the Parliamentary Registrar is to the service of the electorate of …
Thank you. Please proceed. Hon. Michael H. Dunkley : Thank you, Mr. Chairman. Thank you, Opposition Leader. So, on pages B -20 and B -22, for Honourable Members, they can find the Parliamentary Registrar, Head 63. The mandate of the Parliamentary Registrar is to the service of the electorate of Bermuda, irr espective of race, creed, colour, or political affiliati on with respect and unbiased attention to their needs, while all the time pursuing the full objectives of the democratic process. Mr. Chairman, the Parliamentary Registrar is appointed by the Governor under the provisions of the Parliamentary Election Act 1978, and as such is r equired to discharge the duties conferred or imposed under the Act. The Parliamentary Registrar is subject to the general direction of the Governor, and in the exercise of his statutory duties is assisted by such number of public off icers as from time to time will be authorised to be employed. The Parliamentary Elec-tion Act 1978, as amended, and the Bermuda Const itution Order 1968 are the instruments by which the activities of the Parliamentary Registry are governed. On occasion, the House of the Legislature may pass other Acts, such as the Capital Punishment Referendum Act 1989, the Independence Referendum Act 1995, the Referendum Act 2012, and the Munic ipalities Election Order 2011, that have a direct effect on the office activities . Mr. Chairman, the staff at the Parliamentary Registry consists of five full -time positions under the direction of the Parliamentary Registrar, Ms. Tenia Woolridge. She and her colleagues are in attendance this morning. I would like to welcome them and t hank them for their service to the people of Bermuda and the great work that they do. Mr. Chairman, the Parliamentary Registry continues to make strides in improving our processes and procedures for the registration of both voters and general maintenance of the Parliamentary Register. In the current fiscal period, Mr. Chairman, a by -election was conducted in constituency 13. And in May of 2015, the people of Bermuda saw the successful completion of the municipal elections held by both the City of Hamilton and the Town of St. George's under the new layout of proportional representation. All of these processes were done smoothly and efficiently. Mr. Chairman, this year, His Excellency the Governor, Mr. George Fergusson, appointed the Con-stituency Boundaries Commission to do the asses sment of our constituency boundaries in accordance with section 54 of the Bermuda Constitution. The Pa rliamentary Registrar and staff are providing admini strative support to the commission as they do their work. With the combined effort of our field registration officers and internal staff, over the last 19 months, they have processed a total of 7,067 vote- change forms; 5,953 of those forms are attributed to changes made in the field by the registration officers. A total of 2,462 new voters were added to the register; 1,939 of those forms were registered by the field registration officers. To date, the field registration officers have completed work in 20 constituencies, collecting data on derelict homes and voters who have relocated or migrated. Mr. Chairman, they continue to look at the quality of their service delivery and have committed to allowing staff to take the necessary training in order to ensure continued quality of service. As always, they are committed to maintaining t he Parliamentary Registry to ensure it is accurate in accordance with the Parliamentary Election Act 1978. Mr. Chairman, after a substantive review of the organisation stakeholders and their expectations of the office, they have been strategizing on ways to engage and better communicate with all of them. This includes using social media, new advertising tec hniques, and reporting of election results. They were used in the most recent by -election in constituency 13, 1288 9 March 2016 Official Hansard Report
Bermuda House of Assembly which saw myself and other Members of this Legisl ature following the results live on the Twitter account. Mr. Chairman, I now turn my attention to some of the specific estimates of expenditure and revenue in the five cost centres that are under this office. The total budget allocation for the Par liame ntary Registrar’s office in respect of the Fiscal Year 2016/17 is shown on page B -20 of the Budget Book. And it amounts to $1,501,991, which represents, Mr. Chairman, an increase of $281,000, or 23 per cent, over the allocated budget for the current f inancial year. Mr. Chairman, if you look at line item Admi nistration, cost centre 73000, the proposed budget for the Administration of the Parliamentary Registrar for the year 2016/17, the next financial year, is $1,030,631, an increase of $52,000 when compared to the original budget of $979,245 for the current f inancial year. This increase, Mr. Chairman, is mainly due to changes that will enable the office to heighten voter awareness by using more strategic avenues of communicating with our stakeholders. It is also i ntended that the office will proceed with much- needed amendments to the Parliamentary Act 1978 during this fiscal period. Mr. Chairman, Boundaries Commission, cost centre 73005, still on page B -20, the proposed budget for the Boundaries Commis sion for the next financial year is $93,000, which represents an increase [from] $89,000, the original budget of 2015/16, a difference of $4,000. In November of 2015, as I alluded to prev iously, Mr. Chairman, the Governor appointed a Constituency Boundaries Commission. They have now begun their deliberations, and it is intended that they complete their review of the constituency boundaries of Bermuda in the first half of this fiscal period. Members of this House and perhaps members of the public are not aware that two Members from each side of the House sit on that constituency, with two other me mbers appointed by the Governor. Mr. Chairman, cost centre 73010, General and By -Elections, again on page B -20, the proposed budget for the general and by -elections for this cost centre for the next financial year is $256,760. This is a significant increase of over 480 per cent from the budget allocation of this financial year for $43,500. This allocated amount will serve to cover any by - elections which may occur dur ing the fiscal year and help in any preparations required for the next general election. It can also be used to help cover the referendum which the Government announced a few days ago. The next line item is cost centre 73015, Municipality Elections. Mr. C hairman, a budget allocation of $46,100 has been given to this cost centre for m unicipal elections. This will cover any extraordinary municipal elections which could occur during this fi scal period. The last line item on that page, B -20, is Alte rnate Voti ng Research, cost centre 73017. Mr. Chai rman, it is intended that the Parliamentary Registrar would further investigate the opportunities for students to vote from overseas. There has been a delay in this process due to a number of challenges and other obligations in the office. But it will take priority during this next fiscal year. I would like now to turn my attention and those Members following to page B -21 for a subjective analysis of current account estimates. Mr. Chairman, Salaries —the total Salaries account estimate for 2016/17 is $467,000, which represents a decrease of $10,000, or 2 per cent, over the current financial year. This decrease is attributed to a new staff member who has started at the initial range of the pay scale, whereas the previous employee was at the higher range of the pay scale. The next line item, Wages, has decreased by $5,000. The category of this expense is for persons who are hired on a temporary basis, mainly in prep aration for any general election. And while the office has increased this allowance in the event of any by - or general election, it was reduced by $4,500 in the m unicipal cost centre. A minor amount is included only in any event that an extraordinary election is called. Staff are employed as required, Mr. Chai rman. Advertising and Promotion —this line item has been increased by $79,000 from 2015/16, to $253,000 during the next financial year. This is mainly due to the new strategy to reach out to new voters and ensure that the current voters make any necessary changes to their registration details as they occur. Professional Services, Mr. Chairman. These services include legal advice, field registration officers, and internal software maintenance of the electronic registration system, known as the PRO. Additionally, the office is working on improving the online registr ation process and advancing in the direction of absentee voting platforms. Work has commenced on these initiatives, and this work will continue during the next financial year. Other Expenses —Mr. C hairman, this line item consists of expenses associated with by - and general elections, and as such represents, amongst other things, food costs for election workers, minor computer software, stamp production, and minor computer hardware. In regards to re venue, Mr. Chairman, revenue returns for the department are small and are derived from the issuing of apostilles, Justice of the Peace stamp sales, and the sale of parliamentary registers. Total revenue for the next financial year is estimated at $330,000. The Parliamentary Registrar’s Office continues to provide prompt and timely issuance of all apostille certificates to our private sector clients. In closing, Mr. Chairman, I would like to take this opportunity again to thank all of the staff and the director and, of course, the field registration officers,
Bermuda House of Assembly who have worked tirelessly and have been very committed and dedicated to their duties over the past fi scal year. I would also like to thank the public, and in particular, the voters for being very cooperative when officers visit their homes. I had a visit to my home over the weekend. I was out, and when I came back, my wife mentioned to me that there was a visit to my home. And I was quite surprised to see that they came on the weekend. So it just goes t o show they are out and about doing the work that they have to do. So I thank them for that. Mr. Chairman, with those comments, that brings to an end the overview I have provided on Parliamentary Registrar’s Office, and I would like to turn my attention n ow to Head 92, Internal Audit.
HEAD 92 —INTERNAL AUDIT
Hon. Michael H. Dunkley: The Internal Audit D epartment can be found on pages B -28 to B -30 of the Budget Book, Mr. Chairman. The Internal Audit D epartment was established for the purpose of providing reasonable assurance that the control systems throughout the Bermuda Government, including the quangos, are adequate and operating efficiently. Ult imately, it is the Bermuda Government’s senior management team’s responsibility to ensure that controls are in place. That responsibility is delegated to each Ministry and the department, which must ensure that internal controls are established, properly documented and maintained. Internal Audit’s role is to assist management in their oversight and operating respo nsibil ities through independent audits and consultation de-signed to evaluate and promote the systems of inter-nal control. The Department of Internal Audit derives its authority from the Internal Audit Act 2010. That 2010 Act came into effect on February 25 th, 2010, to esta blish an Internal Audit Department: • to provide an independent, objective asses sment of risk management; • to look over internal controls in the gover nment process of government department pr ogrammes and operations; and • to provide reasonable assurance that persons entrusted with public funds carry out their functions effectively, efficiently, economically, ethically, equitably, and in accordance with their mandate and legislation.
The 2010 Act, Mr. Chairman, sets up a committee to be known as the Internal Audit Committee, which is the governing body of the department. Consistent with the best practices, the Director of Internal Audit reports functionally to the Internal Audit Commi ttee, that will be fully operational in the next few months, and administratively to the Secretary of the Cabinet. Reporting to the Secretary of the Cabinet r elates to the Internal Audit Department’s day -to-day operations including budget and accounting, human resources administration, internal communications, information flow, and the administration of the department’s internal policies and procedures. The mission statement of the department, Mr. Chairman, is to provide independent, objective assurance audits and advisory services designed to add value to and to i mprove the operations of the Government of Bermuda and other control entities of i nternal control with regard to the efficiency, economy and effectiveness. It is also in their mission statement to aid ministries, departments and quangos in accomplishing th eir mission by bringing a systematic, disc iplined approach to evaluate and improve the effec-tiveness of risk management control and governance processes. Mr. Chairman, consistent with best practices, the Internal Audit Department’s scope of work is to determine whether the Government’s network of risk management control and governing processes de-signed and represented by management are adequate and functioning in a manner to ensure the following five points: 1. Public funds being adequately safeguarded and ar e used as intended; 2. Make sure public funds are used economically, effectively and efficiently; 3. To ensure that risks are appropriately ident ified and, of course, managed; 4. To make sure financial, managerial and operating information is accurate, reliable and timely; and finally 5. The actions of the ministries, departments or quangos are at all times in compliance with policies, standards and procedures required by law. The department accomplishes its mission by providing a range of audit services including financial audits, compliance audits, operational audits, information technology audits, and advisory services. Mr. Chairman, so that we can all share a bit of an understanding, I would like to advise that financial audits address questions regarding accounting and the propriety of financial transactions. Compliance audits determine the degree of adherence to laws, regulations, policies and procedures. Operational a udits review operating information and procedures to determine whether any modification of the operations could result in greater efficiency and effectiveness. Information technology audits evaluate systems, pr ocessing controls, data security, physical security, sy stems development procedures, contingency planning, and systems requirements. And finall y, consulting services encompass a wide range of services allowing the department to utilise the financial and information 1290 9 March 2016 Official Hansard Report
Bermuda House of Assembly technology expertise to address a known problem or need. Mr. Chairman, let us now take a look at the description of Programme Centres . The Department of Internal Audit manages its activities through one cost centre designed as Administration, line item 102000, as shown on pages B -28 and 29. The alloc ation for the Fiscal Year 2016/17 is $1,503,815. This represents a reduction of $72,511, or 5 per cent less than the allocation for the current financial year. This represents the Finance Ministry’s Current Account expenditure allotment for the Department of Internal Audit. If you look at the subjective analysis of expenditure, which you can find on page B -29, Salaries have an allocation of $1,069,830, representing a decrease of $257,342, or 19 per cent, when compared to the current financial year. The Department of Internal Audit has 12 of their 15 posts funded for the next f inancial year. The recruitment and the selection of both a Senior Internal Auditor and an Internal Audit Manager will be processed during the Fiscal Year 2016/17. Training has been allocated a budget of $40,000, representing an increase of $30,000 over the current financi al year. The increase in training primar ily relates, Mr. Chairman, to the training on the new audit management software, which will be required by the entire team as the department moves from manual auditing to audit automation during the next fiscal year. Training is, of course, an important aspect of developing the Internal Auditors, as they are required to meet continuing professional education requir ements every year. The department will continue to train and support, as best they can, their seven pr ofessional audit practitioners and their two Bermudian audit officers, one who has recently obtained a pr ofessional certification, and the other who is working towards obtaining a professional certification. Travel, Mr. Chairman, on page B -29, has an allocation of $36,131, representing an increase of $26,135. The increase in travel is related to the trai ning on the new audit management software, as well as attendance by audit officers and audit seniors at overseas professional development courses which are not available on the Island. Communications has been allocated $16,650, an increase of $3,700, or a 23 per cent increase. The department will collaborate with both the Department of Human Resources and the local and overseas audit chapters to advocate the i nternal audit profession and defray costs to promote internal audit as a viable c areer choice for students at the undergraduate and high school levels. Additionally, Mr. Chairman, this budget includes the cost of any department adverti sing in a place outsi de of the official Gazette, newsp aper subscription, postal courier services, telephone and cellular line. Professional Services line item has an alloc ation of $17,000, which represents annual dues for pr ofessional staff holding professional accounting audi ting designations, as required by the positions they hold. It also includes the group membership for the department and fees due to the Audit Committee members in accordance with regulated fees for go vernment boards and committees. The Rental line item, Mr . Speaker, has an a llocation of $172,000, which is consistent with the prior year’s budgeted cost for leasing of office space. Repair and Maintenance has a cost allocation of $57,000, an increase of $54,000 from the prior year’s budget. And this primarily relates to the impl ementation and licensing fees for the new audit management software, the maintenance of photocopiers, and licences for data extraction and sampling sof tware. Mr. Chairman, in regards to Energy, it has an allocation of $40,000, which repr esents electricity costs for the leased office space and is consistent with the current financial year’s electricity costs. Materials and supplies has an allocation of $20,000, which represents general office supplies, stationery, drinking water, and onli ne subscriptions for professional journals and periodicals. Equipment line item, minor capital, has an allocation of $34,800, which represents the cost of office furniture and fixtures, photocopier, and other minor equipment associated with the department ’s planned move to government -owned space during the next year, which of course, Mr. Chairman, will yield overall savings in the rental costs, commencing in the next fiscal year —not the one we are budgeting this time, but in Fiscal Year 2017/18. In regard to Capital Expenditure, Mr. Chai rman, these estimates can be found on page C -8 of the Budget Book. There is nothing which is consistent with the prior year and the result of a freeze on capital expenditure due to no necessary items. In regards to Manpower, Mr. Chairman, the established manpower for the Internal Audit Depar tment remains unchanged at 15; however, the depar tment -funded posts for the Fiscal Year 2016/17 is at 12. The Department of Internal Audit currently has a staff of 10 employees, with the anticipation of hiring one Internal Audit Senior and one Internal Audit Manager during the next fiscal year. Output Measures attempt to gauge the effectiveness of the department in carrying out its mandate. These measures, which are primarily dependent o n staffing levels and other resources, are as follows (and can be seen on page B -30 of the Budget Book): • Completion of the strategic annual work plan; • Participation in training and development to promote good internal control governances; • Timeliness of iss uance of final reports — number of operational financial reviews conBermuda House of Assembly ducted during the year and number of compl iance reviews conducted during the year.
During the Fiscal Year 2015/16, Mr. Chai rman, the department issued 13 reports. All of the r eports issued identified certain deficiencies and/or ar eas of improvement. The department issued four compliance reports, eight financial operational reports, and one special investigative report. The decrease, Mr. Chairman, in the number of reports issued from the previous year’s total of 24 is due to the reduction in staff, due to resignations and ending contracts, and also due to the complex nature of some of the invest igations done in the financial year. The Department of Internal Audit is separate and distinct from the Office of the Auditor General, Mr. Chairman. However, the department has a very strong working relationship with the Office of the Auditor General, and this was solidified by the signing of an MOU [Memorandum of Understanding] during the fi scal year ending 2012. The Auditor General’s Office’s scope of work is focused on financial statements and, of course, the fair presentation in conforming with generally accepted accounting principles. Internal audit scope is much broader, as it looks at the underl ying operations that drive the financial numbers before those numbers are recorded in the general ledger and into financial statements that follow. The Office of the Auditor General and the D epartment of Internal Audit have identified opportunities for collaboration to enhance the value of their services, minimise duplications, and to improve the effectiveness, while fostering the values of good gover nance (i.e., transparency, discipline, accountability and performance) in the discharge of their statutory and professional duties. This bodes well for the Gover nment of Bermuda, as they join forces to promote good governance. Mr. Chairman, initiatives for 2016/17 through the Internal Audit Department will include, first, to i mplement a comprehensive audit management system. This initiative is intended to create efficiency in the processes and the reporting that the department undertakes to fulfil its remit and responsibility to and for the Government of Bermuda on a legislative mandate. This includes best practices and conforming with i nternational internal audit standards. The functionality and the use of the comprehensive audit management solution will build efficiency in the internal audit pr ocesses and the activities and the maximisation of the effectiveness of the internal audit. Also, initiatives going forward to execute the annual audit plan are a result of the updated risk assessment to map the Bermuda Government’s oper ational strategy and priorities for the Fiscal Year 2016/17. They will also focus in on fol lowing up on extra conference points of the Consolidated Fund and prior audits to ensure that management actions have been effectively implemented, or to ascertain and document that management has accepted the risk of not taking action that has been recomm ended. Highlevel risks that have not been addressed will be forwarded to the Cabinet Secretary. They will also focus in on strengthening internal control, risk management, and governance pr ocesses throughout the public sector, through the participation of ministry and department staff training opportunities. And finally, Mr. Chairman, they will continue to comply with international standards for the professional practice of the internal audit scheme, through continued professional development via online tr aining, webinars and lunch- and-learns, to enhance the internal audit practitioners’ knowledge, skills and competency. With those comments, Mr. Chairman, I will now turn my attention to the next head, Information Commission, Head 98.
HEAD 98 —OFFICE OF THE INFORMATION CO MMISSIONER
Hon. Michael H. Dunkley: Head 98 can be found on page B -31 of the Budget Book. Mr. Chairman, it gives me pleasure to present Head 98, the Office of the I nformation Commissioner. The mandate of the ind ependent Office of the Information Commissioner is to work for all of the people of Bermuda to ensure full access to public records within the provisions of the Public Access to Information Act 2010. The Office of the Information Commissioner achieves this by pr omoting awareness of and safeguarding the public’s right to access public records, ensuring public author ities’ compliance with the PATI Act, conducting appeals against decisions made by public authorities, and issuing legally enforceable decisions. The Office of the Information Commissioner carries out its mission guided by principles of integrity, independence, and fairness. Mr. Chairman, March 2 nd, 2016, will mark the first anniversary of the deployment of Bermuda’s first Information Commissioner. And April 1 st, 2016, will mark the first year of the right to access public records by the people of Bermuda. The Office of the Information Commissioner was established and is governed by the Public Access to Information Act 2010. And the Information Commissioner’s independence is protected by section 50(4) of the Act, which reads, “In the exercise of his functions, the Commissioner shall not be subject to the direction or control of any other person or authority.” The Act requires the Information Commi ssioner to submit an annual report on the operation of the PATI Act to each House of the Legislature. The accounts of the Information Commissioner shall be audited annually, independently of the Consolidated Fund, and reported on by the Auditor General. 1292 9 March 2016 Official Hansard Report
Bermuda House of Assembly Expenditure overview —Mr. Chairman, the estimated budget for 2016/17 is $864,272 and repr esents an increase of $198,232, or approximately 30 per cent higher than 2015/16. The estimate budget for 2016/17 is the first budget requested by the Information Commissioner, who was not appointed until March of 2015 and subsequently has assessed the appropriate requirements of the new office to meet its essential statutory function. In particular, Mr. Chai rman, the increase is to provide for the remaining r equired staff for the new office, a full -time Investig ations Officer, and a full -time temporary additional Pol icy Education Officer. The two additional positions bring the staff of the newly established Office of the Information Commissioner to five, including the com-missioner. The increase will al so provide for legal services and overseas training that might be required for any new staff. The 2016/17 budget has full -time staff, shown on page B -33, which reflects the minimal staffing le vels required for the new Office of the Information Commissioner to meet its requirements. It covers the positions of the Information Commissioner, the Assi stant Information Commissioner, one Investigations Officer, a temporary additional Policy Education O fficer, and an Office Manager. The Office of the Information C ommissioner does not have any additional administrations, clerical or reception staffing. Temporary technical and professional advisors are engaged from time to time, as provided by section 52 of the Public Access to Information Act. Mr. Chairman, the Inf ormation Commissioner lists major achievements in the Budget Book, as well. As the commissioner was not appointed until March 2015, the Office of the Information Commissioner did not have any formal output measures for the Financial Year 2015/16. However, the office has accomplished a number of achievements during that year. And these include: • Hiring and training staff for the new indepen dent office; • Completing a move in September of 2015 to the office’s permanent location in the Valerie T. Scott Building a nd overseeing the final renovations of the building, which they believe will be fully completed in March of 2016, even though they have already moved in; • Development and adoption of internal policies and procedures to meet the office’s corporate and statut ory functions; • Evaluating specific internal controls, guidance and procedures of the Information Commi ssioner’s Office in comparable jurisdictions for handling of independent appeals and issuing legally binding decisions; • The creation of a new website with access to all public authorities, information statements, and instructions on how to access records under the PATI Act; • Resolving some of the first applications for r eview or appeals from decisions by public authorities under the PATI Act, and completing the initial stages of the review for current pending appeals; • Conducting an investigation into the practice and procedures of two public authorities for their compliance with the PATI Act; • Providing formal and informal consultation comments on the Personal Information Pr otection Act (PIPA), the draft model; • Conducting education programmes and media outreach for their first week -long recognition of International Right to Know Day, which was [28] September 2015; • Responding to over 200 inquiries from the publi c and public authorities about rights under the PATI Act; and • Conducting numerous presentations for the public and individual organisations under the PATI rights and legal regime.
Mr. Chairman, plans for the upcoming year can be found on Performance Measures, on pages B - 34, 35 and 36 of the Budget Book. These detail how the office will achieve its broad three- part statutory mandate in the upcoming year. And because the O ffice of the Information Commissioner is new and many people are still unfamiliar with its functions, the Information Commissioner encourages everyone to review the performance measures in detail. They lay out how the office will independently hear and decide appeals, which may result in legally enforceable decisions. The performance measures also include the details of other compliance and oversight activity for further good governance under the PATI Act. These include audits of information systems and public ations. They include own- initiative investigations and the ongoing production and revision of the Information Commissioner’s guidance notes for public authorities on applying the PATI Act. Finally, Mr. Chairman, the performance measures also detail the extensive public education and outreach effort about the new rights under the PATI Act. This brings me to a close of comments on the Information Commissioner’s Office. And with that, Mr. Chairman, I would like to turn it over to my colleague, the Minister Pat Gordon- Pamplin, to deal with the Human Rights Commission. Thank you, sir.
The Chai rman: Thank you, Premier. I recognise the Honourable Member Patricia Gordon- Pamplin, Minister of Community, Culture and Sports, from constituency 23. You have the floor.
HEAD 56 —HUMAN RIGHTS COMMISSION
Bermuda House of Assembly Hon. Patricia J. Gordon -Pamplin: Thank you, Mr. Chairman. Mr. Chairman, I will now present the budget brief for Head 56, on behalf of the Human Rights Commission. To place this in context, it will be necessary to first provide some background information. Mr. Chairman, in Financial Year 2015/16, Head 56 c onsisted of one programme, 5601, the Department of Human Affairs, with two business units, namely, 66000, Administration, and 66020, Human Rights Commission. Mr. Chairman, as noted at the bottom of page B -17, the Human Rights Commission has been transition ed from being an administrative arm of the Department of Human Affairs to a non- ministry d epartment. This restructuring, which takes effect on April 1 st, 2016, results from an organisational review of the Department of Human Affairs, including the H uman Ri ghts Commission in 2015 by the Management Consulting Section. As a consequence of this change, the Human Rights Commission is now listed as Head 56 in the estimates book, rather than the former D epartment of Human Affairs. Mr. Chairman, from Financial Year 2016/17 onward, Head 56, Human Rights Commission, will consist of one programme, 5601, with one business unit, 66020, HRC Administration, which I will discuss later on in this presentation. Business unit 66000, Administration: Mr. Chairman, in Financial Year 2015/16, the Administr ation business unit 66000 was led by the Policy Analyst–Project Coordinator, who served as acting Director of the Department of Human Affairs. Notably, the previous substantive Director of Human Affairs accepted the Government’s voluntary early retirement incentive programme and resigned from the Gover nment effective March 31st, 2015. With the dissolution of the Department of Human Affairs effective 31st of March 2016, the administration and policy develop-ment functions of the department will be absorbed into the Ministry of Community, Culture and Sports Head-quarters, Head 71. The provision of policy research and advice, and technical/management support, to the Minister and Permanent Secretary will continue with the transfer of t he Policy Analyst –Project Coordinator post to the Ministry Headquarters. This will ensure that policy development, monitoring of compliance with relevant legislation, mandates, and international conventions, as it relates to human rights, race, and gender affairs, will continue. The post of Administrative Officer in the Department of Human Affairs will be transferred to the Human Rights Commission. Mr. Chairman, in January 2015, work was undertaken to complete a compliance template for the CEDAW, the Conve ntion on the Elimination of All Forms of Discrimination against Women. And I am pleased to report that this was completed in January of this year. Research was conducted on same- sex marriage, and this information was presented in the form of two public meetings held in September and October 2015, which were both well attended. In O ctober and November, research was undertaken and consultation had with a variety of community stak eholders on the addition of mental disability to the H uman Rights Act 1981 as a grounds protected against discrimination. Honourable Members will know that this work has led to the tabling of the Human Rights Amendment (No. 2) Act 2016 in the House a few days ago. With the assistance of an intern funded by the Bermuda Community Foundation, background work has begun on the preparation of a national gender policy. On 1 st of April 2015, the former community - driven development [CDD] programme, which began under the auspices of the Department of Human A ffairs, transitioned to a charity. Shortly thereafter, the CDD we branded as “Dare2Be.” Mr. Chairman, it is intended that the Human Rights policy research and development work undertaken in 2015 will continue under the Ministry Headquarters in 2016. Mr. Chairman, as functions associated with business unit 66000 are being transferred to Head 71, Ministry Headquarters, as of 31 st of March 2016, no funds have been allocated under this business unit. Mr. Chairman, I will now present the estimates of expenditure and revenue for Head 56, the Human Rights Commission, for Financial Year 2016/17, which can be found on pages B -17 through B -19 of the est imates book. The new name, Head 56, is in keeping with this Government’s Throne Speech initiative, which provided for the Human Rights Commission to obtain a level of independence in keeping with international best practice, and which will be classified as a non- ministry department. Mr. Chairman, the Human Rights Commission is a statutory body charged with promoting and pr otecting human rights in Bermuda. The Human Rights Act 1981 was enacted by the Bermuda Legislature in December of 1981. And shortly thereafter, in early 1982, the Human Rights Commission was established to administer the Human Rights Act. Mr. Chairman, the commission consists of a board of 12 commissioners with quasi -judicial author ity to adjudicate complaints of discrimination. The commissioners also have responsibility to inform the Ministry responsible for human rights of human rights issues, who in turn shall ensure human rights are integrated into the development of policies throughout government. The newly appointed chairperson is Ms. Tawana Tannock, and she leads an esteemed group of commissioners who seek the advancement of pr otection for human rights in Bermuda. Mr. Chairman, the commission also consists of the Office of the Commission, which is led by the Executive Officer. This relationship between chair and the executive officer is described as a “constructive partnership, ” which enables interdependence and the 1294 9 March 2016 Official Hansard Report
Bermuda House of Assembly culture of shar ed responsibility, while providing distinct lines of decision- making and authority. Mr. Chairman, the commission’s vision is a community that honours and protects human rights for all. As conferred by section 14 of the Act, the func-tions of the Human Rights Commission are to (1) encourage an understanding of the fundamental rights and freedoms of the individual, guaranteed by Chapter 1 of the Constitution, and of the principle that all members of the community are of equal dignity, having equal rights, and have an obligation to respect the dignity and rights of each other; (2) promote an understanding of, acceptance of and compliance with the Act; (3) develop, conduct, research, and arrange educational programmes designed to eliminate di scriminatory practic es; (4) encourage organisations within the community and individual persons to carry on activities which will attract all members of the community whatsoever; (5) to encourage and coord inate any activities which seek to forward the principle that any member of the community is of equal dignity and has equal rights; (6) to use its good offices for the conciliation, mediation, and settlement of any com-plaints or grievances arising out of acts of unlawful discrimination and, where in its opinion such good offices are inappropriate, institute prosecutions for contravention of the Act. The commission may also issue guidelines for the information of the public in relation to any matter relevant to its functions and codes of practice for the elimination of racial discrimination and the promotion of racial equality. The commission’s strategic priorities are to: 1. maximise the protection of human rights; 2. provide impactful awareness and education; 3. demonstrate operational excellence; and 4. increase knowledge and capacity .
Mr. Chairman, the Human Rights Commission works with individuals, organisations, industries, schools, community groups, the Government, and the public at large to promote understanding of human rights and their rights and responsibilities under the Human Rights Act. To that end, the commission pr ovides the following services: • education about the Human Rights Act 1981; • fair and timely investigation of complaints of discrimination; • dispute resolution services by way of concili ation and mediation; • training and consultancy services about human rights; • anti-discrimination practices and complaint - handling mechanisms; • assistance under section 18 for complaints r eferred to the Human Rights Tribunal.
Mr. Chairman, the executive officer has powers to investigate c omplaints, collect evidence, and determine whether a complaint appears to have merit. Where a complaint appears to have merit, the exec utive officer shall refer the complaint to the chair, who will refer the matter to the Human Rights Tribunal, and after hearing a complaint, the tribunal has the power to determine whether the Act has been contravened and to order penalties. Programme 5601, General. Mr. Chairman, as reflected on page B -17 in Financial Year 2016/17, the Programme budget allocation is $1,268,000, which is a decrease of $594,000, or 32 per cent, compared to Financial Year 2015/16, due to the dissolution of the Department of Human Affairs and the transfer of the administration unit. Head 56 will now consist of one programme, 5601, Human Rights Commission, with one business unit, 66020, HRC Administration. Business unit 66020, HRC Administration. The amount budgeted for business unit 66020 has increased by $100,000, or 9 per cent, compared to Financial Year 2015/16. The increase is solely at-tributable to estimated relocation costs associated with the Human Rights Commission’s move to a new office space because of (1) the expiration of the exis ting lease; and (2) to reduce future rental expenditure due to a reduction of the office space size from the previous office location. Mr. Chairman, explanations for changes to various cost categories as per the subjective analysis, found on B -18, will now be provided. Salaries: The FTE (full -time employee) head count is now eight. As during Financial Year 2015/ 16, Cabinet approved the abolishment of four vacant posts —Director, Admini strative Assistant, Investigations Officer and Tribunal Administrator —as well as the transfer of the Admini strative Officer to the Human Rights Commission. Thus, the budget allocatio n for salaries for 2016/17 is $738,000, which is a decrease of $478,000, or a 39 per cent difference, compared to Financial Year 2015/16. Wages and other personnel costs: Both wa ges and other personnel costs did not receive a budget allocation for 2016/17, which is consistent with 2015/16. Training: The budget allocation for training has increased by $5,000 compared to the budget all ocation of 2015/16. Currently, in order to fulfil its statutory obligation to settle complaints that arise from allegations of discrimination, the commission outsources its voluntary mediation programme to professional mediators. The commission aims to bring the programme in-house over the next two years by directly providing conciliation and mediation services in order to achie ve cost reductions associated with these services. As such, there is an increase in the allocation for training and certification for officers, who will then be capable of directly providing the services as part of their job function.
Bermuda House of Assembly Communications: The allocated budget is $10,000 for Financial Year 2016/17 for Communic ation, which is an $11,000 decrease, or 52 per cent, compared to Financial Year 2015/16, which reflects savings associated with the costs that were previously incurred by the Department of Human Affairs. Advertising and Promotion: [There was] $8,000 for Financial Year 2016/17 allocated to Advertising and Promotion, an increase of $3,000. The commission will continue to expand its outreach efforts through social media, e- mail, newspaper, an d discussions with key stakeholders to advertise and promote human rights. However, such an increase is required in order for the commission to increase awareness campaigns in keeping with its statutory duty to encourage an understanding of our fundamental rights and freedoms as guaranteed by Chapter 1 of the Constitution, and of the principle that all members of the community are of equal dignity, have equal rights and have an obligation to respect to the dignity and rights of others. During this financial year, the commission aims to increase efforts to promote an understanding of, acceptance of, and compliance with the Act, and to increase the delivery of education aimed at the elim ination of discriminatory practices. Professional Services: Professional Services have been allocated $230,000 in Financial Year 2016/17. In comparison to 2015/16, there is a decrease of $18,000, or 7 per cent, which is due to the anticipated decrease in mediation and conciliation services, which is currently being outsourced, as di scussed earlier. Rentals: In comparison to 2015/16, the budget allocation for Rentals has decreased by $79,000, or 30 per cent, to $184,000, which is due to the reloc ation of the commission’s office. Repairs and Maintenance: Mr. Chairman, $65,000 have been allocated to the Human Rights Commission for 2016/17. This budget allocation has been increased by $30,000 to cover the costs assoc iated with office relocation. Energy: A budget allocation has not been pr ovided for Energy for 2016/17, which is a decrease of $10,000, or 100 per cent, compared to the prior year. This is due to the cost of electricity, which was prev iously paid for offices maintained by the Department of Human Affairs. Materials and Supplies: The allocated budget is $25,000 for Mat erials and Supplies for 2016/17, which is a reduction of $15,000, or 38 per cent, compared to 2015/16 budget allocation. This decrease is indicative of all the efficiencies expected to be generated as per all of the explanations already provided. Equipment, Minor Capital: The budget alloc ation for Financial Year 2016/17 of $3,000 is consistent with 2015/16, which is due to scheduled replacement of outdated computer equipment. Other Expenses: No budget has been allocated for other expenses for 2016/17, wh ich is a $23,000, or 100 per cent, decrease from Financial Year 2015/16. Grants and Contributions: For Financial Year 2016/17, no budget has been allocated to Grants and Contributions, which is consistent with 2015/16. Discussion on Performance Measures: Mr. Chairman, the department’s performance measures can be found on page B -19 of the estimates book. Three of the Human Rights Commission’s performance measures are: • number of complaints resolved in conciliation or mediation; • number of policies reviewed; and • number of community education public forum workshops.
Mr. Chairman, the Human Rights Commission continues to receive an increasing number of co mplaints of discrimination. Year over year, the commi ssion is currently observing a 40 per cent increase in the number of complaints lodged. As it is statutorily responsible to try to settle complaints that arise out of allegations of discrimination, the Human Rights Commission provides a voluntary third- party private di spute resolution programme, the Voluntary Mediation Programme, to allow parties to a human rights com-plaint to resolve their dispute via conciliation and/or mediation. During the previous financial year, the pr ogramme saw the parties to nine complaints attempt to settle their respective complaints . Of those nine, five of the disputes were resolved. With increased efforts to settle complaints wherever possible, the commi ssion anticipates an even higher number of complaints that may be resolved in this fiscal year. Mr. Chairman, with regard to the policy r eviews and consultations, the commission provides policy guidance and consultation to government agencies, businesses and other organisations in support of their commitment to the implementation of i nclusion strategies which enable inclusive environments. During the 2015/16 Financial Year, the commission was either consulted or invited to provide i nput into eight policies including those developed by the Department of Human Resources, the Bermuda Fire and Rescue Services, the Bermuda Police Service, t he Department of Financial Assistance, the D epartment of Community and Culture, and the Depar tment of Human Affairs. In addition to numerous other informal consultations, the commission partnered with the Disability Advisory Services and the Department of Planning for a Front Street accessibility tour to help identify the need for inclusive and universal design to enable access on Front Street for residents and visitors alike. Mr. Chairman, with regard to the number of community education public forum works hops , the 1296 9 March 2016 Official Hansard Report
Bermuda House of Assembly commission exceeded the number of outreach initi atives held during the current financial year, and examples of those initiatives are as follows: • presentation to photography students at the Bermuda National Gallery on the topic of activism; • coordi nation of a viewing of the film Lead with Love, for the Family Centre, as part of an init iative to create inclusive practices and to be an LGBT -friendly organisation; and • presentation to service providers at the Mid Atlantic Wellness Institute in commemoration of Mental Health Week.
Mr. Chairman, the commission is in the pr ocess of drafting guidelines on the duty to accomm odate, to provide the public with greater clarity of Schedule 1 of the Human Rights Act. The guidelines will clarify the rights of persons with disability in the area of employment and the responsibility of emplo yers to provide reasonable accommodation. In order to develop these guidelines, the commission held extensive consultations with stak eholders, including the Bermuda Government, various representatives of the business community, including the Chamber of Commerce and the Disability Advisory Council. Mr. Chairman, I would like to take this opportunity to thank the staff of the Department of Human Affairs for their dedication in provi ding technical advice, management support, and research to the Mini stry on issues related to human affairs. Mr. Chairman, before concluding, I would like to congratulate each of the new appointees of the Human Rights Commission and the newly appointed Chai r, Ms. Tawana Tannock, who were all independently appointed by the Selection and Appointment Committee. This process demonstrates this Government’s commitment to transparency, in that the Minister is no longer involved during the appointment process. Mr. Chairman, I would like to name the new commissioners for the period of 2016 to 2018. The Chairman is Tawana Tannock; the Deputy Chair, John Hindess; and the members are Carolyn Ray, Ben A damson, Carla Lambert, Kim Simmons, Donna Daniels, Jens Juul, Dany Pe n, Quinton Butterfield, Franklin Fahnbulleh and Jonathan Young. Mr. Chairman, I also wish to . . .
[Inaudible interjection] Hon. Patricia J. Gordon -Pamplin: (I am sorry.) I also wish to thank the commission who most recently finished their terms this past December. The outgoing committee, Michael Hanson was the Chair; Kim Simmons, the Deputy Chair; and the members were Tawana Tannock, Richard Horseman, Kai Musson, Pamela Fowkes, Donna Daniels, Naomi Schroter, Millard Thompson, Jens Juul, Louis Somner and Darcy Gimas (who, unfortunately, passed away in February of 2015). The new Human Rights Commissioners have a broad range of experiences that they bring to their roles, and I am sure that we can all be confident that they will contribute significantly to promoting the advancement of human rights in Bermuda. Lastly, Mr. Chairman, I wish to thank the staff of the Human Rights Commission for their commitment to the princ iples of inclusion and equality. They remain at the for efront of efforts to ensure that t he people of these I slands are treated fairly and without discrimination in ensuring that their rights are protected. Mr. Chairman, this includes my presentation on Financial Year 2016/17 Budgetary Allocation for Head 56, the Human Rights Commission.
The ChairmanChairmanThank you, Minister. Does any other Honourable Member wish to contribute to Heads 56, 63, 92, 98? I notice the Honourable M. A. R. Bean, JP, MP, the Opposition Leader, from constituency 26. Honourable Member, if you could just help me and give the head’s title, page and line item …
Thank you, Minister. Does any other Honourable Member wish to contribute to Heads 56, 63, 92, 98? I notice the Honourable M. A. R. Bean, JP, MP, the Opposition Leader, from constituency 26. Honourable Member, if you could just help me and give the head’s title, page and line item just to I can follow, sir? Thank you. You have the floor.
Hon. Marc A. R. Bean: Yes. Okay. Good morning, Mr. Chair, and thank you. Good morning to the listening public. Good morning to the civil servants, madams, the parliamentary, I believe, is the head of internal audit or one of the heads of internal audit, one of the heads of the parliamentary, head of the Parli amentary Registrar, and the controller of it all. The lady who controls the money.
An Hon. Member An Hon. MemberThe m oney person. Hon. Marc A. R. Bean: The money person. Thank you, and again . . . before I even start, I would like to take this opportunity to thank you for the fine work that you have done on behalf of the people of Bermuda. People might …
The m oney person.
Hon. Marc A. R. Bean: The money person. Thank you, and again . . . before I even start, I would like to take this opportunity to thank you for the fine work that you have done on behalf of the people of Bermuda. People might not recognise the fact that you work in areas of the government that really represent the watchdog of the government and the watchdog of the taxpayer or the people’s money. And oftentimes, your work goes unnoticed. But I would like to take this o pportunity to say that, wit hout your presence and the fine work that you do, many of the issues that we are facing today in our government would be much, much worse. And so we appreciate the work that you are doing. Please continue to do so in a non- partial, nonpolitical manner. I would encourage you to do so. You are the watchdogs, and we appreciate you. Mr. Chairman, I would like to follow on from the Honourable Premier as he started on Head 63, Parliamentary Registrar, as found on page B -20.
[Pause]
Bermuda House of Assembly Hon. Marc A. R. Bean: Also, Mr. Chairman, I am not sure if other Members are preparing to contribute, but it is my intention to ensure that we can get through the heads before lunch. And that way, our fine civil ser vants do not have to come back after lunch and waste valuable time. I think the Premier did an excellent job, and the Honourable Minister, in presenting a concise brief, which has basically given me some of the answers that I was seeking. So I will oblige by ensuring that we can make this as expeditious as possible. Mr. C hairman, on page B -20, we note that there has been an increase. Looking at line item, or cost centre 73010, General and By -Elections, we did note an increase of 484 per cent, or $210,000, approximately $213,000. The Honourable Premier gave us an indication of what these funds have been all ocated towards. But to be honest, I am still not sure what this allocation is meant for. It is easy to say that, as the Premier said, this budgetary allocation is for future events, just in case we have a by -election, just in case we need to use it for the referendum. But in a budgetary environment, we should not be budgeting things to say just in case, Mr. Chairman. So I would like a clearer indication of just how these funds —and just $257,000—but I would like to know wher e it will be directed to. I think that I would appreciate additional clarity. Likewise, Mr. Chairman, moving down at the cost centres, we see Alternative Voting Research, 73017. And while it is, again, a very minor increase, we note that the last fiscal y ear there were $66,000 originally allocated, but only $6,000 of that $66,000 was spent. Now, I am not going to be the one who gets up and asks why someone has not spent money.
[Laughter]
Hon. Marc A. R. Bean: In fact, if there is a reason not to spend i t, I have no problem with it. But we do recognise that there is a policy position, I think as men-tioned in the Throne Speech, that the One Bermuda Alliance Government has the intent to research and implement, I would think, alternative or absentee ba lloting and whatnot. So I would think that this budge tary allocation has been set aside, in part, to deal with what has previously been stated as a position by the current Government. And while it is only a $76,000 allocation, we can understand why you would ha ve some of these hiccups, Madam Parliamentary Registrar. So we are not going to hold the fine office of the Parliamentary Registrar too hard. But we would like to see or like to have additional clarity as to, what are the timelines that the Parliamentary R egistrar sees in order for us to start implementing absentee balloting and any other policy position that comes under the broad heading of Alternative Voting Research? Mr. Chairman, I would like to now turn over to page B -22, Performance Measures. Mr. Cha irman, there was one performance measure that stood out. And it was almost alarming, unless I can receive an explanation as to the numbers. If you look a little bit down, maybe it is the one, two, three, the fourth co lumn under the business unit 73000, Adm inistration, and it says, The performance measure is the number of new voter registration forms processed. You have two forms, form 1 for new registrations, form 2 for a change in registration. Mr. Chairman, when I looked and I focused on form 1, new registrations, I have some questions. The actual outcome in the Fiscal Year 2014/15 was 1,044 new registrations. The original forecast for last fiscal year was 1,000 registrations. But in fact, if you go across the column, you will see that the revised for ecast for the last fiscal year is actually 50 per cent higher than what was forecast. Instead of 1,000, we have 1,500 new registrations for last fiscal year. But it does not stop there. You go to the next column, and to my surprise (or potential surprise), I see that the new forecast is now 2,000 new registrations. So I pondered, and I put my political strat egist’s hat on. And I tried to look deeper within the numbers prior to my coming to have to ask these questions. And I thought to myself that this data, t his performance measure, in reality reflects a shift. And that shift can either be as a result of, one, more peo-ple, more Bermudians who previously did not vote, who previously were not registered to vote, are sick and tired of the One Bermuda Alliance Gov ernment. And so they have been driven to go and sign up and become a voter in anticipation as to when the next election will be called. That is one factor. The other factor, and much more subtle and much more dangerous, Mr. Chairman—and I am sure you under stand where I am going with this. If one option with this i ncrease says that it is a result of Bermudians being sick and tired of the One Bermuda Alliance Government, then there is also another option. There is another indicator or another measure, another way we can measure this indicator. And that is that you have more non-Bermudians, more non- Bermudians added to the voters’ roll. Or, Mr. Chairman, it can be a combination of two.
Hon. Patricia J. Gordon -Pamplin: Point of order, Mr. Chairman, or just a point of clarification, if I may.
Hon. Marc A. R. Bean: Sure, you’re welcome to.
POINT OF CLARIFICATION Hon. Patricia J. Gordon -Pamplin: The Honourable Member is indicating that there would be nonBermudians added to the voter registration roll. Non-Bermu dians cannot be added to the voter registration roll.
Hon. Marc A. R. Bean: Fine. 1298 9 March 2016 Official Hansard Report
Bermuda House of Assembly Hon. Patricia J. Gordon -Pamplin: Okay.
Hon. Marc A. R. Bean: Fine. Status Bermudian, acc idental or . . . what did they call it in the news? Accidental Bermudians? Are we the accidental Bermudians?
An Hon. Member An Hon. MemberWe are the accidental ones. Hon. Marc A. R. Bean: Oh, we are the accidental ones. Well, I am not talking about the accidental Bermudians. Dr. the Hon. E. Grant Gibbons: Like your wife?
An Hon. Member An Hon. MemberShe is not an accidental Bermudian.
An Hon. Member An Hon. MemberDon’t mention that again. [Inaudible interjections] Hon. Marc A. R. Bean: Last time . . . Dr. Brown was about to tell you what time it is. I am not Ewart Brown, Grant Gibbons. Know that. Know that. The Chairm an: Honourable Member, if you could stick to the . …
Don’t mention that again. [Inaudible interjections]
Hon. Marc A. R. Bean: Last time . . . Dr. Brown was about to tell you what time it is. I am not Ewart Brown, Grant Gibbons. Know that. Know that. The Chairm an: Honourable Member, if you could stick to the . . . Talk to the Chair. Hon. Marc A. R. Bean: Trust me.
The ChairmanChairmanHonourable Member. Hon. Marc A. R. Bean: Let me make it clear. If the Honourable Minister decides to mention my wife again . . . Obvi ously, they are trying to instigate. Right? [Laughter] Hon. Marc A. R. Bean: But at this point, at this point, I do not need …
Honourable Member. Hon. Marc A. R. Bean: Let me make it clear. If the Honourable Minister decides to mention my wife again . . . Obvi ously, they are trying to instigate. Right? [Laughter]
Hon. Marc A. R. Bean: But at this point, at this point, I do not need to take the bait. Okay? They have no idea who they are dealing with. I do not have to say another word.
Dr. the Hon. E. Grant Gi bbons: Point of order.
POINT OF ORDER [Imputing improper motives] Dr. the Hon. E. Grant Gibbons: The Honourable Member is imputing improper motives here. Hon. Marc A. R. Bean: Improper motives.
Dr. the Hon. E. Grant Gibbons: Point of order.
The Chairm an: Honourable Member, if you could just take your seat, please. [Inaudible interjections] Dr. the Hon. E. Grant Gibbons: I was simply trying — [Inaudible interjections]
The ChairmanChairmanHonourable Member, please take your seat! [Inaudible interjections] Dr. the Hon. E. Grant Gibbons: I was simply trying to get an understanding of what he was talking about when he talked about “accidental Bermudians .” I have a spouse, as well, who has status as a consequence of being married …
Honourable Member, please take your seat! [Inaudible interjections]
Dr. the Hon. E. Grant Gibbons: I was simply trying to get an understanding of what he was talking about when he talked about “accidental Bermudians .” I have a spouse, as well, who has status as a consequence of being married to a Bermudian.
POINT OF ORDE R
Hon. Michael J. Scott: Point of order! Point of order! Point of order! This is a speech in the middle of the debate on Committee of Supply. And the Honourable Dr. Gibbons, the Minister, makes most unnecessary comments about the Leader’s wife, and he should not be introducing these inflammatory issues! Make the point of order and sit!
[Inaudible interjections]
An Hon. Member An Hon. MemberSay it on the microphone! Go say it on the microphone!
An Hon. Member An Hon. MemberSay it on the microphone! Hon. Marc A. R. Bean: You see these men chirping?
The ChairmanChairmanHonourable Member, just — Hon. Marc A. R. Bean: But then when he gets turned up, they want to run to the paper a nd act like they do not know —
An Hon. Member An Hon. MemberSay it on the microphone! Say it on the microphone! Hon. Marc A. R. Bean: Right. Keep talking.
An Hon. Member An Hon. MemberKeep talking. We want Bermuda to hear.
The ChairmanChairmanJust talk to the Chair, Honourable Member. Bermuda House of Assembly An Hon. Member: Say it on the microphone. Hon. Marc A. R. Bean: Mr. Chairman, let me make something clear. Let me make something clear, Mr. Chairman. My wife is not an accidental Bermudian. My wife has citizenship in …
Just talk to the Chair, Honourable Member.
Bermuda House of Assembly An Hon. Member: Say it on the microphone.
Hon. Marc A. R. Bean: Mr. Chairman, let me make something clear. Let me make something clear, Mr. Chairman. My wife is not an accidental Bermudian. My wife has citizenship in two countries. Okay? First - class cit izenship! My wife is here because she loves me. She is married to me. She does not seek secondclass Bermuda status. Let me make that clear. All right? She is proud to be a Bahamian. She is proud to have US citizenship. In fact . . . Anyway, let me leave that alone.
An Hon. Member An Hon. MemberDon’t bring up anybody’s wife.
The ChairmanChairmanPlease proceed, sir. Hon. Marc A. R. Bean: No, I will not bring up an ybody’s wife.
The ChairmanChairmanHonourable Member! Can you talk to the Chair and stick to the heads? [Inaudible i nterjection] Hon. Marc A. R. Bean: It makes me wonder what happened on that beach a few years ago down Mid Ocean.
An Hon. Member An Hon. MemberWhat? [Laughter] Hon. Marc A. R. Bean: Remember? Should I mention it?
An Hon. Member An Hon. MemberStriking earl y today.
An Hon. Member An Hon. MemberPick the bones out of it. Pick the bones out of it. [Inaudible interjections] Hon. Marc A. R. Bean: Let me return to what I was saying before I was interrupted by —
An Hon. Member An Hon. MemberThe picture? You interrupted yourself. Hon. M arc A. R. Bean: For some reason, they are trying to get me hyped up and ramped up today.
An Hon. Member An Hon. MemberNo. You do that to yourself. Hon. Marc A. R. Bean: It is not going to work.
An Hon. Member An Hon. MemberYou do that to yourself. Hon. Marc A. R. Bean: It is not going to work, man. The people are listening. The people are listening. Trust me. Is that Mr. Cuba, Jeff Sousa, over there saying something? Okay. Okay. [Inaudible interjections]
An Hon. Member An Hon. MemberMr. Cuba. You are right. Hon. Marc A. R. Bean: Mm-hm. Mr. Chairman, these performance measures, again, they reveal either of two trends —one, more Bermudians are sick and tired of this so- called go vernment. And they are going to Ms. Woolridge’s office to register in anticipation of a …
Mr. Cuba. You are right.
Hon. Marc A. R. Bean: Mm-hm. Mr. Chairman, these performance measures, again, they reveal either of two trends —one, more Bermudians are sick and tired of this so- called go vernment. And they are going to Ms. Woolridge’s office to register in anticipation of a general election, similar to what they did on February 4 th in the by -election for constituency 13. We all know how that ended up, in spite of their best, or maybe worst, efforts. That could be a trend. But it also could be a trend or a reflection of the entire Bermudian policies that are being pushed or forwarded by what appears to be an anti -Bermudian non-elected Minister, supported by the Master himself.
Dr. the Hon. E. Grant Gibbons: Point of order, Mr. Chairman.
The ChairmanChairmanHonourable Member, you take your seat. Your point of order is? POINT OF ORDER [Imputing improper motives] Dr. the Hon. E. Grant Gibbons: The Honourable Member is imputing improper motives. There are no anti-Bermudian policies from the Government.
The ChairmanChairmanThank you. Honourable Member, you have the floor. Please proceed. Hon. Marc A. R. Bean: Yes. Again, the anti -Bermudian policies by an anti - Bermudian government. Okay? Maybe this measure is a reflection of a trend where more people are being added to the voting roll who previously did …
Thank you. Honourable Member, you have the floor. Please proceed. Hon. Marc A. R. Bean: Yes. Again, the anti -Bermudian policies by an anti - Bermudian government. Okay? Maybe this measure is a reflection of a trend where more people are being added to the voting roll who previously did not have that privilege to be added to the voting roll. But I would like clarity from the lovely Parliamentary Registrar as to what do these trends indicate? Or what do they r eflect? Because certainly, when you see a jump from 1,000 in one year to 2,000 the next year , something — something is afoot. And to be honest, I look forward to the r esponse from the Parliamentary Registrar because nothing these folks on this side can say to me could make me believe or trust them —nothing. But I certai nly trust my civil servants.
1300 9 March 2016 Official Hansard Report
Bermuda House of Assembly [Inaudible interjection]
Hon. Marc A. R. Bean: You all can ramp up the temperature all you like, you know. Trust me. That is right in my element. I do not mind that. Mr. Chairman, we would like to know why, a simple explanation. I suspect that it is a combination of both. Right? You have more Bermudians sick and tired of this anti -Bermudian Government. Then you have more non- Bermudians becoming status Berm udians all of a sudden because of this anti -Bermudian Government’s anti -Bermudian policies. Mr. Chairman, I would now like to move on to page B -28, Internal Audit. Just a few things that I noted, a simple note— it says on pages B -28 and then B - 29, when you look at those two pages, it shows that the original budget for Salaries in 2015/16 was $1.327 million, with 14 staff. And it was revised for that fiscal year downwards by $1,000. But what stood out to me is that the staffing levels, when you look further down the page and look at employee numbers for full -time equivalents, that budget [for]14 persons w as allocated $1.327 million. But then we see that 10 . . . and then you see 10 employees, the revised figure. But the r evised figure was only down by $1,000.
Hon. Michael H. Dunkley: Point of clarification.
The ChairmanChairmanPlease. POINT OF CLARIFICATION Hon. Michael H. Dunkley: Thank you, Mr. Chairman. Honourable Opposition Leader, thank you for accepting the point of clarification. I questioned that myself in looking at the brief. And at the bottom of page B -29, under Employee Numbers, when it refers to Administration, that 10 …
The ChairmanChairmanThank you, Minister, for the clarific ation. Hon. Marc A. R. Bean: Okay. I appreciate that expl anation. But if there are two fewer instead of four and the revised budget was $1,000 less, but this year you have 12 full -time employees who are estimated, but the budget is …
Thank you, Minister, for the clarific ation. Hon. Marc A. R. Bean: Okay. I appreciate that expl anation. But if there are two fewer instead of four and the revised budget was $1,000 less, but this year you have 12 full -time employees who are estimated, but the budget is $1,070,000, or 19 per cent, $257,000 less, so again, that still, even though the Premier has provided an explanation, it is still a little confusing. Okay? The numbers do not add up. But I am open to further clarification; no problem. I would like to move on and turn over the page to B-30, Internal Audit, Performance Measures. There is a performance measure that says, Number of sur-prise compliance to Financial Instructions reports i ssued for cash or purchase orders. I like the idea, if I am accurate as to what this type of activity is. I like the surprise visits, because that is what I think internal audits should do. I would think that is part of thei r job, to just roll up on unsuspecting Members of Gover nment and make sure that they are compliant in various aspects. But I would appreciate a further clarity as to what this represents. How does it actually appear in practice? Does the lovely staff of I nternal Audit determine, not arbitrarily, but let us say, Tomorrow, we are going to go to the Department of Works and Engineer-ing and go to their controller or go to their key personnel and conduct a surprise compliance [audit] to F inancial Instructions reports ? I am not sure what it represents, but I would appreciate clarity for clarity’s sake. And the other performance measure that stood out to me under Head 92, Internal Audit, page B-30, are these two measurements that say, The number of management recommendations issued and the number of management agreed actions impl emented by agreed date. And if you look at those two measures, you will see a gap of approximately 66—66 between the number of recommendations issued and the number of actions that have occ urred. Now, I bring that to the attention of the Honourable Chamber because I would think one of the most important tasks that the Department of the Internal Audit has is to identify shortcomings, to identify . . . I think the Premier mentioned financial risk, compl iance risk, operational risk —and I say “risk ,” but these are in the form of audits —and information technology. So, if the Internal Audit, which is our number -one watchdog— you look at the mission statement and the objectives of this department, y ou will see just how important it is to good governance. Maybe that is one of the reasons why the former Premier, the Honour able Paula Cox, created the Department of Internal A udit. Yet, where the rubber hits the road is these recommendations that come fr om this department across Government. There were 330 recommendations made. And I doubt —I doubt any of those re commendations were frivolous. I doubt it! I am sure that the Department of Internal Audit made those recommendations because they identified weaknesses in the operation of government. Yet we see that 66 out of those 330 recommendations have not been actioned. I would like to know why. I would like to know why. I am sure that Members or Ministers, when they have to speak to the Department of Internal Audit and the recommendations are provided by the Department of Internal Audit, that the intent is to work together. But I would also think that the Department of Internal Audit is not there to make friends of other members of the civil service. It is not supposed to be a cushy rel ationship. When the Department of Internal Audit gives a recommendation, I would think that we should have expectations that those recommendations are acted upon! And so, I would like to know from, I believe it is the Director, Ms. Foy, yes, the director, whether or not
Bermuda House of Assembly she has found that there are some challenges to her and her staff being able to conduct their duties or ex ecute their duties. Because in my opinion, in my opinion again, after all the work is done in that department, the rubber hits the road when these recommendations are sent out to say, Hey, you need to tidy up that oper ation, or, You need to tidy up that process. And so, to see that gap is very alarming and concerning. Mr. Chairman, I would now like to move on to Head 98, Information Commissioner’s Office, found on page B -31. I would like to start off by first expressing gratitude to the new Information Commissioner and her staff. And I also would like to note that for the final fiscal year, the last fiscal year , the Information Commissioner’s Office actually came in $101,000 below budget. And, as far as I am concerned, the Infor-mation Commissioner deserves a tremendous amount of accolades and encouragement. In fact, I would like to say to the Information Commiss ioner, if she is li stening, Madam, keep up the good work. I understand this year the budget has increased. But you actually set the tone for how other government departments can go about being effective without blowing through a budget. And so, the fact t hat I see $101,000 shift downward from what was forecast requires us in this House to recognise that department or that Infor-mation Commissioner’s Office. There was one little issue on employee numbers, before I get further into the Information Commi ssioner’s remit, that showed that on page B -32, Mr. Chairman, there is an increase of two employees — two employees. But for some reason, I think I am missing something. Well, maybe I am not; maybe I am not. I am sorry. I would like to withdraw that. I actually went down the wrong line, reading the wrong notes. There is no issue in that regard. But there are some other issues that I would like to raise in terms of the Information Commissioner’s Office.
[Pause] Hon. Marc A. R. Bean: Mr. Chairman, you can recall when the Information Commissioner’s Office was rolled out. Do you recall, Mr. Chairman, that we had a certain Minister of this Government who actually broke the law in regards to the Information Commissioner’s Act and revealed information that he was not s upposed to reveal? And subsequently, he claimed ign orance. We have heard that before from that side. Subsequently, he claimed that he did not know what to do; in fact, the Information Commissioner actually gave a bly to this Government, you know, saying that, par aphrasing that, You know, we are just transitioning into it, and we might not get it all right. And we can understand how people can make errors. I understand that if you are talking about the average citizen, but I do not accept that excuse when we are talking about a Minister of Government who sits around the Cabinet table. But that same excuse was used when they claimed ignorance of the Minist erial Code of Conduct. And now we see, or we saw in this last fiscal year, a piss -poor excuse when we saw a Minister of Government break the [Public Access to] Information Act or Information Commissioner’s Act or whatever the Act is termed.
The ChairmanChairmanHonourable Member, could you just give me what line item you are talking against, please? Whereabouts? Wh ich page? Hon. Marc A. R. Bean: In terms of what?
The ChairmanChairmanWe are here on the Budget. Hon. Marc A. R. Bean: Yes.
The ChairmanChairmanWhich head and which line item are we at in reference to what you are saying? Hon. Marc A. R. Bean: Actually, I am not on any line items. I am on page B -31. You look at the mission statement and department objectives.
The ChairmanChairmanOkay. We were on the previous page, Honourable Member. Hon. Marc A. R. Bean: Oh, I am going back. I am going back.
The ChairmanChairmanOkay. That is fine. I want to know where I am; that is all. Hon. Marc A. R. Bean: Okay.
The SpeakerThe SpeakerThank you. Hon. Marc A. R. Bean: Okay. But I am speaking to the general purpose of the Information Commissioner’s Office as contained on page B -31. Okay? And I was saying just now that we have already seen hi ccups with this process. Right? Hiccups created by no other …
Thank you.
Hon. Marc A. R. Bean: Okay. But I am speaking to the general purpose of the Information Commissioner’s Office as contained on page B -31. Okay? And I was saying just now that we have already seen hi ccups with this process. Right? Hiccups created by no other than Ministers of this Government. That is not even funny! Because, well, let me ask my Shadow Minister and Attorney General, ignorance is no defence?
[Inaudible interjections] Hon. Marc A. R. Bean: Ignorance of the law is no defence?
An Hon. Member An Hon. MemberYou would know that. You would know. 1302 9 March 2016 Official Hansard Report Bermuda House of Assembly [Inaudible interjections] Hon. Marc A. R. Bean: Oh, I see. I see this Premier, who has never been elected, really chirping. But yet, when it was his turn to speak, have you …
You would know that. You would know.
1302 9 March 2016 Official Hansard Report
Bermuda House of Assembly [Inaudible interjections]
Hon. Marc A. R. Bean: Oh, I see. I see this Premier, who has never been elected, really chirping. But yet, when it was his turn to speak, have you ever heard him say anything of substance in the last three years of Parliament? None! None! He has nothing to offer, Mr. Chairman, except to try and distract. [Pause] Hon. Marc A. R. Bean: Another item in terms of the overall objectives of the Information Commissioner’s Office which, in my view, has made a mockery of this process, is we have seen over the last few months the Government refusing to answer parliamentary questions regarding this airport agreement. We have been told that the schedules have been redacted. We have been told that information contained on this agre ement is none of our business. It is confidential.
[Inaudible interjection] Hon. Marc A. R. Bean: And it really just reveals the blatant arrogance and disregard that this Government not only has for the people of this country, but for the watchdogs that have been constituted to ensure good governance! They are almost —they are almost r emoving any power through their arrogance, of these non-ministry departments, non- ministry heads, who most of the time answer to His Excellency the Governor. What is the sense of having PATI and an Information Office when the first two instances when the Information Officer or the Information Commiss ioner was to apply herself and her team —you see this Go vernment either ignoring through claiming ignorance, breaking the law, or ignoring the Information Commi ssioner, ignoring Parliament by saying that this commercial agreement is none of your business! So I have to ask the question, Why did we even set up an Information Commissioner’s Office if the Government are not willing to abide by the law of the Information Commissioner? Or is it typically —
Hon. Patricia J. Gordon -Pamplin: Point of order, Mr. Chair man.
The ChairmanChairmanMember, take your seat, please. POINT OF ORDER [Misleading] Hon. Patricia J. Gordon -Pamplin: The Honourable Member is misleading the House, Mr. Chairman. The Information Commissioner, the law surrounding the construct of the Informati on Commissioner’s Office provides for certain information that is protected from being made public. So it …
Member, take your seat, please.
POINT OF ORDER [Misleading]
Hon. Patricia J. Gordon -Pamplin: The Honourable Member is misleading the House, Mr. Chairman. The Information Commissioner, the law surrounding the construct of the Informati on Commissioner’s Office provides for certain information that is protected from being made public. So it is not breaking the law when that information is not made public. The Chairman: Thank you.
Hon. Marc A. R. Bean: What did it mean? I have no idea what the Honourable Minister was trying to say just now. I am absolutely clueless as to what she was trying to say. Okay? We are speaking of an airport agreement. Okay? And we are asking simple questions through Parliament. Okay? We are asking si mple questions from Parliament. And they refuse to answer. My Honourable Deputy Leader has made that clear time and time again. If we cannot receive trans-parency of this airport deal, then we might as well close the Information Commissioner’s Office up and save the taxpayer $700 or $800 or $1,000.
Dr. the Hon. E. Grant Gibbons: Mr. Chairman, point of order.
The ChairmanChairmanYes. Your point of order is? POINT OF ORDER [Misleading] Dr. the Hon. E. Grant Gibbons: I think our understanding is that the information was prov ided. As my honourable colleague, Pat Gordon- Pamplin said, the Act allows certain proprietary and commercial information— Hon. Marc A. R. Bean: That is …
Yes. Your point of order is?
POINT OF ORDER [Misleading] Dr. the Hon. E. Grant Gibbons: I think our understanding is that the information was prov ided. As my honourable colleague, Pat Gordon- Pamplin said, the Act allows certain proprietary and commercial information—
Hon. Marc A. R. Bean: That is not a point of order. It is not a point of order.
Dr. the Hon. E. Grant Gibbons: —to be redacted.
The ChairmanChairmanMember, take your seat. Dr. the Hon. E. Grant Gibbons: To be redacted. Hon. Marc A. R. Bean: What is the point of order? Dr. the Hon. E. Grant Gibbons: The information was provided. The Honourable Member is misleading the House.
The ChairmanChairmanHe is misleading the House. Go ahead. Dr. the Hon. E. Grant Gibbons: Yes. The Honour able Member is misleading the House. The information was provided, but certain aspects of the commercial agreements were redacted, as is allowed under the Act. Thank you, Mr. Chairman.
The ChairmanChairmanThank you. Honourable Member. Bermuda House of Assembly Hon. Marc A. R. Bean: So, the meat they want is . . . The meat on the bones is none of our business . That is what the Honourable Minister of Economic Development and “Manipulation” is telling us. That is what …
Thank you. Honourable Member.
Bermuda House of Assembly Hon. Marc A. R. Bean: So, the meat they want is . . . The meat on the bones is none of our business . That is what the Honourable Minister of Economic Development and “Manipulation” is telling us. That is what he is trying to tell us. That is unacceptable! Okay? But it is a reflection of this arrogant, borderline- dictatorial anti - Bermudian Government. They feel that they can do whatever they like whenever they like.
[Inaudible interjection] Hon. Marc A. R. Bean: One thing, the Premier, you have such little substance. You bring hardly anything to this House except chirping on what Magnus H enagulph tells you to chirp. And they think that they have a PR problem; they think they have a PR problem. It is not a PR problem. It is not a PR problem, Mr. Chairman. Okay? No amount of PR can change falsehood or convince people that you are not to be trusted. In fact, the only reason why they would spend more on PR is to see how they can further deceive our people. But it is not working anymore! It is not working anymore!
[Inaudible interjection]
Hon. Marc A. R. Bean: I am going back to the debate. I am right back on here. I am talking about transparency in the Information Commissioner’s O ffice. Everyth ing I am saying is all tied to poor gover nance, a lack of transparency! That is what it is tied to. I mean, good gracious! What we are speaking about, information and access to information, and I must note it does not escape me that a Commission of Inquiry has been announced to look into activities that this current Government has exceeded in! They are act ually going beyond and above the shadiness that they accuse our Government of doing.
Hon. Michael H. Dunkley: Point of order, Mr. Chai rman.
The ChairmanChairmanYour point of order is? POINT OF ORDER [imputing improper motives] Hon. Michael H. Dunkley: The Honourable Member is imputing improper motives, and it is totally unacceptable.
The ChairmanChairmanThank you. Hon. Marc A. R. Bean: So, Mr. Chairman, the other item in terms of the Information Commissioner’s Office is page B -34, Performance Measures. I accept that the performance measures are just forecasted and there are no performance measures for this fiscal year. It makes obvious sense. And …
Thank you.
Hon. Marc A. R. Bean: So, Mr. Chairman, the other item in terms of the Information Commissioner’s Office is page B -34, Performance Measures. I accept that the performance measures are just forecasted and there are no performance measures for this fiscal year. It makes obvious sense. And so that is fine. We just look forward to next year’s report, where we will be able to make a comparison as to the performance of the Information Commissioner’s Office. But I would like to end on the Information Commissioner’s Office debate by saying this: Like the rest of these non- ministerial heads, unless we have a Government that has clean hands and pure hearts, then all the fine work of these departments will be to naught. They are being undermined. They are being undermined. So, it is either we have a Government that wants to have clean hands and pure hearts, and that is not going to happen, or we have to maybe look at getting rid of the Commissioner’s Office. We cannot have both. You cannot have both coexisting when you have the Government, the Executive, usurping the authority of those who answer to the Governor.
[Pause]
Hon. Marc A. R. Bean: Mr. Chairman, I would now like to move on to the last head, as mentioned, which should give time for ones to respond and adjourn for lunch. Looking at Head 56, the Human Rights Commission [HRC]. Over the years, this issue of human rights has taken on increasing importance in this country. And I think no one would dispute the fact that the Human Rights Commission plays a very, very i mportant role. We also note and acknowledge the realignment of the HRC, a portion of which has gone to the Ministry of Community, Culture and Sports. We also recognise the expenditure, which represented a 9 per cent increase under cost centre 5601. And that is on page B -17, a $100,000 increase. But wh at we did notice is missing, and I think that I would like for the Minister or the Premier to sort it out (could be just a typo), but we do not have the emplo yee numbers, full -time equivalents, in this head. There is nothing there. And the reason why I say this is b ecause the budget spoke to an allocation of $783,000 for salaries. But yet, we see nothing noted as to the employees for the HRC. So I would just wait for the Honourable Minister, if she can let us know. I am sure it is just a typo, but just for clarity’s sake, we would appreciate it. Now, speaking of this Human Rights Commission and noting the special role that it plays, I do have some concerns that it, like other institutions, may become or has been used in the past and potentially in the futur e to advance narrow, special interests. Even though it might be said that we are doing this for the greater good of all, I am not the person to give that line to. I understand how the world runs. I understand that most politics is about narrow self - or special inte rests. And so, I am concerned, Mr. Chairman, okay, because 10 years ago, there was a clear definition in the minds of most people of what human rights were. And then you had this progressive shift. And now, 1304 9 March 2016 Official Hansard Report
Bermuda House of Assembly three years ago or four or five years ag o, we saw a lobby effort taking place, and it was called two words and a comma. And two words and a comma, the argument then is that sexual orientation—sexual orie ntation is a human right. In other words, we need to remove discrimination about sexual orientation. B ecause sexual orientation is a human right. And I remember the argument back and forth. And I remember people saying, Well, wait a minute. We are concerned that your quest for so- called human rights in this instance is actually another step towar ds your end goal, which is saying same- sex marriage. Mr. Chairman, do you remember that debate? I remember it vividly. And I remember people getting up in this House and people outside of the Chamber, in the media, saying that, No, this is not about same- sex marriage. This is just about two words and a comma. They were adamant that any idea that this is actually a next step towards same- sex marriage is a conspir acy theory! Members of this Government got up and said, No, that’s not true! The former Minister responsible, the Honourable Wayne Scott, got up and said, No, that’s not the case! But it was all on the basis that it is a human right. But now today, three years later, the same argument is being presented. And now some are sa ying that same- sex marriage is now a human right. Three years ago, it was not! Four years ago, sexual orientation was not! And now, all of a sudden, it is? Huh! I remember that debate because I asked some serious questions to those who are proponents of two words and a comma. And to this day, I have yet to receive a response. I have yet to receive responses to the questions I asked in this Honourable Chamber. What if a, b, c and d? And no one has responded to me yet. Three years later, two words and a comma is not even a conversation . I doubt that two words and a comma is even raised around the board room at the Human Rights Commission! Because that goal has been attained. And so, now we move on to the next target. And we term it and give it this broad- based term that it is a human r ight. Well, let me tell you all something. Okay? I have a very good understanding of human rights, a very good understanding. And I certainly understand that something that did not exist before four or five years ago, and all of a sudden just comes out of the blue and mankind put a definition on it and they term it as a human right does not make it a human right! It does not. And yes, you might have some legal minds, learned Members who, in their own self - absorption, think that they have the power to reinterpret rules and laws and try to tell the people, because somehow they are barristers, that the law says that we can transition from this being a human right to now, this being a human right. Let me tell you something. There is not a la wyer in the world that impressive —not one. Not one can redefine what is. That is what I do know. And so, that is why I have a problem. I see an issue with this H uman Rights Commission. If you look at the objectives, the Human Rights Commission is supposed to cover a broad spectrum. But it seems like today the only f ocus, the primary focus, is on same- sex marriage! When same -sex marriage was not considered a h uman right three or four years ago. And so it begs the question, Are people genuine? Are they being honest when we have discussions on human rights? That is the big problem I have, you know. In fact, let me go on record. There is only one person who I know is a proponent of same- sex ma rriage in this Honourable Chamber, who has been honest from day one.
[Inaudible interjec tion]
Hon. Marc A. R. Bean: No. It was not. It was not. It was not M. P. Walton Brown. It is somebody else. There is only one person who was a proponent of same -sex marriage from the get -go, who says, This is the deal. He was not calling it a human right, but This is the deal. And you know what? To this day, the r espect that I have for that Honourable Member has be-come and is growing deeper and deeper and deeper. You know why? Because I could care less what side of the fence you sit on, what position you m ay take. I respect honesty. And for some reason, I have seen and wi tnessed a lot of cowardice in this Honourable Chamber when it comes to real issues! And that was one of them. There was only one Member who stood up and said, Hey! This two words and a com ma initiative is not about two words and a comma. It is about samesex marriage! I remember sitting in my caucus and Members saying, No, it is not about that, Leader! And one Member stood up and said, Yes, it is. And it was that one Member whom I must hold in the highest r egard for being honest and truthful. See, regardless of whether some legal mind is trained, miseducated (whatever you want to call it) into the philosophy of anti -family, regardless of what they say, if they come up next year and say, You know what? We decided that we are going to call east, we are going to call that south. And what we call south, we are going to call it west. And what we call west, north. I do not care what they say, east will still be east! It is not what you think. It i s what is. And so, we find ourselves now being led down this road, which has increased the angst amongst the citizens towards this non- Bermudian anti -human Government, where now they have done what I thought was impossible. They have brought the church against them. They have brought the same- sex lobby against them. They have brought Immigration against them. They have got everybody against them! You probably have not got the memo. But no one likes
Bermuda House of Assembly you! People are tired of them! People do not trust them. And this human rights movement towards same -sex marriage is one of the main reasons why people are tired of the One Bermuda Alliance. You say one thing, and you do the other. And you say that initially, with the intent to deceive people!
Hon. Michael H. Du nkley: Point of order, Mr. Chai rman.
The ChairmanChairmanThe point of order is? POINT OF ORDER [Misleading and imputing improper motives] Hon. Michael H. Dunkley: I am not going to listen to drivel misleading the House and imputing improper motives. He needs to withdraw those comments. They are out of line.
The ChairmanChairmanMember? Hon. Marc A. R. Bean: Mr. Chairman, Mr. Chairman, I would take my seat again if someone wants to confirm whether the surrogate report was real or not. Was that real? POINT OF ORDER Hon. Michael H. Dunkley: Point of order, Mr. Chai rman. The comments need to be …
Member?
Hon. Marc A. R. Bean: Mr. Chairman, Mr. Chairman, I would take my seat again if someone wants to confirm whether the surrogate report was real or not. Was that real?
POINT OF ORDER
Hon. Michael H. Dunkley: Point of order, Mr. Chai rman. The comments need to be withdrawn and not the spin doctor keeps spinning.
Hon. Marc A. R. Bean: Mr. Chairman, I did not author or pay for that report. Okay?
Hon. Michael H. Dunkley: Point of order, Mr. Chai rman.
POINT OF ORDER Hon. Michael H. Dunkley: The comments “intent to deceive people” need to be withdrawn if he is going to be a Leader or he is going to be something else.
The ChairmanChairmanHonourable Member, remove those comments. Hon. Marc A. R. Bean: I refuse to withdraw what is a fact! Even though they might want to — Hon. Michael H. Dunkley: Point of order, Mr. Chai rman. The Honourable Member keeps digging a dee per hole. Drop the shovel and withdraw the …
The ChairmanChairmanHonourable Member, withdraw the comment so we can move back to the budget. Hon. Marc A. R. Bean: Withdraw what comment, Mr. Chairman? Hon. Michael H. Dunkley: “Intent to deceive.” Hon. Marc A. R. Bean: Withdraw what comment, Mr. Chairman?
The ChairmanChairman“Intent to deceive,” and how is it tied in with the budget that we are talking about today? Hon. Marc A. R. Bean: But Mr. Chairman, I was speaking about human rights!
The ChairmanChairmanWe get back on track. Hon. Marc A. R. Bean: Whether the Clerk does not understand why or how I am tying it in — Hon. Michael H. Dunkley: Point of order, Mr. Chai rman! Hon. Marc A. R. Bean: I am tying it in to human rights! POINT OF …
We get back on track.
Hon. Marc A. R. Bean: Whether the Clerk does not understand why or how I am tying it in —
Hon. Michael H. Dunkley: Point of order, Mr. Chai rman! Hon. Marc A. R. Bean: I am tying it in to human rights!
POINT OF ORDER
Hon. Michael H. Dunkley: Please do not bring the Clerk into this discussion, Mr. Chairman.
[Inaudible interjection] Hon. Marc A. R. Bean: I understand what the Clerk is doing. I understand her job. The Clerk: It is my job. Hon. Marc A. R. Bean: I understand her job. Right? But again, Mr. Chairman, Mr. Chairman. T here is an issue of trust.
Hon. Michael H. Dunkley: Point of order, Mr. Chai rman.
POINT OF ORDER
Hon. Michael H. Dunkley: I still ask for those comments to be withdrawn. [Inaudible interjections] Hon. Marc A. R. Bean: Well, my Honourable Member just gave me advice. He said I should withdraw it in here, but not outside. No, no, no. No, no. no. You see, there is a perception, Mr. Chairman. Right? Maybe I could reword it. There is a perception 1306 9 March 2016 Official Hansard Report
Bermuda House of Assembly based on past deeds and current deeds that you have a Governm ent that does not intend to be straight shooters with the people of this country. And that is why the Human Rights Commission, the Human Rights Act, that is why it is such a serious issue today. Because there has been a lack of honesty! Was I able to bring it back around to the point of the Human Rights Commission? There is a lack of honesty.
[Pause]
Hon. Marc A. R. Bean: And that is something that no public relations can fix. Mr. Chairman, the other point, the last point that I would like to mention on Head 56, the Honour able Minister, rightfully so, said that the Government is no longer directly involved with the selection of H uman Rights Commission. And that is absolutely the truth. There is actually a selection committee of cit izens who determine, who interview, who becomes the Human Rights Commission. But to claim that these Human Rights selection committee [members] are non-political or impartial, well, that is not true either. Okay? That is not true. And again, if ones think that what I am sa ying—
Hon. Michael H. Dunkley: You should know.
Hon. Marc A. R. Bean: Yes, I should know. My wife served on the selection committee, and she was invi ted to do it this year until she realised that you had Ms. Tony Daniels serving on there, too. Ah. Hmm. No, that would not work.
An Hon. Member An Hon. MemberNo, no. Hon. Marc A. R. Bean: No. So for the Minister to say , Oh, we are hands off and the Government is no longer involved, I agree. That is true. But to claim or to say in the next breath that that represents impartiality, well, that is not …
No, no.
Hon. Marc A. R. Bean: No. So for the Minister to say , Oh, we are hands off and the Government is no longer involved, I agree. That is true. But to claim or to say in the next breath that that represents impartiality, well, that is not true either. And we know that. Okay? We know that. It is almost impossible to have an impartial selection committee in Bermuda in the first place. But to claim it as if it is a fact is misleading, Mr. Chairman. We know that people who serve on that commission, likewise those who serve on the selection committee, as human beings have their own biases. It is normal. It is natural. And it appears that there are some who are driving the same- sex marriage issue to the for efront of t he agenda of human rights. And that is their right. I have no problem with people desiring to do such a thing. But what I do ask for is honesty in the conversation. Because unless we have honesty, then we are going to find in three, four years’ time that there will be another redefinition of marriage and there will be another claim that this redefinition of marriage (who knows?) might include bestiality at this point, at that point.
The Clerk: Excuse me. Mr. Opposition Leader, let me just guide you accordingly. Okay? What we are considering are the estimates. Okay? Meaning the numbers. I believe the Chair has given you some leeway. Or if you can particularly tie it in with the heads or with the performance measures, if you can tie that in, then that is fi ne. Some of the comments are way outside of the measurements and the actual expenditures and the programmes and the line items. Some of those comments should be made in the general economic debate. Okay? That is what you should do. This is a guidance for everyone who is preparing budget briefs. Thank you.
Hon. Marc A. R. Bean: Thank you, Madam Clerk. I humbly disagree. The reason why I say that, Madam Clerk, is because if you look at page B -17, you have the mission statement and the department objectives.
The Clerk: Well, therefore, would you please guide us to those pages when you are talking about those items? Because I did not see that. Thank you.
Hon. Marc A. R. Bean: Madam Clerk, maybe you may have stepped out (respectfully), but I have a lready stated that I was on page B -17 when the Chairman asked me what I was referring to.
The Clerk: Thank you. [Pause]
Hon. Marc A. R. Bean: So I understand her. No pro blem. Every time we have these discussions on the Cabinet Office or non- ministry heads, people’s anxiety raises. It gets raised. I understand. I understand. But, Mr. Chairman, I will close by again expressing my gratitude to the directors and controllers and executive directors, or the Parliamentary Regi strar for the fine work that they continue t o do. I could imagine that much of the work that you do, usually people do not take note of until it is time for an election, or until the auditor’s report comes out and people start crashing in, you know, What happened to the money? And I am referring to the Executive Director of the Human Rights Commission when there is an issue over same- sex marriage or something else. It is not easy. And you cannot be friends of all, especially those of you who operate and work within these nonMinistry heads. Your job is not to be friends with an yBermuda House of Assembly one. Your job is to be good stewards, to be watc hdogs. And now, more than ever, I am sure you have seen for yourself and the public have heard for themselves that the type of leadership we have in this country today requires watchdogs. It requires som eone to ensure that there are clean hands and pure hearts operating in this Government. Now more than ever—in fact, it might be important to have a watc hdog for the watchdogs to make sure that they watch the Government.
An Hon. M ember: The watchdogs must have been sleeping for the last 14 years.
Hon. Marc A. R. Bean: Yes, well, it has been a lot of chirping, Mr. Chairman. Right? But again, I stand without embarrassment to myself or my family. I appreciate the members, the civil s ervants who have come. And I hope that we might be able to wind up by lunch and so you do not have to return after lunch, and you can go be more productive. Thank you very much, Mr. Chairman.
The ChairmanChairmanThank you, Honourable Member. Does any other Honourable Member wish to speak? Hon. Patricia J. Gordon -Pamplin: Do you want a nswers?
Ms. Lovitta F. FoggoYes, but I have a question. And the answers can all come together. Thank you, Mr. Chairman. Thank you. On the Head 63, page B -20, I would like to ask a question as it pertains to line item 73017. I think this is where it fits. In terms of …
Yes, but I have a question. And the answers can all come together. Thank you, Mr. Chairman. Thank you. On the Head 63, page B -20, I would like to ask a question as it pertains to line item 73017. I think this is where it fits. In terms of voting research, if that pertains to the research that is being done in terms of the absentee voting and what have you, I would wonder whether or not the allocation there is sufficient for the Parliamentary Registrar to be able to—
[Inaudible interjection]
Ms. Lovitta F. FoggoFor the Parliamentary Regi strar to be able to make certain that, I guess, param eters are in place to ensure that, should we go down that ro ad or when we go down that road, it minimises to a very large degree the ability to have fraud taking place, …
For the Parliamentary Regi strar to be able to make certain that, I guess, param eters are in place to ensure that, should we go down that ro ad or when we go down that road, it minimises to a very large degree the ability to have fraud taking place, because we hear from other jurisdictions. And we have seen, if anybody has paid attention to the international arena, that when it comes to absente e voting and the like, there are many incidences of fraud taking place. In that same category, I guess this is one of my pet peeves. I would also like to know —and actually, it may fall under the Administration, 73000, ma ybe— what is being done to ensure th at a proper parliamentary library is put in place? Because when it comes to elections and any type of reform that takes place, we must ensure that there is an accurate, a proper recording of everything that takes place so that history can be adequately ref lected. And for those who have an interest in elections, electoral reform and the like, they have somewhere, a resource, where they can go and get the necessary information. I just wanted to put those questions out there for the Parliamentary Registrar for the Premier to answer. And the only other area that I would like to speak to, under the Head 92, is Internal Audit. Again, serving on the PAC [Public Accounts Committee], I would ask if there is a concerted effort being made to ensure that whatever reco mmendations do come forward, whether it be from the PAC committee or whether it comes from the Internal Audit themselves, that there is compliance on the side of civil servants, and what is being implemented. so that we can see one day that the records and the accounting records and the like are done to a sufficient level where it allows for the Auditor General herself to be able to do her reporting in time. So on those two, what I see are those few very important questions, I will take my seat.
The Chair man: Thank you. The Honourable Minister Gordon- Pamplin, you have the floor.
Hon. Patricia J. Gordon -Pamplin: Thank you, Mr. Chairman. Mr. Chairman, I am going to very briefly pr ovide some responses. I am going to start on Internal Audit, Head 92, page B -30. And the honourable O pposition Leader asked the question respecting the number of management recommendations issued and the number of management agreed actions impl emented by agreed date. And it is important to understand that 330 recommendations were made. The recommendations will be followed up by the Depar tment of Internal Audit based on the management’s action plans and their progress to ensure that the recommendations are implemented. So it will be done on a stage and a time basis. So you will not necessarily have 330 recommendations being made and 330 recommendations being completed and fully implemented. Some of them will take longer than others. The other question that the Opposition Leader asked was with respect to the number of surprise compl iance to Financial Instruction [FI] reports. The way that works is that surprise audits are planned and selected based on the department’s risk assessment, which determines which areas the staff will conduct surprise FI compliance audits. I just wanted very quickly, because I do wish to allow some time for the Premier to respond to other areas. But I wish to respond to the area of the Human Rights Commission. And in terms of the selection of 1308 9 March 2016 Official Hansard Report
Bermuda House of Assembly the Human Rights Commissioners, I mentioned in my brief that it i s done by a selection committee. The Honourable Opposition Leader believed that it was difficult to have any lack of personal bias. Well, there is no . . . you know, every situation that we ever encounter has some personal bias. But I believe that the Hono urable Member defeated his own argument when he said, in fact, that somebody close to him was invited to sit on the committee, which shows that, from a Ministerial perspective, in choosing the person responsible, the chairman of the selection committee, th ere certainly is no bias. And that chai rman of the selection committee reaches broadly and far in order to ensure that the selection committee is properly constituted such that the members who are invited to join are also across the spectrum of our communi ty. I think it is important also to say that the Honourable Member felt that there was some . . . that the department . . . (Let me just grab my notes here.)
[Pause] Hon. Patricia J. Gordon -Pamplin: With respect to the FTE [full -time equivalent] head count. And I did mention in my brief the head count (it seems as though it has been left off of the Budget Book), but I did mention in my brief that the head count is now eight, as during 2015/16, because there was the abolishment of four posts. So there wer e 12 before. And $738,000 is what has been allocated to salaries [which is] a decrease of $478,000 from the year before, based on the fact that those positions have been moved out of the department into the Human Rights Commission. So that was the reason, and those numbers have actually, as I noticed, been left off. And I did not notice that initially. They have been left off of the Budget Book. But it is important also to note that the issue with respect to the commissioners, let me just say that the Opposition Leader seemed to believe that there was some sort of sinister approach and attitude t owards the commission and the commissioners. And I think it is important —I read it in my brief, but I think it is important to reiterate that the commission’s visio n is a community that honours and protects human rights for all. As conferred by section 14 of the Act, the functions of the Human Rights Commission are to encourage an understanding of the fundamental rights and freedoms of the individual, guaranteed by C hapter 1 of the Constitution. That is their mandate. That is the ambit under which they operate. So, to suggest that there is somehow som ething sinister that is going on, the Honourable Member has to understand, too, that the two words and a comma to whic h he specifically referred started a long time before this Government came into office. We had that motion that was brought by a previous Member of the PLP Administration years before this Government came into office. So to suggest that there is something sinister about the Human Rights Commission or about the commissioners and about any deliberations, all this commission wants to be able to do is to ensure that there are human rights for all. And I think that it is important also just to rei terate the ot her areas where the commission and the Human Rights Commission stand and the focus of their deliberations and their purpose. And it is to pr omote an understanding of and acceptance of, and in compliance with the Act, to develop, conduct research and arrang e educational programmes designed to eliminate discriminatory practices; encourage organisations and individual persons to carry on activities which will attract all members of the community wha tsoever; to encourage and coordinate any activities which seek to forward the principle that every member of the community is of equal dignity and has equal rights. That is enshrined in the Preamble to the H uman Rights Act. And I think it is important that when somebody has a personal bias in terms of what somebody else might want to do, that person not only has the right to his bias, but the person against whom he is biased has the right to their position. And when we consider the balancing rights of individuals under Human Rights, I think it is important to underst and that that is the function of the Human Rights Commi ssion. And I just wanted to make those points. And with that, I will take my seat and allow for the Premier to respond.
The ChairmanChairmanThank you, Minister. Does any other Member wish to speak? I notice Mrs. N. S. Outerbridge, Junior Minister of Co mmunity and Cultural Affairs. You have the floor.
Ms. Nandi OuterbridgeThank you, Mr. Chairman. Mr. Chairman, firstly I just wanted to get up and thank the Parliamentary Registrar for all the work that they have done, as I am sure it is a lot of work. And I feel that they should be thanked for the work that takes place. …
Thank you, Mr. Chairman. Mr. Chairman, firstly I just wanted to get up and thank the Parliamentary Registrar for all the work that they have done, as I am sure it is a lot of work. And I feel that they should be thanked for the work that takes place. I just quickly want to address the Opposition Leader’s comments with regards to why more people are registering closer to election. And y ou know, I heard him make comments and remarks with regards to people registering close to the by -election. And it was because, I believe he said something along the lines of people were getting a little tired of the One Bermuda Alliance Government. But wh at I can imagine is happening, Mr. Chairman, was the simple fact that between elections, when elections are held, and the by -elections or elections are called, more people are registering as a result of people turning 18 throughout that time period, leadin g up to those elections.
Bermuda House of Assembly So, you know, I cannot rest on the Opposition Leader’s comment, because I remember that —
The ChairmanChairmanPoint of order? POINT OF ORDER
Ms. Lovitta F. FoggoThe Member cannot answer for the Parliamentary Registrar and say what she thinks. We are waiting to hear the answer from the Parliamentary Registrar via the Premier on that, Mr. Chairman. [Inaudible interjections]
Some Hon. Members Some Hon. MembersSit down! Sit down! Sit down!
The ChairmanChairmanHonourable Member, take your seat, please.
Ms. Nandi OuterbridgeThank you, Member. I am simply speaking on my opinion of this, and I am on page B -20, line item, well, it is in 73015 or 73010 talking about by -elections or municipality ele ctions. [Inaudible interjections]
Ms. Nandi OuterbridgeSo I am just simply stating my opinion. And I just want to say that when I turned 18, Mr. Chairman, the last thing that was on my mind was registering to vote in the next election. There were a number of things on my list to do at 18 …
So I am just simply stating my opinion. And I just want to say that when I turned 18, Mr. Chairman, the last thing that was on my mind was registering to vote in the next election. There were a number of things on my list to do at 18 years old, and registering was not one of them. So I just wanted t o make that clear, that in my opinion, this is how I figured it. And that is the only piece that I want-ed to add to this debate today.
The ChairmanChairmanHonourable Premier. Just a reminder, this debate is three hours. We have been two hours and 10 minutes. Di d you wish to wind up? Hon. Michael H. Dunkley: Yes. The Opposition Leader has said that they have no more speakers on that side and they are willing to close …
Honourable Premier. Just a reminder, this debate is three hours. We have been two hours and 10 minutes. Di d you wish to wind up?
Hon. Michael H. Dunkley: Yes. The Opposition Leader has said that they have no more speakers on that side and they are willing to close down the debate at lunchtime. I will just make a few comments. In regards to the comments that my honour able colleague, the Junior Minister from constituency 2 made, giving her opinion on registration, I think it is prudent to say a couple of things on that. One is that field officers are a relatively new thing in Bermuda. I think Members on both si des of the House will recall that, a few years ago, the political parties had people out in the field to register people. They were called scrutineers, I believe. And then after that, one party or the other brought a list back and the other party scr utinised the list. That has been changed now for the field officers to go out and do the work they have to do. So, obviously, I think you will see an increase in registration going forward because they are doing more of that work. I have been informed by the Parliamentary Registrar that only a very small percentage of the increase is due to people who have received their Bermuda status recently. I have a question on voting research being done in regards to absentee balloting. Is the allocation sufficient? I bel ieve I have been informed that it is. The Parliamentary Registry has considered options and will have some information for us later in the next financial year. There was a question on the parliamentary library being put in place. At this stage, most of the research will look at legal changes in policies that we need going forward to accommodate absentee balloting. I think the information is correct. In regards to the library, they are working on better records manag ement in order to ensure that stakeholder s have access to all the information that goes forward. There was a question on line item 73016, General and By -Elections. The Parliamentary Regi strar has said that these funds will be used on the ref-erendum that we announced that would take place. 1310 9 March 2016 Official Hansard Report
Bermuda House of Assembly I think that answers most of the questions. My honourable colleagues have answered some of the questions. Mr. Chairman, first off, I want to apologise on behalf of the people of Bermuda for the civil servants having to listen to what I call “drivel” by the Opposition Leader this morning, interspersed with hallucination and misinformation, threats and fear, which I think are inappropriate for a head committee debate to listen to stuff like that. And the Opposition Leader is known to talk about clean hands and pur e hearts . Well, I think pe ople of Bermuda need to look at the meaning of clean hands and pure hearts. As we debated the Human Rights Commission, I find it shocking that a gentleman can stand on the floor of this Honourable House and talk about human rights when this Honourable Member is on record castigating women in our community.
Some Hon. Members Some Hon. MembersYes. Yes. Yes. Hon. Michael H. Dunkley: Not once, not just once in public, but I have heard him castigate his own Members in the Honourable [precincts] of th is Chamber in a most derogatory way. So his comments I dismiss. I outright, dismiss those comments, because they are nothing …
Yes. Yes. Yes.
Hon. Michael H. Dunkley: Not once, not just once in public, but I have heard him castigate his own Members in the Honourable [precincts] of th is Chamber in a most derogatory way. So his comments I dismiss. I outright, dismiss those comments, because they are nothing but grandstanding and a lack of leadership. I also have to say we hear the hate speech over and over again by the Honourable Member , talking about anti -Bermudian policies , and this Gover nment favours foreigners and stuff like that. Absolute rot by the Honourable Member! He comes with no facts, not prepared for a Budget Debate today and makes it up as he goes along just to divide our c ommunity. Yes, Mr. Chairman, I am angry. I am angered. As leaders we should show better tact when we come to this place to debate a budget for the people of Bermuda. There was no preparation to it, no thought to it. It is just divide- and-conquer our community. And it is indeed disappointing, to say the least — disappointing, to say the least. The Honourable Member talks about honesty? Well, he needs to go look at Webster’s Dictionary to see what honesty is all about. Because honesty is not the trot that I heard for the last hour and a half. As we deal with difficult times in Bermuda, we need to move forward. We do not need to divide and conquer people. We do not need to throw hate speeches out there to people. This Government enacted PATI, built the Informati on Commissioner’s O ffice, supported the Information Commissioner’s O fficer, so we could have transparency for the people of Bermuda to come and ask for information. And if you look at the Budget Book, you have seen in the first year 200 inquiries have been put out about that. That is transparency! You have to wonder why, Mr. Chairman, you have to wonder why the former Government took 10 years and never brought it to the floor of this House to pass. Proof of the pudding is always in the eating, and I love t o eat. That Member over there has let himself down, he has let his team down, he has let the people of Bermuda down. He talks about other people. I will end on this, Mr. Chairman. We had a shuffle in the Opposition ranks. And there is only one of them sitt ing in the House right now listening to this debate, the Whip. Because the Honourable Whip has to be in the House. The Opposition Leader who is leading this debate left the House, Mr. Chairman, total disregard for the people of Bermuda and the budget. Oh, yes, I will say it —total disregard. We can do better than that. But it is not a surprise, Mr. Chairman. It is not a surprise. Because the Honourable Member had to juggle his front bench, some of the most respected of that front bench, so close to the door you would think they were out the door! I think one of them must have a seat outside the door. Now, Mr. Chairman, with that I move the head. And this debate is over. I am disappointed by the level of debate, and I hope this afternoon we can do much better . My team will continue to lead, and we will debate this Budget in the appropriate way. So I move Heads 56, 63, 92 and 98, Human Rights Commission, Parliamentary Registrar, Internal Audit, and Information Commissioner. Thank you, Mr. Chairman.
The Chairm an: It has been moved that Heads 56, 63, 92, and 98 be approved.
Ms. Lovitta F. FoggoMr. Premier. Hon. Michael H. Dunkley: Thank you, Honourable Whip. I have got it covered. Please take your seat.
Ms. Lovitta F. FoggoOkay. Hon. Michael H. Dunkley: I will move the rest of the heads in the non- Ministry Department.
An Hon. Member An Hon. MemberHead 1, 2— Hon. Michael H. Dunkley: I got it.
An Hon. Member An Hon. MemberAll right. Hon. Michael H. Dunkley: And they include Head 1, Head 2, Head 5. They are moved. They are all moved, Mr. Chairman. And with that, I move we go to lunch.
The ChairmanChairmanIs there any objection to that motion? No. Agreed to. [Gavel] Bermuda House of Assembly The Chairman: Approved. [Motion carried: The Ministry of National Security, Heads 56, 63, 92 and 98; and the non- Ministr y Department, Head 1, 2 and 5, were approved and stand part of the Estimates …
The ChairmanChairmanWe will adjourn for lunch. We will r eturn at 2:00 pm this afternoon. [Gavel] Proceedings suspended at 12:30 pm Proceedings resumed at 2:01 pm [Mr. Walton Brown, Chairman] COMMITTEE OF SUPPLY ESTIMATES OF REVENUE AND EXPENDITURE FOR THE YEAR 2016/17 [Continuation of the Committee thereon]
The ChairmanChairmanGood afternoon, colleagues. We are in Committee of Supply and I call on the Honourable Minister Cannonier. You had a motion for some Heads you wish to debate. MINISTRY OF PUBLIC WORKS Hon. L. Craig Cannonier: Thank you, Mr. Chairman. I move that we debate Heads 36, 49, 53, 68, …
The ChairmanChairmanIt has been so moved. You may proceed. Hon. L. Craig Cannonier: Thank you, Mr. Chairman. Just a bit of tidying up to do before I get into the actual briefs themselves, if you could move to page B -216, there is a correction, so that you are aware of …
It has been so moved. You may proceed. Hon. L. Craig Cannonier: Thank you, Mr. Chairman. Just a bit of tidying up to do before I get into the actual briefs themselves, if you could move to page B -216, there is a correction, so that you are aware of the c orrection ahead of time. On page B - 216, under Subjective Analysis of Current Account Estimates, if you follow down you will see fourth in the line there, Transport, if you follow across there is a correction that needs to be made under the Estimates, it says $992,000 and it should not read that. It should be reading 3- 6-3-2 instead. And over where it gives the dollar amount, rather than saying $1,698,000 it should read 9- 4-2—
The ChairmanChairmanThank you. Hon. L. Craig Cannonier: —which would then change the percentage from 63 to 35.
The ChairmanChairmanThank you, Minister. Hon. L. Craig Cannonier: So that everyone is aware of that.
The ChairmanChairmanSure. Hon. L. Craig Cannonier: Thank you very much, Mr. Chairman. I am indeed grateful of the time that we have to mov e some of these seven heads, which will begin on pages B -194 to B -221. I am taking a note of the time. HEAD 36 —MINISTRY …
Sure.
Hon. L. Craig Cannonier: Thank you very much, Mr. Chairman. I am indeed grateful of the time that we have to mov e some of these seven heads, which will begin on pages B -194 to B -221. I am taking a note of the time.
HEAD 36 —MINISTRY OF PUBLIC WORKS HEA DQUARTERS Hon. L. Craig Cannonier: Mr. Chairman, the Ministry of Public Works is responsible for maintaining Berm uda’s critical assets and infrastructure. In fact, Public Works is the lead agent in delivering the infrastructure requirements upon which so many of the services provided to this Island depend on, and these include building and maintaining: • There are 617 roads amounting to 225 kil ometres of road surface; • There are 170 properties maintained by the Department of Parks amounting to over 1000 acres of land; • There are 1,200 buildings maintained by Public Lands and Buildings with an insured value of over $2.5 bill ion; • There are 85 docks servicing cruise ships, cargo ships, and thousands of private ships and yachts each year; • Bridges, one requiring significant overhauling this year; • There are five reservoirs holding 2.5 million gallons of Bermuda’s precious fresh wa ter.
But that is not all Mr. Chairman, Public Works is also the lead agent in most of the new large “game changing” construction projects on the Island, such as America’s Cup, Morgan’s Point, the Channel Widen-ing, South Basin, and also, as you know, worki ng on the Swing Bridge at this time. It cannot be overstated how critical this vast and diverse Ministry is to Bermuda and why it is so important that every possible opportunity must be grasped to maximise the economic benefits that the capital expenditures of this Ministry provides. This includes establishing private sector partnerships to ensure continued service excellence to the public at large and other government departments. Mr. Chairman, we therefore must prioritise our infrastructure facilities, not only because they are con-structed to keep Bermuda beautiful and safe, but be-cause doing so will: • help provide the adequate capacity for future growth for Bermuda; 1312 9 March 2016 Official Hansard Report
Bermuda House of Assembly • it will help enhance visitors experience when they come to Bermuda; • And more importantly, it will help provide a key source of job creation and economic e mpowerment going forward.
With that said, I want to thank the many men and women of Public Works for their continued hard work over their years of service to this Ministry. Our well manicured public lands and gardens are a test ament to their skill and dedication, and I am excited to outline to you today many of the programmes and pr ojects on which our staff have worked tirelessly to complete this year. The budget allocation, as we move to page B194, the budget allocation to the Ministry of Public Works is $75,390,000. That is an increase of $1,527,000 or 2 per cent above the 2015/16 budget found on page B -194. Mr. Chairman, the anticipated revenue for the Ministry of Public Works is $20,534,000, an increase of $4,701,000, or 30 per cent when compared to the 2015/16 revenue budget as seen on page B -194. The increase in the revenue budget is tied to the export of electricity to BELCO, due to the installation of a new turbine at the Tynes Bay Wast e-to-Energy Facility, and anticipated sales of government properties by the Public Lands and Buildings Department. The Ministry’s Capital Budget for 2016/17 is $47,556.000. This comprises the Capital Development Budget of $46,714,000 and the Capital Acquis itions Budget of $842,000. Mr. Chairman, the Ministry’s budgeted employee full -time equivalents [FTEs] for the fiscal year is at 709, an increase of one, as seen on page B -194. Our mission statement, as has been stated many times before, is: The mandate of the Ministry of Public Works Headquarters (Finance and Administr ation) is to provide centralised support services to the operating programmes, which includes Public Lands and Buildings, Works and Engineering, Parks, Land Valuation, and Land Title and Regi stration. Our programmes, Mr. Chairman: The services provided by the Ministry of Public Works Headquarters is organised into the following six programmes found on page B -196: • Head Office Administration —3601; • Accounts —3610; • Purchasing— 3611; • Telecommunicati ons—3612; • Human Resources —3613; and • Architect and Design— 3614.
Mr. Chairman, the Head Office Administration Programme 3601, as seen on page B -196, is comprised of Headquarters Administration (including Saf ety and Health) and Central Filing. Headquarters A dministration, under the direction of the Permanent Secretary, provides oversight and management sup-port to the entire Ministry of Public Works. It also en-sures that the Minister’s policy objectives are met and specifically, is responsible for the implementation of the Ministry’s Strategic Plan, yearly Business Plan, management of safety and health matters, and nu-merous special administrative projects. During 2015/16, the Safety and Health Office continued to focus on identifying and controlling wor kplace h azards through internal safety audits, wor kplace inspections, and risk assessments. They con-tinue to identify areas for improvement within our op-erations. The Occupational Safety and Health Regul atory focus has been on the following sections: • Safety and He alth Committees; • Investigation and Reporting; • Fire Safety and Emergency; • First Aid; • Sanitation; • Hazardous Substances; and • Protective Clothing and Equipment. All audited sections have developed a corrective action plan and are at varying stages of compl etion. The Ministry of Public Works continues to provide safety and health training to staff in an effort to pr omote safety, health, and well -being to all employees. In 2015/16, the Ministry of Public Works offered a total of 115 hours of safety training in t he following areas: • Introduction to Safety; • Occupational Dog Bite Safety; • Identifying and Controlling Hazards; • New Employee Safety Orientation; • Confined Space Safety; • Accident Notification and Reporting; • Manual Material Handling; • Fire Safety, AED and CPR/F irst Aid training.
These programme initiatives increased employee awareness regarding the hazards associated with workplace activities. In addition, 232 employees participated in safety training modules in 2015 as well. The Ministry of Public Works contin ues to conduct documented risk assessments to manage risk that Ministry employees and the public are exposed to as a result of our activities. These assessments will continue into 2016. Mr. Chairman, during the fiscal year 2016/17, the Ministry of Public W orks will continue to develop and strengthen its Safety and Health programme in accordance with the requirements of the Occupational Safety and Health Act 1982 and the Occupational Safety and Health Regulations 2009. The Ministry’s safety and health programme will include the development of a safety and health policy, establishment of safety and health objectives and processes to achieve the policy commitments, performance monitoring and management review.
Bermuda House of Assembly The second area of support under the Head Office Ad ministration is Central Filing, which provides Public Works records management for all Human R esource Records, Cabinet documents, Capital Projects and Contracts, and maintains records for the Mini stry’s legislated functions. Now the Operational Budget, Mr. Chairman. The budget for Public Works Head Office, Administr ation Programme 3601, as seen on page B -196, recognises the multi -faceted nature of the work carried out by this Ministry. As such it has been allocated $1,183,000 for fiscal year 2016/17. That i s an i ncrease of $58,000 over the prior year. The increase is attributed to the cost centre 46111, consultant fees, related to hiring legal counsel for legal cases which are both ongoing, and I will name the two, and they are: • Emmerson Donald case; and • The Parks Maintenance case, which is ongoing.
As you know, the Emmerson Donald case has just concluded. And successful projects such as: • The North Channel widening project which will accommodate the new generation of cruise ships. • The South Basin Project for the America’s Cup Event Village (which you see happening right now). • Morgan’s Point disposal, as well. Mr. Chairman, the Public Works Accounts Programme, 3610, provides the accounts payable, accounts receivable, payroll, capital asset recording, non-financial and financial reporting functions for the operating departments within the Ministry. This section prepares and distributes weekly payroll, vendor cheques, and invoices for services provided by the Ministry’s operational areas. Mr. Chairman, with the use of the centralised accounting system, the Public Works Accounts Sec-tion manages the yearly budget preparation and pr ovides monthly management reports, a process that enables the effective and efficient monitoring and co ntrol of the Ministry of Public Works operating budget of $75,390,000 along with the Ministry’s Capital Deve lopment vote with a total value of $46,714,000 and Capital Acquisition, as I mentioned earlier, $842,000. Mr. Chairman, during the Fiscal Year 2015/16, the Accounts Section focused on the following: • Training Section Heads on techniques that they can use in the Enterprise One (E1) financial system to more efficiently manage their operational and capital budget, thus improving the budget monitoring by section, which is i mportant. • Focused on improvements to the management of fixed asset recording and reporting. The Accounts Section held quarterly meetings and training sessions with the Project Mana gers and the Vehicle Maintenance Section thus increasing communication and providing them with an understanding of the end results for fixed asset reporting. • The Debt Collection continued with delinquent Truckers and Water Customers being placed on the stop list for refuse and water service. The department also offered payment plans to customers based on the Ministry’s debt collection policy, so that we are not just cutting pe ople off but giving them opportunity to work on a payment plan.
Mr. Chairman, the Accounts Section’s focus for the fiscal year 2016/17 will be on: • Improving the project and work order reporting system. This will assist Project Managers with managing timelines and budgets, and provi ding senior management with improved repor ting, which I know some have been talking about here lately. • Continuing to improve the Debt Collection Process and Strategy in order to bring a r eduction in the total monies owed the Ministry. It should also be mentioned that the vacant Management Accountant post was finally filled March 1, 2016. This will assist with the accounting projects that were pla nned for last year that did not move forward due to the lack of resources. Now, we move to the Operational Budget. Mr. Chairman, the Public Works Accounts Programme, 3610, as seen on page B -196, has been allocated a budget of $939,000 for Fiscal Year 2016/ 17. That is a decrease of $44,000 from the Fi scal Year 2015/16. The budget savings relates to the following: a vacant Trainee Management Accountant position that will remain unfilled probably for the next six months, and reduction in software maintenance expense. Mr. Chairman, the Purchasing Programme, 3611, provides a centralised purchasing and supply function to the other programmes within the Ministry and to other Ministry’s departments from time to time. The services provide a range from the initial res earch of sources of supply to ordering, customs clearance, the physical receipt of goods, and the management of inventory for the Vehicle and Equipment Maintenance Section, Waste- to-Energy Facility —Tynes Bay, the Water Section and the Buildings Section. During 2015/16 the Purchasing Section had a challenging year as a result of two vacant management positions, the Principal Purchasing and Supply Officer and the Assistant Purchasing and Supply O fficer–Quarry. We are working to fill the positions in the 1314 9 March 2016 Official Hansard Report
Bermuda House of Assembly next three months, hopefully. Due to the vacancies, the purchasing team was led by the Assistant Purchasing and Supply Officer –Headquarters. As a result of the staff shortages, the Finance and Administration management team were tasked with reprioritising the business plan and its direction. The focus of the Purchasing Team was as follows: • To continue process improvements and crea ting efficiencies relating to purchases. With the application of Microsoft Visio, the team mapped out the purchase order management and the customs clearance processes. This allowed the team to identify gaps and duplic ations in the system, and improvements were made that resulted in efficiencies. • The Purchasing Team introduced the Enter-prise One (E1) Buyers Guide, which triggers an actio n to replenish the inventory stock. This assisted with Inventory Management. The reordering system has been a challenge due to a manual paper -based system. The Buyers Guide has been implemented at Pr ospect Stores –Building Section, Tynes Bay Stores, the Quarry Stores, and Vehicle Maintenance Section for the Garbage Truck and Mack Truck Shops. This will allow the Purchasing Team to better service the oper ational areas with their inventory requirements. And I am sure that we all understand the need for that. • Purchasing and Procurement Training has also continued this year to ensure the Ministry is compliant with the Ministry’s policies and procedures. The training now includes a section for Financial Instructions in respect to the Sales and Disposal of Government Assets.
Mr. Chairman, during fiscal year 2016/17, the Purchasing team will focus on the following: • Continuing the training of staff on purchasing policies and procedures with focus on Parks, the Building Section, and Vehicle Maint enance Section. • Completing the roll -out of the Buyer’s Guide at the Quarry Stores –Vehicle and Equipment. This will assist with managing the Inventory levels and providing improved service to the operational area.
Mr. Chairman, the Purchasing Programme, 3611, as seen on page B -196, has been allocated a budget of $1,245,000 for 2016/17, a minimum i ncrease of $49,000, relating to the salary of the Purchasing and Supply Officer that was budgeted for only six months in the prior year. Mr. Chairman, the Telecommunications Pr ogramme, 3612, provides a suite of services to the m ajority of Government ministries and departments. These services include the repair and replacement of telephones and related equipment, the relocation of departments and ministries, and the management of mobile s ervice contracts for the Ministry. The pr ogramme also provides advice to department heads regarding call flows resulting in greater efficiencies, voice network designs, and telephone system tenders; and managing the implementation of new technol ogies to maximise cost savings. Mr. Chairman, a few of the telephone projects successfully completed during 2015/16 were: • The relocation of Government offices for the Ministry of National Security, Home Affairs, Ministry of Public Works Headquarters and Engineering, and Marine and Ports. • Replacement of the complete telephone sy stem for the Accountant General. • Replaced the standalone telephone systems at both the junior and senior libraries with a converged remote solution which leverages existing data connectivity. These departments have now realised a 75 per cent reduction in expenditure on telephone services, which is pretty remarkable. • The GPS Vehicle Tracking system has been installed and is active for the entire fleet of garbage trucks. An initiative has been undertaken to extend this functionality to the D epartment of Parks vehicles within the current fiscal year. • Field testing of Desktop Communicator, a software client that via usage of a headset has the potential to eliminate installation of telephone sets and i nfrastructure at smaller remote Government offices by leveraging the existing data network. This is also a means of reducing operational costs. Telephone Projects scheduled for the Fiscal Year 2016/17 are not limited to, but include replac ement of telephone services at Department of Marine and Ports and the Ministry of Public Works –Quarry. These locations will be migrated to the main voice network leading to further reductions in operational costs. The Telecommunications Programme, 3612, as seen on page B -196 has been allocated $1, 190,000 for Fiscal Year 2016/17. There was minimum change in overall budget allocation. Mr. Chairman, the Human Resource Pr ogramme, 3613, as seen on page B -196 provides r ecruitment, employee relations and training and development services for all staff within the Ministry of Pu blic Works. The Ministry’s dedicated Human Resources team liaises and partners with the Department of H uman Resources to provide advice, guidance, and ad-ministrative support throughout the Ministry. Mr. Chai rman, in 2015/16 the Human R esources Section focused on continued implementation
Bermuda House of Assembly of the Human Resource Strategy. The emphasis this year was on the Ministry’s BEFAST (Basic Employee, Foreman and Superintendent Training Programme), Succession Planning for di fficult -to-fill jobs and retir ements, as well as management of the Trainee and Apprentice Programmes. The Human Resource Team continued with the Basic Employee, Foreman and Superintendent Training which carries the name, as I said, of “B EFAST.” The program me is now in its third year and has been considered to be successful by manage-ment. The BEFAST programme objectives are to advance training, create career opportunities, and build new working relationships with peers and staff, ult imately creating a team t hat speaks the same language, resulting in providing better service to our i nternal and external customers. The details of the pr ogress of the BEFAST Programme are as follows: • During the year we delivered a team building training course facilitated by the Department of Human Resources (OHR) that was attended by the Industrial Staff from the Parks D epartment and was well -received. • The Effective Team Member and Leading E ffective Teams core courses under BEFAST was delivered by Bermuda College’s Professional A dult Career Education Department (PACE). We coordinated four courses atten ded by 55 foremen, superintendents, and charge hands, which included staff from the Vehicle Maintenance and Operations, Parks, Highways, Tynes Bay, Building Maintenance and the Water Section, which were also well - received. As of today, 108 foreman and s uperintendents have completed the Effective Team Leading training and/or Effective Team Member training, which they should all be commended for, actually, that many. • Mr. Chairman, Project Management, a core course of BEFAST, was encompassed in the training this year. Thirty -four employees i ncluding superintendents and engineers completed the Microsoft Project course. The Microsoft Project tools will empower project managers and decision- makers to manage tasks, collaborate, to flag issues and risks, analyse resources, budgets, and timelines.
The Human Resource Section devoted time in 2015/16 to succession planning due to the Ministry’s mature population and difficult -to-fill jobs. This ye ar a Succession Planning Committee was formed and the criterion for identifying future talent was developed. The Quarry Vehicle Maintenance and Operations and Highways Sections were the main areas of focus. Employees have been identified, development plans are in progress, and the employees have enrolled in the courses that will assist in preparing them for pos i-tions that will become vacant due to contract expir ation for difficult -to-fill jobs and retirements. I will now move on to the Ministry’s Apprenti ces and Trainees. Mr. Chairman, the Bermudians selected to take part in the Sponsorship Programme are em-ployed as apprentices at the Vehicle Maintenance Section, and are now receiving on- the-job training. Dornielle Farrell, an Apprentice Mechanic, is current ly employed in the Mack and Heil Shop where all of Government’s trash trucks, road sweepers, cement trucks, skip loaders and tractor trailers are repaired and maintained. Dornielle was seconded to Bermuda Motors for a three- month period to engage in Ford Motors training. He has successfully completed his secondment and passed the Ford Motors exams and he is to be commended for that. A second Apprentice, Sergio Richardson, is now seconded to Bermuda Motors to undertake Ford Motors Training. Dajon Carey obtai ned a Bachelor’s of Science Degree in Automotive Management and is currently employed as a Tradesman Class 2 in the Heavy Equipment Garage working on gas and diesel engine machines and equipment. With his degree in hand, he has the potential to become a future manager in the industry. Another —Marco Santucci completed his A pprenticeship with the Ministry in Auto Body and Spray Paint at the Vehicle Maintenance Section. He graduated from Manchester College in England with IMIAL Level 2 and 3 diplomas in Vehicl e Accident Repair Paint Principles (VRQ), IMIAL Level 2 and 3 diplomas in Vehicle Accident Repair Body Principles. Kacie Fishenden completed his Apprentic eship. He attended Cambrian College in Canada and received a Diploma for the Mechanical Engineering Technician Industrial Maintenance Programme. He is employed as a Millwright with the Tynes Bay Waste - to-Energy facility. There were also five apprentices in the Buil ding Maintenance Section, two of whom are currently attending Bermuda College. One is studyin g Electrical Wiring and one is enrolled in the Plumbing course. Another apprentice, Callan Che Woolridge, graduated in May 2015 from the Electrical Wiring Pr ogramme and received an award for the most outstanding student in the programme for 2015. Mr. Chair man, the Ministry of Public Works also has in place a Trainee Programme in which two trainees are currently enrolled. This programme f ocuses on training Bermudians for professional pos itions that are difficult to fill, such as: 1. Allanette Hayward, a former Bursary Student, is in training as a Civil Engineer. She graduated in 2013 with a Bachelor’s in Civil Engineering with Hon-ours and graduated with her master’s in 2014. She is currently assigned to the Highways Section and will receive training in other civ il engineering areas, such as Water and Waste and Structures Sections. She is 1316 9 March 2016 Official Hansard Report
Bermuda House of Assembly presently undertaking a public/private opportunity, as she has been seconded to BCM McAlpine. And so you will see her all over the Island and I do know her personally, as I see her on a regular basis, and it is nice to see our Bermudians moving through the ranks into these kinds of positions. 2. We also have Ricardo Graham -Ward, another former Bursary Student, is in training as a Civil Engi-neer. He graduated in 2015 with a Master’s i n Civil Engineering from the University of Southampton. He is currently assigned to the Structures Section and will receive training in other civil engineering areas, such as Water and Waste and the Highways Sections. I must also add to that that he is key in working on Swing Bridge right now and we talk on a daily basis. He is a very bright young man. Mr. Chairman, in addition, the Ministry of Public Works also plays a part in the Government -wide Bursary Scheme and we currently have one Bursary Student, Mi guel—I am not sure I am going to get this last name right, it has about 15 letters in it — Vasconcelos, that was easy enough, who is stud ying—
The ChairmanChairmanI am sure that will be properly recor ded into the record. Hon. L. Craig Cannonier: Sorry? The Chai rman: I am sure that will be properly recor ded into the record. Hon. L. Craig Cannonier: Yes, I am sure. Mr. Chairman, the Human Resource Team continued its successful partnership …
I am sure that will be properly recor ded into the record. Hon. L. Craig Cannonier: Sorry? The Chai rman: I am sure that will be properly recor ded into the record.
Hon. L. Craig Cannonier: Yes, I am sure. Mr. Chairman, the Human Resource Team continued its successful partnership with C.A.R.E. Learning Centre that prepares a number of the Public Works st aff for the General Education Diploma (GED). To date, 14 Ministry of Public Works employees have gained their GED diplomas, and eight others are presently pursuing the qualification. I cannot say enough about that. Mr. Chairman, also in 2015/16, the Career Outreach Programme was set up to introduce st udents to difficult to fill positions such as surveying, technical, and engineering careers. The Ministry participated in CedarBridge’s Vocational Career Fair and Clearwater Middle Schools Career Fair. In 2015/ 16, we had three students from Berkeley’s Career Pathways Programme on day r elease. Individual students were assigned to the Arch itects, Electrical Engineering, and Accounts Sections. They each spent one day per week for 12 weeks with the Ministry. We also had two students from CedarBridge’s Work Experience Programme on day release at the Vehicle Maintenance and Operations Section. The Ministry of Public Works recruitment numbers were at the lowest in history. The Ministry currently has over 60 vacancies and due to changes in the hiring procedures, only hired seven new employees to date for 2015/16, which has, of course, its challenges. Mr. Chairman, the Architect Design Pr ogramme, 3614, is seen on page B -196. The objective of this programme is to deliver A rchitectural Design support for Government’s Capital Development pr ojects in a professional, fiscally prudent, and timely manner. Further, it provides opportunities for Berm udian graduates in Architecture and related disciplines to obtain the necessary experience and training to acquire professional designations in their fields. Objectives established as follows: • To administer the programme in an effective and efficient manner, providing all required reporting to top management within established deadlines; • To provide all required administrative functions for the programme within allocated budgets; • To have all programme staff undertake at least one training and development opportuni-ty each fiscal year; • Capital project fees less than the percentage of fees applied by the private sector; • To deliver project Architecture Design doc umentation within established budgets through more effective Quality Management Admi nistration; and • To provide all required technical support services so that Architecture Design will m eet established schedules set by the Project Ma nagement Plans.
Now, the total budget for the Architectural D esign, 3614, programme for the coming year is $258,000, which includes Capital recharges. Mr. Chairman, the budgeted head count within the Ministry of Public Works Headquarters can be seen on page B -198. The head count for 46040, A rchitect and Design, is to be increased by three to se ven for the fiscal year. The increase, which relates to the restructuring of the programme, includes: • The Chief Archit ect; • Architect; • Architectural Technician; • Quantity Surveyor; • Trainee Quantity Surveyor; • Relief Construction/Project Manager; and • Trainee Architect.
Capital Works
Hon. L. Craig Cannonier: Mr. Chairman, during fiscal year 2015/16, the Projects worked on wh ich will be further advanced in this coming year, are: • Public Works Quarry Master Plan;
Bermuda House of Assembly • Public Works Quarry Short -Term Projects, coordinated with roof repairs; • Sessions House roof repairs; • Health Insurance Department Alterations; • Lefroy House Care Communit y, Minor Alter ations; • Obtained Planning Approval for works to Teucer House; • Obtained Planning Approval for the Old Hamilton Police Station; • Relocation of National Security to Global House; • Relocation of Ministry of Home Affairs to Gov-ernment Administration Building; • Relocation of Police Senior Command from private rental space to DLBE [Dame Lois Browne -Evans] Building; • Relocation of the Tax Commissioners Office, Internal Audit Office from public rental space to Global House; • Lands and Buildings relocations; • Police Headquarters Master Plan; • Relocation of the Senate; • Relocation of the Court of Appeal; • Alterations to the St George’s Clinic, • Police COMOPS relocation; • Alterations to Environmental Protection Buil ding; • Containment Area for Airport Operations; • Studi es for the Supreme Court and related services.
Efforts were primarily focused on completing the projects that were underway at the beginning of the year. Remedial works to the Public Works Headquarters were also completed during this period.
Staffing
Hon. L. Craig Cannonier: Mr. Chairman, the budgeted head count within the Ministry of Public Works Headquarters is 49; this can be seen on page B -198. The head count has increased by two for the fiscal year. The increase relates to the increased head count of three in the Architect and Design business unit 46040, which was discussed earlier.
Output Measures
Hon. L. Craig Cannonier: Mr. Chairman, a few r esults of the performance measures for the Ministry of Public Works Headquarters as seen on pages B -199 and B-200: 1. Business Unit 46111: The Public Works Saf ety and Health Programme focused on the reporting of work -related incidents, performing internal safety audits and risk assessments, and also hazard awar e-ness training in 2015/16. Twelve monthly reports were provided to the management team regarding wor kplace incidents and the associated causal factors. Six sections have completed risk assessments to identify and control hazards within various operational pr ocesses. Two sections within the Ministry received an internal safety audit and each section has developed a corrective action plan to address safety concerns. In addition, 20 hazard awareness training sessions were conducted for employees with a total of 232 emplo yees participating in the training in 201 5/16. 2. Business Unit 46115: The telephone maint enance section converged four departments onto voice/data shared infrastructure during 2015/16. They are: The Ministry of Public Works headquarters, both the Adult and Youth Libraries, and the Tourism I nspector s. The solution implemented for the Tourism Inspectors on a trial basis involves the use of the desktop computer, and could replace desk phones for smaller remote offices going forward. The Gover nment Quarry is now also in progress with completion anticipated by end of the financial year, as I mentioned earlier. 3. Business Unit 46116: The newsletter was created to increase the communication to all workers. As of today, the Ministry has delivered two out of four newsletters intended for 2015/16. 4. Business Unit 46116: During 2015/16, the Ministry had a 95 per cent completion rate for Performance Appraisals, and 96 per cent completion rate for Forward Job Plans. 5. Business Unit 46118: The Ministry also completed four “Lunch and Learn” sessions for the indus-trial sta ff for the current period. The lunch/breakfast and learns included Cancer Awareness, Community Police on Residential Security, For Women Only — Menopause, and Jump 2b Fit. 6. Business Unit 46030: The water debt reduction target for 2015/16, of 15 per cent, was not met; every effort will be made in 2016/17 to get the water debt reduced by 10 per cent. The production and di stribution of Operational and Capital reports target of 100 per cent was not met, the actual target was 98 per cent; for 2016/17 we are aiming, of course, to that other 2 per cent up to the 100 per cent. Mr. Chairman, Capital Development - Headquarters, on page C -6. I now wish to provide Members of this Honourable House with a summary of the status of the major capital projects being man-aged by the Ministry of Public Works —Headquarters. The overall 2016/17 Capital Expenditure Plan for the Public Works —Headquarters is $4,895,000. Details are found on page C -6 of the Approved Estimates of Revenue and Expenditure 2016/17. This highlights the range and variety of activities on which the Ministry is working.
75054—WEDCO Capital Grant
1318 9 March 2016 Official Hansard Report
Bermuda House of Assembly Hon. L. Craig Cannonier: Mr. Chairman, the 2016/17 estimate for this cost centre is $2,106,000. This budget allocation is a grant to WEDCO for the repayment of the Victoria Place Project Loan as agreed in 2014. This comprises $1,006,000 of interest and $1,100,000 of principal. Annual rental revenue is $420,000 from which WEDCO contributes $294,000 annually to service the balance of the loan and $126,000 is retained for maint enance of the units. The units continue to be fully occupied.
75334—WEDCO —South Basin Land Reclaim
Hon. L. Craig Cannonier: Mr. Chairman, the 2016/17 allocation for this cost centre is $1 million. This budget allocation is a grant to WEDCO for the repaym ent of South Basin Land Reclamation as agreed in 2014. ACBDA and their agent BCM are actively managing all aspects of the project. The project remains on course to be completed by June 30, 2016—that will be June of this year. Total funds drawn down from bank to date stands as $23 million with the balance of $16 million expected to be drawn before the end of June 2016. A special sub- committee has been tasked to find an appropriate end use when the America’s Cup is over. In closing, Mr. Chairman, I would like to express my sincere thanks to the Permanent Secretary, Ms. Marva Jean O'Brien; the Chief Financial Officer, Ms. Thomasina Hassell; and to the dedicated team of officers and staff of the Ministry Headquarters. Mr. Chairman, I now turn to Head 49, the D epartment of Land Valuation. (I am just going to take a drink of water here real quick. I do not want to drink too much water; I have five bottles here.)
HEAD 49 —DEPARTMENT OF LAND VALUATION
Hon. L. Craig Cannonier: Head 49— Ministry of Pu blic Works Land V aluation Department is found on pages B -201 through B -203. It gives me great pleasure to present the E stimates of Revenue and Expenditure for fiscal year 2016/17 for Head 49—the Department of Land Valu ation, found on pages B -201 to B -203. The mission stat ement, Mr. Chairman, for the Department of Land Valuation, which is mandated by the Land Valuation and Tax Act 1967, is charged with the responsibility of maintaining an up- to-date and accurate Valuation List of all properties on the Island for land taxati on purposes, including the quinquennial or (if you wish) five yearly revaluation of all properties, and providing accurate and timely valuation advice to other Government departments. The ethos and work ethic of the department is succinctly encapsulated in their motto, “We value Bermuda.” Programme 4901— Valuation Service Hon. L. Craig Cannonier: The Land Valuation D epartment has the single Valuation Service pr ogramme, 4901, with the accompanying cost centre of 59080, as shown on page B -201 of the Approved Estimates of Revenue and Expenditure. The programme can be broken down into three primary functions: 1. Maintenance of the Valuation List; 2. Appraisals; 3. Revaluation.
There has been no increase in the number of civil service posts in the Land Valuation Department, as seen on page B -202, as eight full -time positions have been budgeted for Fiscal Year 2016/17. There is presently one vacancy in the depar tment, comprising the Valuer’s position. It is anticipated that this essential position, which has been catego-rised as “hard to fill with qualified Bermudians” will be filled during the 2016/17 Fiscal Year. Cabinet approval has already been secured for recruitment and the position is to be advertised locally this month. So we are hoping to fill that as quickly as pos sible.
Current Account Expenditure
Hon. L. Craig Cannonier: The Current Account E xpenditure Estimates for Head 49—the Land Valuation Department, is found on page B -202 of the Estimates of Revenue and Expenditure Book. A total of $795,000 has been allocat ed to the Land Valuation Department for Fiscal Year 2016/17. This allocation represents a decrease of $15,000, or a 2 per cent r eduction compared to 2015/16 estimates. Savings were realised as the bulk of the one- off expenses associa ted with the 2015 Island -wide revaluation project were incurred in the current fiscal year, in addition to savings in other areas, such as training, software maint enance, and general operating expenses.
Budget Variances
Hon. L. Craig Cannonier: Mr. Chairman, as cost sa vings measures continue in Fiscal Year 2016/17, each and every Government Ministry and department must be financially prudent and creative in the provision of their mandates and services. The Land Valuation Department is no exception and remains committed to answering the call to dig deep. This is evident in their 2016/17 Current A ccount Expenditure Estimates, as seen on page B -202. To this end, all expenses, other than the absolute mi nimum to operate the department, have been cut. As such, the department has no v ehicles, no Government credit cards, no overseas travel funds, no consultants, no facsimile line or cellular phones. Mr. Chairman, Salaries remain relatively the same, as the one vacant position has been budgeted for fiscal year 2016/17, as I said already. I must also
Bermuda House of Assembly highlight that of the $795,000 allocated to the Land Valuation Department, $727,000, or 91 per cent is allocated to Salaries. Mr. Chairman, our primary resource is our people, and as a 21st century organisation, we are committed to the investm ent in and development of our key resource, our personnel. The professional members of staff within the Land Valuation Department are all members of the Royal Institution of Chartered Surveyors and are r equired to undertake a minimum of 20 continuous pr ofessional development hours annually. Unfortunately, workshops and conferences specialising in valuations for taxation purposes are virtually non- existent on the Island and thus online web classes are an essential tool and cost -effective medium for keeping abreast of current developments in the specialist field of taxation valuations. The $1,000 requested will cover the costs of the online web classes, and represents an 83 per cent expenditure decrease in Training, compared to the $6,000 allocation in 2015/16. Mr. Chairman, travel expenditure remains the same at $2,000 and covers the reimbursement for mileage costs for the department’s field workers (from St. George’s to Dockyard or, my preference, St. D avid’s to Dockyard) —the Valuation Survey Technicians, in the performance of their duties, i.e., the inspection of properties across the Island for land taxation purposes. The only increase in expenditures for the department is Advertising and Promotion. This is for the one-off advertising costs of $4,000 that ma y be r equired if the department has to recruit overseas for the vacant Valuer’s position that I mentioned earlier. All attempts, however, will initially be made to fill the pos ition locally with a qualified Bermudian. The 16 per cent expenditure decrease i n Professional Services is directly related to the one- off expenses incurred for the 2015 Revaluation project. Pr ofessional Services for fiscal year 2016/17 is estimated to be $36,000, compared to $43,000 for 2015/16. Mr. Chairman, expenditures of $18,000 for Repair and Maintenance have been estimated for Fi scal Year 2016/17, representing a 10 per cent d ecrease or $2,000. Materials and Supplies, which is estimated at $7,000 sees a decrease of 22 per cent, or $2,000. Expenditure reductions in these two areas relate to reduced operational costs and the continuing financial prudence by the Land Valuation Department.
Revenue
Hon. L. Craig Cannonier: Mr. Chairman, Revenue for the 2016/17 Fiscal Year can be found on page B -202, and is estimated at $6,000 for Lan d Valuation Appeal Tribunal hearing fees, compared to $5,000 for 2015/16. This represents a 20 per cent increase as a result of the biennial increase in Government fees per the Government Fees Amendments Regulations 2016.
Capital Acquisitions
Hon. L. Cra ig Cannonier: Mr. Chairman, the depar tment does not have any funds allocated for Capital Acquisitions for fiscal year 2016/17, as can be found on page C -12, as its current capital IT project is scheduled to be completed this month. Mr. Chairman, the projec t involves the upgrading of the department’s IT database. The move of the department’s database to the new ESRI server is critical to the overall functionality of the department as its IT database is severely impacted and crippled when the current defunct Oracle server goes down. The requisite and urgent upgrades will future- proof the department’s IT platform for maintaining and amend-ing the Valuation List and appraisal work services.
Major Achievements 2015/16
Hon. L. Craig Cannonier: The Department of Land Valuation has once again had an extremely busy and challenging year. Despite numerous constraints and obstacles, the department met its service targets with taxpayers and other Government departments, in tandem with carrying out the Island- wide revaluation of all properties in Bermuda.
2015 Revaluation Project
Hon. L. Craig Cannonier: In addition to the inspection and valuation of properties that are newly con-structed, altered, or demolished during the life of a Valuation List, the department’s statut ory mandate also includes the revaluation of all properties in Bermuda approximately every five years. The last Island- wide revaluation was undertaken in 2009. During this current fiscal year, the d epartment has focused all available resources on pr oducing the next Draft Valuation List for Bermuda, that being the 2015 Draft Valuation List. The Island- wide revaluation project follows three overarching phases: 1. Rental data collection; 2. Analysis of the data; 3. Valuation model building and mass appraisal. The revaluation project is a mammoth undertaking for a relatively small department as the Land Valuation Department, and involves the revaluation of over 35,800 valuation units. Despite the challenges of staff shortages, time constraints, and conflicting priorities, I am pleased to report that the 2015 Draft Valuation List was succes sfully deposited on 31 December 2015 as mandated by legislation and came into effect for land tax purposes on 1 January 2016. Copies of the List are available for 1320 9 March 2016 Official Hansard Report
Bermuda House of Assembly viewing at the Land Va luation Department, all post offices, and online at the department’s website. Should a taxpayer believe that their entry in the 2015 Draft Valuation List is incorrect, they have until 30 June 2016 —and I want to say this again —should a taxpayer believe that their entry in the 2015 Draft Va luation List is incorrect, they have until 30 June 2016 in which to make a formal objection on the prescribed form.
Website Upgrade Project
Hon. L. Craig Cannonier: Mr. Chairman, the depar tment continues to embrace technology as the way of doing business, and their website www.landvaluation.bm has given the public easy access to the Valuation List at any time of the day or night since 1999. The website allows the public the ability to view their land tax assessment and compare it with their neighbours, as well as access frequently asked questions or e- mail the department a question of their own. The integrated mapping feature also assists with the location and identification of pr operties on the website. Mr. Chairman, the data on the website is updated nightly and the department frequently reviews and updates both the layout and content of the site. [It is] pretty remarkable. To further facilitate public ac-cess to the website, a co mputer was placed in the reception area of the Land Valuation Department last summer with dedicated access to the website. This is in addition to the hard copy of the Valuation List that is also available for viewing at the department. The department’s website has therefore become an integral and useful tool for property profes-sionals and the public at large. During 2015, the website had 130,654 visitors and 5,204,479 hits. The website also had an uptime or availability of 99.93 per cent during 2015. Given the importance of the website as the primary interface with the general public, the depar tment undertook a complete revamp and modernis ation of the website, with the assistance of the Depar tment of E -Government. Phase 1 of the Website Upgrade Project was completed last summer and the site now boasts a fresh modern look, is easy to use and navigate, fea-tures an up- to-date interface, and now has dow nloadable content. All of these upgrades enhance a user’s experience and substantially reduces the need to telep hone or physically visit the department as their questions are addressed on the website, and various forms can now be printed directly from the site, which is pretty remarkable.
Performance Measures 2015/16 Mr. Chairman, despite being under staffed for the majority of Fiscal Year 2015/16, the achievements of the Land Valuation Department are indeed very notable. The Performance Measures for the depar tment can be found on page B -203, and I would like to speak to these noteworthy achievements now.
Maintenan ce of the Valuation List
Hon. L. Craig Cannonier: The mandated function of maintaining the Valuation List utilises the majority of the department’s resources. This work entails inspec ting, reassessing and making a corresponding alter ation to the Valuation List on any residential, commercial or tourist property that is built, altered or demolished. Mr. Chairman, a total of 632 Maintenance of the List cases were completed by the department by year end, resulting in 619 proposals to amend the Valuation List. The cases were generated from a combination of Certificates of Completion and Occ upancy from the Planning Department, enquiries from the public, and cases generated internally by the department. The number of cases completed represents a 12 per cent increase compared to the previous year of 562 cases. Of the 632 cases completed, 71 per cent were completed within the department’s service target of 20 working days from receipt. This is impressive, considering the staff shortages within the d epartment and the Island -wide revaluation project that was undertaken in tandem. Mr. Chairman, at year end, there were a total of 35,823 units in the Valuation List with a combined assessed rental value of over $1.533 billion.
Appraisal Services
Hon. L. Craig Cannonier: Mr. Chairman, the Stamp Duty section provides valuations for the Tax Commi ssioner and Registrar of the Supreme Court for volu ntary conveyances of property and probate purposes, respectively, to ensure that the correct amount of stamp duty is levied on each document. Due to the vacancy in the department, this section only had one full-time employee for the majority of 2015. A total of 92 cases from the Tax Commissioner were completed during the year with 94 per cent of cases reported within 20 working days of receipt. This percentage represents an increase of some 30 per cent compared to the 64 per cent turnaround rate for completed cases the previous year. A total of 82 cases were received from the Registrar of the Supreme Court during the year. All 82 cases were completed and returned within the performance target of 10 working days, despite the staff shortages in this section. Again, this is pretty phenomenal. It should also be noted that an additional 24 cases were completed by the department last year, representing a 41 per cent increase compared to the 58 cases received the previous year. Mr. Chairman, the Land Valuation Department provides advice to the Immigration Department as to
Bermuda House of Assembly whether or not the purchase price, on which the l icence fee is calculated, can be accepted as the open market value of the property. During the year, only two cases were received from the Immigration Department in respect of sales of properties to restricted persons. Both cases were completed and returned within the performance target of five working days. The department provides appraisal advice, Mr. Chairman, to the Estates Section of the Depar tment of Public Lands and Buildings on the open mar-ket value of Government assets, or appraisals for p otential property disposals and ac quisitions. Due to the need to prioritise staff resources for the 2015 Reva luation Project, it was agreed with the Chief Surveyor that this appraisal service would be suspended during 2015 and resumed in 2016. The achievement of these performance measure t argets is quite impressive when one reflects on the small size of the Land Valuation Department, in conjunction with the undertaking of both the colossal 2015 Revaluation Project and the Website Upgrade Project.
Initiatives for the Forthcoming Year 2016/1 7
Hon. L. Craig Cannonier: Mr. Chairman, as previously highlighted, the 2015 Draft Valuation List was placed on deposit on 31 December 2015 and came into effect for land taxation purposes on 1 January 2016. All taxpayers have six months (until 30 June 2016) to lodge an objection with the Department of Land Valuation should they feel aggrieved. Thus, the department is focused on the r eceipt and acknowledgement of the objections to the 2015 Draft Valuation List and the subsequent confi rmation of the 2015 Draft Valuation List in July 2016, as required by legislation. The department’s spotlight will then turn to dealing with the objections in a timely and expeditious manner, which will no doubt include presentations before the Land Valuation Appeal Tr ibunal. As a result of the objections to the 2015 Draft Valuation List, it is expected that there will be an i ncreased workload for the Land Valuation Department for Fiscal Year 2016/17, although this is difficult to quantify at this stage. What is apparent, however , is that in order to efficiently and effectively deal with the projected increased workload, additional resources, both human and capital, are required for this depar tment. Mr. Chairman, following the confirmation of the Draft List, maintenance of the confirmed 2015 Valuation List will be a priority of the department. For Fiscal Year 2016/17, the department will not only strive to meet its performance targets, but continue to be proactive with maintenance of the Valuation List work, thereby generating addi tional revenue for Government. This, yet again, highlights the need for addi-tional resources for this small department. (I can hear the Director very clearly there.) Mr. Chairman, providing a high level of service to the Tax Commissioner and the Registrar of the Supreme Court for stamp duty appraisals and probate purposes will continue to be a priority of the depar tment. The department will continue to provide advice to the Department of Immigration, the Estates Section of the Department of Public Lands and Buildings, and other Government Departments on property and ap-praisal matters as required and within agreed service targets. Mr. Chairman, as I conclude my presentation of the Estimates of Expenditure and Revenues for the Department of Land Valuation —Head 49, I would like to draw your attention to a few, often overlooked facts. The department, which currently has only seven members of staff and the smallest current account expenditure in the whole of Government, successfully completed the Island- wide reval uation of all properties in Bermuda and deposited the 2015 Draft Valuation List as legislated and on time. The commitment and dedication of the Land Valuation Department team are to be applauded. Their unceasing hard work is indirectly responsible for raising land tax revenue of $63,200,000, or 6.3 per cent of Government’s estimated revenue for Fiscal Year 2016/17, based on the assessments in the Val uation List that is maintained by the Land Valuation Department. Land tax, which represents Government’s fourth largest direct revenue stream, behind customs duty, payroll tax, and international company fees, con-tinues to remain a secure revenue stream due to the efforts of the Department of Land Valuation in mai ntaining an up- to-date and accurate Valuation List. Additionally, approximately another $2,500,000 is projected to be raised by stamp duty levied on the appraisals provided by the Land Valua-tion Department to the Tax Commissioner for volu ntary conveyances of properties and the Registrar of the Supreme Cour t for probate purposes. I am sure you will appreciate the relatively low cost of the Land Valuation Department, which has the smallest budget for Fiscal Year 2016/17 for the whole of Government, when compared to the significant rev-enue generated by the val uation and appraisal services it provides. However, much more can be achieved with the adequate resources for this depar tment. Therefore, I would like to take this opportunity to thank the Land Valuation team for their continuous hard work and perseverance. Although theirs is a thankless task, at times it feels, they quietly and effectively provide appraisal advice to other Government departments, conduct Island- wide revaluations, and most importantly, maintain our Land Valuation List, which is the most cri tical component of Bermuda’s land tax regime. 1322 9 March 2016 Official Hansard Report
Bermuda House of Assembly I am confident that the Land Valuation D epartment, with their continued careful monitoring and financial prudence, will continue to persevere to fulfil their statutory mandate and service provisions with the budget allocations for Fiscal Year 2016/17. With this comprehensive overview of the Land Valuation Department, again, I would like to thank D iane Elliot for her wonderful work and her great attitude that she brings to the Land Valuation Department. I move now that Budget Head 49 . . . well, I will approve them later on. Thank you, Mr. Chairman. So now I will move on to Head 53—Bermuda Housing Corporation. And I am just going to take another drink of water here real quick.
The ChairmanChairmanBy all means. HEAD 53 —BERMUDA HOUSING CORPORATION Hon. L. Craig Cannonier: Mr. Chairman, the mission statement of the Bermuda Housing Corporation [BHC] is “To provide accessibility to adequate, affordable housing and promote independent living to enhance the quality of life i n Bermuda.” The vision statement of the Bermuda …
By all means.
HEAD 53 —BERMUDA HOUSING CORPORATION Hon. L. Craig Cannonier: Mr. Chairman, the mission statement of the Bermuda Housing Corporation [BHC] is “To provide accessibility to adequate, affordable housing and promote independent living to enhance the quality of life i n Bermuda.” The vision statement of the Bermuda Housing Corporation is: “Every Bermudian will reside in an adequate and safe environment.” The Bermuda Housing Corporation’s grant a llocation of $6,050,000 represents no change from the previous year. The all ocated Grant will be used to subsidise the cost of repairs, regular maintenance of properties, support services, and rental assistance via Rent Geared to Income to clients of the Corporation, and for the continuation of the very important Hustle Truck Prog ramme. One million dollars of this grant will be allocated for the continuation of the Hustle Truck Pr ogramme. In addition to the operating assistance grant the BHC is budgeted to receive a capital grant of $4,800,000 for 2016/17 which represents an increase of $2,640,000 from the previous year. This increase is necessary as a result of increasing interest rates over the prior year as well as assisting with the principal repayments of the Corporation’s bank loan of $36 mi llion associated with the Grand Atlantic project. There are no other changes between the 2015/16 and the 2016/17 budgets. The primary functions of the Bermuda Housing Corporation (BHC) are to provide housing in Ber-muda, to promote home ownership, to undertake and carry out housing schemes, and to undertake such other functions in connection with housing as the Mi nister responsible for Housing may require. The Bermuda Housing Corporation admini sters a number of programmes in pursuit of its mission including managing and leasing a large inventory of properties comprising houses, apartments, and buil d-ing blocks. Some of these properties are owned by the Corporation and others are leased from their ow ners. Mr. Chairman, the Bermuda Housing Corpor ation (and I will refer to it going forward as BHC) manages 530 government and private sector residential units Island- wide, and 7 transitional homes comprising of 182 rooms. The BHC also manages and controls the Hustle Truck programme, acronym for Helping the Unemployed Sustain Themselves with Limited Empl oyment (HUSTLE) which has been in successful operation since 2007. And I think we can all say that we are glad to see that that was implemented in 2007, the Hustle Truck Programme. The Corporation has aggressively engaged in a comprehensive cost -saving programme over the last couple of years in order to generate positive cash flow savings. The cost -cutting ventures were wide- ranging and included a reduction in office rent, telecommuni-cations, maintenance, insurance premiums, and a reduction in staff (head c ount) through retirements and natural attrition (voluntary resignations). These vacant posts were not refilled. The Corporation continues to work with the lending agencies to help assist Bermudian clients to retain their homes by advising on best steps to manage mortgage payments under these current economic and financial constraints. The Corporation advises homeowners on creative ways to service their debt to respective lending agencies by either renting out homes or apartments or by providing helpful advi ce for refinancing their current loans. The BHC is in the process of reissuing a R equest for Interest (the RFI) on the Grand Atlantic Condominium Development. While the negotiations with the Bermudian Beach Resort Group (BBR) were very positive and showed great promise on how the site could be transformed, ultimately the group was unable to confirm the debt financing component within the MOU timeframe, which was extended twice to afford BBR time to arrange the adequate debt financing for the transfer. In reissuing the RFI, the BHC will consi der proposals which will create jobs, have an economic and social impact and generate a return on inves tment for the Government. The Bermuda Housing Corporation continues to promote a very good working relationship with t he Police Service, particularly the Police Community A ction Team (or CAT). Last year the Corporation met in multiple neighbourhoods along with CAT Officers to remind clients of the need for peaceable and harm onious existence. The Bermuda Housing Corporation has empathy with many of its clients who have suffered a decline in their income through the misfortune of lost jobs or reduced work hours. The Corporation has constant meetings with clients to help them navigate through these difficult social, economic and financial
Bermuda House of Assembly times. The Rent Geared to Income (RGI) initiative gives real relief to clients by assisting them with r equested payment of only 25 per cent of their combined household income to be paid to the Corporation as rent, regardless of employment status of family members. The Rent Geared to Income initiative conti nues to be of significant benefit to clients of BHC. Cl ients have been able to become more disciplined in savings by depositing 10 per cent of their combined household income toward a savings plan. The ult imate objective is for the savings to be used as a d eposit for qualified clients to take advantage of any potential opportunity to purchase their own home. Of note, some clients have amassed savings of over $30,000 in preparation for an oppor tunity that may be afforded them to become homeowners. It is the Corporation’s goal this year to have the first group of cl ients from the RGI program graduate to become first - time homeowners. The Rent Geared to Income pr ogramme has also allowed many client s to become more financially stable and choose to transfer from the BHC housing units into the private sector, thereby gi ving opportunities for others to become successful cl ients of the Corporation. The total number of clients choosing to become private s ector tenants over 2015/16 totalled 60. The BHC continues to operate seven rooming or transitional houses that contain a total of approx imately 200 beds. The various houses are located throughout the Island and provide a safe habitat for BHC clients. The r ooming houses cater to households that need immediate, safe or emergency accommoda-tion. The Support Services Department continues to hold regular rooming house meetings to listen to concerns and address complaints from the residents of the facilities. Mr. Chairman, in order to better effectively manage the two larger rooming houses located at Southside, the satellite offices are manned daily by BHC personnel; a strong emphasis is placed on social components of clients’ behaviour. These staff me mbers have a myriad of tasks and duties including interviewing clients, devising comprehensive plans for cl ients' various areas of improvement, and guiding them into their eventual transfer out of the rooming houses. The Support Services strategy for rooming house residents includes guidance on financial management, good housekeeping, sound social skills, and conflict resolution. The aim of the Corporation is to have cl ients graduate out from the rooming houses into more traditional modes of living, thereby ensuring tha t the rooming houses are short -term transitional housing solutions only. Since its inception in 2007, 307 families have transferred out of the rooming house facilities into more traditional accommodation.
Gulfstream —Multi -unit Rooming Housing — Southside, St. David’s
Hon. L. Craig Cannonier: The Gulfstream multi -unit rooming house is comprised of 78 rooms and currently houses 96 people from various backgrounds (50 adults and 46 children). The Gulfstream residents have become more socialised and have experi enced many positive interactions with outside helping agencies which monitor and guide behaviours with the expected outcome that clients will more quickly relocate out of the rooming house locations into self -contained housing units.
Langley House —Multi -unit Rooming Housing — Southside, St. David’s
Hon. L. Craig Cannonier: Mr. Chairman, Building 632 known as Langley House is a 61- rooming house facility, located at Southside, St. David’s. The Rooming house is used specifically to house men in need of affordable, safe accommodation. Currently, there are 57 men residing at Langley House. The majority of men housed in Langley House work during the day and return at night to a safe and habitable enviro nment. They are regularly counselled that illegal and antisoc ial behaviour will not be tolerated and if exhi bited, are grounds for eviction from the property. The Corporation has a qualified social worker based at the satellite office who is available to counsel and provide assistance to the residents on a daily b asis. Assistance provided includes job advice, conflict resolution, communication skills, and listening to res ident’s concerns. This past year saw a partnership with a community advocate who arranged a Thanksgiving Sup-per for the men of the Langley House whi ch was very well received. The supper was opened by a prayer from Brotha Richie of HOTT 107.5 fame, a chief organiser of the event. The fellowship and camaraderie of the men was a delight to behold.
Harmony Club
Hon. L. Craig Cannonier: The Harmony Club property continues to be of valuable use to the Police Ser-vice to house its personnel. At present, there are 16 units occupied by overseas police officers. The loc ation is proving ideal for the officers, allowing a quick response to emergences. In addition, the Harmony Club is also being utilised as office and training space and storage of equipment for the Hustle Truck pr ogramme, and as meeting rooms for the Paget Parish Council. The Corporation has also partnered with a l ocal young adult track training team of elite athletes who use the facilities for training purposes utilising the weight room equipment available at the facility. The members of the club include young people who have 1324 9 March 2016 Official Hansard Report B ermuda House of Assembly been featured in the January Front Street Mile races, to great acclaim. BHC Staff Hon. L. Craig Cannonier: The BHC staff has a supporting role to play in the well -being of Bermuda res idents. To this . . . Longevity of the Corporation’s assets. The department has recently been restructured with the Project Managers overseeing the multiple dwellings that come under the BHC remit to ensure effective and cost -conscious maintenance programmes [and] keep the units in safe and healthy states. Property Operations Hon. L. Craig Cannonier: Mr. Chairman, the Property Operations Department is responsible for the maint enance of BHC’s housing stock of approximately 700 units including the rooming houses Island- wide. The department’s responsibilities include the regular maintenance of buildings under the control of BHC, and providing advice and assistance to clients of BHC on housing- related matters. The department is co mprised of three Property Officers, six Maintenance O fficers, and one Administrative Assistant. The depar tment conducts regular maintenance checks of buildings under the management of the Corporation and is responsible for small maintenance works along with coordinating more difficult tasks with trusted and able contractors. During the 2015/16 year, the Property Oper ations Department completed a total of 2,956 maint enance requests, an increase of 141 requests over the previous year. The requests for maintenance that this talented department handles are wide ranging. They tackle everything from simple plumbing, electrical, water, sewage, and roof repairs, to landscaping, paint-ing, flooring and major renovations. Finance Department Hon. L. Craig Cannonier: Mr. Chairman, the Finance Department has a total staff of nine employees, con-sisting of: one finance manager; two assistant finance managers, one responsible for reporting, and the ot her for IT; one accounts supervisor; two finance offi cers; one junior finance officer; one collections officer; and one cashier. The Finance Department carefully monitors the Corporation’s spending and compliance, ensuring that the Policies and Procedures are adhered to and that clients act responsibly in paying their bills in a timely manner. The Finance Department fields questions of a financial nature, provides mortgage advice, and as-sists clients with understanding their financial oblig ations to the Corporation. Support Services Department Hon. L. Craig Cannonier: Mr. Chairman, the Support Services Department is the department responsible for ensuring that adequate housing is found for BHC clients, and for regular inspections of BHC housing inventory. The department consists of 10 persons: one manager, one rentals case worker, two transitional house case workers, two junior transitional house case workers, three rental inspectors, and one intake officer. There is a current wait list for BHC ac commodation of 162 clients, down by approximately 100 cl ients from last year. This is as a result of more ac-commodation becoming available and rental price r eductions in the open market place. In 2015, the Sup-port Services Department successfully housed 12 5 new families who were desperate for adequate accommodation. The Support Services Department offers a myriad of services to clients that include money management, housekeeping, social and behavioural problem eradication, child care, and health and safety guidance. In addition, the department offers advice on support from other agencies that stand ready to assist clients who are in need of professional counselling. The department is also a member of the Cross Minis-tries Intervention Team known as CMIT. The CMIT programme is used to assist at -risk families in mana ging their daily lives including budgeting, learning acceptable social skills, job placement, and more r esponsible behaviours. Administration Hon. L. Craig Cannonier: Mr. Chairman, the Admi nistrati on Department consists of the general manager, one executive assistant, one receptionist, and two office assistants. The Administration Department is responsible for the orderly daily business of the Cor-poration. Human Resources Hon. L. Craig Cannonier: The Human Resource [HR] Department has a total staff of two. The HR Depar tment ensures that staff members have the required skills to efficiently and successfully carry out their daily roles in the Corporation, ensures employee welfare, and provides mentoring and training services. Helping Unemployed Sustain Themselves with Limited Employment (Hustle Truck) Hon. L. Craig Cannonier: Mr. Chairman, the Hustle Truck programme continues to be of valuable assistance to unemployed persons who actively seek work. The Hustle Truck Program, ac ronym for “Helping the Unemployed Sustain Themselves with Limited Employment” began in April 2007. Due to budgetary conBermuda House of Assembly straints, the programme was reduced from an intake of 60 members per week to 20 workers per week. The value of the programme has not gone unnoticed in the community and the necessary modifications were made to the numbers of persons who could benefit from being employed on the Hustle Truck programme, which was hailed as timely and inventive. The current cost of t he Hustle Truck pr ogramme is approximately $1,000,000 per year (20 people per week for up to three months total per year) taking one week off each month to seek regular employment. At this level the Corporation is able to rotate through approximately 260 different people per year. The programme is available for any unemployed Bermudian. Under the guidance of the Bermuda Housing Corporation, through the auspices of the Ministry of Public Works, the modified programme continues with assistance to over 2,000 unemployed persons since its inception. Because of the present Island- wide economic and financial conditions, there is an increasing segment of Bermuda’s population who are unemployed. The Hustle Truck has helped to sustain some of these persons with part -time employment. Were it not for the existence of the Hustle Truck programme, many of these persons would be forced to enrol in the Fina ncial Assistance programme. At present, there are a pproximately 25 people on the wait list daily who are advised to retur n the following day for an opportunity to work. As an added benefit to the society of Berm uda, persons who have been reliably identified as gang members have also enrolled into the Hustle Truck programme. These members, for a myriad of reasons, are not employable from outside agencies and have sought a means of legal temporary employment. They work with the Hustle Truck organisers in discussing solutions to the gang violence which has gained prominence in Bermuda. They also have engaged in r equests from the programme of providing “temporary safe houses” for their safety and security. The objective of the programme is to sustain the workers, ideally for a short period of time until they can gain full -time employment. To this end, Hustle Truck workers are guid ed on interview and present ation skills and, where needed, are trained in correct work ethics. In addition, the Hustle Truck Office, l ocated at Harmony Hall in Paget, keeps a data base of information on the unemployed and their skill sets for the specific purpose of making a good fit when par tnering with employers. The Hustle Truck office regu-larly receives requests from employers for qualified and suitable potential employees; upon receipt of r equests the data base is checked, and those persons who have th e required qualifications are sent on interviews in the hopes of achieving full time traditional employment. Since its inception in 2007, the programme has grown and is appreciated and accepted as a vi able initiative geared toward providing temporary em-ployment relief for the unemployed, while at the same time ensuring that Bermuda’s seniors, charitable ent ities, the disabled, and those who are in genuine need of assistance have an able body of men and women who may be called upon for valued assistance. The y have assisted in the cleaning of graffiti in many socia lly challenged neighbourhoods, assisted in the moving of Government departments, cleared areas of hedges, trees, and bushes on many Government -owned land masses on an urgent basis, as well as assiste d in the clean- up of neighbourhoods after hurricanes. In addition, the Hustle truck has basically r eplaced the bulk waste pick -up section that was closed in the Ministry of Works by collecting and cleaning neighbourhoods of illegally dumped bulk waste item s such as mattresses, sofas, furniture, and appliances on a weekly basis that you see in many of our wooded areas, and some not wooded. The Hustle Truck workers are taught valuable skills while participating in the programme such as painting, landscaping, and masonry work which allows them to help build a portfolio of successful projects to use to assist in securing job opportunities. They are also given advice on how to start their own small businesses if the desire is there. Eight members were successful in gaining full-time employment this year and several members were given guidance on starting their own businesses as entrepreneurs. The successful format of this programme continued to be used by the Parks Department last year with the assistance of the B HC and the Workforce Development Team on the Railway Trail Initiative. The Railway Trail programme hired persons registered with Workforce Development for short -term emplo yment assisting with clearing Bermuda’s railway trails. The Hustle Truck continues the partnership with the Department of Corrections in providing temporary employment to inmates who are seeking parole or are about to be released from the Corrections facil ity. The Officers liaise with senior Corrections Officers and commit to temporarily employ qualified inmates to assist the inmates in gaining meaningful legal wor kplace experience. The Hustle Truck continues to administer their daily operations from the offices based at the Harm ony Club. The BHC continues to provide valuable and timely ser vice to Bermudians. They strive for daily excellence in their duty and are constantly called upon to assist Bermuda in times of need. They are a vibrant organisation and leap to address challenges as they arise. In closing, Mr. Chairman, I would like to thank the Board of Directors and the Management and Staff of the Bermuda Housing Corporation for their past 1326 9 March 2016 Official Hansard Report
Bermuda House of Assembly services. In particular, I would like to thank Major Dill who I have had the opportunity, of here late, to have a few personal conversations with as w e move forward. And I kind of joked to him —Where is he? Where is he? I know he is around here somewhere, I see him — he said, Well, you haven’t seen me because we think you are doing a fantastic job. So it is good to see that he continues to do a great job. I cannot say enough about the Hustle Truck Programme, as I have extensively read about it and how it touches many other departments of Government as well. So again, Major Dill, we want to thank you for the great work that you have done and continue to do. Now, Mr. Chairman, I still have a large portf olio here so I continue on. I will move to Head 68.
The ChairmanChairmanYou do understand it is a debate, correct? Hon. L. Craig Cannonier: Sorry?
The ChairmanChairmanThis is a debate. Hon. L. Craig Cannonier: We have got five hours, my dear friend. HEAD 68 —DEPARTMENT OF PARKS Hon. L. Craig Cannonier: The Ministry of Public Works —Department of Parks, pages B -205 to B -210. The mission of the Department of Parks is: • To develop …
This is a debate. Hon. L. Craig Cannonier: We have got five hours, my dear friend.
HEAD 68 —DEPARTMENT OF PARKS Hon. L. Craig Cannonier: The Ministry of Public Works —Department of Parks, pages B -205 to B -210. The mission of the Department of Parks is: • To develop and maintain public parklands, beaches, an d school grounds, and to produce plants necessary for this purpose; • To provide safe and aesthetically pleasing, active and passive recreational and educ ational facilities for the enjoyment of residents and visitors; and • To promote the educational and cultural hist ory relating to our environment.
In its day -to-day operations, the Department of Parks is responsible for the management and maintenance of 75 parks, including Admiralty House Park, Penhurst Park, Great Head Park, West Whale Bay Park, and Daniel’s Head Park.
Additionally, the Department of Parks also manages the grounds of 96 additional properties i ncluding Government House, Montpelier, Lefroy House, Sylvia Richardson Seniors Residence, health clinics, post offices, 30 public schools, and communi ty area parks, as well as approximately 30 kilometres of roadside verges stretching throughout the Island, and six sports fields under the Ministry of Youth and Sports. The scope of work spans enforcement, deve lopment, maintenance, cultural and historic manage-ment, education and administrative functions, making the Department of Parks a complex and dynamic ent ity. With over 170 areas of responsibility to manage throughout the year, the Department of Parks has had another demanding year working to keep our parks and government lands beautiful. Along with our routine maintenance, the Department of Parks has planned numerous projects to enhance and preserve the beauty and function of our National Parks for the enjoyment of the public. Before we discuss the finances and resources of the five programmes and multiple cost centres o perating within the Department of Parks, I would like to outline the overall operational budget, structure, and capital acquisitions for 2016/17. The Department of Parks current account expenditure as seen on page B -206 for 2016/17, is $9,845,000, representing a 2 per cent increase over the 2015/16 budget. This increase is attributed to the uplift required to cover operational, salary and wage requirements. This department has a complement of 143 staff, which you will find outlined on page B -208. Of the 143 personnel, 109 are industrial employees, 22 are civil service employees, and 12 are seasonal employees. Salaries and wages, including overtime, t otals $8.3 million, which represents appr oximately 85 per cent of the budget. It is important to note that currently there are 10 funded industrial post vacancies, and four funded civil service vacancies within the department.
Capital Acquisition Hon. L. Craig Cannonier: The Department of Parks Capital Acquisitions fund as seen on page C -12, has been financed with $100,000 for the purchase and replacement of maintenance vehicles in the fleet that have become old and rundown. As this department relies heavily on vehicles to carry out Island- wide maintenance and storm clean- ups, it is imperative that these vehicles be replaced in a timely manner. It is anticipated that this new equipment will help speed up the responsiveness of the department to both routine maintenance and emergency services.
Capital Development
Hon. L. Craig Cannonier: The Capital Development budget as seen on page C -6 is $1,335,000. Cost centre 75101, has been allocated $890,000 to fund e nhancements to the National Parks such as renov ations to forts, playgrounds, railway trails , boat/dock slips repairs, as well as for the upgrade of many of the restrooms in the national parks. This year the emphasis will be beautifying and readying the parks in advance of the America’s Cup events in the fall of 2016 and summer of 2017.
Bermuda House of Assembly Cost cent re 75234 has been allocated $445,000 to fund the construction of the Parks Maintenance and Mustering station which we intend to start building in the upcoming fiscal year.
Revenue
Hon. L. Craig Cannonier: Total Revenue as seen on page B -207 is projected to be $59,000 in 2016/17, a significant drop over the past few years due to the removal of the production of the 2016 Bermuda Agr icultural Exhibition from the Government’s remit. For 2016/17, 50 per cent of the revenue will be generated from the Forts divi sion. Approximately $34,000 will be raised from admission fees from Fort St. Catherine, with camping fees contributing $12,000. The balance will be raised by: • Concessions —$3,000; • Service fees —$1,000; • Horticultural Produce —$5,000; and • Facilities —$4,000.
Programmes
Hon. L. Craig Cannonier: Mr. Chairman, the depar tment has five programme areas, each with a number of sub- programmes or cost centres, as shown on page B -206 of the Approved Estimates of Revenue and Expenditure and they are: • Programme 6801, Park S ervice –Park Rangers; • Programme 6802, Lifeguards; • Programme 6803, Park Maintenance; • Programme 6804, Administration; • Programme 6805, Forts and Historical sites.
Programme 6801— Park Service
Hon. L. Craig Cannonier: Programme 6801 is r esponsible for the enforcement of the National Parks Act 1986 and the National Parks Regulations 1988. To that end, the Park Rangers patrol the Bermuda National Parks and beaches, enforcing the National Park regulations, and inspecting and reporting on the amenities in the parks . Furthermore, they manage special functions in the national parks, and liaise with industry partners to maximise the success of their du-ties. Throughout 2015/16, the Park Ranger Service was involved in numerous community projects inclu ding: • End-to-End Cha rity Walk; • Family Centre’s Cycle for Change; • PALS Charity Walk; • Centre Against Abuse’s Side- to-Side Charity Walk; • Centre Against Abuse’s Century Ride fundraiser, which is an up to 100- mile pedal bike ride commencing at Government House and rolling past Ber muda Botanical Gardens; • Bermuda Bicycle Association Mountain Bike Series/Fat Tire Massive conducted at various parks including the Railway Trail, Hog Bay Park, Fort Scaur, Admiralty House Park, Southlands, Arboretum, and Ferry Point Park; • Provided Bermuda Red Cross sanctioned CPR, First Aid, and AED certification to var ious Bermuda Government departments and also to a number of organisations and bus inesses in the private sector including PALS and BHB staff; • Conducted Interpretive Tours of various parks and nature reserves, for school groups and camps; • Assisted in neighbourhood cleanups with the Bermuda Police Service Community Action Team; • Liaised with Keep Bermuda Beautiful [KBB] for the various clean- ups of parks and beac hes; • Hurricane Clean- up and Landscaping Island - wide. Of particular note, the Park Service was especially instrumental in assisting the D epartment of Youth and Sport in getting their programmes up and running for the 2015 year at White’s Island, Port’s Island and Darrell’s Island in conjunct ion with the Tree Unit and the Woodlands Management crews, after the devastation caused on the islands by Hurr icanes Fay and Gonzalo; • Emancipation Day at Horseshoe Bay on Thursday, 31 July 2015, the first day of the Cup Match holiday weekend. There was no organised event for 2015; however, the beach was still very busy as is the tradition of Cup Match. The Department of Parks, Bermuda Police Service, the Department of Transport, and CADA were instrumental in ensuring that the day operated as smoothly as pos sible. Fortunately, for the first time in approximately eight years there were no individuals who r equired treatment at KEMH. The park rangers, lifeguards and sanitation teams were kept extremely busy. The ability to use the Sout hampton Princess as a one- way system for cars and bikes was highly successful, with emergency vehicles, taxis, and mini buses the only vehicles permitted to use two- way traffic flow on the entrance road to Horseshoe Bay; • Bermuda Powerboat Association assisted as a marshal boat provi ding on the water support as trained first aid responders for the Around the Island Race in August 2015; • Palm Sunday Walk: The department assisted the Bermuda National Trust with preparing the hurricane ravaged route for the annual walk which was conducted through Coopers Island, 1328 9 March 2016 Official Hansard Report
Bermuda House of Assembly Clearwater Beach, Great Head Park, Little Head Park, and St. David’s Lighthouse Park; • America’s Cup: The Department of Parks assisted with the arrangements for the event in October 2015 on Front Street where the department provided portable toilets, attendants, and lifeguard services for the three- day event; • Daniel’s Head Park and 9 Beaches: A combination of crews from the Department of Parks assisted the concession operators at the 9 Beaches Daniel’s Head complex by provi ding lands cape works to clean- up and make the site more welcoming for patrons.
Park Service Operational Budget
Hon. L. Craig Cannonier: Mr. Chairman, a budget of $429,000 has been allocated to the Park Ranger Service for fiscal year 2016/17. This figure represents a $20,000, or a 4 per cent reduction, as compared to the 2015/16 budget. This budget is used for the employment of both full -time and seasonal Park Rangers, as well as for the resources required to perform their duties. The Park Ranger patrols are critical to the tour-ism product, as the presence of the Park Rangers on patrol has a positive effect on our beaches, thus despite the reduction in overall budget, we endeavour to provide as much coverage in the parks as possible.
Park Service Staffing
Hon. L. C raig Cannonier: The full -time equivalents for the cost centre 78000, Park Ranger Service, on page B -208, is eight. This represents an increase of one full -time employee as compared to fiscal 2016/17.
Performance Measures
Hon. L. Craig Cannonier: Mr. Chai rman, I would now like to highlight some of the performance measures forecast for cost centre 78000, on page B -209, for fiscal year 2015/16. We present the following: • The forecast of camping and special permits issued in fiscal year 2015/16 is 600. This number reflects the popularity of the National Parks as venues for social functions such as church and family picnics, weddings, and family reunions. The economic climate may have an impact on these numbers as the parks provide an affordable venue for large events. • The forecast of incidents managed in fiscal year 2015/16 was 115. Incidents ranged from abandoned vehicles and illegal camping, to vandalism and accidents. The number of inc idents thus far is lower than that of 2014/15. We attribute this to the com bination of less seasonal rangers, and a change in the repor ting classifications for incidents. Programme 6802—Lifeguard Service
Hon. L. Craig Cannonier: Lifeguard Services, Pr ogramme 6802 on page B -206. The Lifeguard Service is responsible for the provi sion of lifeguards on four public beaches, as well as for the provision of water safety outreach services to the community. They are also responsible for the enforcement of the National Parks Regulations 1988.
Staffing
Hon. L. Craig Cannonier: The 2015 s eason consis ted of 1 Lifeguard Superintendent and 31 trained Se asonal Lifeguards, which is equivalent to the 12 full - time equivalents on page B -208. The Department of Parks Lifeguard Service continued to use the Royal Life Saving Society (RLSS) UK’s Nation al Beach Lif eguard Qualification (NBLQ), Automatic External Defi brillator (AED) and Life Support 3 award as part of the core curriculum for 2015. All RLSS Trainer Assessors (TA) for the NBLQ have been notified that 2015 would be the last year for NBLQ and will be replaced with a new beach Lifeguard course entitled “National Vocational Beach Lifeguard Qualification,” to keep up with evolving and improving standards and procedures. In-service training courses were held throughout the 2015 season providing ski lls and theoretic study on resuscitation including aquatic and on- land rescues. This training additionally served as a means for the Lifeguard Superintendent to assess the service for readiness, as well as establishing individual appraisal measures.
Lifeg uard Achievements 2015/16
Hon. L. Craig Cannonier: Mr. Chairman, in addition to their daily lifeguard duties, this year, the Bermuda Lifeguard Service (BLS) was involved in the following: • Presented two water safety lectures in the community, one at the Bermuda Aquarium Museum and Zoo Aqua Camp, and [another] at the Bermuda Government’s Youth and Sports summer camp, Camp Kiskadee at Harrington Sound Primary School. • The BLS produced two successful Lifeguard Competitions in 2015. These competitions bring the entire service, as well as service alumni, together in comradeship and sport smanship which also serves to highlight their hard work, fitness and life- saving skills for the public. • They provided water safety coverage for the Bermuda Triathlon Association sanctioned tr iathlons during the season. • Conducted First Aid and CPR training for Government departments, as well as in the community in order to maintain instructor st aBermuda House of Assembly tus requirements with the Bermuda Red Cross. In addition to the Lifeguard Superi ntendent, we are pleased to report that three lifeguards qualified as instructors for the season to provide CPR/first aid instruction services for both the public and private sectors. • Were involved with EMO cleanup operations. The team carried out Island- wide clean- up and other related tasks. • The BLS continues to be active with the Water Safety Council with monthly meetings with the Lifeguard Superintendent on the board.
Lifeguard Operational Budget
Hon. L. Craig Cannonier: Mr. Chairman, $547,000 has been allocated to this budget. This represents an increase of $23,000 over 2015/16. This is due to the need to have adequate coverage for a longer season on the four beaches where we plan to operate this year. These beaches are Horseshoe Bay, John Smiths Bay, Clearwater, and Turtle Cove. Therefore, the full -time equivalents for the cost centre 78010, Lifeguard Service, on page B -208 are 12. This is the same number as 2015/16, but the plan for 2016/17 is to have the beaches open for a slightly longer period due to the heavier cruise ship schedule. So some planning has gone into that.
Performance Measures 2015/16
Hon. L. Craig Cannonier: Mr. Chairman, I would like to now highlight some of the performance measures of cost centre 78010, Lifeguard Service, page B -209, for Fiscal Year 2015/16. Total number of beaches patrolled in Fiscal Year 2015/16, four. Theses beaches currently include, as I already mentioned, the four. Our forecast includes two additional beaches, as it is anticipated that occ asional patrols of other public beaches may occur dur-ing the season due to special events and requests. These may include Admiralty House Park and Warwick Long Bay or Chaplin Bay. The total number of Visitor Assists per season is 5,618. Visitor Assists activities include basic first aid, answering questions from the public, helping find lost persons, et cetera. The total number of preventative actions is 3,928. The lifeguard training emphasises prevention. This is an increase in numbers as compared to 2014/15, when there were 3,567 pr eventative actions. Rougher seas, more rip currents, and less exper ienced swimmers may lead to more interventions from the lifeguards on duty.
Programme 6803— Park Maintenance Division
Hon. L. Craig Cannonier: Mr. Chairman, we now turn our attention to th e Park Maintenance Division, pr o-gramme 6803. The Park Maintenance Division is r esponsible for the landscaping requirements of all na-tional parks and other Government -owned lands. This involves hard landscaping, development, renovations, maintenance (mowing, pruning, edging), trash remov-al, tree surgery, and sanitation services. For our park landscape and maintenance crews, 2015 was another busy year. Budget co nstraints have created a reduction in staff numbers and challenges with equipment utilisation. The parks crews continued to work diligently to maintain their areas of responsibility. Mr. Chairman, in addition to routine maint enance and hurricane clean- up after [Hurricane] Joaquin, the landscape crews assisted with or completed the following projects: • The vistas above South Shore Park were pruned to provide broader views into the park. We have received countless praise from taxi operators who report that their visitors love taking photographs from these areas. • Botanical Gardens started renovations of many of the collections, enhancing the soil and pruning vegetation to boost the health of the plants and the aesthetics within the grounds. The fence around the main ring is being replaced, and the kitchen garden has been successful throughout the year. The work in the grounds continues. • The Tree Unit and Woodlands management teams carried out tree work and culling on Darrell’s and White’s Islands, after the trees were seriously damaged during the 2014 hurricanes. This work was necessary so that the Youth and S port summer events could occur. • The woodlands management crew also assisted at Police Headquarters to remove inv asive plants on the perimeter of the garage area and near the firing range. • At Government House, the eastern boundary received attention to remove overgrown vegetation to beautify the area. The Park’s masons also repaired a shoreline wall. • The landscape crew, which is responsible for new works and development, re- landscaped the Black Watch Well at Black Watch Pass in time for the rededication of t he well by the vi siting Third Battalion Royal Regiment Scotland Pipes and Drum. • At Store Hill Railway Trail, the site of the new footbridge, the landscape crew and tree unit cleared vegetation and re- landscaped the surrounds of the footbridge. • Tokio Millennium Kids Bicycle Series at the Arboretum, is held each Saturday afternoon from November to March. • Prison Programme: Prisoners from the Prison Farm assisted in providing landscape services 1330 9 March 2016 Official Hansard Report
Bermuda House of Assembly at Spittal Pond, John Smith’s Bay, and Ferry Point Park.
Mr. Chair man, we would like to take this opportunity to thank the Department of Corrections for their assistance throughout the year.
Parks Maintenance Operational Budget
Hon. L. Craig Cannonier: Mr. Chairman, a budget of $7,205,000 has been allocated to this cos t centre. This represents an increase of 2 per cent, or $130,000 as compared to the 2015/16 budget. This cost centre includes the budgets for Government House and Camden, Maintenance and Development, Eastern Parks, Tree Service, Western Parks, School Grounds, Tulo Valley, Botanical Gardens, and the Railway Trail. The increase in budget is attributed to an increase in the wages and maintenance supplies and equipment. The full -time equivalents for the cost centres 78015, 78020, 78030, 78035, 78040, 78045, 78055, and 78065 in the Park Maintenance section are 109.
Park Maintenance Performance Measures
Hon. L. Craig Cannonier: Mr. Chairman, referring to the forecast performance measures on pages B -209 and B -210 for Fiscal Year 2015/16, we present the following: Performance Measures for Tree Service, 78035, total number of trees felled, forecast of 150. This significant decrease as compared to 2014/15 is related to the fact that we were able to save many more trees that were damaged by Hurricanes Fay and Gonzalo than was initially anticipated. Performance Measures forecast for Tulo Valley Nursery, 78055, the total number of bedding plants produced, 30,000. This is on par with the previous year’s total. Now that repairs have been made to the nursery, the plant stoc k is increasing, and we expect a larger number by the end of the fiscal year. Performance Measures for Botanical Gardens and Arboretum, 78065, the total number of seasonal bedding displays developed are 30. This is down from the previous year because the c oncentration at the start of the 2015/16 year was to effect repairs from hurricane damage. Total number of annual and perennial plants installed at Botanical Gardens and Arboretum is 37,500. This was also lower than 2014/15 due to the fact that all crews w ere concentrating on hurricane repairs. Total number of interpretive tours conducted is 68. This was also reduced as compared to the prior year, due in part to staff reductions as result of the Voluntary Early Retirement Programme.
Administration and Plan ning Hon. L. Craig Cannonier: We will now look at Admi nistration and Planning, Programme 6804, on page B - 206, which is responsible for the day -to-day oper ations of managing the parks team, as well as park planning and designing, and developing management plans for all National Parks.
Administration and Planning Achievements
Hon. L. Craig Cannonier: This year, 2015/16, the Administration and Planning team were involved in the following projects of note: Footbridge in Smith’s Parish . A public/ pr ivate part nership with Limbo Up [Foundation] and Friends of the Bermuda Railway Trail and the D epartment of Parks saw the successful installation of a pedestrian bridge above Store Hill, Smith’s Parish, which links two formerly disconnected sections of the railway t rail. Now trail users do not have to walk onto the road at Store Hill to enjoy this section of the park, making it safer for families and pedal cyclists. Howe ver horse riders will need to continue to cross on the road. In preparation of this footbridge ins tallation pr oject, extensive clearance of non- native species has been undertaken to clear the pylons of vegetation. The Under 17 National Rugby Team donated their time and energy to assist with the clean- up. They helped to cull invasive plants and loaded u p the trucks with the horticultural waste. We take this opportunity to thank them for their involvement in this huge undertaking. As an amenity associated with this footbridge, three benches and one table were installed within a mile of each side of the tr ail for the comfort of trail users. The bridge has proven to be extremely popular with the public, as dozens of people are seen using the bridge daily. We take this opportunity to offer a sincere thank you to Mr. Lawrence Michael Murphy and Dr. Tucker Murphy for their remarkable achievement and continued partnership in linking and enhancing the Bermuda Railway Trail. Railway Trail Park. Surface remediation is in process in the central trail to address serious run- off onto the trail from a neighbouring farm . Google Mapping. A representative from Google Street View worked closely with the Park Planning section for two and half months to capture imagery of approximately 20 of the trails and open spaces in the Bermuda National Parks system. The Google represent ative arrived in May 2015, and commenced the work, which involved wearing a 50pound trekker kitted out with multiple cameras and a hard drive which recorded as the operator walked. The result is now evident for all to see on Google Maps, free of charge, and provides a priceless amount of exposure for Bermuda. Mr. Chairman, the Bermuda National Parks looks absolutely beautiful on this media.
Bermuda House of Assembly Restrooms. The Planning team installed 24 new portaloos in the national parks. These portaloos were used to replace o lder models which were beyond repair. We are pleased that we were also able to assist the St. George’s Cricket Club, the America’s Cup Bermuda, the International Race Weekend, and the “Round the Island Boat Race” with their events by providing restrooms for Cup Match and the boat race in August 2015, and the preliminary America’s Cup event on Front Street in October 2015, the Bermuda Government Emergency Exercise in December 2015, and at the Half Marathon and Marathon in January 2016. A volunteer group of area residents cleaned up parts of the Southampton Railway Trail with their focus on the Riddell’s [Bay] Railway Station. This wonderful group spent many days trucking away hun-dreds of bags of clothing as well as bulky household items. They also pruned trees and cleaned the interpretive sign on site. The Park Planning Team worked closely with the volunteers and this community pr ogramme. Half-Court Basketball Court. The Planning Team also reinstated a half -court basketball court at Chaplin Bay Park. The half -court has been regularly used since its completion in November 2015. Parson’s Road Playground. The heavily used Parson’s Road Playground was removed and replaced with completely new equipment and re - opened in August 2015, to the delight of the children and the community. After -school programmes, chi ldren from the neighbourhood, and nursery school groups enjoy the park daily, and it is also a popular site for birthday parties and family gatherings.
Administration and Planning Operational Budget
Hon. L. Cra ig Cannonier: Mr. Chairman, the budget for cost centre 78050, Administration and Planning, as seen on page B -206, is $1,252,000. This is an i ncrease of $51,000, or 4 per cent over 2015/16, due to the adjustment of salaries based on transferring a salary to the administration budget and the freezing of a salary due to the early retirement initiative.
Staffing
Hon. L. Craig Cannonier: The full -time equivalents for cost centres 78050 and 78110 as seen on page B - 208 are nine.
Performance Measures
Hon. L. Cr aig Cannonier: Mr. Chairman, I direct you to refer to the forecast of performance measures for Administration and Planning, 78050, for 2015/16, on page B -210. The forecast of tours and persons attending tours in Botanical Gardens are 100 tours with 800 vi sitors expected to attend. The forecast of park projects completed per year is 16. Agricultural Exhibition: Mr. Chairman, the D epartment of Parks did not produce the Agricultural E xhibition in 2015. Therefore, there are no performance measurements to repor t. While the Department of Parks is not officially hosting the Ag Show in 2016, we want the community to know that we are currently involved in working with partners both in the public and private sector on the show and are committed to ensuring that the E xhibition [will be] the success it has always been. Our teams will be working to prepare the Botanical Gardens, including the Main Ring, for the Ag Show, and will also be working on the days of the show, by assisting with trash collection, parking, et cetera.
Programme 6805—Forts and Historical Sites
Hon. L. Craig Cannonier: This section is responsible for the management and interpretation of the cultural resources that exist within the national parks. This includes the forts and batteries, as well as lim ekilns, museums, and magazines. As part of our UNESCO World Heritage Site, several projects were undertaken at Fort St. Catherine and other East End forts: At Fort St. Catherine: • The guides at Fort St. Catherine, who are also responsible for the management of historic sites in the National Parks, developed a new tour for the UNESCO World Heritage site forts. Entitled “World Heritage Fort Tour,” the tour provides a military history of St. George’s, the fort bus collects visitors from the Town Square, and fir st stops to Gates Fort, Alexa ndra Battery and on to Fort St. Catherine ident ifying historic landmarks and features during the entire journey, with commentary provided by one of the guides. The visitors then return to the Town Square. The response has been so positive that Fort St. Catherine has r eceived two Trip Advisor Certificates of Exce llence in 2015, receiving 4.5 out of 5 stars. Our goal is receive a perfect 5[ -star rating]! • A new promotional display including br ochures was designed and distributed to the L.F. Wade International Airport, ferry term inals, visitor centres, and hotels. The suits of armour which are used to hold the sign and brochures have proven to be an eye- catching display which visitors enjoy photographing. • Google Street View recorded the interior and exterior of the Fort St. Catherine, along with Martello Tower, Alexandra Battery, and Gates Fort. 1332 9 March 2016 Official Hansard Report
Bermuda House of Assembly • Fort St. Catherine was also booked for nine private functions, including weddings, birthday parties, and cocktail receptions for Exempt Companies. • Having recently celebrated 400 years, it is to be expected that the “Old Girl,” Fort St. Cath erine, would require ongoing repairs. Ther efore, several maintenance projects were un-dertaken including upgrades to the pump and water pipes; renovation of t he water tank and tank cover; installation of replacement water heater; air conditioning system replaced; r eception area flooring partially renovated. • Minor works were also carried out at other forts: o At Alexandra Battery, the guns and rails were rust -proofed and painted; o At St. David’s Battery, the workshops were cleaned and secured, the benches were painted, and the storage shed was painted; o At Martello Tower, the entrance was closed while we secured a new bridge to traverse the moat. We expect that the bridge will be installed by March 2016.
Forts and Historical Sites Operational Budget
Hon. L. Craig Cannonier: Mr. Chairman, the budget for this cost centre is $412,000. This represents a $17,000, or 4 per cent increase, as compared to the 2015/16 budget. The full -time equivalents for the cost centre 78080, as seen on page B -208, is five emplo yees, which is the same as the current fiscal year.
Performance Measures
Hon. L. Craig Cannonier: Mr. Chairman, referring to the forecast performance measures on pa ge B-210 for fiscal 2015/16, we present the following forecasts for the end of this fiscal year:
Forecast Performance Measures for Forts and Hi storical Sites 78080
Hon. L. Craig Cannonier: The forecast of adult a dmissions are 2,500. The numbers declined due to the breakdown of the minibus used to transport visitors to the fort during the peak season. However, the bus is now repaired and is being used to collect and transport visitors from the Town Square. Forecast of interpretive tours conducted are 150. The Fort team has commenced running tours from the Town Square to Fort St. Catherine and now that the bus is operational, we are pleased to report the increase over 2014/15, which was 132.
Training Undertaken at the Department of Parks Hon. L. Craig Can nonier: Mr. Chairman, the D epartment of Parks recognises the importance of hav-ing a trained and qualified team to equip them with the knowledge and skills necessary to be effective in the workplace. To this end, we are proud to share that the following has been achieved: • One superintendent completed seminars in Pesticide Management, Warm Season Weed Management, and Renovations and Construc-tion of Turf in Parks; • The Government House landscape crew completed a course [on] fertilizer application, including lab el knowledge and carbon/nitrogen ratios for Bermuda, with Mike Fisher from Fisher and Sons of Pennsylvania. • With the wonderful discovery of turtles hatc hing at Alexandra Battery in the summer of 2015, five officers attended a turtle nesting i nformation ses sion to identify potential turtle nesting sites on beaches in the national parks. • Thirty one lifeguards were trained at the Royal Life Saving Society Standard for the 2015 season. • One officer enrolled at Bermuda College to pursue an accounting certificate. • The lifeguard superintendent renewed his American Heart Association certification in CPR and AED. This year he was trained in the newest protocols which will then be taught to the 2016 seasonal lifeguards and park rangers. • Finally, officers within the Department of Parks undertook numerous courses on offer by the Department of Human Resources, and we take this opportunity to thank them for the excellent training that we received.
Proposed Projects for 2016/17
Hon. L. Craig Cannonier: Mr. Chairman, as we prepare for the upcoming fiscal year, and launch into the peak season, the Department of Parks has planned to undertake the following projects: 1. Installation of the next phase of replacement restrooms. The new restrooms will be accessible, as they will meet the United States Government's Americans with Disabilities Act (ADA) standard. 2. Renovate the western field at Southlands for use as the Community Garden. 3. At Fort Cunningham the crews will cull the i nvasives which are growing in the moat. 4. Provision of Inter pretation Training for the park rangers, fort guides, and the botanical garden guides. 5. Summer/seasonal repairs and renovations to several parks/beaches as necessary.
Bermuda House of Assembly 6. Various improvements to areas along the Railway Trail including, fencing and surfacing repairs, and installation of benches. 7. Native and endemic plants will be installed along the dunes at South Shore Park to r eplace those destroyed by recent hurricanes. 8. Martello Tower will have the new footbridge across the moat installed. 9. At Fort St. Catherine , the footbridge and the main gate will undergo replacement as they have reached the end of their lifespan. 10. Lighting will be installed at the Parson’s Road Park basketball court in order to extend usage at this popular site. 11. At Alexandra Battery, the shutt ers will be r eplaced. 12. The Harmony Hall Railway Station in Paget will be converted to a mini -museum and w atering station, paying tribute to the legacy of the railway trail and providing a refreshment stop for the trail users. 13. Upgrades to plant collections i n Botanical Gardens. 14. The boat slip at Kindley Field Park will be r epaired. We have had to postpone this project in the past due to competing priorities and hurricanes. 15. The Department of Parks will develop a formalised playground inspection and audit plan, which is important. We keep hearing about that, that we have an inspection and audit plan, and I commend you, Director, for getting that going because we continue to hear calls about us doing that. So it is good to hear that. This will assist us in plannin g our resources and staying on top of playground safety and repairs for our kids and families.
The Department of Parks team works hard, often in the hottest and coldest weather conditions, to provide us with beautiful and safe parks. I want to take this o pportunity to thank them for their effort and I thank the Director of Parks, Ms. Lisa- Dawn Johnston and her staff for their dedication and service. And I am sure many times they feel like it is a thankless job, but I am grateful. I always say that when I c ame into the Ministry I felt like the grass was above my head, you know, and it is good to see that we have made great headway, Director, with getting the island to what we believe it should be. So thank you. I have two more Heads and I am just going to take another drink before I go to Public Lands and Buildings. I have got to slow down, Mr. Chairman.
The ChairmanChairmanWhat was that? Hon. L. Craig Cannonier: We have got to seven o’clock, man.
The ChairmanChairmanNo need to slow down. [Laughter] HEAD 81 —DEPARTME NT OF PUBLIC LANDS AND BUILDINGS Hon. L. Craig Cannonier: Thank you for your patience. The Ministry of Public Works, Public Lands and Buildings, Head 81, is found on pages B -211 to B-213. Mission statement, Mr. Chairman, it is the …
No need to slow down.
[Laughter]
HEAD 81 —DEPARTME NT OF PUBLIC LANDS AND BUILDINGS
Hon. L. Craig Cannonier: Thank you for your patience. The Ministry of Public Works, Public Lands and Buildings, Head 81, is found on pages B -211 to B-213. Mission statement, Mr. Chairman, it is the r esponsibility of the Department of Public Lands and Buildings to “Efficiently manage the Government property portfolio to enable the delivery of effective public services.” (I am just going to take another drink, my throat is really, really dry.) Mr. Chairman, the department provides a cri tical support role to ministries and departments to ensure that their real estate needs are met in order for them to provide services to the public. I will highlight throughout my presentation, the programmes within the department as well as t he plans for the upcoming fiscal year that are designed to meet that responsibility. With that said, Mr. Chairman, I would like to provide the breakdown of the pr ogrammes under Head 81 as follows: • Administration— 8100; • Buildings —8101; • Estates —8102; • Land Sur veys—8103.
Mr. Chairman, the total budget allocated to the Department of Public Lands and Buildings is $20,799,000 for Fiscal Year 2016/17, which repr esents an increase over the previous fiscal 2015/16 budget allocation of $277,000, as seen on page B - 211. Whilst the increase in budget appears contr ary to the drive for reductions, it is a 1 per cent increase and follows a 10 per cent reduction in the budget from fiscal years 2013/14 to 2014/15, and a $10,000 reduc-tion in the 2014/15 to 2015/16 budget years. The i ncrease is mainly attributable to the addition of the Lands and Survey section to the Department from Land Title Registration and shows a commiserate r eduction in their budget. I will speak more to this when I deal with Programme 8103, Lands Survey Manag ement. Mr. Chairman, each year, I speak to the fact that Government buildings continue to age and, with the exception of the Dame Lois Browne- Evans Buil ding, are dated and reflect the business needs of a di fferent era. Choices need to be made as to whe ther we continue to patch existing buildings or look to the f uture and invest the capital in constructing modern, energy efficient buildings that meet today’s operation1334 9 March 2016 Official Hansard Report
Bermuda House of Assembly al needs. Whilst we have achieved savings on capital spend over the years, the result is an increase in operational costs including repair, maintenance, and electricity costs, and we are now seeing increasing capital costs as building components fail. Notwithstanding this fact, Mr. Chairman, the Department of Public Lands and Buildings will conti nue to do their best to efficiently utilise these funds to manage Government’s buildings and lands. The department has completed the first wor king draft of the Property Asset Management plan for the Government estate. The plan has identified what Gove rnment owns and what it rents from the private sector. It looks to how the land and buildings are currently being used and provides a road map to more efficient utilisation of these assets in the future to help deliver the corporate priorities and services of the Bermuda Government. It has also identified properties that do not meet our current or identifiable future needs and could potentially be disposed of. One of our key resources is our human r esources. It is not just about hiring and retaining the right people for the job, it is about their development and succession planning. The department has a total complement of 161 staff, as seen on page B -212. The department is committed to providing continued trai ning opportunities to the staff. It provides for a well - educated and motivated workforce with opportunities for advancement both within Government and the pr ivate sector. To this end, the department’s expenditure on training has increased from $29,000 to $55,000, an increase of $26,000, or 90 per cent, as can be seen on page B -212. Mr. Chairman, the department has, as with other departments, been subject to the recruitment freeze. Unfortunately, this together with the fact that it is a challenge to recruit and retain Bermudian professional staff across the range of disciplines required by this Ministry continues to provide a challenge for the department. As a result, only one professional post was filled this year, by a Bermudian, who, unfortunat ely, did not stay on. There are currently two vacant pr ofessional posts and 11 vacant industrial posts that are subject to the freeze, and permission is being sought to fill the posts. Mr. Chairman, during the Fiscal Year 2016/17, the Estates Section will continue to provide estate management services to all Government ministries. This section will also progress its work on the Government’s Estate Management Objectives, which a ddresses such items as the regularisation of encroachments both on the Railway Trail and foreshore, and the implementation of a strategic i nitiative to mi nimise Government's rental payments to third parties. I will speak more to the direction this section will take in 2016/17 in detail when I discuss cost centre 91004, Property Asset Management, in a moment. The health and safety of employees who work in our buildings and members of the public visiting for Government services, continues to be a high priority. The department works closely with the Health and Safety Office to remediate any issues found in Go vernment -owned properties in order to mitigate the risk to both employees and members of the public. Inclu ded with this is the Government schools and the health and safety of our students and staff. Mr. Chairman, on page B -211, you will note that there are now four main programmes for the D epartment of Public Lands and Buildings, namely: • Administration— 8100; • Buildings —8101; • Estates —8102; • Land Surveys Management —8103.
I will now consider and comment on the department’s four programmes in a little more detail.
8100 —ADMINISTRATION
Hon. L. Craig Cannonier: The total budget is $481,000. The Administration Programme is split be-tween two cost centres, namely: • Administration— 91000, ($172,000); • Training and Apprenticeship —91001, ($309,000).
The Administration Program whose objective is “to provide administrative support for the Estates and Buildings sections” has a budget of $481,000, split into two cost centres. When compared with the $236,000 allocation during Fiscal Year 2015/16, this budgeted amount represents an increase of $245,000, or a 104 per cent increase. I will speak to the reason for this increase in a moment. Within the department there are two main sections, the Buildings and Estates sections. The Estates section is responsible for the management of the Government estate and the Buildi ngs section is r esponsible for its maintenance and repair. This pr ogramme comprises mainly the director of the depar tment and the trainees and apprentices. Mr. Chairman, the Administration, cost centre 91000, has a specific budget allocation of $172,000 for Fiscal Year 2016/17, which represents a decrease of $64,000, or 27 per cent. This compares to the $236,000 allocated in the 2015/16 budget. These sav-ings were made by transferring one post from this cost centre to cost centre 91002.
91001—Training and A pprenticeship
Hon. L. Craig Cannonier: The Training and Apprenticeship, cost centre 91001, which had no budget for Fiscal Year 2015/16, has a budget allocation for 2016/17 of $309,000. The reason for the large i ncrease is that the apprentices and training budget
Bermuda House of Assembly were previously attached to cost centre 91003, within the Buildings Programme, 8101. The purpose of this programme is to recruit graduates to train as estates and building surveyors as well as apprentices for the trades. Unfortunately, the program has been unable to recruit graduates with degrees that were exempting degrees by the Royal Institute of Chartered Surve yors. Exempting degrees would mean that the graduates would only require two years work exper ience to achieve their professional designation. Wit hout the exempting degree, graduates, who already have three or four years of college under their belt, were looking at another three years of college to get an exempting degree and then a further two years of work experience before gaining the pr ofessional surveying designation. This is quite a commitment to ask of anyone, basically asking them to start college all over again after just graduating. So, Mr. Chairman, the department recognises that the key is to get high school students at the S3 level to consider taking the exempting degrees as their first choice for college/university. To this aim, the department is offering bursaries to any Bermudian student who takes an exempting degree. (I am glad these guys are doing this.) Unfortunately, we h ave had no applications for bursaries over the last few years, so this is a cry out to Bermudians. To combat this, a Bermudian estates surveyor and a building surveyor will be visiting schools to present to S3 students the advantages of a career in surveyi ng including the financial assistance that Government will offer. This is fantastic, Mr. Chairman, I am really, really glad to see this here. Mr. Chairman, interested students will have the opportunity to work during the summer holidays with Government sur veyors from a number of disc iplines. Those that then apply and start an exempting course with a Government bursary will be “adopted” by the department and assigned a mentor. We will work closely with that student ensuring employment opportunities during ho lidays and their development. This trainee budget will then be refinanced and the post reactivated as they near graduation to ensure that they have a position within the department on graduation. They will then be rotated through a number of departments to get a variety of surveying experiences to achieve their professional designation. Once staff achieve their professional designation, continuing professional development is an annual requirement. To maintain their professional design ation, from the director to the most recently qualified, staff are then required to follow a structured pr ogramme of continuing professional development, r eferred to as “CPD.” The department has identified a number of distance learning modules offered by the Royal Institute of C hartered Surveyors that the department will pay for if the staff enrol and complete the course. These modules are seen as core competen-cies for staff and will gain them certificates in facilities management and project management. Whilst the title of this cost centre includes apprentices, allocated funding for apprentices used to appear under cost centre 91003. This has been cor-rected in the Fiscal Year 2016/17 budget, so that both the apprentices and all training costs are budgeted shown under cost centre 91001. You will note the commitment that the department, and indeed the Mi nistry, has to succession planning and training. I have mentioned previously that the backbone of the d epartment is the trades. The department has a structured apprenticeship program me for the trades to e nsure succession planning in this critical area. These programmes include those pursuing certifications in electronics, carpentry, plumbing, air conditioning at the Bermuda College. Currently, there are four apprentices: one in the p lumbing programme; two in electrical; and one in heating, ventilation and air conditioning, commonly referred to as “HVAC.” We also offer team building and leadership for the staff to provide a career path through foreman and superintendent posts with furt her opportunities for gaining qualifications that open up senior management posts to those with the aptitude. Mr. Chairman, in the 2015/16 Fiscal Year this cost centre had no employees or full -time equivalents. In the 2016/17 Fiscal Year, there will be a total of six employees made up of five apprentices brought over from cost centre 91003, and one trainee surveyor post budgeted for in Fiscal Year 2015/16, being unfrozen and budgeted for in the 2016/17 Fiscal Year.
8101 —Buildings Section
Hon. L. Craig Ca nnonier: The total budget is $9,567,000. The Buildings Program is split between two cost centres, namely: • Services Management —91002, ($1,071,000); • Maintenance —91003, ($8,496,000).
Mr. Chairman, the Buildings Programme, as seen on page B -211, has a mandate “to effectively manage the maintenance, repair and minor renovation of all government buildings.” It is led by the Buildings Manager, Mr. Stephen Tucker, with a total budget of $9,567,000. Mr. Chairman, when compared with the $10,027,000 allocation during Fiscal Year 2015/16, this budgeted amount represents a decrease of $460,000, or 5 per cent over the prior year. As mentioned earlier, the transfer out of this cost centre of the apprentices caused a $309,000 reduction in this cost centre. In addition, a s avings of $151,000 was made, mainly through reductions in the budget for the contractors’ cost centre. Mr. Chairman, there have been other increases and savings made in this programme to reflect the changing work. In particular, the overtime budget has 1336 9 March 2016 Official Hansard Report
Bermuda House of Assembly increased from $100,000 in Fiscal Year 2015/16 to $500,000 in Fiscal Year 2016/17. The budget for overtime had been significantly cut in Fiscal Year 2015/16 as it was anticipated that the rate of pay for overtime was going to be renegotiated with the unions. This did not transpire and the actual overtime cost for the department required savings having to be made in other areas. The budget for 2016/17 overtime reflects the actual need and anticipated cost. Savings have been made in the materials’ cost centre to offset the i ncrease. The Building Maintenance funds are used for the operational costs associated with the maintenance and repair work to over 800 Government -owned buil dings, including Government schools. The Buildings Section employs 137 staff and is als o responsible for the preparation for major Government events such as the Opening of Parliament, and the General Election Polling Stations, among others.
91002— Service Management
Hon. L. Craig Cannonier: Mr. Chairman, the Service Management cost centre, 91002, has a specific bud get allocation of $1,071,000 for Fiscal Year 2016/17. When compared with the $1,046,000 allocated for the Fiscal Year 2015/16, this budgeted amount represents an increase of $25,000, or 2 per cent. This increase is attributed to t he change in full -time equivalents for this section increasing from 13 for the financial year 2015/16, to 14 for the year 2016/17. No new post has been created, but as I mentioned earlier, a post has been moved from cost centre 91000.
91003—Maintenance
Hon. L. Craig Cannonier: Mr. Chairman, the Maint enance, cost centre 91003, as seen on page B -211, has a specific budget allocation of $8,496,000 for the Fiscal Year 2016/17. When compared with the $8,981,000 allocation for the Fiscal Year 2015/16, this represents a decrease of $485,000, or 5 per cent. I spoke to the reason for the decrease earlier. Mr. Chairman, the Building programme total labour force of full -time employees, in both cost ce ntres, 91002 and 91003, stands at 137 as opposed to 142 in Fiscal Year 2015/16. The reduction is as a r esult of the move of the five apprentices to cost centre 91001. In addition, one post was added to 91002 from 91000 and two posts —I hope this does not get too confusing—and two posts added from 91004 to cost centre 91003. However, some three posts were frozen in 91003 owing to early retirement, leading to a net reduction in the cost centres 91002 and 91003, of five employees. The manpower is spread across administr ative staff, management, and the various work units. By balancing the workforce across all trades, [this] ensures that each work unit has sufficient tradesmen to deal with the various maintenance requests that the depot receives on a daily basis. Whilst our “in house” workforce will continue to be the first choi ce for works, they will continue to be complemented by a wide -ranging group of private contractors. These contractors provide services such as, general maintenance, painting, asbestos abat ement, mould abatement, plumbing, cleaning, and fire alarm inspections, to name a few. This supports the Government’s ongoing commitment to provide opportunities for local companies as well as maintain a mi nimal lean workforce to meet our needs. Mr. Chairman, the goal is to employ sufficient staff to carry out the ongoing maintenance of our property portfolio and use private contractors where needed. Owing to the age and obsolescence of many of our buildings, maintenance and improvements puts an increasing demand on our limited resources. Ho wever, there is a balance between hiring too many staff and wasting resources and hiring too few staff and becoming too reliant on contractors for day -to-day maintenance. It would be a waste of resources to be staffed for every building specialty and potential pr oject. The only time that the balance is severely challenged is after hurricanes when demands on contractors from the private sector often trump our requests. I am proud of our in- house team, and our tradesmen are amongst the best on the Island, and provide qual ity work and value f or money. The recent replacement of the hurricane damaged roof at the Jack King Building within the B otanical Gardens is a great example of this. It was quality work, Mr. Chairman, quality work done in a very short period of time under those constraints. So it is good to see that our people can deliver in such a tim ely fashion. Mr. Chairman, the Buildings Section staff has a complement of two building surveyors, who assist with the creation of schedule of conditions of our buildings with the goal of improving the maintenance program. The condition of our buildings provides a significant challenge to our limited resources. Prioriti sing works and a preventative maintenance program is key to success in this area and to the property asset management plan. Thes e surveyors are also responsible for developing the scope of works and tendering out of m ajor capital projects to the private sector. Once Cabinet has approved the award of the contract, the building surveyors then issue the contracts and the project manager then [sees] the contract on through to com-pletion.
8102 —Estates Section
Hon. L. Craig Cannonier: Programme 8102, Estates, total budget is $10,484,000. [The Estates program is split between three cost centres, namely:]
Bermuda House of Assembly • Property Asset Management —91004, ($3,881,000); • Insurance— 91005, ($6,603,000); • Government Rentals —91006, (nothing there).
Mr. Chairman, the mandate of the Estates Programme is to effectively manage the Government estate, to provide insurance cover on all Government buildings, and to facil itate and secure office and res idential accommodations for Government departments as needed. This section is led by the Senior Estates Surveyor, Ms. Sudell Joseph. The Estates Section provides property and land-related management service to all Government ministries and departments. This service includes i nsurance, acquisition, letting, rental, and disposal of land and property across the Island. The section is the custodian of the foreshore and seabed and is responsible for licences and leasing of same. Mr. Chairman, the Property Asset Management cost centre, 91004, together with the Insurance cost centre, 91005, and Government Rentals cost centre, 91006, have a total allocation of $10,484,000 for Fiscal Year 2016/17, as seen on page B -211. When compared t o the $10,259,000 for Fiscal Year 2015/16, this represents an increase of $225,000, or 2 per cent. Property Asset Management cost centre, 91004, as seen on page B -211, has a total allocation of $3,881,000 for Fiscal Year 2016/17. When co mpared to the $3, 751,000 for Fiscal Year 2015/16, this budget represents an increase of $130,000, or 3 per cent. Mr. Chairman, the reason for the increase is mainly for an increase in the rental budget to cover the rents for WEDCO properties that we rent for other Government departments, and for the new IT sof tware. The existing IT system used by the department is called PIMS [Property Information Management System] and was developed in 1998 as a bespoke system to meet the requirements of the department at that time. It has, unfortunately, reached the end of its working life and requires replacement in the short term. The department has gone through a procur ement process to identify an off -the-shelf system that will provide an integrated software package that i ncludes facilit ies management, estates management, and project management components. Mr. Chairman, the Estates team has conti nued to be hindered, as in the past, by not being fully staffed. The section has lost one of the new professional staff that joined the ranks las t year, leaving two professional posts vacant. The new hiring freeze has meant that approval has not yet been granted to fill these posts and they will remain vacant until approval is granted. The result of this is that the section is not fully staffed for the 2016/17 Fiscal Year and unable to be proactive and more efficient in the delivery of the various property services provided. However, mindful of the need to make savings, the section will continue to work diligently with the resources at its disposal to deliver on its mandate.
Asset Management Plan
Hon. L. Craig Cannonier: The first draft of the property asset management plan has been completed and comprises a number of elements. The property assets have been identified and recorded. Government - owned buildings are being audited to ensure that the existing occupiers are the most suitable occupiers for the space, and that they are making the most efficient use of the space. A similar exercise is being carried out for properties that are rented from the private sector. The goal is to maximise the efficient use of real estate, minimise our footprint, and thereby lowering the cost of renting space from the private sector. To this aim, the rent roll found on pages C -25, C -26 and C-27 for the 2016/17 Fiscal Y ear is reduced from $9,643,368 to $9,486,433, A savings of $156,935, or 1.6 per cent. The reductions were achieved through a combination of reducing the amount of space rented and renegotiating rents to current levels of market value at rent review and lease renewal. And we are grateful for our team being able to make those savings through that. The property asset management plan is the key to properly managing the Government estate. We are following the international best practice guidelines of the Royal I nstitute of Chartered Surveyors to: • prioritise property asset management; • link the property asset management plan to Government’s corporate vision; • link property asset management with all corporate strategies; • review arrangements for capital asset pla nning; • consider all practical options for financing of new property assets; • ensure that mechanisms are in place to measure customer satisfaction; • collect, analyse, store, and keep updated all relevant property asset data; • outline the objectives for each property asset; • establish clear strategic approaches to the ut ilisation of space and flexible working and colocation with partners and stakeholders; • conduct post -implementation reviews of all capital projects; and • engage with other organisations and share learning to drive a process of continuous i mprovement.
Mr. Chairman, there are over 30 Government - owned buildings that stand vacant and in various states of disrepair. These include Teucer House, the Old Hamilton Police Station, and the Bishop Spencer 1338 9 March 2016 Official Hansard Report
Bermuda House of Assembly Schoo l, amongst others. Part of the rationalisation of the Government property portfolio through the property asset management plan will be to bring properties that are needed back into use and to dispose of those properties that do not meet our current or anti cipated future needs. This past year there have been some successes with the Valerie T. Scott Building being renovated and brought back into operation to house the new PATI commissioner and her staff. Dominica Cottage was also refurbished after being vacant for a number of years and is now occ upied by the Ministry of Tourism’s hotel inspectors. The Department of Telecommunications and Energy was relocated from a private sector rented building to Government -owned accommodation and recognised some $168,630 per annum in savings. All good stuff.
Disposals
Hon. L. Craig Cannonier: Mr. Chairman, you may recall my recent interview with the Royal Gazette where I advised that it was my intent to bring a number of properties forward for sale as they did not meet our current or anticipated future needs. For the most part, the Public Estate [was] developed, not by design with a specific long- term plan to fit public service r equirements, but land resources came from unwanted military lands with buildings which were later recycled for new purposes or demolished and redeveloped. A major part of the land in the Estate came to the Go vernment from the Crown Lands Corporation after the British military left the Island in the 1950s. Further, former military lands were left to G overnment in the 1990s with the closures of the US Base in St David’s, the Southampton Naval Annex, and Tudor Hill Station adding significant tracts of land to the public estate. Much of the land has been vested into a number of quangos to manage and maint ain, including the BHC, BLDC and WEDCO. Mr. Chairman, the estate still being directly managed by the Ministry of Public Works is being r eviewed and those properties that have been identified for sale will shortly be brought before the House for approval for sale. It is important to note that these properties are not needed for current or anticipated operations and are therefore surplus to Government’s requirements. It is hoped that not only will the sales generate revenue, but reduce maintenance costs and provide an economic opportunity. And as I said before, the Asset Management Plan that we have been going through is quite extensive, and it has helped in a large way to identify these properties.
Facilities Management
Hon. L. Craig Cannonier: Mr. Chairman, the Royal Institute of Chartered Surveyors defines facilities management as the effective management of place and space, integrating an organisation’s support infr a-structure to deliver services to staff and customers at best value whilst enhancing organi sational performance. This is the guiding ethos of the Department of Public Lands and Buildings and the director has committed to delivering on it. The department is currently carrying out a review of the Government space standards with a view to a new standard that makes more efficient use of space and provides a comfort able and safe working environment. I spoke last year of ensuring that we make efficient use of space as every square foot of a Government building that is not eff iciently being used is wast ed and we have to rent space from the private sector. We must reduce our footprint and make meaningful savings in the process. To this end, the department has been working with the architects, management services, and interior design-ers on a new style of office that will reduce the current layout by up to 35 per cent, and hope to have a model office within a Government building within the financial year.
Insurance
Hon. L. Craig Cannonier: Mr. Chairman, $6,603,000, under Programme 8102, is allocated to cos t centre 91005, as seen on page B -211, for the provision of insurance coverage for Fiscal Year 2016/17. When compared to the $6,436,000 from the Fiscal Year 2015/16, this amount represents an increase of $167,000, or 3 per cent. The insurance paid for out of this cost centre includes buildings, marine fleet, vehicle fleet, and the general public liability coverage.
Insurance Settlement
Hon. L. Craig Cannonier: Mr. Chairman, I am pleased to report that agreement has been reached on the final settlement wi th our insurance company for the property damage in Hurricanes Fay and Gonzalo. The claim includes the quangos, golf courses, National Stadium, and Government properties and totals some $25 million. Government insures over 1,200 properties and more than half suffered some form of hurricane damage.
[Mrs. Susan E. Jackson, Chairman]
Hon. L. Craig Cannonier: Mr. Chairman—Madam Chairman, sorry I did not look up—Government’s Rental Budget, cost centre 91006, has no budget all ocation for Fiscal Year 2016/17, as compared to the allocation of $72,000 for Fiscal Year 2015/16. This cost centre is used to pay rents and deposits for pro perty from the private sector for departments that r equire more accommodation or [while] we are renovating their existing space. Thes e are now budgeted either by the department themselves or against each project where the move is as a result of works being
Bermuda House of Assembly undertaken. In addition, there are two buildings that are available and used as swing space for temporary accommodation reducing the need to rent any further temporary space, so you understand what we are d oing there.
Land Survey Management
Hon. L. Craig Cannonier: Madam Chairman, pr ogramme 8103, Land Surveys, with cost centre 91007, has been added to the department’s budget this yea r with a budget of $267,000, and three full -time e mployees. As I mentioned earlier, this section has been moved from the Land Title and Registration Depar tment to the Department of Public Lands and Buildings under the chief surveyor. The work of this secti on is more aligned with that of the department and is a much better fit. This section is led by Senior Land Surveyor, Mr. Sean Patterson, with a broad and demanding land surveying responsibility. This team provides traditional and specialised land surveying expertise and gui dance for the Bermuda Government; for example, they establish, maintain, and update a National Control Monument Network across Bermuda, ensuring that private land survey companies have a standardised and internationally compatible coordi nate system to utilise; they perform and advise on hydrographic surveying and survey projects pertaining towards the Global Positioning System which includes modelling the gravity field under Bermuda. Madam Chairman, a total of 24 individual land surveying requests have been performed this fiscal year, equating to 31 per cent of this section’s total accomplishments. Some examples of the engineering tasks are the Store Hill Railway Trail Foot Bridge; the Black Watch Pass roundabout; and the Severn and Swing Bridge in St. George’s; Cadastral surveys pertaining to post offices for sale; and topographic sur-veys pertaining to various road improvement schemes; and other infrastructure maintenance schemes. Madam Chairman, the Survey Section has an increasing demand for mapping products and Ge ographic Information System (GIS) data. To be able to support the Bermuda Government and the mapping needs, this small team must collect, analyse, quantify and disseminate all types of spatially related data. Examples range from a specific request for all public road drains and soakaways to be mapped for a maintenance schedule; to collect sewer system data for the Town of St. George’s, which is just one dataset component for a National Waste Management Initi ative; to update previ ous map datasets with the newest Topographic Map Data collected in 2012. Examples of updating include the new KEMH [King Edward VII Memorial Hospital] additions, the new Hamilton Pri ncess marina, and the new Black Watch Roundabout. They also provide advice and assistance to other Government departments to help disseminate this newer data as well as specialised department data. Madam Chairman, there is nothing pretty about this type of work; it is slow; it is tedious, and the demands this year have increased since last year. [There were] 54 Government mapping tasks acco mplished this fiscal year, equating to 69 per cent for this section’s total accomplishments. For example, the justice system alone r equested 39 tasks pertaining to Increased Penalty Zones and major court cases; murders, et cetera. These cases often require the senior land surveyor to attend court and testify to their validity, a further d emand of the section’s precious time. The Department of Public Prosecutions states these map products contribute significantly towards convictions. Another example is the EMO regarding tsunami awareness and potential surge mapping. This section is helping the National Disaster Coordinator to produce Emergency Disaster Directives and increased awareness through special mapping products. Madam Chairman, besides the standard surveying practices and GIS mapping that this small sec-tion conducts, they also provide advice and technical knowledge towards much larger and demanding pr ojects. For example, the Morgan’s Point Act amendment plans alone required 45 days worth of time and was accomplished in less than one month. This goes to exemplify that they are willing to go the extra mile to accomplish their tasks as quickly as possible. Madam Chairman, the Survey Section i s looking to increase efficiency and effectiveness by utilising Geographic Information System (GIS) based software to reduce processing time and increase the availability across the Government and out into the public.
Capital
Hon. L. Craig Cannonier: I now move to the Capital Expenditure Estimates, as seen on page C -6, which has a total budget $7,817,000. The Programme has five cost centres, nam ely: • Major Building Upgrade— 75112, ($2,670,000); • Bathrooms upgrade GAB/GPO —75298, ($147,000); • All Schools Mainte nance— 75309, ($2,000,000); • Sandys 360—75326, ($1,000,000); • Horseshoe Bay Beach —75327, ($2,000,000).
The Capital Expenditure Estimates for the Department of Public Lands and Buildings can be found on page C -6 of the Capital Development, for the Fiscal Year 2016/17, of $7,817,000. Compared to $4,050,000 for the 2015/16 Fiscal Year, this repr esents an increase of $3,767,000, or 93 per cent. 1340 9 March 2016 Official Hansard Report
Bermuda House of Assembly Madam Chairman, the Capital Expenditure for the Major Buildings Upgrade, cost centre 75112, has an allocation of $2,670 ,000 for the Fiscal Year 2016/17. When compared to the allocation of $2,000,000 for Fiscal Year 2015/16, this represents an increase of $670,000, or 33 per cent. The Capital Expenditure for the All School Maintenance, cost centre 75309, has an allocation o f $2 million. When compared to the allocation of $1,500,000, for Fiscal Year 2015/16, this represents an increase over the Fiscal Year 2015/16 of $500,000, or 33 per cent. The increase in these capital cost centres is as a result of the increasing age of G overnment buil dings and need for upgrades including electrical, plumbing, and mechanical to ensure the buildings r emain operational. And we are grateful that we were able to get those increases.
Capital Works Completed
Hon. L. Craig Cannonier: Whilst som e capital pr ojects for the 2015/16 Fiscal Year were necessitated by damage caused by recent hurricanes, a number of projects were completed without fanfare including: • the installation of new windows at the General Post Office Building in Hamilton; • refurbis hed bathrooms on Palmetto Road; • new roofs on buildings at Port’s and Darrell’s Islands; • refurbished bathrooms on the third floor of the General Post Office Building in Hamilton; • the refurbishment of the Valarie T. Scott Buil ding; • the refurbishment Dominica Cottage; • a new roof on the restaurant at the lighthouse in Southampton (and I must say, I just wanted to make a note here that we regularly went up to see these guys, they put a taskforce team on there and it was unbelievable how quickly they finished that project and it was fantastic to see the final work there); • a new roof on the Jack King Building at the Botanical Gardens, another fine example of our team working well together to get stuff done; • a new roof on the Catterick Building in St. George’s; • Major roof repairs at Elliot School; • A new roof system to replace the old asbestos roof at the Prospect Depot; • and there are others.
Capital Projects Underway
Hon. L. Craig Cannonier: There are a number of pr ojects that have already begun and will span the financial years including: • A new fire suppression and climate control system for Archives in the basement of the Government administration building across from us; • The replacement of five roofs at the quarry, including a number of asbestos roofs; • A new roo f system on the Reverse Osmosis plant in St. George’s; • Lefroy House roof repairs; • A new roof on the JJ Outerbridge Building at the Botanical Gardens; • Roof repairs and replacement to a number of buildings at the Police Prospect complex.
Capital Works Plann ed
Hon. L. Craig Cannonier: Madam Chairman, works planned for the Fiscal Year 2016/17 will include: • the sealing and painting of the exterior of both the Government Administration Building and General Post Office Building in the City of Hamilton, as well as much -needed plumbing upgrades; • New windows for the Government Administr ation Building; • New HVAC plant for Global House; • The Cabinet building will be refurbished both internally and externally, with new locally made custom wood windows being installed to match the existing, together with plumbing, electrical and HVAC upgrades; • The Sylvia Richardson Care Facility will be painted externally and also receive plant u pgrades; • This very House will receive some much needed attention such as instituting a new access route to the roof to enable workmen safe access (and that is at the moment, you will see outside on the back here . . . well, you may not see, but if you go out there you will see our workers have been diligent out on the porch here [building] a walkway to make it much safer for them to get on the roof to make sure that we have cool air in this wonderfully hot place at times), [new windows, further electrical upgrades, and a new HVAC system]; • The roof will be replaced at the Supreme Court #3 Building on Front Street, which is much needed; • The refurbishment of the Teucer House property to provide Government offices.
Madam Chairman, the Capital Expenditure for the proposed bathroom upgrades at the Government Administration Building and General Post Office has been given an allocation of $147,000 for 2016/17. When compared to the allocation of $150,000 for Fi sBermuda House of Assembly cal Year 2015/16, this represents a reduction of $3,000, or 2 per cent. The bathrooms on the second and fourth floors of the General Post Office and G overnment Administration Buildings have been tendered out and the contract will soon be awarded to complete these floors. Once these works are completed, works will begin on the lower floor bathrooms. The works on the third floor bathrooms were completed w ith minimum disruption so that the occupants were not unduly i nconvenienced.
Sandys 360
Hon. L. Craig Cannonier: Madam Chairman, one capital account has been allocated capital funds this year that was not allocated funds in Fiscal Year 2015/16; namely, S andys 360, or business unit 75326. A total of $1,000,000 has been allocated for the purchase of the property from the trustees of Sandys 360. The purchase is subject to final agreement with the trustees and subject to the approval of the Legislature. More details of this purchase and the reason for it will be presented to the House, if final agreement is reached with the Trustees.
Horseshoe Bay
Hon. L. Craig Cannonier: Madam Chairman, $2 mi llion has been allocated for works at Horseshoe Bay, 75327. The c apital funds will be used to address u pgrade requirements to the mechanical infrastructure as well as the construction of the new transportation hub in the parking lot. Madam Chairman, with the two Capital E xpenditures for the Major Buildings Upgrade, cost centre 75112, and All School Maintenance, cost centre 75309, the Buildings team shall continue to enhance its planned and preventative maintenance plan to counteract the costly measures associated with a r eactive approach. Besides the cost benefits of a planned approach, there is the added bonus of minimising the disruption to the occupants. The importance of properly planned maint enance has been highlighted by ongoing discoveries of mould. Most major Government buildings were constructed more than 30 year s ago. Over the past 20 to 30 years, many of our facilities have received only basic re- active maintenance and no planned or pr ogrammed maintenance. This practice has resulted in a portfolio of buildings that are currently facing major refurbishment needs, with their physical plant and m ajor systems having reached the end of their life cycle. The evaluation as to whether such buildings should be refurbished or even demolished will be assessed through the Property Asset Plan being prepared by our Estates Sec tion which will guide us through future maintenance decisions. School Works
Hon. L. Craig Cannonier: During Fiscal Year 2016/17, the Buildings Section will utilise cost centre 75309, or the All Schools Maintenance vote, to com-plete many projects that dem onstrate our varied abil ities and skill sets. The Buildings team will continue to work closely with the Ministry of Education to develop a planned maintenance programme by identifying and prioritising works based on safety and health, infr astructure, and s chool operations. These works need to be carefully planned to coincide with school holidays to minimise disruption to the school programmes. Teams from the Buildings Section have already begun inspections of the schools to identify and prioritise r epairs f or the new fiscal year. Madam Chairman, the Ministry of Public Works has responsibility for the maintenance of some 30 schools including pre- schools, primary, and middle schools. Ensuring that schools are ready for the new school year in September is not j ust limited to the buildings as there are a number of other depar tments/sections responsible for items such as the IT, grounds (parks), cleaning (custodians), materials and supplies, et cetera. Madam Chairman, many of the schools are dated and require extensive maintenance and repairs. They were designed and built for another era that did not envision air conditioning, computers, and smart boards. Most maintenance works cannot be completed during the school year for health and safety reasons and to minimise the disruption to classes. The majority of the work is therefore planned for and completed when the children are out on vacation. The longest vacation is the summer holidays which begin at the end of June and run through to early September when the new sc hool year begins. Madam Chairman, the financial year 2015/16 summer maintenance project began in April with crews inspecting and identifying maintenance and repair issues for each school. The scope of works for each school was then drawn up and agreed with the facilities manager from the Ministry of Education. The works were then planned to start as soon as the hol idays began. Some works which were deemed not to pose a risk to staff or students were begun before the schools closed for the summer. In addition, summer works had to take into account and work around summer programmes that are run in some of the schools. The planned works were extensive and i nvolved seven work units with over 120 staff including HVAC crews, electricians, plumbers, carpenters, m asons, and painters. All staff of the Buildings Section of the Ministry were fully engaged in these works right through the summer. The scope of works and tight time frame r equired additional resources to assist in this project. As such, contracts were awarded to companies to paint 1342 9 March 2016 Official Hansard Report
Bermuda House of Assembly the interior and exterior of Clearwater, Dame Marjorie Bean, Francis Patton, Lagoon Park Preschool, Lyc eum Preschool, Northlands Primary, Paget Primary, Port Royal Primary, and Somerset Primary School. In addition, our own crews painted Southampton Pr eschool. Whilst $1,500,000 was budgeted for school works for Fiscal Year 2015/16, a revised estimate i ncreased this to $3,500,000 as the works got underway and the scope of works increased. As the works were essential to ensure that the schools were open for the new school year, savings were made in other capital accounts. The goal was to ensure that critical works were completed before the start of the new school year and that no school would be unable to open for the new school year ow ing to maintenance issues. That goal was met and I would like to take this oppor-tunity to recognise the buildings team and the facilities management team from the Ministry of Education who worked so hard over the summer to ensure the schools were ready for the New Year . Madam Chairman, as stated, the school works project for 2016/17 has already begun with the Department working with the Ministry of Education and the recently released School Reorganisation A dvisory Committee’s Report of Findings and Recommendations (SCORE Report) in identifying the priority works. Schools identified to be cleaned and painted internally and externally include Devonshire Pr eschool, Warwick Preschool, St David’s Primary School, and Victor Scott Primary School. Daily there are m any small projects undertaken and completed by the buildings team. Many go unnoticed by the public and are carried out with little or no disruption to Government services. Irrespective of size or scope, great emphasis was placed on ensuring that the work w as carried out to the highest possible standards by the mostly all -Bermudian teams. Madam Chairman, revenue for the 2016/17 Fiscal Year can be found on page B -212 and is est imated at $4,900,000, which includes $3 million from property asset sales. There is an anticipated increase in the 8795 rental code from $1,500,000 in 2015/16 to $1,900,000 in 2016/17 to reflect foreshore lease i ncreases. The details of the $3 million property sales and the list of the proposed properties will shortly be brought to the House for approval. Madam Chairman, the 2016/17 Fiscal Year will present many of the same challenges as the pr evious years. The primary objective this year will be to complete and begin implementation of the Property Asset Management Plan. It is to efficiently manage the Government property portfolio to enable the deli very of effective public services. Madam Chairman, as I conclude the Budget Brief for Head 81, the Department of Public Lands and Buildings, it is important to note that charismatic lead-ership alone does not get the job done. It is the hard work, professionalism, and dedication of the staff that gets the job done, and I would like to take this opportunity to thank the team at Public Lands and Buildings for doing just that, getting the job done. Director Mr. Farrow, again, I want to thank you for many great pr ogrammes that you guys have in place for apprentices and trainees of Bermudians, and it should be noted, continuously. I now move to Head 82.
HEAD 82 —DEPARTMENT OF WORKS AND ENG INEERING
Hon. L. Craig Cannonier: Head 82, Department of Works and Engineering, is found on pages B -214 to B-220. Madam Chairman, the Department of Works and Engineering is responsible for the provision of essential services to the Bermuda public and the maintenance of highly visible major elements of the Government infrastructure which are extremely i mportant to the way Bermuda functions as a civilized and modern society. The range of varied and unique activities covered by the department includes: garbage collectio n and disposal; road maintenance and repairs; bridge maintenance; Government vehicle maintenance, as well as safe water extraction, treat-ment, and distribution. Services such as safe disposal of hazardous substances, disposal of vehicles and construction m aterials, recycling, composting, the maintenance and repairs of the Government’s infrastructure, which i ncludes roads, bridges, docks, and street lighting, are also carried out by this department. The professionalism and commitment that the staff and workf orce have demonstrated throughout the year needs to be applauded and I would like to take a moment to recognize the men and women of the D epartment of Works and Engineering. Madam Chairman, there are seven operational sections of the department: Highways; Structures; Electrical/Mechanical; Solid Waste; W ater/Wastewater; Tynes Bay Waste- to-Energy Facility; and the Quarry Facility —all of them are critical to the effective operation and maintenance of the Gover nment’s infrastructure. It is within this framewor k that I present the Department of Works and Engineering’s Budget Brief for Fiscal Year 2016/17. The mission of the Department of Works and Engineering is: To ensure the effective and prudent management of all operations and engineering services relating t o the construction, erection, improv ement, maintenance, and repairs of Government infr astructure. The services provided by the Department of Works and Engineering include:
Bermuda House of Assembly 1. Structural, electrical, and mechanical professional services; 2. Highways development and maintenance; 3. Water production and distribution, and se wage disposal; 4. Solid waste education, recycling, garbage collection and disposal, and composting; 5. Vehicle and equipment repair services; as well as 6. Transport and equipment support services.
Programm es
Hon. L. Craig Cannonier: Madam Chairman, the d epartment has seven programme areas, each with a number of sub- programmes or cost centres, as shown on pages B -215, B -216 and B -217 of the Approved Estimates of Revenue and Expenditure, namely: • Programme 8200— Administration; • Programme 8201— Engineering; • Programme 8202—Highways; • Programme 8203— Waste Management; • Programme 8204—Quarry Transport; • Programme 8205—Quarry Products; • Programme 8206— Water and Sewage.
2016/17 Operational Budget
Hon. L. Craig Cannonier: Madam Chairman, the recommended budget for the Department of Works and Engineering for the coming fiscal year is $31,426,000, which represents an increase of $1,261,000, or 4 per cent, from the 2015/16 budget level. This increase represents a commitment b y Government to ensure the critical services provided by the Department of Works and Engineering are adequately resourced and delivered to the public.
Programme 8200— Administration
Hon. L. Craig Cannonier: Programme 8200, on page B-125, Administration pr ovides for the senior management team of the department. In the past this i ncluded the chief engineer, assistant chief engineer, and an administrative assistant. The mandate of the senior management team is the efficient management of the seven sections of the Ministry, including: • Highways; • Structures; • Electrical/Mechanical; • Solid Waste, Water and Sewage; • Tynes Bay Waste- to-Energy Facility; and • Quarry Operations.
Madam Chairman, a $161,000 budget has been allocated for Fiscal Year 2016/17, as seen on page B-215. This represents a decrease of $1,000 as compared to the 2015/16 budget. This is due to the reduction in budget allocated for training and leaves sufficient budget for the chief engineer position with some administrative supplies only. Referring to t he performance measure under business unit 92000, Administration (page B -218) for Fiscal Year 2015/16, the total number of lost time personal injury accidents that have taken place in the department currently is 24. This means the OSHA accident frequency r ate for the department is currently 6.15. This is greater than the desired outcome of less than five and can be contributed mostly to the solid waste collections section where repetitive motion inj uries frequently occur. For Fiscal Year 2016/17, greater education and training will be utilised to help reduce these occurrences. The average number of training days per managerial staff member is forecast to r emain as five in the new fiscal year to reflect the need of staff to take the mandatory courses. Madam C hairman, the full -time equivalents for the cost centre 92000, on page B -217, Administration is one. This is the same as Fiscal Year 2015/16. I must note the important and critical nature of this role, as it provides oversight for all of Bermuda’s key publi c infrastructure and infrastructure development.
Programme 8201— Engineering
Hon. L. Craig Cannonier: Madam Chairman, the mandate of the Engineering Services Programme is to provide quality electrical, mechanical, and structural engineering services. A $2 ,274,000 budget has been allocated for this programme; this represents an i ncrease of $210,000, or 10 per cent, as compared to the 2015/16 budget. This programme includes cost centres 92001, Electrical and Mechanical Manag ement; cost centre 92002, Electric al Support; and cost centre 92003, Structures. The Electrical/Mechanical Management and Electrical Support (92001 and 92002) manage the provision of planning, design, construction, install ation, and maintenance services for electrical and m echanical system s associated with the Government’s facilities. This includes areas such as electrical power distribution, lighting, fire protection, security, telecommunications, heating, ventilation and air conditioning, as well as energy conservation, and acting as Gov-ernment’s functional authority in these matters. Cost centre 92001, Electrical and Mechanical Management, is estimated at $461,000 an increase of $17,000 from Fiscal Year 2015/16. This section pr ovides support on electrical and mechanical issues to other sections and departments throughout Gover nment. Although the team is small in size, the projects carried out are nevertheless very important and have far reaching impact. An example of which is the recent LED street lighting initiative, which is being carrie d out in conjunction with BELCO. Madam Chairman, you will recall that the init iative will replace the current high pressure sodium 1344 9 March 2016 Official Hansard Report
Bermuda House of Assembly lights with more efficient LED lights on all major public roads across the Island. The LED lights, which will use roughly hal f the energy of the present lighting, will realise a savings of millions of dollars going into in the future. Madam Chairman, referring to the performance measure (page B -218) for cost centre 92001, Electrical and Mechanical, the percentage of hours billed to projects for other Government departments is forecast to be 30 per cent for Fiscal Year 2016/17. This demonstrates the importance of the section in providing a service to others in the form of capital d evelopment. Madam Chairman, the full -time equivalents for the cost centre 92001, Electrical and Mechanical, found on page B -217, is six. This is one less than the estimate for the Fiscal Year 2015/16 due to the reduc-tion of one electrical engineering post. Cost centre 92002, Electrical Support, is mainly used to provide the budget for street lights. Cost centre 92002, Electrical Support, has been r educed by $6,000 to $1,216,000. As previously mentioned, it is the aim of the department to utilise energy saving LED street lights to further reduce this budget in the long term. Referring to the performance measures on page B -218 for cost centre 92002, Electrical Support, the number of new street lights to be installed in Fiscal Year 2016/17 is forecast to be 30. There are a signif icant number of lights being installed, for instance, on Spring Benny Road, Southampton and Hamilton Parish which we hope will help the community in this area. Madam Chairman, the full -time equivalents for the cost centre 92002, Electrical Support, found on page B -217, is zero. All pers onnel in the electrical section are now coded under cost centre 92001. The Structural Engineering Services, cost centre 92003, manage the provision of structural i nspection, design, construction, maintenance, and pr oject and contract management services, as well as acting as the Government’s functional authority on structural and related civil engineering matters. Madam Chairman, the budget for cost centre 92003, Structures, is $597,000 which represents an increase of $199,000. This increase is a consequenc e of the backlog of routine maintenance works caused by budget constraints. The Structures team has continued to operate throughout Fiscal Year 2015/16 with a lack of resources. There are currently only two pr ofessional engineers in the section. In the pas t, there have been up to seven professional engineers. The Ministry continues to attempt to recruit both local and overseas engineers but has been unsuccessful in the past five years, primarily due to better benefits being available elsewhere in competing jurisdictions. The Structures team, nevertheless, continues to carry out important Capital Works. I wish to acknowledge the Principal Structural Engineer and his small team, at that, for the dedication and commitment they have shown despite the challenges that they have been faced with. Madam Chairman, the work that the structures team carried out following the hurricanes is r eflected in the performance measure of 92003 (page B - 218) in that four inspections have already been carried out on bridges and 10 on docks during the year to date. The full -time equivalents for the cost centre 92003, Structures, on page B -217, are seven. This is the same as the estimate in Fiscal Year 2015/16.
Programme 8202—Highways
Hon. L. Craig Cannonier: Madam Chairman, the mandate of the Highways Programme is to develop and maintain the public road infrastructure to ensure the safe passage of motorists and pedestrians. This entails all work associated with the planning, design, and construction of road schemes and includes activ ities such as resurfacing, drainage, signage, road markings, retaining walls, and bus shelters. They are also mandated: • To provide technical advice to other Gover nment ministries and agencies on highway - related matters; • To manage the improvement of public r oads; • To assist citizens with their private road i mprovement needs under the Private Road I mprovement Act; and • To act as the Government functional authority on highways engineering- related matters.
Madam Chairman, a $3,985,000 budget has been allocated to this programme. This programme has increased by $280,000 as compared to the 2015/16 budget. This increase is due primarily to add itional funding for Highways crews to increase service levels across the Island.
92004—Management
Hon. L. Craig Cannonier: Cost centre 92004, Management, has a budget of $537,000, which represents a reduction of $49,000 compared to 2015/16. Madam Chairman, the performance measure for cost centre 92004, Highways Management, found on page B -218, indicates that the amount of comm unications received by the team from members of the public during Fiscal Year 2015/16 was 1,500, and the forecast for 2016/17 is also 1,500. This clearly reflects on the significant scope of the work, and number of issues that this section deals with continuously. Madam Chairman, the full -time equivalents for the cost centre 92004, Highways Management, as you see on page B -217, is nine. The post of assistant civil engineer is currently vacant following the resignation of the post holder. A
Bermuda House of Assembly trainee civil engi neer is currently gaining experience with other sections within the department through to September 2017 to broaden her structural and water engineering expertise and experience.
92005—Road Asphalt and Signs
Hon. L. Craig Cannonier: Cost centre 92005, Road Asphalt and Signs, budget is $830,000 which repr esents a reduction of $66,000. This reflects a greater proportion of the work that is carried out under Capital Schemes with a consequential reduction in maint enance materials charged to the operational bu dget. Madam Chairman, the performance measure for Business Unit 92005, Asphalt and Signs, on page B-218, shows that the amount of road centre line marked out during Fiscal Year 2015/16 is likely to reach 27 kilometres, which is on par with expect ations. The forecast for the road resurfacing is 7 kilometres versus the projected 10. The shortfall against target is due to the downtime on the asphalt plant because of unplanned replacement of parts. R efurbishment work that was commenced on the Mini stry’s asphalt plant in Fiscal Year 2014/15 has conti nued during 2015/16. It is anticipated that the refurbishment of the asphalt plant this year will make this piece of equipment more reliable in the fiscal year ahead. The full -time equivalents for the cost centre 9200 5, Asphalt and Signs, on page B -217, is 17, the same as in Fiscal Year 2015/16.
92006— Public Roads Maintenance
Hon. L. Craig Cannonier: The budget for cost centre 92006, Public Roads Maintenance, is $821,000 which represents an increase of $352,000 when compared to the 2015/16 budget. In anticipation of the America’s Cup, this increase allows for filling of vacant posts necessary for delivery of essential maintenance to retaining walls and sidewalks and other masonry and drainage works as the number of people increases due to the America’s Cup. Madam Chairman, the performance measures for cost centre 92006, Public Roads Maintenance, (page B -218) shows two new bus shelters erected during Fiscal Year 2015/16, one less than planned. However, 1,290 feet of new sidewalks are expected to have been completed in Fiscal Year 2015/16, well above the estimated 500 feet. This additional amount was mainly in association with the Black Watch Pass Roundabout project, sidewalks at Middle Road, Warwick (at White’s supermark et) and Middle Road, Southampton (at Industrial Park Road). Madam Chairman, the full -time equivalents for the cost centre, 92006, Road Maintenance, on page B-217, is 25. This is the same as the estimate for Fi scal Year 2015/16. 92007— Public Road Cleaning
Hon. L. Craig Cannonier: The budget for cost centre 92007, Public Road Cleaning, is $1,797,000. This has been increased by $43,000 mainly as a result of an increase operating costs of mechanical vegetation cutting equipment where practicable. It is antici pated that this will help improved the overall productivity of the unit and increase the service level overall. Madam Chairman, the performance measure for Business Unit 92007, Public Road Cleaning, on page B -218, indicates that in Fiscal Year 2014/15 some 14,000 kilometres of public road were cleaned by mechanical means. Reliability issues with the m echanical road sweepers have impacted on this aspect of service delivery in 2015/16 with approximately 6,150 kilometres of mechanical sweeping expected to be completed versus the projected 15,000. Madam Chairman, you should know that these support service personnel also get called out regularly to deal with emergency issues, such as wall collapses, fallen trees, fuel spillages, and rock falls. There were 35 emer gency call -outs for Fiscal Year 2015/16, up from our anticipated 20. Madam Chairman, if I may, I would like to take a moment to recognise these crews for the work that they have performed in these emergency situations many times at late hours or extremely early hours. It is a never -ending task, that most times goes unnoticed, but through their efforts, our roads and highways r emain safe. Madam Chairman, the full -time equivalents for the cost centre 92007, Public Road Cleaning, on page B-217, is 25. This is the same as Fiscal Year 2015/16.
92008— Private Roads
Hon. L. Craig Cannonier: The budget for cost centre 92008, Private Roads, remains unfunded due to budget constraints. The Ministry was therefore, unfortunately, unable to progress any works under this initiate for Fiscal Year 2015/16. The performance measure for cost centre 92008, Private Roads, indicated that the number of private roads on the waiting list for improvement under the Private Roads (Improvement) Act 1969 is 37, same as the previous year.
8203 —Waste Management
Hon. L. Craig Cannonier: The mandate of the Waste Management Programme is to arrange for the collec-tion and safe disposal of Bermuda’s solid waste. The aim of the Waste Management Section is to serve the people of Bermuda by providi ng a comprehensive waste management programme, utilising the best technologies for disposal, recovery of materials and 1346 9 March 2016 Official Hansard Report
Bermuda House of Assembly energy resources, protecting public health, and saf eguarding the environment. This includes: • Education regarding waste reduction, reuse and Recycling; • Waste recycling; • Waste collection; • Composting; • Land creation; • High temperature mass burn incineration with energy recovery (waste to energy); • Special and hazardous waste disposal; • The management and maintenance of the Tynes Bay Waste- to-Energ y Facility in a reliable, safe, and cost -effective manner; and • To act as the Government functional authority on all matters relating to solid waste, env ironmental engineering, waste to energy and process engineering.
Madam Chairman, a budget of $17,781,000 has been allocated to this programme for Fiscal Year [2016/17]. This represents an increase of $1,874,000 as compared to the 2015/16 budget. This is account-ed for by [last year's] 50 per cent cut in the overtime budgets and the removal of the recycling programme, which have both now been restored to normal budget levels in order to provide acceptable service levels in these critical areas.
92009—Managment, Education and Enforcement
Hon. L. Craig Cannonier: Madam Chairman, the budget for cost centre 92009, Management, Educ ation and Enforcement, is $373,000 which represents an increase of $18,000. The increase is for various repairs for bus stop bins, public docks, and also to assist on KBB clean- ups and clean- up of illegal dump sites. This is needed because the bulky waste truck service was decreased to save the Government over $100,000, and is no longer available. The performance measure for 92009, Solid Waste Management, on page B -218, is forecast in Fiscal Year 2015/16 to have carried out some 55 educational lectures during the year. These include both schools and corporate entities and target such aspects as waste reduction at source. This helps to keep Bermuda in line with global trends. The Solid Waste Section is also forecast to place 1,496 advertisements for 2015/16. All promotional activities such as radio advertisements, interviews, and print advertisements are targeted specifically for waste- related events. The full -time equivalents for the cost centre 92009, Solid Waste Management, on page B -217, is three and remains the same as the previous fiscal period.
92011—Recycling Hon. L. Craig Cannonier: The budget for cost centre 92011, Recycling, is $839,000 which is an increase of $671,000 when compared to Fiscal Year 2015/16. This increase is becaus e no funds were allocated for the recycling budget last year and the shortfall had to be garnered from other sections within the Works and Engineering Department, as well as an application for budget supplemental. I am pleased to be able to say that the recycling operations will continue. The performance measure for 92011, Rec ycling, indicates that the amount of recycling materials picked up in a month for Fiscal Year 2015/16 is still projected to be 100 tons, and the amount of e- waste picked up in the year will be around 50 tons, in line with estimates. The full -time equivalents for the cost centre 92011, Recycling, on page B -217, is five, the same as Fiscal Year 2015/16.
92012— Airport Disposal Facility
Hon. L. Craig Cannonier: The budget for cost centre 92012, Airport Disposal Facility, is $1,304,000 which is an increase of $231,000. This increase provides for additional equipment hire to create a new disposal cell at the airport site, and in addition for electricity char ges for the weigh bridge which were previously paid for by the Department of Airport Operations. The performance measure for 92012, Airport Disposal Facility, on page B -219, shows that it is for ecasted that 20,000 loads of materials will be delivered to the Airport Disposal facility and t he number of cars scrapped will be around 800 during Fiscal Year 2015/16, on par with estimates. The full -time equivalents for the cost centre 92012, Airport Disposal Facility, are six. The estimate for 2015/16 was five.
92013—Composting Operations
Hon. L. Craig Cannonier: The budget for cost centre 92013, Composting Operations, is $1,745,000 which represents an increase of $188,000 when compared to Fiscal Year 2015/16. This addition will be used to truck excess wood waste to the Tynes Bay facility for additional energy recovery, maximising the potential of the new turbine. Additionally, the increase will be used for security service charges, cleaning services, and roof maintenance. During Fiscal Year 2015/16, only two hot spots have been detected to date. Madam Chairman, the full -time equivalents for 92013, Compositing Operations, is nine. This is the same as the previous fiscal year.
92014 Special and Hazardous Waste
Hon. L. Craig Cannonier: Cost centre 92014, Special and Hazardous Waste, has been budgeted
Bermuda House of Assembly $1,314,000 which represents an increase of $231,000. The increase is for the packing, shipping and disposing of a backlog of certain hazardous waste materials that must be shipped off -Island by a certain date this year. The performance measure for cost centre 92014, Hazardous Waste, on page B -219, forecasts that for Fiscal Year 2015/16, 50 20- foot containers will be exported overseas; to date 30 have been exported. Madam Chairman, the full -time equivalents for the cost centre 92014, Hazardous Waste, is six. This is the same as the estimate for the previous fiscal year.
92029—Collections
Hon. L. Craig Cannonier: The budget for cost centre 92029, Collections, is $4,895,000 which has i ncreased by $563,000 when compared to Fiscal Year 2015/16. This is an essential service to ensure the garbage is collected in a timely manner to protect the health and safety of Bermuda residents. The increase is due to the required overtime spend, which was r educed by half last year, necessary to complete garbage collection when trucks are unavailable due to repairs. This increase will help to ensure that the twoday-a-week collection becomes more reliable. The performance measure for cost centre 92029, Collections, on page B -220, indicates that on average 400 tons of domesti c waste continues to be collected during the week. The section also has had its challenges during Fiscal Year 2015/16. Some of the positive changes, however, have been the add ition of GPS to the refuse vehicle fleet. This enhanc ement will allow for increas ed efficiency through the optimisation of route and trip times, courtesy of the data provided via the GPS. The full -time equivalents for the cost centre 92029, Collections, on page B -217, are 58. This is the same as the estimate for Fiscal Year 2015/16 and represents a commitment to fill vacant posts from the present 50 staff to full complement in order to meet the service objectives.
92016—Tynes Bay Administration
Hon. L. Craig Cannonier: The Tynes Bay Waste- toEnergy Facility, now 20 years in service, Madam Chairman, continues to be a well -run and an efficient facility. It is anticipated during Fiscal Year 2015/16 that there will be 30 tours of the facility as indicated in the performance measure for 92016, Tynes Bay A dministration, on page B -219. These tours are typically taken up by schools, both local and overseas univers ities. The facility is also forecasting that there will be no complaints from the members of the public from the public drop- off facility, and the number of e mployed power engineers wi ll remain at 19. The budget for cost centre 92016, Tynes Bay Administration, is $529,000 and represents a de-crease of $12,000 from the 2015/16 budget. This is attributed to reductions in funding for training and office supplies. Madam Chairman, the full -time equivalents for the cost centre 92016, Tynes Bay Administration, is five. This is the same as the previous fiscal year.
92017—Tynes Bay Operations
Hon. L. Craig Cannonier: The budget for cost centre 92017, Tynes Bay Operations, is $4,491,000 repr esenting a decrease of $37,000 from Fiscal Year 2015/16. This savings was achieved through a reduction in training budgets for this cost centre. The performance measures for 92017, Tynes Bay Operations, on page B -219, anticipates that 54,000 tons worth of solid waste will be treated at the Tynes Bay Waste- to-Energy Facility during Fiscal Year 2015/16. This figure represents an anticipated minimal change compared to the actual figures r eported for Fiscal Year 2014/15 and is reflective of the slowly improving economy with no further downward trend. It is anticipated for this figure to grow next fi scal year with the increase of on- Island population in preparation for the America’s Cup. The amount of electricity generated and sold to BELCO was forecast to be slight ly more in 2015/16 as compared to the previous year. However, the r evised outcome is projected to be less than the original forecast due to turbine downtimes associated with planned outages. These outages were necessary to tie the new Turbine Generation set into existing infr astructure, which has proven somewhat challenging due to the mixing of old and new technologies. Est imates for Fiscal Year 2016/17 include a greatly i ncreased export of electricity to BELCO of 42,000 kil owatt hours per year versus the previous 25,000 due to the new turbine. The revenue generated at the Tynes Bay Waste -to-Energy Facility as given on page B -217 also reflects the increase in electricity sales in Fiscal Year 2016/17, representing approximately $7,500,000 of income due to th e installation of the new turbine. The revised forecast for the amount of ash concrete the facility produces is 5,000 cubic yards. This is on par with the original forecast for Fiscal Year 2015/16. Target outcomes for 2016/17 have been set to 5,500 cubic y ards to match the anticipated refuse increase. The full -time equivalents for the cost centre 92017, Tynes Bay Operations, is 31. This is the same as for the previous fiscal year.
92018—Tynes Bay Maintenance
1348 9 March 2016 Official Hansard Report
Bermuda House of Assembly Hon. L. Craig Cannonier: The budget for cost centre 92018, Tynes Bay Maintenance, is $2,291,000. That is an increase of $21,000 from Fiscal Year 2015/16. The performance measure for cost centre 92018, Tynes Bay Maintenance, indicates that the availability of stream one, stream two, and the turbine is forecast to be slightly less than predicted at 70 per cent, 80 per cent, and 75 per cent, respectively, for Fiscal Year 2015/16. These outcomes are due to planned replacement of boiler components for units one and two, and the installation of the new turbine. For Fiscal Year 2016/17, it is anticipated the availabi lity of unit one to be greatly increased following its maintenance taking place this fiscal year, with unit two slightly down due to its maintenance taking place in Fiscal Year 2016/17 and the new t urbine to be at normal availability following its full installation. The full -time equivalents for the cost centre 92018, Tynes Bay Maintenance, are 16. This is one more than the estimate for Fiscal Year 2015/16. This represents funding for addition maintenance perso nnel.
8204 —Quarry Transport 8205 —Quarry Products
Hon. L. Craig Cannonier: The mandate of the two Quarry Programmes is, collectively: • to manage the fleet and equipment leasing, mechanical maintenance, quarry operations; and • to act as the Government functional authority on all matters related to fleet management and vehicle and other mechanical engineering and maintenance activities.
Programme 8204—Quarry Transport
Hon. L. Craig Cannonier: Madam Chairman, a $7,924,000 budget and a $5,200,000 internal hire budget for vehicle rentals and maintenance has been allocated to this programme for 2016/17. This budget has been increased by $159,000 as compared to the 2015/16 Budget.
92019—Quarry Administration Hon. L. Craig Cannonier: The budget for cos t centre 92019, Quarry Administration, is $591,000 and has increased by $69,000 as a result of the increase in electricity charges. There have been to date, 13 personal injury accidents in Fiscal Year 2015/16 for the quarry wor kforce. This figure relates t o reported lost time incidents which includes medical attention for ongoing condi-tions and is above the target given on the perfor-mance measure for cost centre 92019, Quarry Admi nistration. Madam Chairman, the full -time equivalents for the cost centre 9201 9, Quarry Administration, is two. This is the same as the previous fiscal year.
92020—Quarry Vehicles and Equipment Operation
Hon. L. Craig Cannonier: The budget for cost centre 92020, Quarry Vehicles and Equipment Operation, is $2,644,000, which has dec reased by $267,000. This decrease is due to a decrease in staffing costs. The performance measure for cost centre 92020, Quarry Vehicle and Equipment Operation, forecasts on page B -219 that in Fiscal Year 2015/16, 88 per cent of the Government fleet remains in oper ation. Madam Chairman, the full -time equivalents for the cost centre 92020, Quarry Vehicle Equipment O peration, is 32. This is five less than the estimate for Fiscal Year 2015/16, and is due staff taking the early retirement package.
92021—Quarry Vehicles and Equipment Maintenance
Hon. L. Craig Cannonier: The budget for cost centre 92021, Quarry Vehicles and Equipment Maintenance, is $4,689,000, which is an increase of $357,000. This increase in maintenance costs reflects the increased burden of an ageing fleet, increase in fleet numbers, and increase in cost of materials. The Operation and Maintenance of the Government vehicle and equipment fleet continues to be hampered by outdated facilities and issues with securing parts in a timely fashion. T he section workshops are currently undergoing extensive work to replace the asbestos roofs of the facility that were damaged during the hurricanes and which were leaking. The performance measure for cost centre 92021, Quarry Vehicle and Equipment Maintenance, indicates that it currently takes on average seven hours to carry out a full service on a Government v ehicle. This includes all types of vehicles and construction equipment. It is expected that this will be mai ntained at an average of eight hours for t he Fiscal Year 2016/17. The full -time equivalents for the cost centre 92021, Quarry Vehicle Equipment Maintenance, are 49. This is one more than the estimate for Fiscal Year 2015/16. The section has arranged factory training of three Quarry Depot mechanics at Isuzu in Japan. This demonstrates the Ministry's commitment to training. It is also important that the Ministry continues on such initiatives as part of succession planning.
Programme 8205—Quarry Products
Hon. L. Craig Cannonier: A $2,140,000 budget and a $2,640,000 rechargeable budget for quarry products have been allocated to this programme. This repr eBermuda House of Assembly sents a decrease of $546,000 when compared to the previous fiscal year, primarily due to an increase in asphalting works. Refurbishment work that was commenced on the Ministry’s asphalt plant in Fiscal Year 2014/15, has continued during 2015/16 which it is hoped will make this piece of equipment more reliable in the f uture. The performance measure for cost centre 92023, Asphalt Plant, shows that unplanned downtime on the plant will result in only 9,000 tons out of a pr ojected 11,000 tons of asphalt is anticipated for Fiscal Year 2015/16. With the additional maintenance performed to the plant during this fiscal year, the forecast for Fiscal Year 2016/17 i s back to 11,000 tons of asphalt. This is sufficient to carry out 10 kilometres of resurfacing, as well as producing material for filling potholes throughout the year. The full -time equivalents for the cost centre 92023, Asphalt Plant, are seven and this is the same as the previous estimate. Programme 8206—Water and Sewage Hon. L. Craig Cannonier: The mandate of the Water and Sewage Programme is: •to provide planning, design, construction, o peration, and maintenance of the Government water extraction; •to produce potable water on a cost -recovery basis to meet demand; •to provide septage receiving facilities for pr ivate sanitation truckers and for limited public facilities; and •to act as the Government functional authority on all matters related to water and waste w ater engineering. Madam Chairman, a $5,001,000 budget has been allocated to this programme. This represents a decrease of $715,000 as compared to the 2015/16 Budget. 92025—Water and Sewage Administration Hon. L. Craig Cannonier: The budget for cost centre 92025, Water and Sewage Administration, is $968,000 which represents a decrease of $195,000 as compared to the 2015/16 Budget. This represents a reduced purchase of bulk water from WEDCO and Bermuda Water works as a result of improvements to the di stribution network. The performance measure for cost centre 92025, Water Section Administration, indicates that there are forecast to be 960 metered customers for Fiscal Year 2015/16. The intentions for Fiscal Year 2016/17 are to increase the number of metered customers to 980. The administration area within the section has so far achieved 85 per cent response within 24 hours to enquiries by customers during Fiscal Year 2015/16, which is a very creditable statistic. The full -time equivalents for the cost centre 92025, Water Section Administration, are five. 9202 6—Water Supply and Treatment Hon. L. Craig Cannonier: The budget for cost centre 92026, Water Supply and Treatment, is $2,877,000 which is a decrease of $462,000. This will ensure that there is sufficient allocation to pay for contractors who supply supplementary bulk water, remote monitoring and control systems support, and to pay for the electricity charges associated with water treatments plants within the infrastructure. The performance measures for cost centre 92026— Water Supply and Treatment, on page B -220, forecasts that 210 million gallons of potable water will be produced during Fiscal Year 2015/16. This repr esents a reduction in the quantity produced in Fiscal Year 2014/15 which had suffered from a longer per iods without rain fall. A large percentage of water is rejected during the reverse osmosis process to turn source water into potable water. This explains why the total amount of water extracted is approximately do uble than that produced. The volume of water extracted from the water lenses are monitored by the Department of Environmental Protection (DEP) to ensure that abstraction limits are not exceeded. A report is submitted to DEP on the abstraction rates on a quarterly basis. The full -time equivalents for the cost centre 92026, Water Supply and Treatment, is eight, which is the same as the previous fiscal year. 9202 7—Water Storage and Distribution Hon. L. Craig Cannonier: The budget for cost centre 92027, Water Storage and Distribution, is $830,000 which represents a decrease of $105,000 as a result of a reduction in overtime and other ancillary costs. The performance measure for cost centre 92027, Water Storage and Distribution, is forecasting for 2015/16, 32 per cent for non- revenue w ater. Nonrevenue water is an indicator as used by the American Water Works Association for total system loses that are not recovered through billing. This figure has largely arisen due to inaccurate meter readings. Nonrevenue water is an indicator as used by the American Water Works Association. According to the American Water Works Association, small systems, such as the one operated by the Water Section, can have non - revenue water figures ranging between 12.2 per cent and 45.5 per cent with the average being 24.1 per cent. Therefore, Bermuda is marginally above aver-age. Due to the limited resources within the Water and Sewage Section it has not been possible to ex-tend the distribution network in Fiscal Year 2015/16 to 1350 9 March 2016 Official Hansard Report
Bermuda House of Assembly date. Funds have been used to repair some of the failing existing infrastructure instead of providing a better service to existing customers. The full -time equivalents for the cost centre 92027— Water Storage and Distribution are 8 and this is equal to the estimate of the previous fiscal year .
92028— Sewage Collection
Hon. L. Craig Cannonier: Has a budget $326,000 and has been increased by $47,000 to ensure that there is sufficient budget allowance to pay fees to the Corporation of Hamilton for conveyance of sewage, maintenance and effluent analysis of the Tynes Bay Septage facility required by licence. The performance measure for cost centre 92028 gives the total amount of septage waste r eceived at the Tynes Bay receiving facility. The performance measure also gives the amount of time as a percentage that the Tynes Bay receiving facility is o perational. The commitment to weekly maintenance has proven to be very successful in having the septage facility operational for a high percentage in Fiscal Year 2015/16. Increased monitoring and increased maintenance have allowed the facility to continue to operate efficiently. The full -time equivalents of the cost centre 92028, Water Sewage and Distribution, is one. This is the same as the previous fiscal year. Madam Chairman, the water revenues which include both domestic and commercial for 2016/17 depicts a reduction of $645,000 from Fiscal Year 2015/16. This was due to a change in rainfall patterns from previous years, which led to less demand and less water sales.
Staff
Hon. L. Craig Cannonier: Madam Chairman, staffing levels within the Department of Works and Engineer-ing are shown on page B -217. Employee numbers estimates for the 2016/17 budget are 341, which is an increase of two when compared to those in Fiscal Year 2015/16. This increase is to acc ommodate posts at the Materials Recovery Facility (MRF) for the Island’s r ecycling programme.
Review of Major Capital Projects
Hon. L. Craig Cannonier: I now wish to provide Members of this Honourable House with a summary of the status of the major capit al projects being managed by the Department of Works and Engineering. The overall 2016/17 Capital Expenditure Plan for the Department of Works and Engineering is $27,867,000. Details are found on page C -7 of the Approved Estimates of Revenue and Expenditur e 2016/17. 75096— Swing Bridge Refurbishment
Hon. L. Craig Cannonier: The 2016/17 estimate for this cost centre is $8,290,000. This budget will be used to continue the works currently in progress for the repair and replacement of structural elements of the Swing Bridge in St. George’s. You will be aware that we have already commenced on the essential maintenance works to Swing Bridge. This bridge was rehabilitated in 2002 with a projected life of the works of 10 years. This year we have initiated vital works to refurbish this bridge and return it to full working order. The intent behind these works is to provide a fully operating bridge with a life span far beyond that of the previous repairs. While it is too early at this stage of the project to give absolute assurances, we are working toward a solution that will provide an opening structure for the summer of 2017 and aiming for a maintenance lifespan of 25 to 30 years. In the interim we have designed measures to increase the strength of the existing bridge that we hope to install shortly, and at the same time are developing options to increase traffic to two lanes until the refurbishment is complete. This is a new budget cost centre for this coming financial year.
75042—Road Works
Hon. L. Craig Cannonier : Estimate for this cost centre is $4,450,000. This budget comprises major maintenance work to the road network, which includes road resurfacing, as well as road improvement schemes such as junction improvements, road widening, and new sidewalks. In 2015/16 significant road improvements have been completed at the roundabout at the junction of North Shore and Black Watch Pass in Pembroke; the widening and raising of the road at Dutton Avenue in Pembroke to make it more resilient against the risk of flooding; extensive repair works to Perim eter Lane; and the widening of Middle Road in Warwick at the junction with Burnt House Hill. In 2016/17, the Road Works programme will be targeted infrastructure renewal works to improve the overall condition of the public r oad asset, namely: road resurfacing projected at $3,500,000, fencing r eplacement, sidewalk reconstruction, and crossing junction improvements projected at $700,000, and drainage infrastructure projected at $200,000.
75044—Water Projects
Hon. L. Craig Can nonier: This programme is for planned and unforeseen small to medium water and sewage projects, including a requirement in every year to provide equipment and general facility upgradBermuda House of Assembly ing to meet ongoing treatment, environmental, and safety -related issues. T he 2016/17 estimate for this cost centre is $1,068,000. This budget will be used to complete the first phase of the upgrade of the septage plant with the addition of “the beast.” This new equi pment will greatly modernise the current sewage r eceiving facili ty and remove greater amounts of contaminates from the waste stream. Funding for this budget will also facilitate the installation of a third well for Tynes Bay Sea Water RO plant to allow it to pr oduce one million imperial gallons per day, which will be vitally required for the anticipated spike in demand during the upcoming America’s Cup. And finally, the funding will be used to improve pumping systems at Prospect Depot to meet required distribution demands, as well as carrying out other improvements to the water and Sewage Section infrastructure.
75046—Improvements in Street Lighting
Hon. L. Craig Cannonier: The estimate for this cost centre is $403,000. This budget has been increased to cover the ongoing LED modernisation project currently being delivered by BELCO. As mentioned pr eviously, the project will see the long- term savings in the form of energy reduction and provide better quality lighting for the major roads in Bermuda.
75048—Bus Shelters
Hon. L. Craig Cannonier: The estimated budget $50,000. This budget will be used to build at least two new traditional looking bus shelters, as well as install a couple of Plexiglas shelters.
75051— Private Road Street Lighting
Hon. L. Craig Cannonier: Madam Chairman, the cost centre is budgeted $22,000. Thi s budget will, as in previous years, be used to provide extra lighting on private roads which can help with the safety of an area.
75061— St. George’s Sewage Plant
Hon. L. Craig Cannonier: The budget for this cost centre is $249,000. This budget will be used to pay for a study that will provide options for waste water servicing promised in the Throne Speech that is sorely needed in the St. George’s Area.
75064— Asbestos Disposal
Hon. L. Craig Cannonier: Madam Chairman, the estimate for this cost centre is $1,335,000 which will be used to continue the encasement with lightweight concrete of the containers holding asbestos, repack containers that have deteriorated too far, and also explore options to ship adequately packed materials to the United States for permanent disposal.
75116— Structural Refurbishment of Bridges
Hon. L. Craig Cannonier: The estimated for this cost centre is $970,000. This budget will be used to carry out repair work on Watford Bridge, Sandys.
75117—Refurbishment Ferry Docks and Publi c Landings
Hon. L. Craig Cannonier: The 2016/17 estimated budget is $890,000 which will be used to carry out engineering studies for the maintenance and deve lopment of Kings Wharf in Dockyard to ensure its f uture effective operation, as well as to provide maint enance works to the Fast Ferry Floating Docks. In Fi scal Year 2015/16, this budget has been used to manage the channel widening to accommodate the larger cruise ships which was completed in November 2015.
75127—Reconstruction of Retaining Walls
Hon. L. Craig Cannonier: The estimate for this budget is $445,000 and it is used to fund the repairs to eight collapsed retaining walls, which will be used to reconstruct walls that are on the repair list but which the department has not been able to do due t o other priorities.
75142— Stabilise Road Side Rock Cuts (Stru ctures)
Hon. L. Craig Cannonier: Madam Chairman, the d epartment was unable to undertake any works to stabilise road side rock cuts in Fiscal Year 2015/16 due to the commitment of resources to other priority projects. So for 2016/17, the estimate for this budget is $178,000.
75144—Foreshore Protection Work
Hon. L. Craig Cannonier: This cost centre is used to carry out repairs and mitigating measures to the for eshore. The 2016/17 estimate for this budget is $1,000,000. This will be used for the design and pr ocurement of foreshore protection works at Westgate Correctional Facility, Dockyard.
75207—Causeway Refurbishment
Hon. L. Craig Cannonier: We were again fortunate that the winds from Hurricane Joaquin did not cause significant damage to the Causeway. The Causeway itself was only closed for the duration of the storm. However, the structure is aging and is in regular need of maintenance and protection works to guard against severe damage from s torms. The 2016/17 estimate 1352 9 March 2016 Official Hansard Report
Bermuda House of Assembly for the cost centre is $356,000. This will enable the Ministry to carry out maintenance repair works to the walls of the Causeway that will ensure reliability and resilience to the elements.
75210—Tynes Bay Waste Treatment Expansion
Hon. L. Craig Cannonier: The capital funding for Fi scal Year 2016/17 is $1,335,000 and includes funds to complete the turbine installation works. The new 7.5 megawatt turbine is scheduled be fully operational by March 2016 and is projected to earn, as previously mentioned, approximately $7,500,000 in revenue for Government in the next fiscal year.
75258—Dangerous Walls and Rock Cuts (Hig hways)
Hon. L. Craig Cannonier: The estimate for the 2016/17 budget is $356,000. This cost centre is used to carr y out repairs to collapsed walls and rock cuts. The department has spent a significant part of the fi scal year repairing walls that were damaged by storms or as a result of poor construction.
75264—Quarry Refurbishment
Hon. L. Craig Cannonier: Madam Chai rman, the 2016/17 estimate for this cost centre is $178,000 which will be used to carry out design work to provide upgrades at the Quarry Depot.
75293— Pembroke Canal Upgrade
Hon. L. Craig Cannonier: This programme is for the upgrade of the Pembroke Canal . The 2016/17 est imate for this cost centre is $223,000. This will be used for channel improvements and for design work for culvert and bridge improvements to increase the flow along the channel.
75294—Reverse Osmosis Plants Electrical Systems
Hon. L. Cr aig Cannonier: This programme has been created for the upgrade of all the electrical control and remote monitoring systems in each of the water facil ities. The 2016/17 estimate for this cost centre is $325,000.
75308—Tynes Bay Capital Maintenance
Hon. L. Craig Cannonier: The 2015/16 est imated total cost of this cost centre is $2,670,000 and will be used for carrying out essential maintenance of the Tynes Bay Waste- to-Energy Facility. This alloc ation will facilitate the replacement of the super -heater bund les in unit two which were last replaced in 2003 and the water -wall system in unit two which has never been replaced and has been in operation now for over 20 years. In addition, the budget will also allow for the replacement of the baler machine, the Island’s refuse contingency solution, with a brand new machine. This will provide service continuity when the maintenance works take place and also provide essential service reliability for the approaching America’s Cup where refuse levels are anticipated to r ise sharply.
75317—Waste Water Treatment Facility WEDCO Grant
Hon. L. Craig Cannonier: This grant covers the f inancial commitment of the WEDCO Waste Water Treatment plant, which has been amortized over a 10year period. The current commitment for fiscal year 2016/17 is $1,650,000. The total amount spent to date is $12,204,000, out of a total authorised figured (TAF) of $15,600,000.
75324—Morgan’s Point Works
Hon. L. Craig Cannonier: The remediation of the contaminated lands at Morgan’s Point is now complete. I would like to thank all parties involved for bringing this most complex and challenging project to a successful close. Begun in April of 2013, this project was a first of its kind for Bermuda, both in terms of scale and execution, where Bermudian c ompanies carried out the majority of the work to very high international standards. With the work now substantially completed ahead of schedule, this brings us a monu-mental step closer to the proposed development of a first-class tourism product that will equate to more jobs and opportunities for Bermudians. I once again want to thank all who made this endeavour a success, especially our internal Government teams and local contractors who worked together diligently throughout this process. The major element s of work still outstanding are all on the Government retained lands and do not impact the proposed development. These include the removal of oil in Bassett’s Cave, remediation of the jet plume, capping of the landfill and shoreline stabilis ation. The 2016/17 estimate for this cost centre is $1,335,000.
Review of Major Capital Acquisitions
Hon. L. Craig Cannonier: I would now like to provide you with a summary of the status of the major acquis itions being managed by the Department of Works and Engineering, the details of which can be found on page C -12.
Quarry 76495— Vehicles and Equipment
Bermuda House of Assembly Hon. L. Craig Cannonier: The vehicles and equi pment to be replaced under the 2016/17 budget are those that have reached their economic target age and are in poor condi tion. The vehicles to be replaced are two 18- year-old crane trucks and two of the three 18-year-old roll -on/roll -off skip trucks which are used for garbage collection and waste transfer duties. Finances: The 2016/17 estimate for this annual allocation is $ 500,000. Madam Chairman, before I close, I do want to make special mention of two projects with which the Department of Works and Engineering have not been directly involved, but nonetheless have lent their tec hnical expertise in order to bring to fruition two great initiatives for the Island. I speak of the North Channel Widening Project and the South Basin Reclamation project. The dredging of the North Channel was to i mprove its alignment for the safe navigation of the Anthem of the Seas which is anticipa ted to arrive in April 2016. This is the newest class of cruise ship of the Royal Caribbean Line with a width of some 41 metres and thus ensuring its ability to safely navigate our w aters was paramount. To complete this project, well in excess of 100,000 c ubic yards of material was dredged from the North Channel and then re- used in the reclamation of the South Basin in Dockyard. As we all know, the South Basin project is essential for the success of the 2017 America’s Cup and will pr ovide over eight acres of valuable land that will become a positive legacy for the people of Bermuda. The D epartment of Works and Engineering played a vital role in the coordination of the two projects, ensuring both contractors provided the best end result for the Island. Of not e, in undertaking the dredging works, great care was taken to safeguard the environment. This saw the translocation of a significant numbers of corals away from the effects of the dredging and also the maintaining of strict turbidity controls to limit, as far as practicable, the effects upon nearby marine ecol ogy. It is also worth noting that these controls were far more stringent than those imposed on projects els ewhere and is evidence of the high value that we place on the marine environment of Bermuda. For the South Basin Project, the department provided technical oversight in both the design and construction stages to ensure that the land [produced] not only provides a solution that is of value to Berm uda for its role during America’s Cup, but continues to be of value to Bermuda long after. Madam Chairman, in closing, I have now been with the Ministry of Public Works for just a little over a year and I continue to find the staff and wor kforce to be an extremely dedicated and committed team. I would like t o give thanks to the Acting Chief Engineer, Kirk Outerbridge (and the former Chief E ngineer, Mr. Peter Havlicek) and their entire team for the tremendous efforts they have made throughout this year. The work that they carry out is often not u n-derstood or a ppreciated. The Department of Works and Engineering carries out such a large range of activities, some of which are most interesting, most of which are vital to maintaining a civilised way of life. The Department of Works and Engineering has risen up and c onquered many challenges in the past and will continue to be faced with many challenges in the future. However, [I] can assure the people of Berm uda, that the professionalism and dedication demonstrated by the staff and workforce of the Department of Works and Engineering is first -rate, and Bermuda can be secure in the knowledge that its infrastructure is in safe hands. Madam Chairman, with this quite comprehensive overview of the department, I move that the budget for Head 82 be approved. Thank you, Madam Chairman.
The ChairmanChairmanThank you, Minister. Would anyone like to speak to the Heads? Hon. L. Craig Cannonier: I have got one more Head.
The ChairmanChairmanSorry. Hon. L. Craig Cannonier: This will not take me long, this one. Yes, one more. HEAD 97 —DEPART MENT OF LAND TITLE AND REGISTRATION Hon. L. Craig Cannonier: Madam Chairman, it gives me great pleasure to present the budget for Head 97, Department of Land Title and Registration found …
Sorry.
Hon. L. Craig Cannonier: This will not take me long, this one. Yes, one more.
HEAD 97 —DEPART MENT OF LAND TITLE AND REGISTRATION
Hon. L. Craig Cannonier: Madam Chairman, it gives me great pleasure to present the budget for Head 97, Department of Land Title and Registration found on pages B -221 to B -224. The mandate or mission is: To create and maintain an electronic register of legal estates and interests in land so providing legal security for owners and third parties.
Expenditure Overview
Hon. L. Craig Cannonier: The Land Title and Regi stration Department has two programmes, as seen on page B -221: • Administration— 9701; • Land Title Management —9702.
The total current expenditure for the depar tment is estimated to be $1,050,000 for 2016/17 and this represents a decrease of approximately $321,000, or 23 per cent lower than the budget for 2015/16. A large percentage of the decrease is due to the transfer of the Land Survey Management section to the Department of Public Lands and Buildings. The cost centre for the Land Title Registry O ffice is, 107030, Land Title Management. Madam Chairman, one of the biggest challenges for the proper management of land in Bermuda 1354 9 March 2016 Official Hansard Report
Bermuda House of Assembly is the lack of a land title registration system. The Land Title Registry Office has developed a land title registry system for Bermuda. It will provide a transparent, accessible, and valuable land and property information system that will underpin an efficient land market in Bermuda. The introduction of Land Title Registration will benefit the Government as follows: • It will assist with the linkage with wider Go vernment policies, social agendas, and sustainable development; • It will provide a definitive record of Gover nment -held land facilitating improved land management including acquisitions and di sposals; • The Government will be able to use statistical data to obtain a very accurate picture of l and ownership in Bermuda; • The system will be able to assist the Gover nment to measure the financial soundness of the economy. It will able to provide information which will allow the Government to create a real estate price index, which is vital to any gov ernment, who wishes to avoid/limit adverse impact on their economy; • It will help to improve the decision- making in respect of zoning, planning, development, and the provision of public open spaces; • It will provide the identification of underutilised land a nd derelict properties. Land which has been “fallow” can be brought back into use.
Land Title Registration will also benefit landowners in Bermuda in the following ways: • Registration establishes proof of ownership of land and produces an easy -to-read document which reflects the contents of the paper deeds relating to the property. • All of the information concerning property will be stored in one convenient place— on the Land Title Register. The information will be quick and easy to access online. It will inc lude the name of the owner, whether or not the property is subject to a mortgage, details of any rights which benefit the property (a right of way over the property next door), as well as any rights which other people have over the property (a neighbour ma y have a right to use the owner’s dock, for example). • Once a property has been registered there will no longer be a need to store your deeds with the bank or in secure storage. The deeds will be obsolete once registration has taken place. • Registration of t itle will give owners greater security of tenure, providing owners with bet-ter protection from claims of adverse possession (squatter’s rights). • When taking a mortgage, the owner of a property will remain its owner. There will no longer be any need to tran sfer the ownership of the property to your mortgage provider for the duration of the mortgage. • Voluntary registration of your land will flush out any claims that other people may think they have over your land. If such claims are made, then they will be as sessed by the Land Title Registry Office and if need be, they will be adjudicated upon by the Lands Tribunal in an attempt to bring certainty and closure to the matter. • Properties which do not currently have any deeds will no longer be left in “no man’s land.” A provisional title will be granted (provided some satisfactory evidence of ownership is presented) for a property which has no deeds. This should then allow banks and private ind ividuals to lend against these types of properties.
The Land Title Regi stry Office will move to become operational this financial year and the budget for this coming year reflects this increased activity and demonstrates that we are delivering on our Throne Speech initiative. The Land Title Management cost centre 107030 has been allocated a total budget of $785,000, a decrease of $47,000. The decrease r elates to the reduction in staff. It has one central administrative cost centre, 107000, Administration. This programmed objective is to provide administrative support, and it has been a llocated a budget of $265,000. This represents a r eduction of $9,000. A decrease of $6,000 relates to the Ministry taking over the geographic information sy stem licence (GIS) this has allowed the Ministry to consolidate its contribution and thus allowed this depar tment to reduce its payment towards the cost of the licence. In addition, the department has made savings in other areas, such as overseas training and general operating expenses. This cost centre also carries funding for the administrativ e running costs of leasing Milner Place. Revenue
Hon. L. Craig Cannonier: The Land Title Registry Office projected income for the fiscal year is a mini-mum of $1,144,000. This figure has been derived by estimating the number of substantive applications expected to be registered by the Land Title Registry O ffice, which is approximately 1,300 to 1,400 per annum. On first registration of a parcel of land, 0.1 per cent of the open market value of the land will be charged to register the property. Based on the number of current sales regi stered in Government records the overall, average property prices have maintained consistency when compared over the last two years, with the average
Bermuda House of Assembly hovering around $1,100,000. The fee has been est imated using $1 million as an a verage value of a property transferred.
Manpower
Hon. L. Craig Cannonier: The department’s wor kforce has been reduced; two professional posts have been frozen. The section has a bursary student, lsha Douglas. She has been training in the UK to become a lawyer. lsha will return to Bermuda in September 2016 where she will commence her training as the Trainee Land Title Legal Officer.
Output Measures Business Unit 107030—Land Title Management
Hon. L. Craig Cannonier: The Land Title Registry Office in the past year undertook and achieved the following performance measures: 1. Within two weeks of receipt of the request, 100 per cent of all routine, new addresses were assigned. 2. The Land Title Registry Office was not oper ational; therefore, it was unable to commence registering private land.
Major Achievements
Hon. L. Craig Cannonier: The Land Title Registry Office and its stakeholders have finally agreed to the amendments to the Act and Rules. At present, the amendments to the Act and Rules are being finalised by the Attorney General Chambers.
Plans for the Upcoming Year
Hon. L. Craig Cannonier: The key projects for the coming year are as follows: • For Land Title Registry Office to become operational and commence registering private land; • To commence amalgamating all land information such as judgments debts relating to property and the deed information held at the Registry General; • Place all land information on an electronic register. This will create a one- shop stop for all land information which will be open to the public.
And so, Madam Chairman, in conclusion, it remains for me to thank the Land Title and Registr ation Department for their hard work and continued dedication towards this project. And I want to thank, once again, Debbie Reid, you know, these guys , they get into their departments and many times you do not see them, and we do not understand the impact that they have on the Island. And so always I am grateful when I do get to see you. I do not always get to come over to your side of the town, but I am extremely grateful for what you do Debbie. Your department, as we go into this New Year, will be vital even for revenue for this Gover nment, so I want to, again, thank you. And so, Madam Chairman, that brings me to the end of the seven Heads. I must say that was a bit gruelling, but well worth it. There was a lot of good information in there. And I do want to also say, as the Minister, to all of our assistants; it has been an inter-esting year for us. It has been challenging. The public has demanded more f rom us, you know, we had a revaluation project that we had to go through; there have been major demands on the Ministry of Public Works. The one thing that I have seen and I have had the opportunity [to do] is to continue to mingle with everyone. And I found that over the year we have grown to be very close, a very close- knit group, and the attitude that our civil servants bring to the table —I will argue with anyone —has been nothing but phenomenal. Every time I meet up with these guys, they are just looking for an opportunity to please the public of Bermuda. And so , with that in mind I will take my seat.
The ChairmanChairmanThank you, Minister. Would anyone like to speak to the Heads? The Chair recognises the Shadow Minister of Public Works and Environment from constituency 35. Please go ahead. Hon. Dennis P. Lister: Before we start, Madam Chairman, can we just confirm that there are about 45 minutes left?
The ChairmanChairmanYes, you have 45 minutes. Hon. Dennis P. Lister: With that said, that means that what was prepared as a speech or presentation will not be given today. Madam Chairman, I am going to put aside what I had prepared as a presentation and really go through the notes that …
Yes, you have 45 minutes.
Hon. Dennis P. Lister: With that said, that means that what was prepared as a speech or presentation will not be given today. Madam Chairman, I am going to put aside what I had prepared as a presentation and really go through the notes that I was making while the Minister was doing his presentation and avoid trying t o give a full presentation in only 45 minutes of what was pr epared to be much longer. One of the points that I will throw as a question to you, Honourable Minister, is that in one of your closing remarks earlier you made reference to the fine work that was offered as an assistance to the South Basin Land Fill that is taking place out at Dockyard. The conversation that circulates around that right now continues to talk about it being done for the America’s Cup. I think in part of your presentation you mentioned earlier that there is a committee that is looking at end use.
Hon. L. Craig Cannonier: Yes. 1356 9 March 2016 Official Hansard Report
Bermuda House of Assembly Hon. Dennis P. Lister: Let us turn the clock back a bit. I think the South Basin Land Fill came to this House and was in conversation in this Government long before the America’s Cup came into place. And I continually hear it out in the public and in these circles about what is going to be done with it afterwards, as if it was just a fresh idea that came about with the America’s Cup. It had been in the convers ation, and I am sure your department can confirm that. It had been in the conversation from when we were in Government, and it was your former Minister (the Minister who pr eceded you) who actually brought legislation to this House for us to approve to go ahead and do the land fill, prior to America’s Cup ever being in this convers ation. So I am really taken back by the sort of surprise now over what is going to be done with this property after the America’s Cup. I think some clarity would help not only us i n this Chamber, but the ge neral public, because it was not a new idea. You made reference to the . . . and Madam Chairman, I am going to jump all over the place rather than just follow the presentation I would have done it going Head by Head. But I am just going to pick pieces out of this. Minister, when you were on your feet, you made reference to the improvement that was going to be achieved, or that was achieved in this past year, in regard to the waste collection— trash collection— in that the trucks were now equipped with GPS. You made quite a bit of conversation around how this was a major improvement to the whole tracking and routing and allowing it to be more efficient in the collection of waste. My question to you is, When did the GPS systems go into place? If memory serves me well, and I am sure the community will follow me, last fall —just a few months ago —the issue was quite high over the fact that on a regular basis trash was not being co llected on a timely basis and causing major concern throughout the country on that. No matter which end of the Island you were living, on a regular basis, trash was not being collec ted in a timely manner. So if this GPS system was just added, then maybe we will see an improvement. If it had been added and [was] in p lace during that time, then some explanation needs to be given as to why we were still experiencing those problems. I think part of the conversation that took place back then was that the new trucks needed to have additional service or special servicing, and some of the technicians from the Works and Engineering were supposed to be going off to get additional training in the service of those new latest model trucks (I will not necessarily call them “new,” but the latest model trucks you have). And when we l ast had this conversation on this floor the original indication that was gi ven was that the individuals were overseas and then that was clarified by yourself that they were due to leave shortly afterwards to go overseas for their trai ning. It would be nice to know whether they have, in fact, gone and whether the additional training that they received has had an impact in improving the service so that we will not have any further experiences like we had last fall with trash on a regular basis not being able to be collected. Likewise, Minister, the condition of our roads is an area I would like to touch on, the asphalting. A lot of conversation has been made in your present ation around the upgrading that was required at our asphalt plant. I think that was evid ent in this past year. I think one of the private companies was involved in producing as well as laying quite a bit of the asphalt. But if we take the conversation back to what is ahead of us —the whole America’s Cup and all the buzz that is supposed to be going around in making the Island look as pristine as we can for it —I think our road surfacing is one of those areas that really needs major attention. I note that there are some funds in the budget, as you discussed, that are going towards increasing the funding. But my question is: Comparing that funding to what has been done in the past few years, and comparing it to the amount of kilometres that have been done on an average basis, will we really see the impact that is needed around the Island in regard to the amount of road resurfacing and repairing that is needed? On a regular basis, just driving on your normal daily drive, you can come across many areas where the road surfacing is questionable with the number of potholes and patches, and areas of road that have long [outlived] their usefulness and need total resur-facing. And yes, Works and Engineering has been around in recent weeks doing some major clean- ups around our roads and up and down the roadsides. Particularly you notice it coming in from the west, a lot of cleaning and trimming back of hedges and roadsides. But it is the surface itself that still needs that type of attention, particularly when we look at the roads in the West End in that a lot of the activity during that time period will take place in the West End. And there are quite a few roads in the western end of the Island that are very questionable in regard to r esurfacing needs.
The ChairmanChairmanExcuse me, Shadow Minister. Would you mind just mentioning your line items when you do menti on the different topics? Hon. Dennis P. Lister: Sure. ANNOUNCEMENT BY THE CHAIRMAN HOUSE VISITOR Bermuda House of Assembly The Chairman: And I would also like to take this m oment to recognise Senator …
Excuse me, Shadow Minister. Would you mind just mentioning your line items when you do menti on the different topics? Hon. Dennis P. Lister: Sure.
ANNOUNCEMENT BY THE CHAIRMAN
HOUSE VISITOR
Bermuda House of Assembly The Chairman: And I would also like to take this m oment to recognise Senator Renee Ming, who is in the Gallery.
[Committee of Supply, Ministry of Public W orks, co ntinuing]
Hon. Dennis P. Lister: Sure. I was speaking on the road surfacing, that would come under the Head 82 and we look at the Highways, which would be cost centre 8202, Resurfacing and Road Maintenance. All of that comes under that, Madam Chairman. If you want to look it is on page B -215, if you are following in your Budget Book, Madam Chairman. Madam Chairman, another one of the items that I am going to skip through (as I am thumbing through) . . . and I will just pause a minute to find the right cost centre for you. It would be under the Sale of Government Properties. The Minister mentioned that the list has finally being worked on. I think last year he indicated that a lot of work was being done, a list was being compiled and the information will be brought to this House sometime in the near future. My question is, Minister, being that the list has already been compiled, how many properties have you identified that will be on that list for sale? And have any of those properties, in fact, alr eady been sold that are on the list? Because we have seen a number of the buildings Island- wide that we know are in major disrepair. And I am going to one specific, Madam Chairman. Minister, when you were on your feet under Capital Development you were m aking reference to some of those derelict buildings. You later indicated that one of the buildings in particular was Teucer House. I think you said Teucer House was going to be brought back into use to house . . . I think you named one of the departments of the House here. I cannot remember which department, but you did make a reference to it, and you indicated that it would be one of those properties that would look to have work started in this current year. However, when you turn to page C-6, under Capital Development, there is no funding in the Book for Teucer House. It has got a zero all the way across. And when you look under Public Lands and Development Buildings, I think it is cost centre 75173, there is no funding there at all for that partic ular pro perty. Minister, also, whilst I am on that page, I might as well ask a couple more questions from page C-6. Page C -6, Capital Development, under the Mini stry there is also a million dollars for Sandys 360. You indicated that that would be part of the arrangement with the bank to offset some of the debt with the bank, I believe, and the Government will actually be buying the property. Will that reassure that the future use will be back as it was before, open to the community, and some of the similar program mes or additional pr ogrammes being able to run and operated out at 360? And how soon could the target of opening 360 be considered? Also, Minister, you made reference, again on page C -6 under Capital Development, cost centre 75332, under Housing Corporati on, the grant there. Not the operating grant, but the additional grant that is given for the Grand Atlantic site. The last couple of years the grant was roughly $2 million to offset the commitment to the bank. This year it has gone from $2 million up to $4.8 million. And you indicated that that was in reference to an increase in the interest rates, et cetera. I am wondering if there was anything else in that. Maybe I missed the other pieces, but I did hear you make reference to the interest rates. I think the increase in interest rate is more than double what has been paid in the last two years. Surely it has got to be more than just interest rates that have taken that from $2 million to $4.8 million. So, can some clarity be given to that? Whilst on the topic of the Grand Atlantic, Mi nister, I know there was a lot of fanfare given by yourself and your predecessor in regard to the concept of turning the site into a tourism accommodation. I think the first condo tourist -type facility was part of the di scussion when it was being put out when it was first announced that the Bermuda Beach Resort would be taking over the property. You indicated that there was a shortage, or they were not able to secure the funding (my words) to make it happen. And part of what has been stated publicly is that there have been many inquiries made since then or even during the time that you were in discussion with the MOU with the Berm uda Beach Resort Group. Can you confirm whether or not any of those other interests are still on the table? And can we expect to see some future development from some other developer taking place? Because there was a lot of excitement from yourself —particularly from your former Minister —in that the indication was that that site had a real . . . or those developers were making a genuine commitment and that we had all expectation to see it up and running in a short order. That has not taken place. But your comments since then have been that there have been quite a few further inquiries. Can we get some type of update in the near future as to how they are progressing? And is there any lesson that has been learned from this exercise, meaning, they did not get the funding, were there any concerns —
[Inaudible interjection] Hon. Dennis P. Lister: No, it is a rea l serious question now. In the exercise of going through that with a potential developer, were there issues that they may have highlighted that could be a hindrance, or was a hindrance, or maybe [contributed to] not allowing the deal go through that could be removed for any future 1358 9 March 2016 Official Hansard Report
Bermuda House of Assembly conversation that may come to the table? I am looking for a note that I made in reference to that when you were speaking, and I just cannot put my hand on it right now. One of the comments that you were making was one that I wanted to help and support and praise you on. How is that? I am going to move on to another Head, Madam Chairman, I am actually under the Lands and Buildings, Head 81, in reference to the apprenticeship, the bursary programme, all of the training that is bei ng offered by the Ministry to try and get young Bermudians into that particular area, some to fill some of those challenging roles and jobs and positions that are yet to be filled. I think the approach is one that needs to be commended, but I am always . . . and the same thing for last year when we talked about it. We sit here again this year to hear that we still have not been able to get any young Bermudians to sign on to that pr ogramme. That just puzzles me. And I wonder what is the real challenge that we should be putting our heads together on to see what we can do to get young Ber-mudians to take advantage of it. I think the package that is being offered is an outstanding package as far as what Government is prepared to do to assist them in the whole bursary exercise to get trained up in the particular areas of service that are needed to complete the vacancies that are existing in those areas.
[Inaudible interjection]
Hon. Dennis P. Lister: The bursary programme that you offer as an apprenticeship programme to assist the . . . I think you are now talking to high school st udents in third year to try to get them to understand and appreciate the career opportunities that exist. The other question I would like to touch on too as well, Madam Chairman, is under Head 82, and it will probably be cost centre 92021, in reference to the Government Fleet. I have a couple of simple questions. What is the overall size of the government fleet these days as far as vehicles? You have made refer-ence to the number of vehi cles or certain vehicles that will be replaced this year due to age, that they aged themselves out. But what is the overall total number of vehicles in the government fleet? And what does that look like in [comparison] to December or January 2013? How does the fleet . . . has it grown or has it decreased in the last three years? Under the final Head you just finished, Head 97, the Land Survey Title and Registry, under Admi nistration 9701, the two last cost centres under Admi nistration, the Land Survey Mana gement which has been transferred to Public Lands, Head 81, but there is also Mapping. No indication was made where Map-ping was transferred to. I was just wondering, has that been included as part of the Land Survey or has it just been scrapped altogether? But they both were two separate cost centres when they were under the Land Title Registry. Now, the other piece on that too, Minister, is that I think in the comments that were made in last year’s debate in reference to the whole Land Title Registry the projection would be that that particular area would be self -funded once we got the Land Title Registry up and running, based on the fees that it would generate. And I have a note that I found from last year. The comment that you made was that the potential was around $8 million in revenue that could be made from that particular area. And as I look at the revenues in this year’s book, we still do not have an ywhere near those types of projections. But I think last year it was projected, and the conversation w as that once it was up and running it had the potential of pr oducing that type of revenue. It is still not projected yet in this year’s Budget Book. We are still not targeting those type of numbers, and your revenue source is still . . . I guess the system still is not completely up and running yet. But once they are up and running, will they still be able to pr oduce those types of projections that you indicated last year? Madam Chairman, back to Head 82, Works and Engineering, under cost centre 92003, St ructures, where we find our bridges. Minister, a conversation has been had in reference to the Swing Bridge and the major work that is going to take place at Swing Bridge. There is also a conversation that has been had in reference to some more minor works that will take place at the Watford Bridge in the West End. My question to you, Minister, would be: The Bailey bridge at the end of the Causeway as you enter to the airport, what is the timeline or any projections on permanency of that particular structure because . . . 2007, correct? If my memory serves me right, it was in 2007 that the Bailey bridge was put in. And the conversation back then was that it would not be a long-term bridge. It would be a short -term bridge until more permanency could be devel oped as to what would replace that. I have some personal recollection of that because I was the Minister at the time, so—
[Inaudible interjection] Hon. Dennis P. Lister: The Long Bird Bridge. That is right, where we have got the Bailey bridge. So that was only, for those in the Ministry of your staff who are over there chuckling . . . when that happened, we were confronted with an immediate situation because one lane had to be shut down overnight and it was —
[Inaudible interjection] Hon. Dennis P. Liste r: The 24 th May weekend, if I remember correct. It was an odd year. That meant Cup Match was down near St. George’s (for my Senator friend sitting down there in the Gallery). But we knew that we could not have Cup Match in the East
Bermuda House of Assembly End with only one lane of traffic going in and out of St. George’s. St. George’s might have enjoyed that because I think they did not do too well at that Cup Match, but we knew we could not have one lane of traffic. So the push was on to make sure by the time Cup Match rolled ar ound there would be two lanes of traffic going in. We achieved that, that was accomplished, and then we got it up and running with a good bit of time to spare before Cup Match was upon us. But the conversation was always that it would be a short term [bridge]. It has now become almost a permanent bridge, a permanent structure. And in the conversation that has been taking place about development, improvements, bridges, et cetera, that bridge just does not come into the conversation. And I think at some point we have to bring that back to the fore before we wake up one morning and that structure is no longer being able to provide the service that it has been providing for an extended time, which should have been just a short period of time. So if some projecti on can be given as to when or where, or is it even included in the conversation, as to putting some funds into really putting a permanent structure in place there? Madam Chairman, the other Head that I am going to touch on here now is actually Head 53, wh ich is the Bermuda Housing Corporation. I spoke on it a little just now when I made reference to the Grand Atlantic, but I have a pet peeve on this and probably overlooked it when I was sitting in the chair on that side . . . No, no, it was not under me at the time. That is right, it was under Housing.
[Laughter]
Hon. Dennis P. Lister: That is right; it was not under me, that is why it did not come to my attention. Ah! But I mentioned it last year and I will mention it again this year. Minister, when you spoke about the particular Head you had a good- size brief on the BHC. For the public’s edification, we had a single page. We have a single page on that one. And I always make an issue of it. I think, somehow somewhere, I know it is sort of a quango outside, but when the Minister can get up and give us nice full, detailed information on the rev enues, the expenditures, all of those things, but we cannot look at it as a comparison when we do the Budget Debate . . . we just have a single page that says here is a grant of $6 million —end of story —that is it. But when the Minister is on his feet, he really gives us a good bit of . . . he really informs us quite a bit on the functions, the accomplishments and achievements, that the targets are set. But for any oth er Head under the Ministry we had the ability to be able to look and make those comparisons ourselves just based on the projections that are given to us in the regular estimate and rev e-nue structure. Unfortunately, that one does not, and based on the level of conversation that the Minister, or presentation, that the Minister was able to make, it would be more interesting if we would be able to compare some of that. Minister, one of the points that you made in reference to that was the Harmony Club and the fact that it is being used to house the police. To some of the other points that you made in regard to that, my question is: What is the total annual expenditure to operate the Harmony Club to Government, whether it is through the Housing Corporation? And is the BHC Government receiving any revenues from that to help offset those expenditures? But we would not be able to have that comparison, have that conversation, based on the lack of information that is provided for us. Here is an interesting one on that one, Ma dam Chairman. If you look on page B -204 for this particular Head, it starts like all the other heads and gives a mission statement. The mission statement for the BHC this year just said rental and mortgage assi stance— end of story. If you want to c ompare last year’s statement, last year’s Book said the mission statement was, “To provide accessibility to adequate, affordable housing and promote independent living to enhance the quality of life in Bermuda.” A pretty good mission statement compared to the two words that are there this year. Again, the lack of information that is being provided does not give you much to really gauge what the pluses or minuses are that have been achieved through that particular Head for any given year on this debate. And I will admit that that is a light one that I am maybe making a light point of, but it is one that I think is really becoming a . . . it really needs to be gi ven further consideration as to how we use that to pr ovide more information for us in this particular debate. Minister, under Head 49, the Land Valuation, on page B -202, under the Revenue source, whilst on your feet . . . and it is here in the revenue summary. It indicates that the revenue compared to last year and this year, from the original last ye ar to the estimate for this year, has gone up by $1,000. Last year’s original was $5,000; this year’s estimate is $6,000, so it has gone up by $1,000. However, my question here is that the revised indicated that, in fact, last year was only $1,000. And it was supposed to be from the appeals to the tribunal hearings was the revenue source. I am just wondering how many of those appeals took place and whether there was a decrease, a decline in appeals expected? And to go back and take the number and increase t he number, the estimate this year, is that being realistic? Again, another revenue source question for you, Minister, under Head 33 [sic] , the revenue source— Hon. L. Craig Cannonier: Head 33? 1360 9 March 2016 Official Hansard Report B ermuda House of Assembly Hon. Dennis P. Lister: Under Head 36 (I am sorry), on page B -197, the revenue source here indicated that the original for last year was $100,000. The est imate for this year is again $100,000, but the revised for last year ended up being just $30,000. If you com-pare that to the actual for the year 2014/15, which was $21,000, it seems like the $30,000 may be more real-istic than the $100,000. I was wondering if you have any explanation on that one to provide some clarity to that. [ Pause]
The ChairmanChairmanShadow Minister, you have about 10 minutes left. Hon. Dennis P. L ister: All right, thank you, Madam Chairman. Minister, under Head 68, Parks, before I mention the question, let me put something out that was in my notes. What was in my full presentation today was to actually praise …
Shadow Minister, you have about 10 minutes left. Hon. Dennis P. L ister: All right, thank you, Madam Chairman. Minister, under Head 68, Parks, before I mention the question, let me put something out that was in my notes. What was in my full presentation today was to actually praise Parks. And I am sure that the senior officers here can pass that on to the personnel. But the recent work that was done at White Hill Field to clean the field, led a lot by the Parks Department, helped to bring the community together and spend a few days down at the field clearing and cleaning and bringing back a lot of potential that had been hidden by the overgrowth. I think the Parks Department led by Mr. Sam Santucci needs to be commended for the effort up there. It has not gone unnoticed by the com-munity. They are continually giving high remarks to your team for that and I just want to have that acknowledged. But Madam Chairman, my question here under the employee numbers on page B -208 for Parks, is in reference to lifeguards. I think while you were on your feet you gave quite a few comments in reference to the lifeguards, the training, et cetera. That is the permanent number going across 12 from 2015 to next year’s projections 2017. But in the year 2014/15 there were two actual employees. The number is not up to 12. My question here is (and I know it has been one over the years): How many actual Bermudians are employed in the lifeguard services on an annual basis? There was one time when it seemed like quite a few of the persons who were employed in that pr ogramme were lifeguards who were brought here from overseas. And with all the training that you have made mention of that is taking place, I wonder if efforts are being made now to get more Bermudians trained up to be able to provide the lifeguard services for us? Okay? Under the same Head and lifeguard services, under performance measures, the forecast was four beaches to be served or patrolled? Hon. L. Craig Cannonier: Yes. Hon. Dennis P. Lister: You projected that it could be six beaches this year? Hon. L. Craig Cannonier: Expanding. Hon. Dennis P. Lister: Expanding? Your mission statement or your department objective needs to be adjusted because you are saying five there. So we have got four in one line, five in another line, and six in the— Hon. L. Craig Cannonier: Is it? Hon. Dennis P. Lister: Yes, look at page B -5205, it says there are going to be five beaches that will be patrolled. The forecast is saying four beaches and then the target for this year is six beaches. I only spotted that because I was looking at the lifeguard s tats just now while I was talking to you. All right? Under Parks, the Railway Trails, cost centre 78100. Under your performance measures the total monthly maintenance rotations, the original for last year was 27, we only had 10 achieved. This year we are back to 24 as a target. Again, with the efforts to try to get Bermuda in a pristine state for not only our tour-ists, but for the locals, because if you have any ac-cess to the railway [trails] you know, quite a few Ber-mudians walk on a regular basis and jog and cycle up and down our railway trails. As one of those persons who [does that], it is a concern that the trails are not being serviced regularly enough to keep them cut back and cleaned as they could be, which would be more of an encouragement, particu larly for folks like visitors and others who walk there. So I think it would be incumbent upon us to make sure we have them in the best condition as we can. Because for those who do not live near or have access to them, they are used quite a bit on a regular daily basis by those who like to keep fit and see their railway trails as an excellent source of being able to stay fit. [Pause] Hon. Dennis P. Lister: Now, Madam Chairman, when time is short like this and you have to leave your pr epared presentation and fumble through, it provides these silent gaps that I do not like. But I am going to . . . Question Minister: The Agricultural Exhibition. Again, under your objectives for this year you have included it as a production that one of the department objectiv es is to produce the annual exhibition. There is no cost allocated for it. I know that it is a private par tnership, so to speak, that is being put together to re-establish what was not done last year, meaning for the first time they had not had an Agricult ural Exhibition in years. But is this an indication here that there will be absolutely no cost to Government, is that cor-rect?
Bermuda House of Assembly On Head 68, Parks, under the expenditures on page B -206, under cost centre 78110 there is no dollar figure indicated for this ye ar’s event, so no cost to Government? I would assume that is what zero means, no cost, but I am asking for you to clarify that when you are on your feet.
The ChairmanChairmanYou have four minutes remaining. Hon. Dennis P. Lister: Four minutes remaining. Thank you, Madam Chairman. Minister, in reference to Head 49, Land Title . . . Land Valuation. With the new land valuations that have been mailed out to homeowners in recent times, there is a six -month period …
You have four minutes remaining.
Hon. Dennis P. Lister: Four minutes remaining. Thank you, Madam Chairman. Minister, in reference to Head 49, Land Title . . . Land Valuation. With the new land valuations that have been mailed out to homeowners in recent times, there is a six -month period for them to object. Can you give any indication as t o how many objections the Ministry may have received at this point in regard to the new valuations that were placed on properties? Madam Chairman, I am just taking one last look through to make sure there is not a red mark I have made that I did not speak to. Madam Chairman, I think I am going to . . . there is probably about two minutes left?
The ChairmanChairmanYes. Hon. Dennis P. Lister: I am going to give the Minister a moment to try and answer a couple of those questions. Now, everybody is chuckling. But before I take my seat I would like to, again, commend the staff from the Ministry. As I said, I had served …
Yes.
Hon. Dennis P. Lister: I am going to give the Minister a moment to try and answer a couple of those questions. Now, everybody is chuckling. But before I take my seat I would like to, again, commend the staff from the Ministry. As I said, I had served as Minister there for a short period of time, and some of those faces are faces that were there then providing the excellent service that they did. And I would just like to say I appreciate the service that was provided and to encourage them to continue as they do. Thank you.
The ChairmanChairmanThank you, Shadow Minister. Minister, time is up. So you have to move the Heads. [Laughter] Hon. L. Craig Ca nnonier: Well, what I will do is have the team collate all the questions and make sure that the answers are sent to the Honourable Member, i ndeed.
The ChairmanChairmanOkay. Thank you. Hon. L. Craig Cannonier: I move now that we move Heads 36, 49, 53, 68, 81, 8 2, and 97 of the Ministry of Public Works, Madam Chairman.
The ChairmanChairmanIt has been moved that Heads 36, 49, 53, 68, 81, 82 and 97 be approved. Are there any objections to that motion? No objections. Agreed to. [Gavel] [Motion carried: The Ministry of Public Works, Heads 36, 49, 53, 68, 81, 82 and 97 were approved and stand part of …
It has been moved that Heads 36, 49, 53, 68, 81, 82 and 97 be approved. Are there any objections to that motion? No objections. Agreed to.
[Gavel]
[Motion carried: The Ministry of Public Works, Heads 36, 49, 53, 68, 81, 82 and 97 were approved and stand part of the Estimates of Revenue and Expend itures for the year 2016/17.]
[Pause]
House resumed at 7:02 pm
[Hon. K. H. Randolph Horton, Speaker, in the Chair]
The SpeakerThe SpeakerThank you, Honourable Members. Members, we will move on. Continue on with the Orders of the Day. Order Nos. 2, 3, 4 and 5 have been carried over, correct? [Crosstalk]
The SpeakerThe SpeakerSo the Chair will recognise Order No. 5—
An Hon. Member An Hon. MemberOrder No. 6. The S peaker: So [Order No.] 5 is carried over as well?
The SpeakerThe SpeakerAll right. Order No. 6 is the Payroll Tax Amendment Act 2016 in the name of the Minister of Finance, who has the floor. BILL SECOND READING PAYROLL TAX AMENDMENT ACT 2016 Hon. E. T. (Bob) Richards: Thank you, Mr. Speaker.
The SpeakerThe SpeakerYes, carry on. Hon. E. T. (Bob) Richards: Mr. Speaker, the Bill I now put before the Honourable House is the Payroll Tax Amendment Act 2016. The purpose of the Bill is to increase the rates of payroll tax as set out in the Payroll Tax Rates Act 1995 and …
Yes, carry on. Hon. E. T. (Bob) Richards: Mr. Speaker, the Bill I now put before the Honourable House is the Payroll Tax Amendment Act 2016. The purpose of the Bill is to increase the rates of payroll tax as set out in the Payroll Tax Rates Act 1995 and to create a new special situation for certain construction workers employed on approved devel-opment projects of national importance. As announced in the National Budget Stat ement, as an interim measure, the standard rate of payroll tax is to be adjusted to 15.5 per cent in the Fiscal Year 2016/17, an adjustment of 1 per cent. 1362 9 March 2016 Official Hansard Report
Bermuda House of Assembly There will be, Mr. Speaker, a similar adjustment of one percentage point for the majority of other rate categories. While the salary cap in the payroll tax structure will remain at $750,000 per year in 2016/17, the rate of tax recoverable from employees will be i ncreased from 5.5 per cent to 6 per cent. This is so that the increase may be shared by both employer and employee at their discretion. The Bill now before Honourable Members provides for this adjustment of payroll tax. Mr. Speaker, the following categories will not be affected by the increase: 1. An educational, sporting or scientific instit ution, associatio n or society, which in the Mini ster’s opinion is carried on otherwise than for the purpose of gain by its individual members. 2. A self -employed person carrying on the bus iness as a taxi driver or a fisherman or a farmer or a horticulturalist. 3. An employer or self-employed person with an annual payroll of less than $200,000.
The rate of payroll tax for these categories of business will remain at 7.25 per cent. Mr. Speaker, payroll concessions currently in place for the hospitality, restaurant, and retail sectors will continue to be partially rolled back in 2016/17 with businesses in these sectors paying a rate of 8 per cent, up from 5.5 per cent. It is up to the employers in these sectors to decide how much of this roll -back will be transferred to employees. Mr. Speaker, it should be noted that the roll - back of these particular concessions were applied administratively and not provided for in this Bill. These concessions were never meant to be permanent and the Government is now looking to reduce them. Since these concessions have been in place, Government has forgiven $151 million in payroll tax. The total payroll tax yield with the revised rate structure and partial roll -back of payroll tax concessions is estimated at $390 million in 2016/17. It is estimated that $25 million will emanate from the i ncreased rate structure and $11 million from the partial roll-back. Mr. Speaker, this Bill also provides for the regularisation of the payroll tax relief targeted towards the construction of specific projects deemed of national importance as approved by the Economic D evelopment Committee. This relief was announced by the Minister of Finance in June 2014 and has been managed by the Office of the Tax Commissioner ad-ministratively. Previously, this relief was provided by w ay of a payroll tax rebate programme. It is now proposed to legislate the relief by creating a special situation in which the remuneration paid by a construction employer to an employee carrying out direct construction work on a designated project or projects is not charged the standard payroll tax rate, but a concessionary rate equivalent to the statutory proportion of tax which is recoverable from employees. The payroll tax cost to the construction company will be zero if the employer decides to deduct the full recoverable rate from the employee as per normal. This Bill has been tabled in order to enact this relief and provide a legislative structure for reporting by the taxpayer. An employer can only benefit from this concession if they are in good standi ng with r egard to their payment of payroll tax. Mr. Speaker, in 2016/17 in the Budget Stat ement, I announced that the Caribbean Technical A ssistance Centre (CARTAC) had completed their ana lysis of Bermuda’s tax system and presented their r eport to the Mini stry of Finance. CARTAC recommended many widespread changes in our tax system and many of their recommendations form the basis for the tax reform measures I announced in the Budget Statement. These measures also took into account consultations with major s takeholders in business, and modifications by the Ministry of Finance and Go vernment. An important part of proposed tax reform consists of changes to the payroll tax structure. As Honourable Members are aware, we are increasing it by 1 per cent to be shared by employer and employee. Mr. Speaker, Government is currently consi dering reforms to the payroll tax structure to make it more progressive and to yield additional revenue. The current structure takes little or no account of the ability to pay of employers or their employees. It therefore puts a relatively heavy burden on lower income employees. The challenge is to weigh the desire to make payroll tax more equitable against the needs of the Government to raise revenue and its impact on bus inesses. In order to get that balance right the Gover nment will continue, as I mentioned in the Budget Statement, the consultation with business, receiving more detailed data from employers in order to model the outcomes of various tax scenarios. This will be performed in the coming months of this fiscal year. The restructured payroll tax system is to be implemented in Fiscal Year 2017/18. While the reformulated payroll tax structure is slated for implement ation next fiscal year, the Government demands to r educe the defici t are immediate. Therefore, as an interim measure, this Bill proposes to increase payroll tax to generate much- needed revenue. I have already talked about the standard rates as they will be i ncreased. Mr. Speaker, this budget, similar to last year, include s other increases in various taxes including the increase of payroll taxes and in strategic terms it is a departure from previous years. It has been determined that the deficit will not be broken by spending cuts alone, as I have talked about in the Budget Statement, and perhaps more importantly, the strat egy that I announced at that time and being impl eBermuda House of Assembly mented here is based on the expectation that the state of the economy, as opposed to the past, maybe, six years, is going to be in a position to withstand i ncreases in taxes. And we do that with our knowledge of the state of the economy plus the expectation of the stimulus efforts that we expect to be forthcoming in the next —not even 12 months, but the next 9 months. The Fiscal Responsibility Panel made note of this when they said that economic growth prospects over the next few years looked better than for some years, providing a window of opportunity to reduce debt to a safer level. There are additional expend itures that Government will have to make, expenditures that will have to be financed. They have to be financed from tax revenue as much as possible i nstead of being financed by additional debt. It should be noted that even with this proposed tax increase and others included in this budget, Bermuda’s rev enues as a percentage of GDP are one of the lowest among small island economies and are not high enough to achieve or maintain long- term fiscal stabi lity. Mr. Speaker, this increase in payroll tax and other taxes should in no way be interpreted as a change in policy with regards to Government’s commitment to hold and reduce expenditures. Mr. Speaker, the reality is that the current revenue streams cannot pay for the Government as it is presently structured in size and it is vital that the Government continue its fiscal consolidation strategy by increasing revenues, but at the same time controlling and reducing expenditures, thereby, working the deficit down eventually to zero. Mr. Speaker, fiscal consolidation must remain the Government’s top priority as it i s no doubt the bi ggest threat to the future prospects of our way of life in Bermuda. It is a problem that has to be challenged here and now and this is part of the Government’s plan to bring Government’s finances under control. Mr. Speaker, in conclusion, I would like to a dvise this Honourable House that in the lead- up to the 2016/17 Budget, the Ministry of Finance consulted with the Chamber of Commerce, the Bermuda Hotel Association, the Association of Bermuda International Companies, and the Association of Bermuda Insurers and Reinsurers on these tax increases. In the spirit of collaboration, the Government considered it important to meet with these key stakeholders on this important matter. With those introductory remarks, Mr. Speaker, I would now invite other Members to contribute to the debate.
The SpeakerThe SpeakerAll right. Thank you, Minister. The Chair will now recognise the Honourable Member from constituency 18, the Shadow Finance Minister, MP Burt. You have the floor.
Mr. E. David BurtMr. Speaker, missing from the Minister’s brief, which should of course be the headline, is that the One Bermuda Alliance Government will be raising employee portion of payroll tax to the highest level in history. Let me say that gain, Mr. Speaker, employees, under the One Bermuda All iance, will …
Mr. Speaker, missing from the Minister’s brief, which should of course be the headline, is that the One Bermuda Alliance Government will be raising employee portion of payroll tax to the highest level in history. Let me say that gain, Mr. Speaker, employees, under the One Bermuda All iance, will pay the highest payroll tax in history. Not employers though, employers are not going back to levels that were seen in 2010, but employees will see levels that are higher than in 2010. And why do I bring this up, Mr. Speaker? It seems as though if the One Bermuda Alliance seems content to let the workers suffer and the let the wor kers bear —and I would say an unreasonable—a larger burden than, I guess, the Progressive Labour Party would or was willing to do. But that is what we have here. Now, Mr. Speaker, we know, I could stand here and speak for 20, 30, 40, even up to 60 minutes on the dangers of raising taxes when the economy is weak, but I do not need t o make those statements because the Minister of Finance has already made those statements previously when he was the Shadow Minister of Finance and he was lecturing the Progressive Labour Party. The fact remains that the Minister had lots of choices. The Minister could have started reconsider-ing the tax code way back in 2014 when he was advised to do. He could have taken a look at the various reports that were produced . . . I can look at the open budget report or the pre- budget report which was pr oduced i n 2012 speaking to the necessity of broadening the tax base. All those things could have been considered. But in his first budget —steady as she goes. Second budget —admonished us for saying that now is not the time to change our tax system. And here in the Minister’s fourth budget he is now committed to reforming the tax system, but yet we have to have a so-called “temporary tax increase” while he figures out what he is going to do with payroll tax. That is all well and good, Mr. Speaker, the thing is that the people are the ones that are going to pay for, I guess I could call it, the slow movement, I could call it the lack of willingness to listen, lack of willingness to take advice, lack of willingness to u nderstand what is needed to fix our structural budget deficits. But nonetheless, Mr. Speaker, we are here today. Nonetheless, the Government will pass . . . and come April 1 st, employees in Bermuda will pay the largest share of their earnings to payroll tax. Now I think this is key, Mr. Speaker, becaus e at the same time as we are seeing this payroll tax increase to 6 per cent on employees, we will note that health i n1364 9 March 2016 Official Hansard Report
Bermuda House of Assembly surance, which was promised to go down underneath the One Bermuda Alliance —I remember the budget —I mean, I remember the platform that said it was going to go down. We know that health insurance costs are going up. We understand the Minister is raising taxes on fuel, so we know that prices are going to go up, expenses are going to go up, the cost of living is going to continue to increase at t he same point in time that employees will take home less money in their pocket. Do you know what that is, Mr. Speaker? That is a falling standard of living. And what this budget and what this Bill will do is will make the standard of living of the people in this country [lower]. The One Bermuda Alliance was elected on the platform of r educing the cost of living. What have they done to r educe the cost of living, Mr. Speaker? Everything has gone up, including taxes. Take- home wages have gone down. Civil serv ants and many in the private sector —many, not all, many in the private sector — have seen their wages frozen. Some have even seen their wages reduced or cut. People are taking home less money. Yet, employees are going to be bearing the highest share of payro ll taxes ever. And this from a Government that says they listen, this from a Government that says they care. I think the people are passing their own judgment as to whether or not the Government is actually sincere in their words. Since the One Bermuda Al liance has come to office 2,266 jobs were lost out of this economy, Mr. Speaker. Now, last year the Minister of Finance said, and I quote: “Payroll taxes, our primary source of revenue, for example, is not a tax on consumption at all. It is a tax on labour —not a type of taxation that would tend to increase the number of jobs.” In that very statement the Minister of Finance stated or was making the argument that an increase in payroll taxes can have a negative effect on emplo yment. So after job losses every year underneath his tenure, he is now increasing payroll taxes on emplo yers and employees at the highest level, thus lessening the purchasing power of employees in the economy when we already know their standard of living is r educed, and I am trying to figure out why the Minister does not believe that this would have a negative i mpact on jobs. He said that it will have a negative i mpact on jobs, yet he is going ahead to raise taxes. I will ask the Minister when he gives his r esponse, why was there no consideration given to rai sing the ceiling of those persons who will pay taxes? Because of course, in the tax system that we have in Bermuda, there is a ceiling which the Progressive Labour Party put up by a significant amount. We inheri ted it, I want to say, at $200,000 and it was raised up to $750,000. That $750,000 cap was done in 2010, I believe, or possibly that was 2010. So it has been there for about six years now. Why was there no con-sideration given to raising the cap? Because, to be clear, there are per sons, their companies, clearly, are over that level, who can afford to pay. So why has that change not taken place? Why has the Honourable Minister of Finance seen fit to levy the largest tax burden on employee payrolls in the history of this cou ntry? So, Mr. Speaker, I can say I do not have to say anything more because the people of this country on April 1 st will feel the impacts of the Minister’s budget when they have less money to take home in their weekly pay packets, less money to take home in their monthly pay packets, and that, Mr. Speaker, is the record of the One Bermuda Alliance, the record of a Government that said they were going to come into office to lower the cost of living and has come into office, raised the cost of living and [lowered] the standard of living. That is the result —job losses, i ncreased taxes, and reduced economic activity and a lower standard of living for the people of this country. There is no doubt that this Budget sent shi vers down the spines of the ordinary people in this country, Mr. Speaker, whether they be Mr. Dill from Ord Road or Mrs. Smith from Parson’s Road, they are going to have to dig deeper into their pockets to pay for taxes for a Minister of Finance that did not listen to the advice that he was given from the O pposition to pay close attention to reforming the tax system to get rid of our structural budget deficit. Next year, I hope that if the Minister of F inance is still the Minister of Finance that he will be —
Mr. E. David BurtWell, there is noise, so I just want to make sure you are finished. [Gavel]
Mr. E. David BurtNext year, if the Minister of F inance is still the Minister of Finance, one would wo nder if we are goi ng to hear that he was not able to put together a payroll tax change in a year so that we are going to be stuck with what …
Next year, if the Minister of F inance is still the Minister of Finance, one would wo nder if we are goi ng to hear that he was not able to put together a payroll tax change in a year so that we are going to be stuck with what was said to be a temporary increase—there was very little mention of tempo-rary in the Minister’s brief —the Budget Statement said that this tax increase was “temporary,” the question is whether or not this temporary increase will turn into something that is more long term. Because we have seen a lot of tax things that have been temporary that have come to be long term. So with that, Mr. Speaker, I will take my seat. But I will leave the people with this reminder; this Mi nister of Finance is raising the employee’s share of payroll taxes to the highest level ever. Thank you, Mr. Speaker.
Bermuda House of Assembly The Speaker: All right. Thank you, Honourable Member Burt. The Chair will now recognise the Honourable Premier. Premier?
Hon. Michael H. Dunkley: Thank you, Mr. Speaker. Good evening colleagues. I felt compelled to speak briefly tonight, not only in support of my honourable colleague the Deputy Premier and the Minister of Finance, but just to set the record straight for those amongst us, especially the Honourable Member, who if he is sitting in that seat next year will see the changes we make to the tax code. I say that because we know what is going on across that side of the House, he could be sitting anywhere. But, Mr. Speaker, it is clear —
[Inaudible interjection]
Hon. Michael H. Dunkley: You can stand up and speak too, Honourable Member. Mr. Speaker, it is clear that no one— no one— likes tax incre ases. And a Government does not like to increase taxes. It is the last thing that any Gover nment would like to do. And this Government is no di fferent. So I have to remind Honourable Members who want to stand up and teach us lessons in what went on in the past and what not to do and what to do as far as Government finances go, is we are in this position because of the state we find ourselves in because of this handling of the public purse in 14 years, specifically the last five years, under the former administration. And if things were not so dire we would not have to take these steps to turn things around. So you cannot have your cake and eat it too, Mr. Speaker. And that Honourable Member should know better than others because he sat in another place as a Junior Minister of Finance and all the while, while the debt was going up [and he] was questioned about it, he said it was the right thing to do. And I remember the 2 per cent increase in payroll tax that Honourable Member argued for. So, Mr. Speaker, you cannot have your cake and eat it too.
The SpeakerThe SpeakerYes, MP Burt. POINT OF ORDER
Mr. E. David BurtThe Honourable Premier is clearly under stress because he cannot remember me arguing about a 2 per cent increase in taxes that took place before I was appointed to the Senate. Please can he retract the statement and get his facts straight, Mr. Speaker?
The SpeakerThe SpeakerThank you. Thank you, Honourable Member. Premier? Hon. Michael H. Dunkley: Mr. Speaker, then the Honour able Member mentions this Budget sent shi vers down the spine. Now, clearly, this Budget was accepted as a prudent and appropriate thing to do by many people, but I also readily admit that …
Thank you. Thank you, Honourable Member. Premier?
Hon. Michael H. Dunkley: Mr. Speaker, then the Honour able Member mentions this Budget sent shi vers down the spine. Now, clearly, this Budget was accepted as a prudent and appropriate thing to do by many people, but I also readily admit that this Budget with increases in taxes is something that we only did as a last resort. But it is our way to continue to try to improve the situation in Bermuda, certainly Gover nment’s finances. So against that backdrop we had relatively few options for us to move forward and we decided that this was the most appropriate way t o do that. In regard to reforming the tax system, the Honourable Member who just spoke said that over and over and over again, and now I am glad that the Honourable Member has the fortitude to support a reform of the tax system because it never happened when they were on this side or in another place on the Government benches. And we will move forward with the reforming of the tax system, and I have to com-mend the Minister of Finance for the approach he has taken and for being a Minister of Finance who has consulted more broadly than anyone who has ever had that responsibility. And that is a fact. That is a fact. And so when we talk about tax and increases, everyone has their theories and they all can sound quite plausible at times, but at the end of the day, the rubber will always meet the road and you will have to make decisions. And this Budget continues to help us move back along that progress of recovery that we need. But it will have some drawbacks amongst those in the community and we understand and we accept that. We will do all we can to make sure that recovery spreads deeper and deeper into the community. So our colleagues on this side support our Minister in the tough decisions that he has made and he will continue to make because we will move f orward. Thank you, Mr. Speaker.
The SpeakerThe SpeakerAll right. Thank you, Honourable Premier. Any other Honourable Member care to speak? The Chair will recognise the Honourable Leader of the Opposition, M. A. R. Bean. You have the floor. Hon. Marc A. R. Bean: Thank you, Mr. Speaker, and good evening.
The SpeakerThe SpeakerGood evening. 1366 9 March 2016 Official Hansard Report Bermuda House of Assembly Hon. Marc A. R. Bean: Mr. Speaker, I will be very brief. I know that having listened to the remarks by the Honourable Premier, where even if he did not intend to he still went down t …
Good evening. 1366 9 March 2016 Official Hansard Report
Bermuda House of Assembly Hon. Marc A. R. Bean: Mr. Speaker, I will be very brief. I know that having listened to the remarks by the Honourable Premier, where even if he did not intend to he still went down t hat road of blaming or reflecting on what has happened in the past. Now, Mr. Speaker, we had a very robust ge neral economic debate a few weeks ago. And it was during that time that mention was made by myself and others on this side that in spite of the fi scal conditions we found ourselves in three years ago or two years ago or a year ago, the fact of the matter is —and it cannot be disputed—that this move today to raise the payroll tax is, in fact, one of the major policy errors that the United Bermuda . . . sorry, I apologise (a slip of the tongue) . . . that the One Bermuda Alliance Government has embarked upon. Now, I am not saying that to argue or to attack the Minister. He made it clear previously that any Mi nister of Finance only has three or four diff erent policy options in their tool kit when having to grapple with an increasing deficit and an increasing debt. You can either tax more or you can cut spending, or a combination of the two, or you can try and just increase taxes and not cut spending. Either way unless you embark on a balanced approach, which we do not consider this to be a balanced approach, eventually, ult imately, you will find a negative impact on our economy. Mr. Speaker, we need jobs more than ever. That must be the priority of this Government. It cer-tainly is the priority of us in the Opposition. Now, if there was one fiscal decision that can destroy jobs by the stroke of a pen, certainly it must be the increasing of taxes, in particular, taxing labour. Now, I am not sure if the Honourable Minister actually looked at any other option, but to say or to get up and act like you have done something that is r emarkable, that is not the case at all. As my Deputy Leader and Shadow Minister of Finance has clearly stated, this is a backward step, it is going to punish those who earn the least, it is going to punish bus inesses. In fact, Mr. Speaker, it is going to punish ev eryone in the country for some short -term gain that more than likely will come with long- term cons equences. It will come with long- term consequences, Mr. Speaker, and that is what I mean by the error of this policy. Now I have waited to hear the Honourable Premier give a contribution on economic policy i nstead of repeating the same narrative we hear over and over again. I know the Honourable Minister of Finance can get up and say, Well, this is why we are doing this. In fact, he has already done it. But what other substantive contribution can come from the Head of this Government when we are speaking about taxation? It is zero. Nothing. Nothing of substance. And it is a shame because what we are di scussing to me transcends politics. It transcends polit i-cal parties. Because if the One Bermuda Alliance was so different from us —and you are not —from a policy perspective, then you would have taken the opportun ity to reduce spending, to reduce expenditure. To r educe expenditure. Mr. Speaker, the One Bermuda Alliance has not reduced expenditure. So from an economic phi-losophy perspective, they are following the same path, the same Keynesi an path that they accuse us of following. In fact, the approach of the Minister of Finance is the same in nature as to what my Deputy and Shadow proposes, it is just different in degree. There is not too much of a distinction, Mr. Speaker. So, I am waiting to hear something innovative, something to justify this short -term burden that has been placed upon the people of this country. What, do you just get up and in two or three years and brag that somehow you balanced the budget? In theory, balancing a budget is fine; but what if it comes at the sacr ifice of the people you serve? Please name one bene-fit. I will ask the Honourable Minister or ask the Honourable Minister of Economic Development to name one benefit that can be accrued to this country by the raising of taxes, in particular payroll tax. For the record, I am sure you already know that I am a person who advocates a broader lower tax base. Now, some will say, If you lower the tax base, you are going to have a revenue shortfall. Well, I tell you what, Mr. Speaker, try increasing the tax rate by 20 per cent and see how much revenue you get then. See? It is beyond theory. We are speaking about h uman action. The Minister of Finance could have raised payroll taxes up by 5 per cent and he could have then forecast the revenue as the result of that tax increase, it could have actually reduced our deficit. That is what he would say. But, Mr. Speaker, I bet that if he did that then we would actually have a revenue shortfall because the higher the taxes you bring on the populace, the more inclination they have to avoid paying taxes in the first place. And I would think that if we want economic growth, we would want to have full employment. Well, you certainly cannot go on a path to full employment if you are raisi ng employment tax. It is anti -economic. It makes no sense. So, I would have preferred to hear a more balanced approach. I have said this before. I actually think that we can and we must find better ways to r educe our deficit by reducing expenditure. I feel strongly about it, Mr. Speaker. I actually take offence to the fact that the burden of taxation, which is really the confiscation of wealth, has been increased on all of us. And so instead of getting up and beating your chest and saying, Well, you did thi s and you did that . . . like I said, what have you done lately that is different? Nothing, except increase the burden on Mr. and Mrs. Bermuda. So, yes, I would have preferred to have heard an alternative. Is there another option that the Minister
Bermuda House of Assembly of Finance could have looked at? But certainly he would know that the increase of payroll tax cannot be a stimulant to this economy. It is impossible, even if the Chamber of Commerce and all the other lobby groups who have been vocal up until about two, three years ago, even if they were silent or even if they are angry about that tax increase you would not see the type of response that you would have gotten if it was the PLP Government. That is a shame because ult imately it is only going to be a hindrance on their own businesses. So, Mr. Speaker, yes. Okay, we do have a deficit. Yes, okay, we do have debt. And I certainly agree with the Honourable Minister of Finance that we need to do whatever we can to reduce both for the sake of posterity. But I just do not see . . . I do not understand this economic approach or this approach to economic policy which says increase taxation . . . in other words, remove the wealth that has been created by those who produced it in this country —the producers of wealth— and transfer it into the hands of those who did not produce it, i.e., the Government. That is what it is. That is what taxation is. And what makes us think that we up here can make a better decision on how to allocate wealth that others have produced better than themselv es? It is the height of statism; it is the height of arrogance.
[Inaudible interjection]
Hon. Marc A. R. Bean: Well, you all can laugh. And, Premier, you can giggle. But I have not heard you once speak of anything in terms of economic policy since I have been in Parliament —not once. Not once, okay? And I know that the Honourable Ministers might disagree with some of the things I am saying, but, trust me, they know what I am saying is valid. There are other approaches to economics except that . . . outside of what the status quo is, certainly, Mr. Speaker. And right now it is not working. I am concerned that over the next three years we are going to see an increase in unemployment. The cost of bus iness, as a result of this legislation, has now i ncreased. I do not see any positive effect by this payroll tax rise except for the Minister of Finance in a year’s time to get up and say, Well, see? I reduced the def icit. I do not think that is sufficient, Mr. Speaker, because there are multiple ways to reduce a deficit. At some point, at some point we . . . and I know how difficult it is, Mr. Speaker, because when we are talking about reducing expenditure, what we are really talking about is how that affects civil ser vants and their lives and how they pay their b ills. I u nderstand that. I am the Leader of the Labour Party. I understand it. I understand the political risks of having to make those tough decisions. I understand why the Minister of Finance has not made those tough dec isions. But at some point sooner t han later I think we are going to find ourselves with our backs up against the wall, fiscally. And we are not going to be able to tax our way out of the situation. There is no chance we are going to be able to do it. We are going to have to make some very serious decisions. And in my mind instead of the short -term step to increase taxes I would like again to reiterate the other option. If we are broadening the tax base by i ntroducing a GST, then it is important to look across at the other tax areas and look to reduce those taxes. It is absolutely essential. Broaden the base, but reduce the burden, and I suspect that we will have an i ncrease in revenue to government’s coffers because we have an increase of job creation, we have more people paying into governm ent’s coffers because we have more people working. And I would rather have 90 per cent of Bermudians fully employed and paying and working with the revenue from that at a lower tax rate than having 50 per cent of this population unemployed and paying at a higher tax rate. It does not make any sense to me. It does not. Now I see some on that side saying, Hmm, what is he talking about? It is simple math. They u nderstand what I am saying. They understand what I am saying. Some might because they are stuck on Keynesianism. They have no choice. I understand that, all right? But no one can argue that increasing taxes is good for the economy —not one. In fact, if i ncreasing taxes was good for the economy, if that was the case, then Bermuda as an offshore financial j urisdiction would be out of the business. But for some reason we have a competitive advantage by attracting capital that is looking to have that lower tax rate, which I am altogether in favour of. But yet we are going to stand up here and think that a shif t of the tax burden to the general populace is okay? It is not okay, Mr. Speaker. And so I would encourage, obviously not this year, the Minister has got to do what he has to do, and I accept that. But hopefully next year we can start looking at pro- growth policies and increasing taxation, payroll tax is not a pro- growth policy, Mr. Speaker. It is not. It is not going to create any jobs. And in fact, it is going to destroy jobs. And everyone on that side knows it. I think this is a shameful day. Why? Becaus e we stand up here and we act like we know so much about economics (I say “we”), and we really put on a front because we take advantage of the fact that we know the majority of the population, they tune out when they hear finance talk or economic talk. We know that. And so we front as if we know what we are doing, and I am concerned that many of us do not, and many of us have not in the past. So what I am speaking of is not to cast blame at the Honourable Minister of Finance. Again, I reco gnise the policy position or policy stance that he has taken, but I just do not think that it would be ultimately beneficial to the people of this country, and I will hope 1368 9 March 2016 Official Hansard Report
Bermuda House of Assembly that next year he will see fit, as we look to implement GST, to reduce the level of taxation across t he board so we can actually bite the proverbial bullet and act ually take the risk of having a short -term revenue shor tfall in order to stimulate long- term economic growth. To me that is the only sensible way to go at this point. And I hope, like I said, t hat the Honourable Minister, once he sees the negative impact of this decision, will have the humility to reverse it and do at that point the right thing.
The SpeakerThe SpeakerThank you, Honourable Member. The Chair will now recognise the Honourable Minister for Community and Sport, Minister Gordon - Pamplin. You have the floor. Hon. Patricia J. Gordon -Pamplin: Thank you, Mr. Speaker. Mr. Speaker, in contributing to this debate there is one fundamental thing that we must bear in …
Thank you, Honourable Member. The Chair will now recognise the Honourable Minister for Community and Sport, Minister Gordon - Pamplin. You have the floor. Hon. Patricia J. Gordon -Pamplin: Thank you, Mr. Speaker. Mr. Speaker, in contributing to this debate there is one fundamental thing that we must bear in mind. As a country, financially w e are broke. Mr. Speaker, there is no wealth of funds that we have at our disposal to be able to support the debt service and the interest on the money that we have had to borrow in order to ensure that the country keeps its head above water. Mr. Speaker, it does not take rocket science to know that when you start to approach the limit of your borrowing and you find that you have run out of funds and you have to borrow some more in order to make ends meet and to fulfil the obligations that we have to gov ernment expenditure, to the civil servants to make sure that they get paid, and to all of the debt servicing and the interest that we have to pay. If we have to borrow money to do that, Mr. Speaker, the cost of that borrowing becomes exponential. And before you know it, Mr. Speaker, we would not be able to be in a position of funding that which we must do in terms of our expenditure. Mr. Speaker, if we do not have a good glide path to indicate how our deficits will be reduced and our approach towards our debt reduction, we are go-ing to be in serious trouble, we are going to be in ser ious trouble. Mr. Speaker, I think that we saw that in operation when we had an unannounced, unprepared for, 2 per cent pay rise on the payroll tax a few years ago. Mr. Speaker, we certainly looked at that because Bermuda is still feeling the impact of the wit hdrawal of companies that made the decision that that 2 per cent burden was more than they could bear and they chose another option. They chose to relocate. And with it, Mr. Speaker, took significant jobs, not out of the public sector, but out of the private sector. And we are reeling from that because the money that used to be flowing into the economy, and the excess that flowed as a result of even that 2 per cent increase at that point in time, that is what you call being penny wise and pound foolish. We won the battle but lost the war, Mr. Speaker. Because when the companies decided they had options . . . and many of our international bus inesses have options, Mr. Speaker . They have Ireland, which is really competitive with Bermuda in terms of its favourable taxation situation —
An Hon. Member An Hon. MemberThey have higher taxes. Hon. Patricia J. Gordon -Pamplin: They have higher taxes, but it is more favourable than perhaps people leaving their money onshore either in the UK or the United States. Mr. Speaker, I work for an international company. The company for which I work and for which …
They have higher taxes.
Hon. Patricia J. Gordon -Pamplin: They have higher taxes, but it is more favourable than perhaps people leaving their money onshore either in the UK or the United States. Mr. Speaker, I work for an international company. The company for which I work and for which I am responsible for ensuring the levels of taxation, where we pay it and how much we pay, and that the appropriate amounts are being paid, Mr. Speaker, we have options. From just my own company, Mr. Speaker, we have options of deciding whether we push the button in Bermuda and set up in places where we already have offices —London, Brussels, Ireland, S ingapore, Australia, and Brazil. Forget about the United States because of the taxation burdens that occur there. Mr. Speaker, we have many options and this is not isolated to one company or one set of circumstances. So when we start to look at tax increas es, Mr. Speaker, we do not want to have to do it, but we have to pay the bills. And the Finance Minister indicated through the Budget, Mr. Speaker . . . if you will just allow me very briefly to refer to page 22 of the Budget Statement he basically indicat ed that we are “consi dering reforms to the Payroll Tax structure to make it more progressive and to yield additional revenue.” Now there is a plethora of options that can be brought to bear with that reform of taxation, Mr. Speaker, so that this is temporary. The Finance Mini ster indicated that it was temporary. This is temporary. Not only that, Mr. Speaker, I am anticipating that when we look further down the road, once we get the act uarial extrapolations respecting our pension funds, that we will be able to add some more money in the kitty to be able to give our seniors a little bit more in their pensions. We cannot do that without additional money coming into the Consolidated Fund. We have to be able to fund our responsibilities, Mr. Speaker. So, while I take heed of the Honourable O pposition Leader’s comments with respect to taxation, when he said we need to be able to look at broadening the tax base, the Finance Minister has committed to that, word for word, in the Budget Brief. Mr. Speaker, we do not op erate in a vacuum because every one of us, when we get our pay cheque at the end of our week or two weeks or month or however frequently our pay cycles might run, we see that money coming out. We see it coming out of
Bermuda House of Assembly our pay. So know that unless one is ind ependently wealthy, and I certainly do not count myself in that realm, Mr. Speaker, unless one is independently wealthy, we notice that there is less money, less ex-pendable income available. But how else do we balance on the other side, Mr. Speaker, and that is in stimulating the economy it is our responsibility to pr ovide an environment in which jobs are created—far more jobs —so that there is more revenue coming in, more money coming into the kitty, and hence, the i mpact to the individual will be able to be less. Mr. Speaker, I would like to see the day where people who earn a certain level (once we determine what that level is) would have no tax on that revenue. That is part of the reform that the Finance Minister has committed to looking at. That is what we are looking for, Mr. Speaker. I would like to see the day, Mr. Speaker, that the job market is such that it is supporting and helping the stimulus within the economy such that we do not have to show that there are significant burdens on the taxpayer. We do not take pride in the fact that we have to raise this tax, Mr. Speaker, but we do take pride in the fact that we are paying our bills and we do take pride in the fact that as a country we are eliminating the deficit and ultimately, hopefully, will be i n a pos ition to reduce the debt. The one thing that I believe that we have to hold hands on in this Honourable Chamber, Mr. Speaker, is the idea that in order to have that stimulus within the economy and putting jobs on the table, we cannot be at odds with one another in which every single project that this Government attempts to put forward in terms of creating jobs —a job stimulus package, if I can call it that —gets shot down by Members opposite. You cannot say on the one hand, We don’t want you to build t his, we don’t want you to do this, we don’t want you to do these projects, we want to make sure that . . . you know? I guess the thought process appears to be, Mr. Speaker, if you do not have enough money to pay the bills, go borrow some more. Mr. Speaker, we have international oblig ations. We have the necessity to ensure that our f inance ratings, our rating agencies, are able to look at our financial position, our attitudes toward our debt reduction to ensure that we are trying to manage it. And in managin g it we have to raise some revenue. It is our and it is my lament, Mr. Speaker, that we were not in the position to implement some of the changes that were recommended and that we will see between now and the next budget. Because as a Cabinet, as a Governm ent, as a people, we cannot afford for these reforms to take any longer. We have to ensure, Mr. Speaker, that our policies are such that we are not completely burdening to the point of oblivion our wor king population. We do not want to have to raise a dime worth of additional taxes, Mr. Speaker, but we have to. That is the reality. We have the demand of goods and services, Mr. Speaker. The payroll tax does not come to the Government. It does not come to the Cabinet. It goes into the Consolidated Fund of the country. And of that, from that, is the provision of goods and services that are demanded by the people of the country. Mr. Speaker, we cannot pay for things if we do not have the money. It is important to understand— we are broke. Mr. Speaker, you know, if you go to the bank, if you look at your personal finances and you sort of reach the brink of where your expenditure starts to overtake your income, and you go to the bank and say, I need an overdraft. At some point in time the bank is going to say to yo u, Sorry, you’ve had enough credit, show us what your plan is to pay down what you have already borrowed because we’re not going to lend you anymore. And that starts to hit at the very heart of our financial stability and our financial credibi lity, Mr. Spe aker. And trust me, Mr. Speaker, should the country falter in terms of its credit agency ratings, the companies that have set up here, almost by default and as a consequence will also find themselves being dow ngraded. That impacts how they operate their bus inesses. Mr. Speaker, so this is just one snowball effect, but it is all predicated upon a horrendous debt situation that we inherited that we had to exacerbate in order to pay for the commitments that were in train at the time that we took over. Mr. Speaker, we are working assiduously to be able to manage this, to put this . . . to wrestle this beast to the ground, because in the absence of that it will strangle us. I regret having to see this increase, Mr. Speaker. And the Honourable Member, the Honour able Shadow Finance Minister indicates, you know, Oh Bermuda, listen. This is the highest taxes you’ve ever paid. The highest rate of taxes you’ve ever paid. Oh, the sky is falling. The sky is falling because of the debt. We have got to repay what we owe. And until we come to grips with that, Mr. Speaker, that this becomes everybody’s responsibility and that . . . between now and next year we will be in a better pos ition with some of the contracts that are coming on line, some of the jobs that are coming on l ine— whether the Opposition wants them or not. We are going to be having people back at work —whether they like it or not. We are going to cr eate additional stimulus, an environment in which sti mulus is created to benefit the economy —whether they like it or not. There is going to be the capacity to mi nimise taxation on people who are low earners, Mr. Speaker, and whether they like it or not, we are going to continue to work on wrestling the debt to the ground. 1370 9 March 2016 Official Hansard Report
Bermuda House of Assembly Otherwise, Mr. Speaker, we all fail. And I know, Mr. Speaker, that from this Government’s perspective failure is not an option. And I would also want to believe, from an Opposition perspective, notwit hstanding that they would like to know that they are in charge to be able to drive the bus, at this point in time, they are not. So when I hear the Shadow Finance Minister make comments like, Oh, you didn’t listen to us. Oh, you should have done what we told you to do . . . Well, yes, you made some recommendations. But you did not follow your own advice, so now we have inherited what you left us and that is fine. But I do not want to go down the path of pointing fingers of blame. I think it is important, if I make no other point, Mr. Speaker, is to highlight and underscore the fact one more time— we are broke and we have to pay our indebtedness. Thank you, Mr. Speaker.
[Desk thumping]
The SpeakerThe SpeakerAll right. Thank you, Honourable Mini ster. Any other Honourable Member care to speak? Minister of Finance. Hon. E. T. (Bob) Richards: Thank you, Mr. Speaker. I thank Honourable Members for their contr ibution to this debate. I have a couple of remarks about some of the things that were …
All right. Thank you, Honourable Mini ster. Any other Honourable Member care to speak? Minister of Finance. Hon. E. T. (Bob) Richards: Thank you, Mr. Speaker. I thank Honourable Members for their contr ibution to this debate. I have a couple of remarks about some of the things that were said. Mr. Speaker, in sports, as well as in life, as well as in finance, timing is everything. Timing is ev erything. And when we were elected at the end of 2012, when I stood up here the first time for Budget, I reported to the people of Bermuda that the Gover nment was about to have a $330 million deficit for the previous year. Timing is everything. We could not raise taxes then. We had to concentrate on cutting costs. The economy was in shambles. A tax increase of this nature would have been, quite frankly, disastrous. So, we did what we could under the circumstances that were prevailing at the time. And the Ho nourable Member who s peaks for Finance on the other side said that we were punishing Bermudians. And I do not think this is punishment. But if it is, it is pu nishment for the PLP’s indiscretions and not ours. But it is something that has to be done. There was a point made about how this is the highest payroll tax in the history of Bermuda to individuals. But, Mr. Speaker, when payroll tax was introduced, it was introduced at 11.5 per cent in 1995. When the PLP took over Government in 1998, it was 12 per cent. Now, I increased payroll taxes last year by 0.5 per cent, to 14.5 per cent, and this year by 1 per cent. That means that somewhere between 1998 and 2012, payroll taxes increased by 2 per cent. So nobody is unscathed by this. The former Government also raised payroll tax. A nd that does not include the disastrous, unconsulted payroll tax up to 16 per cent, a 2 per cent rise, that the Honourable Member, my colleague, spoke about a few minutes ago, that caused great concern, and eventually it caused an exodus of companies from Bermuda. But, Mr. Speaker, I have said this already, that it was not so much the fact that taxes were increased at that time. The real crime here, the real breach here was that there was an unspoken agreement between the Government and international busin ess that any such move of that nature would not take place without prior consultation! And it was the lack of consultation that was the breach, as opposed to the tax increase. And that lack of consultation sent a message to the business community, particul arly the international business community, that, We cannot trust the PLP Government to keep their word. I really chuckle when I hear stuff about trust deficits. I mean, this was the ultimate breach of trust. And a lot of those folks cannot vote. But they v oted with their feet. They voted with their feet. So those are important things to realise. Mr. Speaker, also the Honourable Leader of the Opposition was giving a what -if scenario. And he said, you know, What if 90 per cent of our people were employed? Well, Mr. Speaker, even with all the unemployment we have in Bermuda, 93 per cent of our people are employed!
[Laughter]
Hon. E. T. (Bob) Richards: Because the unemplo yment rate is 7 per cent! So, you know, I kind of took note of that! So, what I have to r eiterate here . . . Oh, one more thing before I reiterate. The Honourable Member who speaks for Finance on the other side talked about the cap of $750,000. The payroll tax caps out at that level. I want to assure him and the people of Bermuda that the cap is in play insofar as our talks with our corporate partners. We are in talks with our corporate partners. I mentioned in my prepared brief that we are running scenarios. We are running quant itative models on scenarios. And the cap is in play! It is one of the things that is in play insofar as our consultative process is concerned, insofar as what they can live with and what we need to reduce the deficit to zero. Some of the comments that I heard seem to forget that the national debt and the budget deficit really are the most urgent and important threats that face this country. There is a very, very nice ad on TV that I keep seeing, because I watch CNN, that shows what is going to happen to the United States if they do not get their deficit under control. They have a picture of highways, and they said, you know, Our infrastructure cannot be improved. And the cars that are on those highways magically disappear . And it says, Well, you know, we have our schools. And because of the deficit, our schools won’t be able to be controlled,
Bermuda House of Assembly or we won’t be able to give the education to our st udents. And the students in the picture magically di sappear. Well, they were saying that, you know, one day that could happen to the United States because the debt service in the Uni ted States will soon be the largest, the third- largest budget item for the United States! But, Mr. Speaker, it is already the secondlargest budget item for us! And if we do not do som ething about it, the $187 million debt service that we have, it soon wil l take over Health as the biggest Mi nistry in Bermuda. So this is an extremely urgent situa-tion. And the Government would be irresponsible if we did not do what we had to do to remediate the situation. One of the Members talked about cutting expenditures. Well, as I said in the formal Budget Speech, you know, we have cut expenditures in this Government by $74 million. We have reduced the deficit from when we took over, which was $330 million. This coming year it is going to be under $200 million.
The SpeakerThe SpeakerYes, Honourable Member. POINT OF ORDER
Mr. E. David BurtMr. Speaker, the Honourable Mi nister of Finance continues to state that when the One Bermuda Alliance took over, the deficit was $330 mi llion. The last PLP’s budget —the last PLP budget, which the One Bermuda Alliance Minister of Finance was the Finance Minister for three months during that …
Mr. Speaker, the Honourable Mi nister of Finance continues to state that when the One Bermuda Alliance took over, the deficit was $330 mi llion. The last PLP’s budget —the last PLP budget, which the One Bermuda Alliance Minister of Finance was the Finance Minister for three months during that time, was $226 million. That was the deficit. The $330 million was their first budget.
The SpeakerThe SpeakerThank you. Minister. Hon. E. T. (Bob) Richards: Mr. Speaker, that is just not true, just not true. So, Mr. Speaker, we have an Opposition that just does not want to remember what it did. And they do not want the Bermudian public to remember what they did. I r …
Thank you. Minister. Hon. E. T. (Bob) Richards: Mr. Speaker, that is just not true, just not true. So, Mr. Speaker, we have an Opposition that just does not want to remember what it did. And they do not want the Bermudian public to remember what they did. I r emember when I was sitting over there, the then- Finance Minister pledged to cut the cost of government by 10 per cent. And in the event, the cost of government actually went up by several per cent.
The SpeakerThe SpeakerYes, Ho nourable Member. POINT OF ORDER [Misleading]
Mr. E. David BurtThe Honourable Minister is again misleading the House. If the Honourable Minister is referring to the 2011/12 budget year in regards to cur-rent spending, the decrease in current spending for that year was in excess of $70 million. So it did not go up, as the Minister is saying. Misleading …
The SpeakerThe SpeakerThank you, Honourable Member. Minister. Hon. E. T. (Bob) Richards: Mr. Speaker, under that particular administration, the cost of government went up every year! I do not know what the heck he is tal king about. It went up every year! So, we had —
The SpeakerThe SpeakerYes, Honourable Member. POINT OF ORDER [Misleading]
Mr. E. David BurtThe Honourable Minister is once again misleading the House. He cannot state that current expenditure went up every year when there were current expenditure decreases that occurred in both Fiscal Year 2011/12 and 2012/13. He cannot say that.
The SpeakerThe SpeakerMinis ter. Hon. E. T. (Bob) Richards: Mr. Speaker, they say, Let’s cut to the chase. Let’s get to the bottom line. The bottom line is that when they took over from gover nment, the Government of Bermuda owed about $180 million. When we inherited this, it was lik e …
Minis ter.
Hon. E. T. (Bob) Richards: Mr. Speaker, they say, Let’s cut to the chase. Let’s get to the bottom line. The bottom line is that when they took over from gover nment, the Government of Bermuda owed about $180 million. When we inherited this, it was lik e about a $1.5 billion. That did not happen from budget cuts. That did not happen from budget cuts. So not only is what the Honourable Member saying counterintuitive, it is “counter -truthful.” [Laughter]
An Hon. Member An Hon. MemberThat is an interesting word, F inance Minister . Hon. E. T. (Bob) Richards: So, Mr. Speaker, here is the situation. The situation is that we are looking to put in a new payroll tax system that is progressive so that lower -earning members of our community have a lower …
That is an interesting word, F inance Minister . Hon. E. T. (Bob) Richards: So, Mr. Speaker, here is the situation. The situation is that we are looking to put in a new payroll tax system that is progressive so that lower -earning members of our community have a lower tax burden than the mor e fortunate members of this community. I think even the Opposition agrees that that is a good objective. They had a long time to prosecute that objective and make it a reality; they did not do it. They had the opportunity to do it, too. B ecause when they t ook over the Government, the Go vernment was firing on all cylinders. It was a great time to do something like that —a great time. But they did not do it. As a matter of fact, they did not change the tax system at all! So, I understand it was more difficult after 2009 when the Bermudian economy kind of started to 1372 9 March 2016 Official Hansard Report
Bermuda House of Assembly really contract. It would have been a very difficult time to do it. But they had a number of —at least half of their tenure in Government, they had an opportunity to do something about that. They claim to be a labour party, a party that represents the less -affluent in our society. They had a chance, year after year after year, to do something about that. They did not do it! Words are less than cheap in this context. Words are wort hless. You talk about , they had ideas. They got religion after they got kicked out of government? Come on! When they were in government, they had chance after chance to do something about this. They did not do it! Now, Mr. Speaker, this Government pledges to do something about it. It is time. It is past time that we did something about the nature of this payroll tax system in Bermuda. And we are in the process of making that change. I am hoping to be able to announce what that process is even before next year’s Budget Statement. I am hoping to. But we are actively engaged in coming up with a new structure that will be more progressive for our country. It will enable us to attack this deficit in a more efficient and more effective way. And that is what we are about to do. So, b asically, timing is everything, Mr. Speaker, and this is the time to start making those changes. Certainly, this payroll tax increase that we are doing now is not something that the Government would have wanted. But we are in a situation now where we have to make progress on this deficit every year. Ev ery year we have to make progress on this deficit. And we have made progress on this deficit. We have made tremendous progress on this deficit. By over $100 mi llion a year we are making progress on this defici t. But this year, we have had some significant expenses that we have had to deal with. And therefore, the reduction of expenditures was just much more difficult. I still have constant battles with my colleagues on expenditures almost weekly. And that will continue. However, in order for us to get to the target that we wanted to get to this year, we could not wait until we had a resolution to the restructuring of payroll tax. We could not wait a year to have revenues at the level they were last year. We could not wait to do that. It would have been imprudent and it would have been counterproductive. So we have had to raise payroll taxes in the old structure, this year. It has been a necessity. So we will come back with something that is agreed to as per that unspoken, but very, very important pact that go vernments of Bermuda have had with international business, that in particular, payroll taxes will not be increased without prior consultation. That is the key here! And somebody on the other side is talking about what we are doing this year is a disastrous mistake? Well, we know what a disastrous mistake is, Mr. Speaker. And that was the mistake that my predeces-sor did when she increased payroll taxes by 2 per cent without consultation with the private sector . We live in a small community. We cannot blindside people on taxes. I have talked about a GST (general service tax). It is coming. We do not have a lot of details to reveal right now, but it is coming. And I am saying it is coming now so that I do not bl indside anybody! We are not here to blindside people. So, Mr. Speaker, with those not -so-few words —
[Laughter]
Hon. E. T. (Bob) Richards: —I would like to read this a second time and have the Bill be committed.
The SpeakerThe SpeakerThank you. Thank you, Minister. The Minister has moved that the Bill be committed. Any objections to that? There are none, so, Deputy, please take the Chair [of Committee]. House in Committee at 8:18 pm [Mrs. Suzann Roberts -Holshouser, Chairman] COMMITTEE ON BILL PAYROLL TAX AME NDMENT ACT 2016
The ChairmanChairmanMembers, we are now in Committee of the whole [House] for further consideration of the Bill entitled P ayroll Tax Amendment Act 2016 . I call on the Minister in charge to proceed. Minister, you have the floor. Hon. E. T. (Bob) Richards: Thank you, Madam Chairman. Madam Chairman, this …
Members, we are now in Committee of the whole [House] for further consideration of the Bill entitled P ayroll Tax Amendment Act 2016 . I call on the Minister in charge to proceed. Minister, you have the floor. Hon. E. T. (Bob) Richards: Thank you, Madam Chairman. Madam Chairman, this Bill, entitled the Payroll Tax Rates Amendment Bill 2016, seeks to amend section 9 of the Payroll Tax Act 1995 to create a new special situation for certain construction workers e mployed on approved development projects of national importance, and to increase certain rates of payroll tax as set out in the Payroll Tax Rates Ac t 1995. Madam Chairman, I think we have seven clauses, and I would like to move them all if that is all right.
The ChairmanChairmanAre there any objections to that m otion? No, there are no objections. Please proceed. Hon. E. T. (Bob) Richards: Thank you, Madam Chairman. The first clause is self -explanatory. Clause 2 amends section 9(2) of the Payroll Tax Act 1995 by inserting a new paragraph, section 9(2)(g). This creates …
Are there any objections to that m otion? No, there are no objections. Please proceed.
Hon. E. T. (Bob) Richards: Thank you, Madam Chairman. The first clause is self -explanatory. Clause 2 amends section 9(2) of the Payroll Tax Act 1995 by inserting a new paragraph, section 9(2)(g). This creates an additional special situation for certain construction workers employed on develo pment projects deemed to be of national importance
Bermuda House of Assembly and approved by the Economic Development Commi ttee, provided that the remuneration paid to the employee is for direct construction labour for the approved development project only and that the emplo yer is not in arrears with the payment of payroll tax. Clause 3 amends section 3(1) and (2) of the Payroll Tax Rates Act (the Rates Act) so as to i ncrease the standard rate by one percentage point from 14.5 per cent to 15.5 per cent. Clause 4 amends section 4 of the Rates Act. Section 4(3) is amended so as to increase by one- half of a percentage point (from 5.5 per cent to 6.0 per cent) the rate prescribed for the purpose of the special situation in section 9(2)(f) of the Payroll Tax Act 1995. New section 4(4) prescribe s 6 per cent as the rate for the purpose of the new special situation in [new] sec-tion 9(2)(g) [of the Payroll Tax Act] inserted by clause 2. Clause 5 amends section 5 of the Rates Act to increase by one percentage point the rates payable by employers fall ing within Class A, paragraphs (a), (b) and (c) of Class B, and Class BB (increasing from 10.25 per cent, 7.75 per cent, 11.25 per cent and 13.25 per cent to 11.25 per cent, 8.75 per cent, 12.25 per cent, and 14.25 per cent, respectively). Boy, that was a bit of a mouthful.
The Clerk: Yes.
Hon. E. T. (Bob) Richards: For employers falling within Class C, the increase is one- half of a percen tage point, from 5.5 per cent to 6.0 per cent. Clause 6 amends section 7 of the Rates Act to increase the statutory pr oportion of tax recoverable from employees from 5.5 per cent to 6.0 per cent. Clause 7 provides for commencement on April 1 st, 2016.
The ChairmanChairmanThank you. Are there any Members who would like to speak to clauses 1 through 7? The Chair recognises the Member from constituency 18. You have the floor.
Mr. E. David BurtThank you very much, Madam Chairman. Madam Chairman, regarding clause 2, during the Committee of Supply, there was discussion about this new thing that is going to be inserted into the tax code regarding projects of economic importance. And when the Minister listed off the projects of economic importance, they …
Thank you very much, Madam Chairman. Madam Chairman, regarding clause 2, during the Committee of Supply, there was discussion about this new thing that is going to be inserted into the tax code regarding projects of economic importance. And when the Minister listed off the projects of economic importance, they were all basically tourism projects, which all, I guess you could say, already have existing concessions through hotel concessions, orders which have been tabled in this Parliament. So I guess I am wondering what the Minister would say what the need for this is, or is there a bid to get rid of concessions? Is this to tighten concessions? Is it a direct construction, whereas payroll tax conce s-sions that are extended under hotel concessions may be broader and it could be for project managers and management, et cetera? So I was hoping the Minister could elaborate a little bit more on that particular statement. I think that it is also key, and I will continue to repeat it, that I think that it is not the best thing, esp ecially in the time when employees are seeing their cost of living increase across the board and ever ywhere, that the Government has seen fit to increase payroll tax reco vered by employees at the highest level that it has ever been. And it is sad that the Go vernment would not look at , at least making sure that that was a little bit more equitable from the perspec-tive of the employers and the employees, especially knowing t he hard times and the lack of increase in wages and the increase in all factors of cost of living that most Bermudians have to deal with.
The ChairmanChairmanThank you, Member. Are there any other Members? The Chair recognises the Minister. Hon. E. T. (Bob) Richards: Thank you, Madam Chairman. Just to respond to the Member’s question. The relief that we are talking about here is for the construction companies, not the hotels. So that is the difference …
Thank you, Member. Are there any other Members? The Chair recognises the Minister.
Hon. E. T. (Bob) Richards: Thank you, Madam Chairman. Just to respond to the Member’s question. The relief that we are talking about here is for the construction companies, not the hotels. So that is the difference between the concessions that we are tal king about for hot els. And this is for construction companies, so as to reduce the cost of the project, the construction project.
The ChairmanChairmanThank you. Are there any other Members who would like to speak to clauses 1 through 7? There are no other Members. Minister. Hon. E. T. (Bob) Richards: Thanks, Madam Chai rman. I move clauses 1 through 7, please.
The ChairmanChairmanIt has been moved that clauses 1 to 7 be approved as printed. Any objections to that motion? No objections. Agreed to. [Gavel] [Motion carried: Clauses 1 through 7 passed.] Hon. E. T. (Bob) Richards: Madam Chairman, I would like to move the Preamble.
The ChairmanChairmanIt has been moved that the Preamble be approved. Are there any objections to that motion? 1374 9 March 2016 Official Hansard Report Bermuda House of Assembly No objections. Agreed to. [Gavel] Hon. E. T . (Bob) Richards: I would like to move that the Bill be presented to the …
The ChairmanChairmanIt has been moved that the Bill be reported to the House as printed. Are there any objections to that motion? No objections. Agreed to. Hon. E. T. (Bob) Richards: Thank you, Madam Chairman. [Motion carried: The Payroll Tax Amendment Act 2016 was considered by the Committee of the whole …
It has been moved that the Bill be reported to the House as printed. Are there any objections to that motion? No objections. Agreed to.
Hon. E. T. (Bob) Richards: Thank you, Madam Chairman.
[Motion carried: The Payroll Tax Amendment Act 2016 was considered by the Committee of the whole House and passed without amendment.]
[Pause]
House resumed at 8:26 pm
[Hon. K. H. Randolph Horton, Speaker, in t he Chair]
REPORT OF COMMITTEE
PAYROLL TAX AMENDMENT ACT 2016
The SpeakerThe SpeakerThank you, Honourable Members. The Payroll Tax Amendment Act 2016 has been approved. And we will move on to Order No. 7, which is the Bermuda Tourism Authority Amendment Act 2016. And the Minister for Economic Development is going to lead this. Minister. Dr. the Hon. E. Grant Gibbons: Thank …
Thank you, Honourable Members. The Payroll Tax Amendment Act 2016 has been approved. And we will move on to Order No. 7, which is the Bermuda Tourism Authority Amendment Act 2016. And the Minister for Economic Development is going to lead this. Minister.
Dr. the Hon. E. Grant Gibbons: Thank you, Mr. Speaker. Mr. Speaker, I am pleased to stand in for my honourable colleague, Minister Shawn Crockwell, who unfortunately is somewhat indisposed today. So I will do my best under the circumstances. Mr. Speaker, I move that the Bill entitled the Bermuda Tourism Authority Amendment Act 2016, which has been recommended by the Government, be now read the second time.
The SpeakerThe SpeakerThank yo u. Are there any objections to that? Please carry on, Dr. Gibbons. BILL SECOND READING BERMUDA TOURISM AUTHORITY AMENDMENT ACT 2016 Dr. the Hon. E. Grant Gibbons: Thank you, Mr. Speaker. Mr. Speaker, the purpose of the Bill before the House today is to make amendments to the …
Thank yo u. Are there any objections to that? Please carry on, Dr. Gibbons.
BILL
SECOND READING BERMUDA TOURISM AUTHORITY AMENDMENT ACT 2016
Dr. the Hon. E. Grant Gibbons: Thank you, Mr. Speaker. Mr. Speaker, the purpose of the Bill before the House today is to make amendments to the Bermuda Tourism Authority Act 2013. Section 15 of the Berm uda Tourism Authority Act 2013 requires a Tourism Authority fee to be paid by each proprietor of a hotel for each guest who is accommodated in the hotel. The current Touri sm Authority fee rate is 2.5 per cent of the rack rate charged by such hotel in respect of such guest. Mr. Speaker, the Bill before us today proposes to amend the principal Act to increase the Tourism Authority fee from 2.5 per cent to 5.5 per cent. The purpose, obviously, is to provide additional revenue to the BTA [Bermuda Tourism Authority] so that they can apply this directly to their marketing expenditure to promote the Island. Now, I am not sure it will shorten the debate, Mr. Speaker, but I think at this point, for complete transparency, I should indicate that I am going to move an amendment to change the increase from 2.5 per cent to 4.5 per cent. So, instead of a 3 per cent increase, I am going to move an amendment that will actually put in place a 2 per cent increase, a di scussion that happened after the Budget Statement. I can get into that in more detail. Mr. Speaker, those are my comments. I invite other Honourable Members to speak. Thank you.
The SpeakerThe SpeakerThank you. The Chair will recognise t he Honourable Member from constituency 33, the Shadow Minister for Tourism. You have the floor.
Mr. Jamahl S. SimmonsThank you, Mr. Speaker. And I wish the Minister is feeling better soon. Mr. Speaker, we on this side have long been calling for more money to be pumped into the marketing effort of Bermuda. I think that we are all aware that we are very seriously, seriously outgunned by …
Thank you, Mr. Speaker. And I wish the Minister is feeling better soon. Mr. Speaker, we on this side have long been calling for more money to be pumped into the marketing effort of Bermuda. I think that we are all aware that we are very seriously, seriously outgunned by our competitors in terms of being able to get our product, what is fantastic about our product and what we know and love about Bermuda in front of the audience that will actually come and spend money here. But, Mr. Speaker, we are very concerned about the continuing passing on of the burden of the BTA, which we have been promised repeatedly will eventually become financial ly independent, passing it on to the hotels. And we are concerned because one of the primary issues when it comes to Bermuda, when last year when we were looking at why tourists would click onto the Bermuda ad and they would click through to look at even b uying or getting a ticket to Bermuda, two issues came up repeatedly when they checked to see why people did not make the final
Bermuda House of Assembly sale: cost of hotels, cost of airlines. And that repeatedly came up as a disincentive for people coming to Bermuda. So we have a lready raised the departure tax, which adds to the fees. And, Mr. Speaker, with your indulgence, I would just like to read just one example. And I know one does not make an example of —
The SpeakerThe SpeakerHonourable Members. Members, you [should] not be commenti ng towards Members in this House!
An Hon. Member An Hon. MemberSorry? [Pause]
The SpeakerThe SpeakerNo one is speaking to anybody here.
Mr. Jamahl S. SimmonsOkay. Thank you, Mr. Speaker. Mr. Speaker, in a letter to the editor written on October 17 th, 2015, with your indulgence, “Bermuda’s hotel taxes are too high.” And in this letter, Mr. Speaker, the person writes, “When I looked at the bill I became . . . annoyed. I …
Okay. Thank you, Mr. Speaker. Mr. Speaker, in a letter to the editor written on October 17 th, 2015, with your indulgence, “Bermuda’s hotel taxes are too high.” And in this letter, Mr. Speaker, the person writes, “When I looked at the bill I became . . . annoyed. I was quoted an excellent rate, which I was very satisfied with. Upon reading the final bill [however] th ere are extra charges for government tax, which I expected, and service charges, but the charges for tourism authority fee and resort levy? Are they kidding?” That is the response of at least one visitor to the already -existing issues that we see being added on to our tourists. Mr. Speaker, our biggest challenge right now is, first, getting tourists here. That is a challenge. We saw last year a 48- year low in air arrivals, this year a 49-year low in air arrivals. There is something wrong. And we have to as k the question, Mr. Speaker, when we look back at what has been said by the BTA. And, Mr. Speaker, with your indulgence, I would like to quote this. Mr. Speaker, the CEO, Mr. Hanbury, says (and I quote), “We own 2015 and have set aggressive objectives. I have to perform or I will not be here.” Now, Mr. Speaker, the marketing objectives of the BTA are as follows, and I quote, this is also from their website: “to stop the decline in visitor numbers; to increase air arrivals; to better integrate our brand messages; to match Bermuda’s authentic experience with consumer desire; and to build year -round d emand.” Mr. Speaker, on their key objectives, they have failed on one, stop the decline in visitor num-bers. They have failed on two, to increase air arrivals. And they have failed on five, to build year -round demand. Now, Mr. Speaker, we on this side recognise the challenges that the BTA face. There are structural challenges to our tourism product that make Bermuda a harder sell. Our weather, our costs, it is a v ery big disincentive in many ways. And when our consumers now have the ability . . . The days when there was one Pan Am flight flying out of New York to Bermuda and nowhere else are over. People have choices. And so, they are now looking at value for dollar. We have a challenge with that. And this tax, even though it is not as bad as originally intended, it is a case of driving the knife in and then pulling it out a little bit just to try and ease the pain. Still, the knife is in there. And the cost of doing business, the cost of getting a guest here, has gone up. And that cannot be a good thing. We recognise that there are a couple of things that we need to see from the Government. One, and from the BTA specifically. It has been promised that the BTA wou ld be financially independent. What is the timeline for that? When will that happen? We also have to look at, in terms of when will someone be held accountable for the performance issues? And I have no issue with Mr. Hanbury. I have no issue with the staff at the BTA. I have actually had a great time tal king to them and looking at the work they are doing. And I think that many of the things that they are doing have lived up to the promise of being able to operate like a business and be responsive to the thi ngs in the market that they need to respond to quickly. But the one aspect that it has not lived up to is accountability. It has not lived up to that. And when the One Bermuda Alliance was in Opposition, we heard repeatedly, The great thing about this is you can fire somebody or you can do whatever. It is like a business. We can run it like a business. And we have to be honest. Someone, something has to be held accountable. We cannot continue to see these failures to meet objectives be rewarded with more m oney, Mr. Speaker. And that is real. We recognise we need to increase the marketing budget, get our name out there. But there are problems. And if we are not going to look at where the problem is in the BTA, and we are not going to look at the Minister, then where are we going to look at to try and make this thing turn around? Something has to be done, Mr. Speaker. And I have yet to see anything from the Government that indicates that they are concerned about this or that they even have any issues in terms of what is happening. It just seems to be adrift. And, Mr. Speaker, with those brief remarks, I take my seat.
The SpeakerThe SpeakerAll right. Thank you, Honourable Member. Would any other Honourable Member care to speak? The Chair will recognise the Leader of the Opposition. MP Marc Bean, you have the floor. Hon. Marc A. R. Bean: Thank you, Mr. Speaker. I know that the Honourable Minister is acting on behalf of …
All right. Thank you, Honourable Member. Would any other Honourable Member care to speak? The Chair will recognise the Leader of the Opposition. MP Marc Bean, you have the floor.
Hon. Marc A. R. Bean: Thank you, Mr. Speaker. I know that the Honourable Minister is acting on behalf of the substantive Minister. But hopefully, he will be able to answer one or two questions. 1376 9 March 2016 Official Hansard Report
Bermuda House of Assembly But before I proceed, the Honourable Minister did mention that he will be seeking an amendment. And may I ask, as a point of clarification (because I missed what the Minister said), will the amendment take it down from 5.5 [per cent] to 4.5 [per cent]?
[Inaudible interjection] Hon. Marc A. R. Bean: Okay. Got you. All right. Thank you. I appreciate that. But it is going up, from 2.5 [per cent] to 4.5 [per cent] instead of 5.5 [per cent].
[Inaudible interjection]
Hon. Marc A. R. Bean: Okay. All right. I appreciate the response. Mr. Speaker, real briefly, I would like to ask a few questions, because it is concerning that here we are again increasing a form of tax on a specific section of our economy, in this case the tourism sector, which as we know is the second- most important ec onomic sector in the country. And I consider this to be another fiscal blu nder, another mistake. And unlike the previous debate where we discussed payroll tax, I think this is a little easier to hash out, Mr. Speaker, from a tourism perspective. One of the biggest issues that we have in this country is the cost of doing business; it is the cost of travel to the country, amongst other things, in add ition to the need for an enhanced product and other aspects. But how, Mr. Speaker, if we ar e seeking to attract visitors? Because it seems like this airport deal is dependent on, ultimately, an increase in visitor arr ivals. If not, there is going to be some shortfalls that we just might be on the hook for. How in God’s name, Mr. Speaker, can we possibly expect to increase (what is it called?) a guest accommodation tax by 2 per cent and expect that to be beneficial to the stated goal of bringing more tourists into the country? Again, this is another short term, in my opinion harebrained idea! It is one of the worst ideas I could think of that a government can do at this point in time when we are trying to revitalise tourism. One of the issues I think is right there on the table is, how do the hotels, especially the small - to mid-sized hotels —in m y mind, the Grotto Bay and b elow, the Pompano’s, the Reefs, the Cambridge Beaches —what does an increase in taxation like this mean to their bottom line? Has the Government con-sulted with these business owners? I have a funny feeling that if there has been consultation, there has not been much. Because I have spoken to a few hotel operators in the western end of the Island, and suffice it to say, Mr. Speaker, they are not pleased at all. They are not pleased. They feel and they think that the Government is r eaching into their pockets and are making it much more difficult to do business. And when I hear their complaints, I have to remind them, Mr. Speaker, I say, Well, you know, this is what comes when you are overly dependent on the taxpayer purse to promote your own properties. You cannot have it both ways. To be fair, you cannot complain that the Government is increasing the burden of doing business when I have not seen many, if any, operators take the approach that, Listen, we need to be competitive. We need to be like a Gordon Butch Stewart at Royal Sandals and advertise and position our product in the East Coast and in the marketplace! Instead, what we have seen is this over -dependency of tourism on the Government. And so, it is a dependency that cuts both ways. On one hand, hotel operators do not want to increase burden. But on the other hand, they are not willing to be competitive. So something has got to give. I actually would prefer to see hotels in this cou ntry get off their backsides and compete in the marketplace! Stop being so dependent on the Bermuda Tourism Authority or the former Tourism Board or the former Ministry of Tourism. It is ridiculous when I think about it! It is absolutely ridiculous. It means that we have been operating in a hampered market. It is not free. It is hampered. And to be honest, I cannot blame Government for it. This is something that we have been doing for years. But at some point, the pacifier is going to have to be pulled out of everyone’s mouths. And some of this burden that the taxpayer has to shoulder now has to be shifted into a commercial space, where you know that you are going to have to allocate some part of your budget to go ahead and find an advertisement company or firm and target the East Coast of the United States. I would like to see, for once, at least one hotel, when I turn on cable television and I look at the local channels from Miami up to New York and Boston, I want to see a commercial that has been pr esented by a local tourism establishment! I just do not want to see Feel the love in Bermuda tourism advertisements! When I look at the Bahamas, you get that. You get that It is better in the Bahamas. But beyond that, you get Atlantis. You get Beaches. You get Royal Sandals. And, Mr. Speaker, I must say, I do not know about Members, but when I sit up and I look at these commercials, it makes me want to look online. I could imagine if you are a snowbird up in Maine or in Michigan and you are looking at this commercial in which you see fire and water and music and good food and . . . you know what I mean, Mr. Speaker —marketing! That makes you want to say, Man, it looks better there than in Chicago! Man, baby, let us look online so we could book a flight, so we could go stay at the Fai rmont or stay at the Elbow or stay at the Pompano. Why? Because we just saw a Fairmont advertisement! And that is what is drawing us to come to Bermuda.
Bermuda House of Assembly But as of now, yes, I am very concerned that we have this tax increase on, of all things, tourists, which has got to be . . . it is crazy to me. It is anti - economic. But if the operators of hotels think that this is a burden, then I would appeal to you—I would a ppeal to you, now must be the time when you take the pacifier out of your mouths. It must be. And if you are not able to compete like every other jurisdiction, like every other hotel in the region, if you cannot find the proper budgetary allocation, then I suggest you go out of business. You should not be in the tourism game. At some point, this subsidisation of the second p lank of our economy has to be stopped. We have to be weaned off of it, Mr. Speaker. Because without it, without that competitive spirit, what do we see? Ageing physical plants. I mean, just a few years ago, I finally saw one of our hotels transition to flat -screen TVs in their rooms. Good Lord!
An Hon. Member An Hon. MemberAnd Wi -Fi. Hon. Marc A. R. Bean: And Wi -Fi! [Laughter] Hon. Marc A. R. Bean: You know, just a couple of years ago they finally got a flat -screen TV. In other words, our product is old. Then I go and look in the rooms and look in …
And Wi -Fi.
Hon. Marc A. R. Bean: And Wi -Fi!
[Laughter]
Hon. Marc A. R. Bean: You know, just a couple of years ago they finally got a flat -screen TV. In other words, our product is old. Then I go and look in the rooms and look in the lobby, and I see the same type of furniture that I saw when I went round to Berm udiana Hotel in the 1970s as a baby. The same carpet! The same ambiance! And we fool ourselves into thinking that we are in the game of tourism! Well, we are not. We are completely missing the boat. That is why 22 million tourists fly over Bermuda every year to go an additional 1,000 miles to the south to enjoy a much better product, with more value for money. They fly right over us, Mr. S peaker. So I would hope this is another . . . this Bill is going to have a negative impact on the tourism sector. It will over the short - and mid- term. And this is another Bill that I would encourage the Government to seriously look at either reversing or getting rid of altogether. Because, trust me, I have an issue with this Bermuda Tourism Authority that they are going to charge 4.5 per cent to our hotel operators. I am not impressed. I am not con-vinced that we are getting value for money from the Bermuda Tourism Authority! No one can tell me that we are. No one can tell me, in spite of the bonuses. But yet, here we have non- performance on one hand, and then this cap in the other hand looking for more taxpayer funds! I find that wholly unaccept able. And at some point, at some point, the Bermuda Tourism Authority is going to have to transition into being not just an independent, but a private entity, Mr. Speaker. Not independent where you say that you are separate from government, but you depend on the Gove rnment’s milk. That is not independent. What we need is private action. So if the BTA cannot transition off the Government’s milk, then it is either they are going to have to be . . . the BTA might as well be absorbed back into government proper. At least we will have more accountability. Because right now, we are not getting that, Mr. Speaker. It is either –or, but this middle- of-theroad, this sitting- on-the-fence approach, which allows you to get the best of both worlds, to act like you are in the private sector, but really you are a public entity, that has to stop. Because ultimately, it is going to r eflect on the performance, which we are seeing a lready. And that is going to impact all of us negatively. So I hope that the Honourable Minister is res ting and recovering. And I am sure that he might be listening to this debate. And I would encourage him . . . I understand the pressure to meet some revenue targets for Aecon, for this airport deal. I also recognise that those targets are not going to be met, because of other factors that are hindering growth in our tourism sector. But, Mr. Speaker, if we do not make the shift, if we do not get off this pacifier, then we are going to find ourselves coming back over and over, throwing good money after bad perform ances and allowing people to, without accountability, hide behind the Government. That must end. It must stop. And you know why? I think we all agree. You know why? Because tourism represents the one i ndustry —we all know this. When we talk about the lo wer income persons in this country, the unemployed Bermudian, we know that tourism represents the best chance for stable employment. We know it. So I would think that we would make this concerted effort to facil itate the growth in the industry. And right now, not one initiative, not one policy that I have seen so far from the BTA or this Government facilitates or cultivates growth in the industry. And to me, I am disappointed. It is very disappointing. Because it seems like we are stuck in a rut. We are caught up in some inertia. We have some type of market paralysis, Mr. Speaker, because of market dependency or state dependency. And I encourage the Government —again, you will note that I am not speaking to attack the Gover nment, per se, outside of the error in this policy and in this tax increase. But as a country, we know that our people are dependent on employment, and tourism represents the best opportunity. So that means that we have to grow tourism. That is what we all agree on. So then, let us make the rubber hit the road. What policies can we put in place that spur economic growth? And raising taxes for the 100 th time is not it! That is not the way. So, Mr. Speaker, hopefully, we can transition from the BTA concept of independent, but not private, which amounts to me as a clever cash cow and public sector scheme of wealth redistribution. That is how I see it right now, because I do not see the beef! I heard what Mr. Hanbury says. But it is not what you 1378 9 March 2016 Official Hansard Report
Bermuda House of Assembly say, Mr. Hanbury! Your actions speak louder than words. Show me the results! I am a performancebased man. Impress me by your efforts. Let me see the number of faces coming through Immigration at the airport! Let that be the ultimate measure, Mr. Speaker, instead of having to take this backwards a pproach, where we know that our hoteliers are the ones who are suffering. In spite of being subsidised, they are suffering because the occupancy rates are low, 60 per cent. That is not high occupancy. We know that they are suffering. But yet, here we are as a government, we are about to go and increase by 100 per cent, or let us say 80 per cent —yes, about 80 per cent —the tax burden on the hoteliers. I wonder what the Chairman of the BTA thinks about that. I really wonder what the Chairman thinks about that, Mr. Speak er. So I hope that the Honourable Minister would take on what we are presenting and really reconsider for the next fiscal year to make a shift. Stop this mindset that we have to increase taxes on everything, and especially increasing taxes on the golden eggs that we depend on, the gold or silver eggs, Mr. Speaker. We have to stop that. We have to make a shift. And that is also going to require those in the private sector, the hotel operators, like I said before, to start learning to be competitive. I want to see your stake in the game! That is what I want to see. Yes, do not depend on the Mini ster or the Premier for giving you a parachute or a pac ifier. Get in the match or get out of the match! Because this game is international, Mr. Speaker, and it is eit her we sink or we swim.
The SpeakerThe SpeakerThank you. Thank you, Honourable Leader of the Opposition. The Chair will now recognise the Honourable Member from constituency 35, MP Dennis Lister, the Shadow Minister for Works. You have the floor. Hon. Dennis P. Lister: Thank you, Mr. Speaker. I intend to be brief. Mine is more around a …
Thank you. Thank you, Honourable Leader of the Opposition. The Chair will now recognise the Honourable Member from constituency 35, MP Dennis Lister, the Shadow Minister for Works. You have the floor. Hon. Dennis P. Lister: Thank you, Mr. Speaker. I intend to be brief. Mine is more around a question to the acting Minister in regard to the reduction from 5.5 [per cent] to 4.5 [per cent], because if memory serves me well, during the Budget Statement, which was read by t he Finance Minister, he indicated that the increase from 2.5 per cent to 5.5 per cent was going to realise the BTA an additional $4.3 million. My question to you is, by reducing it back to—
The SpeakerThe SpeakerMaybe we need to deal with that in Committee, yes, w hen we get in Committee. Dr. the Hon. E. Grant Gibbons: Yes. I will explain it then.
The SpeakerThe SpeakerYes. We will deal with that when we get into the clauses. Hon. Dennis P. Lister: All right.
The SpeakerThe SpeakerThat will save time. The Chair will recognise the Honourable Member from constituency 18. MP David Burt, you have the floor.
Mr. E. David BurtThank you very much, Mr. Speaker. Mr. Speaker, I will be brief. But I think that it is interesting that the Minister made it an admission, I guess, that the G overnment, after we heard this lecture of the Government consul ting, then apparently the Government did not consult enough …
Thank you very much, Mr. Speaker. Mr. Speaker, I will be brief. But I think that it is interesting that the Minister made it an admission, I guess, that the G overnment, after we heard this lecture of the Government consul ting, then apparently the Government did not consult enough because they are now changing the tax rates inside of their Bill, one would guess, from feedback from industry. So, after the long lecture about making sure that we consult, we now see a Government that clearly did not consult enough with what most people would consider one of our most important industries. So I look forward to hearing the reasoning from the Government when the Minist er responds as to why they are making this change and how come the Government has announced the tax rate, and all of a sudden they are changing it when we are actually getting to the Budget Debate?
The SpeakerThe SpeakerWould any other Member care to speak? The C hair will revert back to the Minister. The Minister of Economic Development, Dr. Gibbons, you have the floor. Dr. the Hon. E. Grant Gibbons: Thank you, Mr. Speaker. Mr. Speaker, I am sure those comments will spur the substantive Minister out …
Would any other Member care to speak? The C hair will revert back to the Minister. The Minister of Economic Development, Dr. Gibbons, you have the floor.
Dr. the Hon. E. Grant Gibbons: Thank you, Mr. Speaker. Mr. Speaker, I am sure those comments will spur the substantive Minister out of his bed and into the House. I am cognisant of the fact —
[Inaudible interjections and laughter]
Dr. the Hon. E. Grant Gibbons: I am sure he will come back with the vigour which he is well known for. I am cognisant of the fact that there is going to be a very full debate on Friday on the actual Tourism heads. So I think it is probably appropriate to try and touch on some of these issues, but leave the substantive debate, which I am sure will be addressed to some degree in the Minister’s brief, until Friday. Let me start by saying that I think it is i mportant, particularly for those listening, to understand that what is now sort of a BTA fee actually started out as a guest fee that was imposed, I think, by the Ho nourable Member, Mr. Furbert, back a number of years ago. And it was a 2.5 per cent fee, if my memory serves me correctly, a guest fee. It was not payable to the Bermuda Tourism Authority, because it did not exist at the time, but was payable to the Tourism Board. And the concept then was to try and raise more money for marketing.
Bermuda House of Assembly So the guest fee has been in place for some time. And I think what we are doing today is we are increasing that to provide, as I said a few minutes ago, additional money that will go directly into a mar-keting budget for the Bermuda Tourism Authority. Now, I have heard Honourable Members say that, on the one hand they would like to have the Bermuda Tourism Authority spend more money on marketing. And yet, on the other hand, this is going to be detrimental to the overall tourism product. I think it is important to also recognise, because I think there was a little bit of confusion there. This is not a tax on the industry, per se, on the hotels. This actually goes on the bill as a guest fee. So it is being charged to visitors. But never theless, the issue still stands. You cannot have your cake and eat it, too, Mr. Speaker. If you want more money being spent on marketing, then you have got to find it somewhere. And as I understand it, the Honourable Minister of Tourism gave this a fair degree of consideration. The BTA was very, I will say, purposeful in terms of saying, Look. We need more money to spend on ads to be out there in the market. And there are only a few places where this can come, particularly given a tight budget. So possibly , one could have gone back at the cruise industry. But as Honourable Members on that side will know, sometimes that is difficult to do b ecause this is not necessarily directly about cruise. I guess they are involved to some degree. But also, those agreements extend for at least a year in terms of notice. We could have gone for the occupancy tax, but I think the same arguments would have applied if we did increase the occupancy tax, which is now, I believe, about 7.25 per cent. So the guest fee looked like it was the best way to go. Now, I probably do not travel as much as Honourable Members on that side of the House. But I have to say that —
An Hon. Member An Hon. MemberHa! Ha! Dr. the Hon. E. Grant Gibbons: I gather the reserv ations have already made for next week, Mr. Speaker, from what I am hearing. But what I do know is that I did a fair amount of travelling in the early part of the year, in January. And …
Ha! Ha! Dr. the Hon. E. Grant Gibbons: I gather the reserv ations have already made for next week, Mr. Speaker, from what I am hearing. But what I do know is that I did a fair amount of travelling in the early part of the year, in January. And I was in New York, I was certainly in China, I was in Cambodia, and I was in Singapore. And, Mr. Speaker, you w ill know, because you travel as well from time to time, that when that bill finally comes, not only is there government tax on there, but there are a lot of other taxes as well. And I understand, I think we all understand, that trying to reduce that burden on the paying guest is something we all wish to do. But I have to say that I think we are still slightly short of where some of these other jurisdictions are in terms of what they are trying to extract from the hotel paying guest. So I think, yes, we hear you. Yes, we understand it. But on the other hand, I think it is i mportant that we also provide the BTA with some additional income to go not into salaries or anything of that sort, but directly into their market expenditure. Now, I think there were a c ouple of other questions that came up in terms of the issue of finan-cially independent and performance issues and the rest of it. I think, clearly, we all understand that accountability is an important thing. I suspect that there will be more discussion on this with respect to the d ebate, certainly, on Friday, and as we go forward. I will say, though, and I have had a little bit of an advance thing here, and it may come up more on Friday. The Honourable Members on that side of the House will be pleased to k now that the first couple of months of the year look pretty good. So I cannot say what those increases look like right now. But my sense from the Minister is that we are heading very much in a good direction. And I think if we start to see some healthy inc reases over the year, maybe some of those accountability issues will disappear like dew on a hot morning. We will have to see, Mr. Speaker. I do not have a crystal ball. But I think the PACE reports do suggest and the evidence so far suggests that things are starting to look a little better. But I will leave that thunder for the Minister of Tourism, because I am sure he will want to talk about that at some point. I think those are most of the points that I wanted to make. I understand that all of us would l ike there to be more marketing spent by some of the h oteliers as well. But just in case anybody thinks they are not doing any marketing, and they clearly are, be-cause the Honourable Members on that side will know that, in these hotel concession orders, mar keting is an offset against payroll tax and land tax and things of that sort. So there clearly is marketing going on; we know there is. Should they be doing more of it? I suspect some of us feel they probably should be. But we hope that a rising tide will lift all ships, and I think all of us would like to see, when we are in New York or London or wherever, more Bermuda ads. And hopefully, Mr. Speaker, that will come. I also understand the point about, should we say, some ageing plant that needs to be addressed. I think it is fair to say that some hoteliers have taken the bit very much between their teeth. The Princess has plugged on the order of $100 million, as you will know, Mr. Speaker, into their plant down there. And I gather those rooms are very nice indeed and certainly compare with any rooms around the world. We have a number of other projects which are coming on board. We heard about the Desarrollos, which is five- star. Tucker’s Point certainly does a very nice job, I under-stand. I do not stay in these rooms. And clearly we have great hopes that Morgan’s Point will come up with not just a five- star, but a six -star property out there. 1380 9 March 2016 Official Hansard Report
Bermuda House of Assembly So, Mr. Speaker, with those comments, I would ask that the Bill be committed. Thank you.
The SpeakerThe SpeakerAll right. Thank you, Dr. Gibbons. Dr. Gibbons has asked that the Bill be committed. Are there any objections to that? There are none. Deputy Speaker. House in Committee at 9:03 pm [Mrs. Suzann Roberts -Holshouser, Chairman] COMMITTEE ON BILL BERMUDA TOURISM AUTHORI TY AMENDMENT ACT 2016
The ChairmanChairmanMembers, we are now in Committee of the whole [House] for further consideration of the Bill entitled Bermuda Tourism Authority Amendment Act 2016. I call on the Minister in charge to proceed. Minister, please proceed. Dr. the Hon. E. Grant Gibbons: Thank you, Madam Chairman. Madam Chairman, I would like …
Members, we are now in Committee of the whole [House] for further consideration of the Bill entitled Bermuda Tourism Authority Amendment Act 2016. I call on the Minister in charge to proceed. Minister, please proceed.
Dr. the Hon. E. Grant Gibbons: Thank you, Madam Chairman. Madam Chairman, I would like to move, if nobody objects, all the clauses, because there are only three of them. So I move clauses 1 through 3.
The ChairmanChairmanMinister, you have given me the amendment. I just have a question to ask. We will have to review the amendment first. Dr. the Hon. E. Grant Gibbons: Sure , sure.
The ChairmanChairmanDoes everybody have a copy of the amendment? Dr. the Hon. E. Grant Gibbons: It is going to be in clause . . . I have a batch of them here somewhere.
The ChairmanChairmanIf they could be distributed, that would be great. Dr. the Hon. E. Grant Gibbons: Sure. Yes. Could someone help me out here? [Pause] Dr. the Hon. E. Grant Gibbons: So, there are actua lly amendments on two clauses. One is clause 2, and the other is clause 3. It …
If they could be distributed, that would be great. Dr. the Hon. E. Grant Gibbons: Sure. Yes. Could someone help me out here? [Pause] Dr. the Hon. E. Grant Gibbons: So, there are actua lly amendments on two clauses. One is clause 2, and the other is clause 3. It probably makes sense to do . . . I am in your hands, Madam C hairman, but it probably makes sense to do them all at once, if I had to guess.
The ChairmanChairmanThe first thing we need to do is the amendment. Dr. the Hon. E. Grant Gibbons: Okay.
The ChairmanChairmanSo once everyone has a copy of the amendment, then we will m ove the amendment. And once we make that amendment, then we can move to the Bill. Dr. the Hon. E. Grant Gibbons: Okay.
The ChairmanChairmanWhich, of course, are in the clauses. Dr. the Hon. E. Grant Gibbons: Yes.
The ChairmanChairmanSo, if you want to . . . we hav e got three clauses. Basically, the first one is the citation. We can pass that one, and then go directly to the amendment. Dr. the Hon. E. Grant Gibbons: So, would you like me to move clause 1?
The ChairmanChairmanYes, please. Dr. the Hon. E. Grant Gibbons: I move clause 1.
The ChairmanChairmanThank you. Are there any Members who would like to speak to clause 1? There are no Members who would like to speak to clause 1. Minister? Dr. the Hon. E. Grant Gibbons: Madam Chairman, would you like me to move clauses 2 and 3?
The ChairmanChairmanI would like to move clause 1 first. [Crosstalk] Dr. the Hon. E. Grant Gibbons: Okay. I have moved clause 1.
The ChairmanChairmanIt has been moved that clause 1 be approved as printed. Are there any objections to that motion? No objections. Agreed to. [Gavel] [Motion carried: Clause 1 passed.]
The ChairmanChairmanThank you very much, Minister. Please proceed. Dr. the Hon. E. Grant Gibbons: Madam Chairman, in clause 2, which amends . . . do you want me to speak to the amendment first? The C hairman: The amendment. Bermuda House of Assembly AMENDMENT TO CLAUSE 2 Dr. the Hon. E. …
Thank you very much, Minister. Please proceed.
Dr. the Hon. E. Grant Gibbons: Madam Chairman, in clause 2, which amends . . . do you want me to speak to the amendment first?
The C hairman: The amendment.
Bermuda House of Assembly AMENDMENT TO CLAUSE 2
Dr. the Hon. E. Grant Gibbons: Okay. Very good. In clause 2, I wish to delete the “5.5%” and substitute “4.5%.”
The ChairmanChairmanSo, it reads? Dr. the Hon. E. Grant Gibbons: So, it reads now, “In section 15(1) of the Bermuda Tourism Authority Act 2013, delete 2.5% and insert 4.5%.”
The ChairmanChairmanThank you. Are there any Members who would like to speak to the amendment to clause 2?
The ChairmanChairmanWould you like me to say something about that?
The ChairmanChairmanYes. Dr. the Hon. E. Grant Gibbons: Okay. We got a number of questions from Members in the House. And what I will say is that the Bill was originally put down with 5.5 per cent. There was consultation, as I understand it, with members of the BHA [Bermuda Hotel …
Yes.
Dr. the Hon. E. Grant Gibbons: Okay. We got a number of questions from Members in the House. And what I will say is that the Bill was originally put down with 5.5 per cent. There was consultation, as I understand it, with members of the BHA [Bermuda Hotel Association] prior to the Budget Statement, because the Budget Statement refers to 5.5 per cent. At that point, my understanding is that there was maybe not pleasure, but certainly there was an agreeableness about the increase of 2.5 to 5.5 per cent, essentially a 3 per cent increase. And there was some discussion beforehand, before the actual budget, as certainly we on this side try to do. After the budget was actually put down, apparently there was further discussion. And some of the hotels had alre ady gone out as part of their marketing effort. So there was some concern on their part about that. The BTA got involved, and the BTA felt that they could probably live with, as I understand it, 4.5 per cent as opposed to 5.5 per cent. They were prepared t o do the decrease to meet the BHA part of the way. That still gives them something on the order of $3 million in addition to what they are getting already. So they were comfortable with that. They would have liked to have more. But I think that was the compr omise, basically. The other issue which will come up again in the next clause is, we are actually extending the time period when this kicks in, from the 1 st of April to the 1st of May, because it will give the BHA members more time to be able to deal wi th their marketing plans and speak to the industry and that sort of thing. So I will stop at that point. Thank you.
The ChairmanChairmanThank you very much. Are there any Members who would like to speak to the amendment to clause 2? Thank you. The Chair recognises the Member from constituency 33.
Mr. Jamahl S. SimmonsThank you, Madam Chai rman. I do not want to belabour the point, as I understand the Minister is acting. But it is deeply co ncerning that it seems to have been a mad scramble to sort of consult on the back end instead of the front end. And I …
Thank you, Madam Chai rman. I do not want to belabour the point, as I understand the Minister is acting. But it is deeply co ncerning that it seems to have been a mad scramble to sort of consult on the back end instead of the front end. And I think this is something that we would not like to see going forward if it can be avoided. We do recognise, particularly with the marketing of these hotels, that they do have plans. They do have things in motion. And you do need to sort of have more notice to be able to get things going. I think it is good that the Government was willing to make adjustments after consultation. But it is always better to measure twice and cut once. That would appear to be the best advice, going forward. Thank you, Madam Deputy Speaker.
The ChairmanChairmanThank you, Member. Are there any other Members who would like to speak to the amendment to clause 2? The Chair recognises the Member from constituency 35. Hon. Dennis P. Lister: Thank you, Madam Chairman. Minister, you answered part of my question when you responded. And I will go back …
Thank you, Member. Are there any other Members who would like to speak to the amendment to clause 2? The Chair recognises the Member from constituency 35. Hon. Dennis P. Lister: Thank you, Madam Chairman. Minister, you answered part of my question when you responded. And I will go back to where I initially began when I was on my feet earlier. The ori ginal increase up to 5.5 per cent would have realised the BTA $4.3 million [sic] , which was what —
An Hon. Member An Hon. MemberFour-point -five. Hon. Dennis P. Lister: It was $4.5 million, which was indicated in the Budget Statement read out by the F inance Minister. Reducing it now, you say it is going to realise them about $3 million. So they ar e $1.5 million short of what they had anticipated. …
Four-point -five.
Hon. Dennis P. Lister: It was $4.5 million, which was indicated in the Budget Statement read out by the F inance Minister. Reducing it now, you say it is going to realise them about $3 million. So they ar e $1.5 million short of what they had anticipated. Going back to the conversation earlier in r egard to over -dependency, had they budgeted that $4.5 [million] and now find themselves $1.5 million short, will that be offset by an additional grant from Gover nment? Or are they going to be able to live with it being short? Because had the budget already been projected, now they are in a hole. And once we find them in a hole, the next door they come knocking on is Government’s door and we will be coming back here for supplements.
The ChairmanChairmanThank you, Member. The Chair recognises the Minister, the substantive Minister. 1382 9 March 2016 Official Hansard Report Bermuda House of Assembly Dr. the Hon. E. Grant Gibbons: Thank you. Thank you, Madam Chairman. And I appreciate the Honourable Member reminding me of the question. I think the simple answer …
Thank you, Member. The Chair recognises the Minister, the substantive Minister.
1382 9 March 2016 Official Hansard Report
Bermuda House of Assembly Dr. the Hon. E. Grant Gibbons: Thank you. Thank you, Madam Chairman. And I appreciate the Honourable Member reminding me of the question. I think the simple answer is that the BTA has decided they can live with an additional $3 million as opposed to the $4.5 [million] they would have liked. I suspect they would have liked $10 million, but we all know in this world that sometimes you do not al ways get everything you are looking for. So I think they will live with $3 million. There was obviously a discussion after the Budget Statement with the BHA and the BTA. And I think what I was trying to say, as I understand it, this was the compromise that was struck.
The ChairmanChairmanThank you. Are there any other Members who would like to speak to the amendment to clause 2? Thank you. The Chair recognises the Member from constituency 18. You have the floor.
Mr. E. David BurtThank you very much. I was h oping that the Minister could, I guess . . . was there a breakdown in consultation, the reason there is a drop? The other thing that I would ask, be-cause I think that it is important, is that the Gover nment likes to …
Thank you very much. I was h oping that the Minister could, I guess . . . was there a breakdown in consultation, the reason there is a drop? The other thing that I would ask, be-cause I think that it is important, is that the Gover nment likes to refer to what the Fiscal Responsibility Panel said. But the Fiscal Responsibility Panel was very clear and said the Government should do what it can to put additional resources into tourism marketing, which would yield a demonstrable result. Now, we have seen the Government has cut Tourism funding over the years. And now they are looking at a small increase from taxes and a little bit additional from their Government. Does it not make sense that, following on the Fiscal Responsibility Panel's [recommendations], that we should probably look to put more resources in? And will the Government consider that, especially since the Minister who is speaking for Economic Development, understanding and realising that one of the best ways to create jobs in the economy, as the Minister has said, as the Government has said repeatedly, is through tourism? But yet, we are still seeing Tourism starved and the additional increase, which the BTA said will all go towards marketing, because they say that their expenses are by and large fixed, and any additional money will go towards marketing, recognising that we only spend $5 million a year in direct overseas marketing. So out of that $25 million, $20 million in b onuses and salaries and rents and all the rest, and di fferent items of investment, only $5 million is spent on direct marketing. This will probably bump that up to $7 or $8 million. But the fact is that if we had more investment, then we would have more return and more tourists. The BTA speaks every year about a $50,000 prom otion they have. A $50,000 promotion which yields r eturns (they say) on investment of 13 to 1. Of course, you will have the diminishing returns over time. But imagine if, instead of $50,000, the BTA had $250,000 or $1 million to run those types of promotions and the benefits it would have, especially when we are talking about the shoulder months. So once again I would ask, what was the reason for the breakdown? Was it just a lack of consult ation in advance? Because I can see no other reason why something is in a Government Budget Statement, and then we are amending a tax rate afterward. And what additional considerations will the Government give to make up for that shortfall to at least let the BTA attempt to be competitive with our overseas partners?
The ChairmanChairmanThank you, Member. The Chair recognises the Minister. Dr. the Hon. E. Grant Gibbons: Thank you, Madam Chairman. First of all, I am sure the Minister of Tourism would be delighted to hear that there are a number of voices saying that we should give Tourism more money. The Minister …
Thank you, Member. The Chair recognises the Minister.
Dr. the Hon. E. Grant Gibbons: Thank you, Madam Chairman. First of all, I am sure the Minister of Tourism would be delighted to hear that there are a number of voices saying that we should give Tourism more money. The Minister of Finance is sitting here, and I think it is always a difficult question of allocation. With respect to the . . . and I think it would be fair to say, certainly, that the issue of providing the BTA more money is something that I am sure the Mi nister wil l take under advisement. With respect to a breakdown, no, Madam Chairman, my understanding it was not a breakdown in communication. I think there was an initial, shall we say, acceptance of the increase from 2.5 per cent to 5.5 per cent. And I think after that, there was probably more discussion amongst BHA members. I was not there, so I cannot speak first -hand. But my sense is there may have been more discussion between the BTA, who was looking for the additional revenue, and BHA members. And I suspect that might have been an interesting and spirited conversation, and I suspect that the compromise that we ended up with, which was a $3 million increase as opposed to a $4.5 million increase, was where they ended up. Beyond that, I cannot speak any further t o it. But I think it is fair to say that clearly the Government was listening, and I think that is why we are making the amendment here today. Thank you.
The ChairmanChairmanThank you. Are there any other Members who would like to speak to the amendment to clau se 2? There are no other Members. Minister? Dr. the Hon. E. Grant Gibbons: Thank you, Madam Chairman. I move that the clause 2, as amended, be approved.
The ChairmanChairmanIt has been moved that clause 2, with the amendment, be approved. Are there any objec tions to that motion? No objections. Bermuda House of Assembly Agreed to. [Gavel] [Motion carried: Clause 2 passed as amended.]
The ChairmanChairmanPlease proceed. Dr. the Hon. E. Grant Gibbons: Thank you, Madam Chairman. I would now like to move clause 3, with amendment. The Chair man: Please proceed. AMENDMENT TO CLAUSE 3 Dr. the Hon. E. Grant Gibbons: Okay. In clause 3, I wish to delete the words “1 April 2016” …
Please proceed.
Dr. the Hon. E. Grant Gibbons: Thank you, Madam Chairman. I would now like to move clause 3, with amendment.
The Chair man: Please proceed.
AMENDMENT TO CLAUSE 3
Dr. the Hon. E. Grant Gibbons: Okay. In clause 3, I wish to delete the words “1 April 2016” and instead substitute “1 May 2016.” So, in essence, we are advancing the operative date when this fee comes in, by one month. And as I said before, the reason for that is, again, consultation. A number of the BHA members were out with marketing plans. And they felt that this would help them to essentially a ddress that in a timelier way and allow them a little more flexibi lity in order to get those points across. Thank you, Madam Chairman.
The ChairmanChairmanThank you. Are there any Members who would like to speak to the amendment? There are no Members. Minister. Dr. the Hon. E. Grant Gibbons: Thank you, Madam Chairman. I move that clause 3, as amended, be approved.
The ChairmanChairmanIt has been moved that clause 3, as amended, be approved. Are there any objections to that motion? No objections. Agreed to. [Gavel] [Motion carried: Clause 3 passed as amended.] Dr. the Ho n. E. Grant Gibbons: Let us see. I think I am up to the Preamble?
The ChairmanChairmanYou are going to move all clauses. Dr. the Hon. E. Grant Gibbons: I would like to move clauses 1 through 3, as amended.
The ChairmanChairmanIt has been moved that clauses 1 throug h 3 be approved, as amended. Are there any objections to that motion? No objections. Agreed to. [Gavel] [Motion carried: Clauses 1 through 3, passed as amended.] Dr. the Hon. E. Grant Gibbons: I move the Preamble. Thank you, Madam Chairman. I …
The ChairmanChairmanIt has been moved that the Preamble be approved. Are there any objections to that motion? No objections. Agreed to. [Gavel] Dr. the Hon. E. Grant Gibbons: I move that the Bill be reported to the House.
The ChairmanChairmanIt has been moved that the Bill be reported to the House, as amended. Are there any objections to that motion? No objections. Agreed to. [Gavel] [Motion carried; the Bermuda Tourism Authority Amendment Act 2016 was considered by a Commi ttee of the whole House and passed with amendments to …
It has been moved that the Bill be reported to the House, as amended. Are there any objections to that motion? No objections. Agreed to.
[Gavel] [Motion carried; the Bermuda Tourism Authority Amendment Act 2016 was considered by a Commi ttee of the whole House and passed with amendments to clauses 2 and 3.]
[Pause]
House resumed at 9:18 pm [Hon. K. H. Randolph Horton, Speaker, in the Chair]
REPORT OF COMMITTEE
BERMUDA TOURISM AUTHORITY AMENDMENT ACT 2016
The SpeakerThe SpeakerHonourable Members, the Bermuda Touris m Authority Amendment Act has been approved as amended. And we will move to Order No. 12, as I have a request by the Finance Minister that we do Order No. 12 first before Order No. 8. So the Chair will recognise the Minister. 1384 …
Honourable Members, the Bermuda Touris m Authority Amendment Act has been approved as amended. And we will move to Order No. 12, as I have a request by the Finance Minister that we do Order No. 12 first before Order No. 8. So the Chair will recognise the Minister.
1384 9 March 2016 Official Hansard Report
Bermuda House of Assembly REGULATIONS
GOVERNMENT FEES AMENDMENT REGUL ATIONS 2016
Hon. E. T. (Bob) Richards: Thank you. With your kind permission, Mr. Speaker, I would like to introduce the Government Fees Amendment Regulations 2016 . Mr. Speaker, the Government Fees Amendment Regulations 2016 represent the conclusion of the biennial review of Government fees. By way of standing policy, G overnment reviews the fees on a regular basis to ensure that there is reasonable cost recovery for the provision of various services offered by a range of government departments. Each of the 74 heads described in the schedule are to be i ncreased generally by 4 per cent, which is in line with the rate of inflation over the past two years. Mr. Speaker, each of the heads included in these regulations identifies the principal Act wherein the authority exists to permit the charging of each of the fees set out i n the regulations. Each of the fees, therefore, makes reference to a section in the princ ipal Act where the specific authority exists for the charging of a particular fee. Again, Honourable Members will note that 74 different laws governing the i ssue of li cences or permits, or the provision of a service by a government department, are covered by the amendment regulations now before the House. It is indeed an omnibus statutory instrument. Mr. Speaker, in the majority of cases, the fees have been increased b y a factor of 4 per cent, which is in line with the actual inflation rate since the last time the fees were raised, which was 2014. For ease of administration, a number of small fees have been rounded up to the next whole dollar. Based on the general increase of 4 per cent, the overall financial impact of these revisions is estimated to be an i ncrease in yield of about $1 to $2 million for the next fiscal year. As part of the biennial review, departments are also requested to consider whether fees are ad equately covering the costs incurred in delivering the service. In some cases, fees were increased above 4 per cent to reflect this consideration. In cases where utilisation has decreased and/or specific legislation is under review, fees remain at the 2014 l evels and/or were reduced. Now, as part of the biennial review, new heads and a number of additional provisions have been added to existing heads in the new 2016 fee schedule. The additions are as follows: • Head 1, Agricultural Act 1930, provisions (9), (10), (12), (14) and (21); • Head 6, Bermuda Immigration and Protection Act 1956, the provisions (10)(c) and (10)(d), (14)(a) and (31); • Head 10, Building Act 1988, provisions (1)(c)(i)(B), (1)(c)(i)(C) and (1)(c)(ii)(B) and (1)(c)(ii)(C) and (1)(i), (1)(j)(ii) and (1)(k)(ii); • Head 16, Companies Act 1981, provisions (39), (40), (41), (42) and (43); • Head 21, Development and Planning Act 1974, provisions (1)(a)(ii), (1)(b)(ii), and (9)(b) and (9)(c). • Head 22, the Dogs Act 1978, provision (2); • Head 38, Maritime Mar riage Act 1999, prov isions (9) and (10); • Head 39, Marriage Act 1944, provisions (10) and (11); • Head 42, Motor Car Act 1951, provision (20); • Head 54, Public Health Act 1949, provisions (9)(f) and (18); • Head 55, Public Lands Act 1984, provision (1); • Head 58, Radiation Act 1972, provisions (1)(c) and (1)(k) and (1)(m); • Head 64, Revenue Act 1898, provision (3); and • Head 66, Segregated Accounts Companies Act 2000, all heads and all fees.
Mr. Speaker, I know that these are regulations that do not go into Commi ttee, so I will continue. As I mentioned, the purpose of these regulations is to enable the biennial report of 74 heads, which average about 4 per cent, in line with inflation. Clause 1, Mr. Speaker, cites the title of the regulations. Clause 2 revokes the schedule of fees in the 1976 regulations. Clause 3 deals with the validity of fees paid before the commencement date, and then there is the Schedule, which details the individual fees under 74 heads described in the schedule. [Clause 4] gives the commencement date of the 1 st of April 2016 as the date for the fees to become effective. I invite Honourable Members to comment. Thank you.
The SpeakerThe SpeakerThank you, Minister. Would any other Member care to speak? The Chair will recognise the Honourable Member from constituency 18, MP David Burt.
Mr. E. David BurtThank you very much, Mr. Speaker. Mr. Speaker, this is no different than, I guess you could say, the theme of which has been going on for the night, that the Government is increasing the cost of doi ng business, increasing the cost of living, increasing the cost of basically …
Thank you very much, Mr. Speaker. Mr. Speaker, this is no different than, I guess you could say, the theme of which has been going on for the night, that the Government is increasing the cost of doi ng business, increasing the cost of living, increasing the cost of basically everything, while persons inside the economy will have less money to take
Bermuda House of Assembly home inside of their pockets, thus reducing the standard of living in this country. That is what we are seeing under the One Bermuda Alliance, and these fees are no exception to that trend. Thank you, Mr. Speaker.
The SpeakerThe SpeakerAll right. Would any other Member care to speak? Minister. Hon. E. T. (Bob) Richards: Mr. Speaker, thank you very much. I would like to move clauses 1, 2 and 3. [ Inaudible interjections]
The SpeakerThe SpeakerWe do not go into Committee. So, Honourable Member, if you — [ Crosstalk] Hon. E. T. (Bob) Richards: I have the correct message here that the Honourable Clerk has given me, and I really messed up. And she is looking at me in that way. [ Laughter] Hon. E. …
We do not go into Committee. So, Honourable Member, if you — [ Crosstalk] Hon. E. T. (Bob) Richards: I have the correct message here that the Honourable Clerk has given me, and I really messed up. And she is looking at me in that way. [ Laughter] Hon. E. T. (Bob) Richards: I got the wrong one. I will get it right, Mr. Speaker.
The SpeakerThe SpeakerTake your time. Hon. E. T. (Bob) Richards: All right. Mr. Speaker, I move that, with the Governor’s recommendation and in accordance with section 36(3) of the Bermuda Co nstitution, I move that the Government Fees Amendment Regulations 2016 be approved, and a message to be sent to from this …
The SpeakerThe SpeakerAll right. Thank you, Minister. Any objections to that? There are none. So a message will be sent to the Governor with regard to the Government Fees Amendment Regulations 2016. [Motion carried: The Gov ernment Fees Amendment Regulations 2016 were approved.]
The SpeakerThe SpeakerThe next Order is Order No. 8, which is consideration of the Government Fees (Trade Marks and Service Marks) Amendment Regulations 2016, in the name of the Minister of Finance. So, Minister of Finance, you have the floor. GOVERNMEN T FEES (TRADE MARKS AND SERVICE MARKS) AMENDMENT REGULATIONS 2016 Hon. …
The next Order is Order No. 8, which is consideration of the Government Fees (Trade Marks and Service Marks) Amendment Regulations 2016, in the name of the Minister of Finance. So, Minister of Finance, you have the floor. GOVERNMEN T FEES (TRADE MARKS AND SERVICE MARKS) AMENDMENT REGULATIONS 2016 Hon. E. T. (Bob) Richards: Thank you, Mr. Speaker. Once again we have some regulations. I am pleased to arise today to announce the Amendment Regulations entitled the Government Fees (Trade Marks and Service Marks) Amendment Regulations 2016 . T he Amendment Regulations seek to increase fees and introduce a new fee structure for trade and service marks registrations. Mr. Speaker, the intellec-tual property (or IP) section of the Registry General facilitates the protection of IP rights so that Bermuda remai ns a place where creativity and talent can thrive. “Intellectual property” is the term used to describe a class of property rights that emanate from creations and expressions of one’s mind or intellect. In general terms, Mr. Speaker, IP rights are the products of thought, creativity, and intellectual effort, examples of which include copyrights and related rights, patents, designs, trade and service marks, and other matters such as trade secrets. Mr. Speaker, trade and service marks are i mportant in the overall creation of products and the pr ovision of services since the origins of commercial trade. They serve the purpose of associating the quality of a product or services from a particular source while alerting the consumer to the origin of that commodity. Trade and service marks also serve to protect the goodwill of the entrepreneur’s business operation, and also to ensure that consumers are not deceived into purchasing inferior products or acquiring services that bear a mark that is confusingly similar to their own. Mr. Speaker, one of the key functions of the IP section of the Registry General is to administer the Trade Marks Act 1974. This legislation provides for the registration of trade and service marks, and ther efore affords protection and control to the proprietors of trade and service marks against infringement and the unlawful use of these marks. Examples of the services provided are the registration and assignment of trade marks in respect of specified proprietors. Mr. Speaker, on the 2 nd of M arch 2016, the Registrar General, under whose purview the Registry General falls, advised the local trade mark practitioners and members of the Bar Council of the proposed increase in trade and service mark fees. Although the increase is at 4 per cent, the proposed new fees are comparable with fees in other jurisdictions, which would allow Bermuda to remain competitive and attractive for trade and service marks registration. The trade mark practitioners, in particular, were pleased to learn that the proposed increase of fees is reasonable and not too large in light of the fact that their clients, and the global economy, are still r ecovering from the effects of the global recession. 1386 9 March 2016 Official Hansard Report
Bermuda House of Assembly Mr. Speaker, these fees in the most part better reflect the amount of work and effort required by the IP staff in carrying out the various processes r equired under the Act, and compare favourably with relevant fees charged in other jurisdictions. A highlight of some of the significant increases in fees, together with supporting rationale, is as follows: Fee number 1 of the Schedule: Request for Registrar’s preliminary advice. A proposed fee of $112 represents a 4 per cent increase over the current fee of $103. This activity involves extensive research on the part of the examiner , who is required to search and prepare the proposed mark against all similar marks on the Register and advise as to its register - ability. Advice must be given not only with respect to the similarity that the proposed mark might have with one already on the Register, but also in respect of any objections which may be raised based on lack of di stinctiveness of the proposed mark. It is felt that the proposed fee better reflects the amount of effort r equired to complete this activity. Fee number 3 of the Sche dule: Application to register trade mark in a single class. The proposed fee of $244 is a 4 per cent increase over the current fee of $234. It is believed that the increase to $244 is quite reasonable, given the fact that other jurisdictions charge a much higher fee for trade mark applications. For example, the US charges $375. In Bonaire, which is part of the Netherlands Antilles, they charge $310; the UK, £200 sterling. The proposed fee, although not equal to that of other known jurisdictions, is justified, as it better reflects the time and resources involved in processing each application. Fee number 4 of the Schedule: Request for grounds of a decision. The proposed fee of $306 is a 4 per cent increase over the current fee of $294. This activity involves extensive research on the part of the Registrar, who is required to search all marks on the Register and may be required to consult case law, trade mark textbooks, and other legal precedents in order to validate a decision in any matter arising under the Act. Although a 4 per cent increase has been i mposed on the current fee, the proposed fee is still considered inadequate in complex cases. Fee number 5 on the Schedule: Notice of opposition. The proposed fee of $168 represents a 4 per cent increase, again, over the current fee of $161. A trade mark which has been accepted for registration must be advertised to allow for opposition from a third party on the grounds that its registration is infringing the rights of the third party. When an application is opposed, the role of the Registrar changes from administrative to judicial, and the Registrar is required to act in a quasi -judicial capacity. The proposed increase in the current fee is slight and somewhat inadequate, given the quasi -judicial nature of the proceedings that are being initiated. Fee number 7 of the Schedule: Hearing of opposition. The proposed fee of $114 represents, again, an increase of 4 per cent over the current fee of $109. This increase is not substantial, given the legal expertise that the Registrar must exercise in conduc ting the hearing of the parties involved in the oppos ition and issuing, at the end, a decision, which can be appealed to the Supreme Court. Fee number 8 of the Schedule: Registration of a trade mark or a service mark . Proposed fee has i ncreased by 4 per cent to $244 over the current fee of $234. This fee covers the cost of the certificate and entry of the mark on the Register. Registration of a trade mark or service mark is granted for a period of seven years in the f irst instance. Fee number 13 of the Schedule: Application to register an assignment of a trade mark or service mark. The proposed fee of $196 to the Registry within six months represents a 4 per cent increase over the fee of $187. [A fee of] $244 to regis ter an assignment between six and twelve months represents a 4 per cent increase over the current fee of $214, and $252 to register an assignment after 12 months represents a 4 per cent increase over the current fee of $241. The recording of an assignment requires a review of the deed of assignment, which accompanies the application. A certain level of legal knowledge and expertise is required to ascertain that the document is properly executed and to ensure that the Registry General does not incur an undue legal liability. The proposed fees better reflect the work required by the IP staff that the application complies with the legisl ation before processing the assignment. Fee number 17 of the Schedule: Application for renewal of a trade mark or service m ark. The pr oposed fee of $358 represents a 4 per cent increase over the current fee of $343. This is a major revenueearner for the department. The application for renewal requires the officer to review the trade mark or service mark file to ensure that th e application for renewal has been filed in the right name and that the address of the applicant corresponds to the file. Changes may have occurred in the preceding seven years, and the officer must ensure that the Register is correct. A fee of $343 grants a right for a further 14 years’ protection. In closing, Mr. Speaker, the proposed i ncreases in trade mark and service mark fees will bring the fee structure more closely in line with comparative fees charged in other jurisdictions. The Government has tak en the comments of the local trade mark practitioners into consideration and has produced a new fee structure, which it believes is acceptable to and not onerous on our local and overseas clients. This proposed fee structure will enable Bermuda to retain its attraction as a recognised and valued jurisdiction for registration and protection of trade and service marks. Mr. Speaker, with that I invite Honourable Members to comment and participate.
Bermuda House of Assembly The Speaker: Thank you, Minister. The Chair will recognise t he Honourable Member from constituency 18. MP Burt, you have the floor.
Mr. E. David BurtGood evening, Mr. Speaker. Mr. Speaker, the Honourable Minister could have saved us a whole lot of time and just said that every single fee has gone up by 4 per cent. I mean, I have no idea why the Minister was talking about a new fee structure. It is …
Good evening, Mr. Speaker. Mr. Speaker, the Honourable Minister could have saved us a whole lot of time and just said that every single fee has gone up by 4 per cent. I mean, I have no idea why the Minister was talking about a new fee structure. It is the exact same fee structure that existed when we passed the Amendments to the Regulations in 2014. I went through and compared everything. There is no change to the f ee structure. The only difference is that every single fee is going up by 4 per cent. So I have no idea why the Minister was telling us that there is some new fee structure and some grand bit of consultation. All the fees went up by 4 per cent in standard things. We accept it. There is nothing to do with making sure that we are comparative, because if we were adjusting fees to make sure we were comparative, some would go up, some would go down. Everything across the board went up 4 per cent. There was no introduction of anything new, no changes. So I am not entirely certain what that brief was for, if that was from a previous speech or something else. But that does not necessarily apply to this. That much being said, Mr. Speaker, 4 per cent increase across the board—no problem. Go ahead.
The SpeakerThe SpeakerThank you, Honourable Member. Would any other Honourable Member care to speak? Minister. Hon. E. T. (Bob) Richards: Mr. Speaker, that was a long way of saying okay. [Inaudible interjections]
The SpeakerThe SpeakerHonourable Members! Yes, Minister. Hon. E. T. (Bob) Richards: Therefore, Mr. Speaker, with the Governor’s recommendation and in accor dance with section 36(3) of the Bermuda Constitution, I move that the Government Fees (Trade Marks and Service Marks) Amendment Regulations 2016 be a pproved, and that a message be sent …
The SpeakerThe SpeakerThank you, Minister. The Minister has moved that the message be sent to the Governor and that these regulations be approved. Are there any objec tions to that? There are none. So a message will be sent to the Governor. [Motion carried: The Government Fees (Trade Marks and Service Marks) …
The SpeakerThe SpeakerWe now move on to the Order No. 9, in the name of the Minister of National Security, the Honourable Premier, the Commissions of Inquiry Amendment Act 2016. Hon. Michael H. Dunkley: Thank you, Mr. Speaker. Mr. Speaker, I move that the Bill entitled the Commissions of Inquiry Amendment Act …
The SpeakerThe SpeakerThank you. Are there any objections to that? Carry on, please, Premier. BILL SECOND READING COMMISSIONS OF INQUIRY AMENDMENT ACT 2016 Hon. Michael H. Dunkley: Thank you, Mr. Speaker. Mr. Speaker, I rise tonight to introduce for the second reading the Bill entitled the Commissions of Inquiry Amendment Act 2016. …
Thank you. Are there any objections to that? Carry on, please, Premier.
BILL
SECOND READING
COMMISSIONS OF INQUIRY AMENDMENT ACT 2016
Hon. Michael H. Dunkley: Thank you, Mr. Speaker. Mr. Speaker, I rise tonight to introduce for the second reading the Bill entitled the Commissions of Inquiry Amendment Act 2016. The Bill amends the Commissions of Inquiry Act 1935 in relation to fees payable to commissioners. Mr. Speaker, I am sure you and all honour able colleagues are aware that I recently introduced the members of the Commission of Inquiry, Commission Chairman, Sir Anthony Evans; Lawyer, the Honour able John Barritt, JP; businessman, Mr. Kumi Bradshaw; and businesswoman, Ms. Fiona Luck. And I said at that time that the com mission would commence work on April 1st. I also gave an overview of the terms of reference and the background, a bit of a CV [curriculum vitae], of all the members on the commission. Mr. Speaker, I am sure you will agree, and I hope all Members of this H onourable House will agree, that in order to get the best possible results from any commission, we must appoint the most ap-propriate, qualified appointees. However, Mr. Speaker, we must also be prepared to remunerate the commissioners commensurate with the ir professional qualifications and experience. Indeed, where any commission appointed in the future requires special expertise, the Government must be able to pay them adequately for their services. However, Mr. Speaker, we must also always consider the st ate of Gover nment finances. 1388 9 March 2016 Official Hansard Report
Bermuda House of Assembly Mr. Speaker, Honourable Members will, I hope, also agree that commissioners appointed to this current commission are eminently qualified to perform the task at hand. I believe this is a high- calibre commission with extensive le gal, financial, and gover nance experience. The qualifications of the members were passed out at the press conference held a co uple of weeks ago. Mr. Speaker, currently, section 14 of the [pri ncipal] Act states, “Fees shall be paid to the commi ssioners in accordance with the Government Author ities (Fees) Act 1971.” As it stands, the Government Authorities (Fees) Act 1971 authorises the payment of $100 to the Chairman and $50 to a member per meeting. Clearly, Mr. Speaker, these fees are not appropr iate remuneration for the amount of time that commi ssioners would have to devote to the necessary tasks to complete their work within the appropriate time. In addition, the fees are not appropriate for the level of work and expertise required. It is therefore recom mended that section 14 be amended to provide for the Premier to determine the appropriate fees and allowances for commissioners. In instances where a commissioner is appointed by the Governor, then it is recommended that the Premier will still be responsible for determining the fees after consulting with the Governor. Mr. Speaker, there is precedent for this type of model. For example, section 9 of the Parole Board Act 2001 states (and I quote), “There shall be paid out of funds provided by the Legislature—(a) any sums payable to members of the Board as remuneration and allowances as the Minister may determine; and (b) any sums required for defraying the expenses of the Board.” Similarly, Mr. Speaker, section 13A(9) of the Bermuda Immigration and Protection Act 1956, regarding the Immigration Appeal Tribunal, states (and I quote): “The members of the Immigration A ppeal Tribunal shall be entitled to receive out of the funds appropriated by the Legislature for the purpose, such fees and allowances as the Minis ter may determine.” Mr. Speaker, for the information of honourable colleagues, I can inform the Honourable House that it is proposed that the chairman will be paid $700 per day, plus expenses. This is the typical rate for court of appeal. The remaining commissioners will be pr oposed to be paid $5,000 per month for their work. Mr. Speaker, it is anticipated that a policy analyst will be seconded from the Central Policy Unit at no additional cost to the commission and will work along with the commissioners t o make sure that the work is pr epared. In addition, a legal resource will also be r etained, but the cost has not been agreed to at this time. Members might ask what other costs are anticipated. And I think it is fair to assume that there will be normal operational costs, such as office supplies, electricity, small equipment, a short -term lease of any photocopier or anything like that. And we are at this point in discussions with members in the Hamilton area to allow us to use some empty office space at no charge so the commission can conduct their work from those premises. With those introductory remarks, Mr. Speaker, I will allow other Members to comment.
The SpeakerThe SpeakerThank you, Honourable Member. Would any other Honourable Member care to speak? The C hair will recognise the Leader of the Opposition. Honourable Marc Bean, you have the floor. Hon. Marc A. R. Bean: Thank you, Mr. Speaker. I would like to thank the Premier for presenting this information. And …
Thank you, Honourable Member. Would any other Honourable Member care to speak? The C hair will recognise the Leader of the Opposition. Honourable Marc Bean, you have the floor.
Hon. Marc A. R. Bean: Thank you, Mr. Speaker. I would like to thank the Premier for presenting this information. And in fact, I was eager to know what the numbers would be, and the Premier has in fact provided those numbers. Mr. Speaker, just one point I would like to highlight, which I think leads to additional question marks —not major. But I notice that $700 a day is the rate for the chairperson and that was bas ed on what a justice, court of appeal justice, would be compen-sated. So it seems as if this compensation is specific and tailored to the chairman of this particular commi ttee. Seven hundred a day —I cannot argue about it. If that is the normal going rate for a person of Sir Antho-ny Evans’s calibre, then so be it. But then I look at the other rate that speaks to the other three commissioners being compensated at $5,000 a month. Now, Mr. Speaker, I readily picked up a disparity in pay. Okay? So, $5,000 a month is a little different from $700 a day. If you are working on this commission for 20 days out of the month, or five days a week, then the chai rman or chairperson stands to be compensation at $14,000 a month, based on that daily rate, while the other three commissioners combined have a compensation that is equal to the chair, or just about, meaning $5,000 each. And so, I would just say this to the Premier that no one knows the degree of work that is going to be required in this Commission of Inquiry. But I think that it would be important, and it is the Premier’s choice. Obviously, I am sure the Premier has had di scussions with the commissioners and spoken about what constraints you have in terms of compensation. And I would think that they have come to an agreement. But I just want the Premier to consider and keep in mind that I preferably would like to see a more bal-anced compensation package, notwithstanding that the chairman naturally should be compensated according to the rate that his professional skill set brings to the table. I understand that. But the other three commissioners are equally important. And so, if need be, I am not averse to seeing adjustments to the other three commissioners’ rates.
Bermuda House of Assembly [Laughter]
Hon. Marc A. R. Bean: No, well, I did not say adjus tments up. I did not say adjustments higher. Maybe the chairman could be adjusted lower. Who knows? Right? Keeping in mind that we want to be fiscally r esponsible, but the job has got to get done. And I cannot help but think that $5,000 each or $1,500 for three is equivalent to one. So I would like to thank the Premier for that information. Thank you, Mr. Speaker.
The SpeakerThe SpeakerThank you. Would any other Honourable Member care to speak? The Chair will recognise the Honourable Member from consti tuency 17, MP Walton Brown.
Mr. Walton BrownThank you, Mr. Speaker, and good evening, colleagues. Just one point, Mr. Speaker. I think the Bill may have an unintended consequence. I am sure if the Government is in agreement with the cons equence. I am happy with it. But if you read the wording of the legislation, it …
Thank you, Mr. Speaker, and good evening, colleagues. Just one point, Mr. Speaker. I think the Bill may have an unintended consequence. I am sure if the Government is in agreement with the cons equence. I am happy with it. But if you read the wording of the legislation, it actually gives the authority to the Premier to effectively determine whether or not the Governor will have the authority to proceed with any Commission of Inquiry. And if that is the intention, I am fine with it. But by saying that the Premier will d etermine the rates of pay for any Commission of Inquiry that the Governor might establish means that the Premier, whoever that Premier might be, might determine that the rate should be $100 a day. So if that is the intent, I am fine with it, because I do not think the Governor should have any authority anyway. But I am sure the Premier has to recognise that he will not always be the Premier. So I just want some clarification whether that was the clear intent, whether this is an unintended consequence —
Hon. Michael H. Dunkley: Clear intent.
Mr. Walton BrownClear intent. So, I am happy with that. We are moving to somewhat of a more modern period, where the Premier will now be able to determine, des pite the Governor’s ability in the legislation to establish a Commission of Inquiry, the Premier will now have the authority to determine …
Clear intent. So, I am happy with that. We are moving to somewhat of a more modern period, where the Premier will now be able to determine, des pite the Governor’s ability in the legislation to establish a Commission of Inquiry, the Premier will now have the authority to determine whether any Commission of Inquiry will proceed. I think it bodes well for the future, Mr. Speaker.
The SpeakerThe SpeakerThank you, Honourable Member. The Chair will recognise now the Honourable Member from constituency 18. MP David Burt, you have the floor.
Mr. E. David BurtThank you very much, Mr. Speaker. I would like to take this time, as we are talking about the Commiss ion of Inquiry Amendment Act, because we understand where the genesis of this has come from. And this has come from the genesis of an actual Commission of Inquiry. Now, …
Thank you very much, Mr. Speaker. I would like to take this time, as we are talking about the Commiss ion of Inquiry Amendment Act, because we understand where the genesis of this has come from. And this has come from the genesis of an actual Commission of Inquiry. Now, typically, commissions of inquiry are very rare, and that is the reason why this Act apparently needed to be amended. I am wondering if the Government, with their hasty decision of announcing a Commission of Inquiry, even realised beforehand that they might have to amend the Act in order to make sure they pay the people that they wanted for the commission. I mean, because it would seem that one would have probably mentioned that at the time of asking, or probably would have had legislation ready, you know, when we came here to say that, Oh, these things will have to be done. But it seems as though if the Government in their rush to carry out a political decision in launching this Commission of Inquiry did not follow all the steps. Now, although the Progressive Labour Party has welcomed the Commission of Inquiry for different reasons than the Government has called for one happening, the challenge that I have is that, in this i nstance, it seems as though if the regular process of Parliament has been sidetracked and usurped. And why do I say that, Mr. Speaker? I say that because as has been said before, you know, whether it be press conferences on this issue, whether it be on debates on this issue, the typical way which things happen is that we have a report from the Auditor General. The Auditor General report comes to Parliament. That goes to the Public Accounts Committee. It is debated. It comes back from the Public Accounts Committee. It goes to the Minister of Finance. The Minister of F inance issues his response. And then we come here, and then we debate. One would think that if there was not something that could have been done under the auspices of the Public Accounts Committee, something that could not be found, given that the Public Accounts Commi ttee has the authority to summon witnesses, has the authority to require documents to be produc ed, seeing that the Public Accounts Committee has that exact same authority, it seems curious that that cycle was usurped. But I think what is also most interesting is, and I have to keep going back to the One Bermuda All iance’s election platform. Because in their election platform, they said that they were going to provide parliamentary committees with more resources to enable them to do their work. Now, we see the more r esources, because, Mr. Speaker, we saw it happen with your office earlier this year, where we were not even able to get parliamentary questions out because the office was so short -staffed. But now we hear the One Bermuda Alliance say that they are going to i ncrease the resources for parliamentary committees. And then we see no increase in resources for parli a1390 9 March 2016 Official Hansard Report
Bermuda House of Assembly mentary committees and the bypassing of a parli amentary committee in the normal structure. So it just seems . . . what is the way I will put it? It seems interesting, interesting, that in an Island that is strapped for cash, in a time where we cannot find money to pay for simple things, in a time where students are having to go without, where seniors are having to go without, where the normal process is not followed, but the Government can all of a sudden magically find $480,000 for a c ommittee. Now, as I say, Mr. Speaker, I do not have an issue with the setting up of a committee. I think that it does not make a whole lot of sense in bypassing the parliamentary pr ocess. It takes a lot of work off of my shoulders, to be honest. Because if they are going to go ahead, if they are going to have the resources that the Government promised would be provided to the Public Accounts Committee or other committees, then that is fine. But the challenge is, it is going to cost $480,000—$480,000 to look for stuff that Scotland Yard could not find. So one would hope that the $480,000 can find whatever the Premier is looking for.
The SpeakerThe SpeakerThank you Thank you, Honourable Member. Would any other Honourable Members care to speak? The Chair will recogn ise the Honourable Member from constituency 29. MP Zane De Silva, you have the floor. Hon. Zane J. S. De Silva: Thank you, Mr. Speaker. Mr. Speaker, I think the Deputy Leader …
Thank you Thank you, Honourable Member. Would any other Honourable Members care to speak? The Chair will recogn ise the Honourable Member from constituency 29. MP Zane De Silva, you have the floor.
Hon. Zane J. S. De Silva: Thank you, Mr. Speaker. Mr. Speaker, I think the Deputy Leader Burt spelled things out quite clearly. One thing I would like to add, Mr. Speak er, is adding to the emphasis that he placed on the $480,000. When we have so many of our people out of work, we have so many struggles in so many different areas in this country, we found $77 million for the America’s Cup. Now we can pull half a million d ollars for this Commission of Inquiry, which we support. And you will know, Mr. Speaker, I am on record. I have no problem with the Commission of I nquiry. I have a problem with the Commission of Inquiry not going back . . . if you were going to do a Commi ssion of Inquiry of the Progressive Labour Party for three years, then you should have three years of i nvestigation into, whether it be the last three years of the UBP or the last three years of now the OBA. There needs to be some equity. But, Mr. Speaker, let us talk about the dollars for a moment. I believe, and the Premier can correct me if I am wrong, $480,000, I believe he said it is one month, or is it three months? If it is one month, Mr. Speaker, then we are looking at a chairman who is $700 a day, $14,000, three commissioners at $5,000 a month, is $29,000. If it is three months, it is $87,000. So my question is, Mr. Speaker, if it is three months, it is 261. So we are going to spend $220,000 on what, for three months? Now, Mr. Speaker, if it is only one month, we have $100,000 in wages for the chairman and three commissioners. And then we have $380,000 on what? Maybe the Premier can elaborate a little bit. And the Premier is also on record as saying that he wants them to get this done in an efficient manner and as quickly as possible. But they will not be raced. They will not be rushed. And therefore, if they need more time, he will give them more time. Well, if the commissioners need another month or two, has the Premier allotted another $500,000, or $1 million, depending on what these commissioners want to do? So, Mr. Speaker, with that, I will leave it with the Premier to answer. Thank you very much.
The SpeakerThe SpeakerAll right. Thank you, Honourable Member. Would any other Honourable Members care to speak? The Chair will recognise the Premier. Premier. Hon. Michael H. Dunkley: Thank you, Mr. Speaker. Going down the comments in the list of order that they were received, fair point by the Opposition Leader on the …
All right. Thank you, Honourable Member. Would any other Honourable Members care to speak? The Chair will recognise the Premier. Premier.
Hon. Michael H. Dunkley: Thank you, Mr. Speaker. Going down the comments in the list of order that they were received, fair point by the Opposition Leader on the summary of the fees. But I will answer it this way: The Opposition Leader said that all commi ssioners should be equally as important. And while on face value, that might be appropriate, Mr. Speaker, the chairman obviously is the most important person on that committee, at the highest level of responsibi lity, and obviously comes with what I believe to be the highest level of experience as well. So I think it is appropriate to pay the chair at that rate. Yes, we did discuss with commissioners those rates. And they are agreeable with those r ates. Now, quite clearly, to get a chairman of that calibre at that price, we could have been paying a lot more money. And I think that has to be factored in as well. We set it up, made sure we got value for money, and being cognisant of the fact that, as my honourable colleague who sits two chairs down from me, Honourable Patricia Gordon- Pamplin, says, We’re broke. So when you are broke, you have to look at things in a very critical lens as you go forward. In regards to the Honourable Member from constit uency 17 about the intent of the Bill, we knew the clear intent of the Bill when we did it. And the rea-son why it is set up like that is because, obviously, while the Governor still has the authority to appoint a commission, there is no way this Government will support —and I hope the Opposition supports us in this—the Governor or the UK spending the Bermuda Government’s and the taxpayers’ money on commi ssion fees. And so that is why it is set up this way, that the Premier, through the Minister of Finance, w ill agree to an appropriate level. And I would have to say that if the UK is asking the Governor to set up som ething like that, then they might have to fund the comBermuda House of Assembly mission themselves to move it forward. I think that is important. [Inaudible interjections] Hon. Michael H. Dunkley: I think that is an important decision. In regard to the Honourable Member from constituency 17 . . . I am pleased to see that they all support it, Mr. Speaker, but it is like you want to have your cake and you want to eat the wh ole thing by yourself without sharing it with the rest of the family. You cannot on one hand say you support it, and then question why it was set up and the PAC did not have the opportunity to look at it and all that. So I take it for what it is. When you stand on your feet, the Honour able Member always tries to just get a little jab in there. But it is important, this committee. I am glad that the Opposition support this commission moving forward. In response to the Honourable Member from constituency 29, I believe that that Honourable Member has certainly been influenced by what I would call Burt math because, clearly, a budget is a budget. The $480,000 has been allocated in this financial year’s budget for the commission. If it meets for one month, we ar e not spending $480,000. If it meets for two months, we are not spending $480,000. I would as-sume at this point in time that the commission will take in the region of six months. It could be a little longer; it could be a little shorter. And so clearly, if they finish their work in three months, I believe that it is going to be under budget. And so that is something that I have given a commitment to continue to update the people on where we stand, not only with the work on the commission, but how it is goin g according to the budget. And we have laid this out with the commi ssion, that it is important they conduct their work in the most efficient manner that they can, and keep the Government up to date where they stand on it. They will have a report, and will do an interim report to tell us where they are going so we can share it with the people of Bermuda. So, having said that, I think it is important to remember that this is the budget. This is not our commitment that we are going to spend that amount of money, whether it takes one, three, six, seven or eight months. It is the budget. So, Mr. Speaker, having said that, I move that the Bill now be committed.
The SpeakerThe SpeakerThank you, Premier. It has been moved that the Bill be committed. Any objections to th at? There are none, so Deputy Speaker, please take the Chair [of Committee]. House in Committee at 10:04 pm [Mrs. Suzann Roberts -Holshouser, Chairman] COMMITTEE ON BILL COMMISSIONS OF INQUIRY AMENDMENT ACT 2016
The ChairmanChairmanMembers, we are now in Committee of the whole [House] for consideration of the Bill ent itled Commissions of Inquiry Amendment Act 2016 . I call on the Minister in charge to proceed, Minister, you the floor. Honourable Premier. Hon. Michael H. Dunkley: Thank you, Madam Chairman. I would like …
The ChairmanChairmanIt has been moved that we move clauses 1 through 3. Are there any objections to that? No objections. Premier, please proceed. Hon. Michael H. Dunkley: Thank you. The Bill seeks to amend the Commissions of Inquiry Act 1935 in relation to the fees payable to commissioners. Clause 1 is …
It has been moved that we move clauses 1 through 3. Are there any objections to that? No objections. Premier, please proceed.
Hon. Michael H. Dunkley: Thank you. The Bill seeks to amend the Commissions of Inquiry Act 1935 in relation to the fees payable to commissioners. Clause 1 is self -explanatory . Clause 2 repeals and replaces section 14 of the Commissions of Inquiry Act 1935. The current section 14, Madam Chairman, provides for fees to be payable to commissioners in accordance with the Government Authorities (Fees) Act 1971. The new section 14 pr ovides for such fees as the Premier may determine, and subsection (2) requires the Premier to consult the Governor in the case of commissioners appointed by the Governor. Clause 3 provides for commencement on April 1 st, 2016. Thank you, Madam Chairman.
The ChairmanChairmanThank you. Are there any Members who would like to speak to clauses 1 through 3? The Chair recognises the Member from constituency 29. You have the floor. Hon. Zane J. S. De Silva: Thank you, Madam Chai rman. Premier, you just said — The Cha irman: Which clause? If …
Thank you. Are there any Members who would like to speak to clauses 1 through 3? The Chair recognises the Member from constituency 29. You have the floor.
Hon. Zane J. S. De Silva: Thank you, Madam Chai rman. Premier, you just said —
The Cha irman: Which clause? If you do not mind helping me; that is all.
Hon. Zane J. S. De Silva: The first. Hon. Michael H. Dunkley: Clause 1?
Hon. Zane J. S. De Silva: Clause 1, yes. 1392 9 March 2016 Official Hansard Report
Bermuda House of Assembly You had said that the amount is budgeted for three, six, seven, eight mont hs. Yes? And with your saying three, six, seven, eight months, this is the budget. Now, if you do math on the $480,000 and looking at the chairman, $700 a day —
POINT OF CLARIFICATION
Hon. Michael H. Dunkley: Just a point of clarification, Madam Chairman. Clause 1 is the citation. So it is nothing to do with fees.
The ChairmanChairmanI believe he is on clause 2. Hon. Zane J. S. De Silva: Sorry, sorry. Thank you. Clause 2. Okay. Let us just back up a little bit. About the cost, Premier. You said, three, six, seven, eight months, this is the budget and that is it . My question …
I believe he is on clause 2.
Hon. Zane J. S. De Silva: Sorry, sorry. Thank you. Clause 2. Okay. Let us just back up a little bit. About the cost, Premier. You said, three, six, seven, eight months, this is the budget and that is it . My question to you is this: If you have a chairman at $700 a day, it works out to be about four or five days a week, it is $14,000 a month. Three commissioners at $5,000 is $15,000, which gives you $29,000 a month. Let us round it to $30,000. Six months’ times 30 is $180,000. That leaves us $50,000 a month for six months. Can you explain to us what that $300,000 adds up to? Fi fty-thousand a month, what is that on? Because $300,000 plus $180,000 is $480,000. So if you are spending $180,000 on your four commissioners, what is the $300,000 for? The second question is that you said it was three, six, seven, eight months, your words. This is the budget. So, my question to you is, if it is seven months, what have you allotted for outside of the $480,000 that you have not told us about? Because to me, six months at $80,000 a month is $480,000. Now, you said seven, eight months. So if it is $80,000 a month, are you telling us that you have already allo tted anot her $160,000? Or will you come back with another supplementary? Now, the other thing you said is you will give an update and share with the people of this country interim updates. My question to you is, if they start (and maybe they have started; you can confirm that), how often do you plan on sharing these updates with the people of Bermuda, as you stated that you will give?
The ChairmanChairmanThank you, Member. Are there any other Members who would like to speak to clauses 1 through 3? The Chair recognises the Member from constituency 18.
Mr. E. David BurtThank you very much, Madam Chairman. Just following on from what the Honourable Member said, I would hope that the Minister, the Premier, could give an answer to, what is the rest of the money being spent on (absolutely, clause 2)? In addition, and I think this is important, whatever …
Thank you very much, Madam Chairman. Just following on from what the Honourable Member said, I would hope that the Minister, the Premier, could give an answer to, what is the rest of the money being spent on (absolutely, clause 2)? In addition, and I think this is important, whatever the rest of the money is being spent on, is there a plea, especially when it comes to possibly hiring of any consultants, that the Government will make sure they apply Financial Instructions in that regard?
The ChairmanChairmanThank you, Member. Are there any other Members who would like to speak to clauses 1 through 3? Thank you. The Chair recognises the Oppos ition Leader. Hon. Marc A. R. Bean: Thank you, Madam Chai rman. A simple question. I think the Minister mentioned in his brief that there …
Thank you, Member. Are there any other Members who would like to speak to clauses 1 through 3? Thank you. The Chair recognises the Oppos ition Leader. Hon. Marc A. R. Bean: Thank you, Madam Chai rman. A simple question. I think the Minister mentioned in his brief that there will be a legal counsel or legal advisor seconded or attached, or employed?
[Inaudible interjection]
Hon. Marc A. R. Bean: Okay. Well, what is the e xpected cost of this legal counsel? Have they been hired? And what are you expecting them to cost the taxpayer? And is that part of the overall calculation within the budget? And what would that amount be, then?
The ChairmanChairmanThank you. I would ask that when Members have questions, they r efer to the Chair. Thank you. The Chair recognises the Member from constituency 29. Thank you. Hon. Zane J. S. De Silva: Thank you. Madam Chairman, I would also like to ask the Premier, further to the Opposition …
Thank you. I would ask that when Members have questions, they r efer to the Chair. Thank you. The Chair recognises the Member from constituency 29. Thank you. Hon. Zane J. S. De Silva: Thank you. Madam Chairman, I would also like to ask the Premier, further to the Opposition Leader’s question with regard to legal counsel. The Premier also said in his brief that a policy analyst would be seconded. My question is, is that policy analyst cost included in this $480,000? And if it is not, why not?
The ChairmanChairmanThank you, Member. The Chair recognises the Premier. Hon. Michael H. Dunkley: Thank you, Madam Chairman. In regards to the Honourable Member from constituency 29, costs that have been estimated but no accurate figure has been placed on them yet would be included amongst the expenses from the Chairman for …
Thank you, Member. The Chair recognises the Premier. Hon. Michael H. Dunkley: Thank you, Madam Chairman. In regards to the Honourable Member from constituency 29, costs that have been estimated but no accurate figure has been placed on them yet would be included amongst the expenses from the Chairman for travell ing back and forth to Bermuda, accommodations while in Bermuda. Costs for the counsel that the Opposition Leader has mentioned, there has been no counsel retained yet. And it is difficult to really put an accurate estimate on what the cost would be because, (1) we have not agreed to any terms yet; and (2) we do not know the level of the work that would be r equired to be done by that counsel.
Bermuda House of Assembly And also the costs that we factored in, but are not specific yet, in relation to the expenses of the Commission as f ar as I related that in my introductory comments, in regards to running the office and anci llary expenses such as that. The Honourable Member from constituency 18, I missed your last question. You said som ething about Financial Instructions.
[Inaudible interjection]
Hon. Michael H. Dunkley: Yes. We have communicated with Finance on Financial Instructions to make sure that we follow that. So we believe we have done everything at the appropriate level. So let me wrap up the cost part here by sa ying that this is the budget. And obviously, when you are doing something like this, we do not know how long they are going to meet. We do not know how long those discussions are going to take. We do not know how much the counsel is going to be required. But we beli eve that this is a reasonable budget, and we will have to determine as we go forward just what those other costs will be. We are still trying to work through those. And I would hope that we could at least probably get an update from the commission, maybe two months after they have started, and I will report on that. And then it is up to the commission to give updates from there. They are going to work independent ly and do what they have to do. But we had said to them that we thought it would be appropriate for them to get a preliminary report after they have started to meet, understand the scope of the work they have to do, how they are going to piecemeal it and function it in different areas and how they are going to move forward. And once that report is given, then I am sure that that report will become public as soon as they have given it to me and our colleagues. And I hope that has answered those questions.
The ChairmanChairmanThank you, Premier. Are there any other further questions? The Chair recognises the Opposition Leader, from constituency 26. Hon. Marc A. R. Bean: Yes, thank you, Madam Chairman. One final question, I hope. And that is to the Honourable Premier. Are there any persons or instit utions, inside or outside …
Thank you, Premier. Are there any other further questions? The Chair recognises the Opposition Leader, from constituency 26.
Hon. Marc A. R. Bean: Yes, thank you, Madam Chairman. One final question, I hope. And that is to the Honourable Premier. Are there any persons or instit utions, inside or outside of Government, that are provi ding any goods or services pro bono to this Commission of Inquiry?
The ChairmanChairmanThank you, Member. The Chair recognises the Premier. Hon. Michael H. Dunkley: It is anticipated that we will have the office space donated to us, because obv i-ously, as colleagues know, there is a reasonable amount of office space in Bermuda that is empty. And it is anticipated that will …
Thank you, Member. The Chair recognises the Premier.
Hon. Michael H. Dunkley: It is anticipated that we will have the office space donated to us, because obv i-ously, as colleagues know, there is a reasonable amount of office space in Bermuda that is empty. And it is anticipated that will be the case. One other thing while I got to my feet, the Honourable Member from constituency 29 asked a question about the policy analyst. Because that person is currently on the Government payroll in the CPU, that funding continues to come out of there. So it is not in the budget for the Commission of Inquiry.
The ChairmanChairmanThank you. The Chair recognises the Opposition Leader. Hon. Marc A. R. Bean: Thank you again, Madam Chairman. The Premier just mentioned that there are in fact, or there will be some services or, in this case, goods, real estate, property that is being provided pro bono by somebody —by …
Thank you. The Chair recognises the Opposition Leader.
Hon. Marc A. R. Bean: Thank you again, Madam Chairman. The Premier just mentioned that there are in fact, or there will be some services or, in this case, goods, real estate, property that is being provided pro bono by somebody —by somebody. Madam Chai rman. Can the Ho nourable Premier confirm who in particular will be providing these services pro bono? B ecause the fact of the matter is that we do have a large number of vacant office space in the Island. That tells me that landlords would actually be eager to have the opportunity to get some rental i ncome. So the fact that it has been given pro bono kind of raises a little eyebrow to me, like who is so eager from within the community to give away valuable real estate space for this commission? I think that it would be go od if that person or persons or institutions were identified for the sake of transparency.
The ChairmanChairmanThank you, Member. The Chair recognises the Premier. Hon. Michael H. Dunkley: The Opposition Leader raises an interesting topic for discussion. I te nd to look at it another way. Because of the office space that is available, and some of these landlords probably know that it is not going …
Thank you, Member. The Chair recognises the Premier. Hon. Michael H. Dunkley: The Opposition Leader raises an interesting topic for discussion. I te nd to look at it another way. Because of the office space that is available, and some of these landlords probably know that it is not going to be filled next week or next month, they are willing to provide it at a free rate to help move this forward. There has been nothing fina lised yet. When it is finalised, we will announce who has agreed to do it. It would be too premature at this point, because it could fall through and we could be looking somewhere else.
The ChairmanChairmanThank you, Premier. Thank you. This Chair recognises the Member from constituency 29. Hon. Zane J. S. De Silva: Thank you, Madam Chai rman. The Premier having just made that statement, my question is this. [Inaudible interjection] 1394 9 March 2016 Official Hansard Report Bermuda House of Assembly Hon. Zane …
Thank you, Premier. Thank you. This Chair recognises the Member from constituency 29.
Hon. Zane J. S. De Silva: Thank you, Madam Chai rman. The Premier having just made that statement, my question is this. [Inaudible interjection] 1394 9 March 2016 Official Hansard Report
Bermuda House of Assembly Hon. Zane J. S. De Silva: If the Premier —well, two things. He said that no decision has been made, and it may fall through.
Hon. Michael H. Dunkley: I said it is not finalised. Hon. Zane J. S. De Silva: It is not finalised, he says. So if it is not finalised, let me ask the Premier this. If he is not going t o pay rent and it is going to be pro bono, will some of the terms of agreement be that, because as we know in Bermuda, in the city, most office blocks, Madam Chairman, are rented through London Leases. So my question to the Premier is, based on that fact a nd based on the majority of office blocks in Bermuda rented via London Leases, if there is going to be no rent, can the Premier confirm whet her or not in these preliminary talks, has the Gover nment committed to paying electricity, land tax, corporation tax , and any other taxes that may come along with the London Lease?
The ChairmanChairmanThank you, Member. Are there any other Members who would like to speak to clauses 1 through 3? Premier. Hon. Michael H. Dunkley: Again, I will answer that. No terms have been finalised, so I cannot answer that question at this point in time.
The ChairmanChairmanThank you. Are there any other Members who would like to speak to clauses 1 through 3? The Chair recognises the Member from constituency 29. Hon. Zane J. S. De Silva: Thank you. Thank you, Madam Chairman. Let me ask the Premier this. Is he talking to several office owners, …
The ChairmanChairmanThank you, Member. The Chair recognises the Premier. Hon. Michael H. Dunkley: Originally, we cast a net to see if there was an interest. At this point in time, we are trying to finalise terms with one person.
The ChairmanChairmanThank you. The Chair recognises the Member from constituency 29. Hon. Zane J. S. De Silva: The Premier just said he cast a net and he is talking to one. To where did he cast that net, may I ask?
The ChairmanChairmanThank you, Member. The Chair recognises the Premier. Hon. Michael H. Dunkley: To empty office space in town. [Laughter]
The ChairmanChairmanThank you. The Chair recognises the Member from constituency 29. Hon. Zane J. S. De Silva: Thank you. Thank you, Madam Chairman. I declare my interest. I declare my interest.
An Hon. Member An Hon. MemberSure! Hon. Zane J. S. De Silva: I have empty office space in town. And I have not been approached. So, Mr. Premier, I ask you, can you supply this Honourable House with a list of those whom you asked if they have open space available? [Inaudible interjections]
The ChairmanChairmanThank you, Member. The Chair recognises the Premier. Hon. M ichael H. Dunkley: I will ask the Honourable Member who is interested tomorrow in talking about it.
The ChairmanChairmanThank you. The Chair recognises the Member from constituency 29. Hon. Zane J. S. De Silva: Thank you, Madam Chai rman. He does not have to wait until tomorrow. I will offer space that I have available free to the Gover nment of Bermuda for this Commission of Inquiry. So …
Thank you. The Chair recognises the Member from constituency 29.
Hon. Zane J. S. De Silva: Thank you, Madam Chai rman. He does not have to wait until tomorrow. I will offer space that I have available free to the Gover nment of Bermuda for this Commission of Inquiry. So you have to search and negotiate no longer. And I am on the record. Thank you, Madam Chairman.
[Laughter and desk thumping]
The ChairmanChairmanAre there any other Members who would like to speak to clauses 1 through 3? The Chair recognises the Member from constituency 29. Hon. Zane J. S. De Silva: Thank you, Madam Chai rman. Madam Chairman, the Premier has not answered my earlier question. The earlier question was this: If …
Are there any other Members who would like to speak to clauses 1 through 3? The Chair recognises the Member from constituency 29.
Hon. Zane J. S. De Silva: Thank you, Madam Chai rman. Madam Chairman, the Premier has not answered my earlier question. The earlier question was this: If he has allowed, budgeted $480,000 and if we are looking at a chairman and three commissioners costing $29,000 a month, that leaves $50,000 per month unaccounted for. Will the Premier give us an undertaking—and m aybe he has it tonight, and I will sit down and yield. But if not, will he give an undertakBermuda House of Assembly ing in the next session of this House to give a breakdown of the additional $50,000 per month—
An Hon. Member An Hon. MemberYou know exactly what that is for. [Inaudible interj ections] Hon. Zane J. S. De Silva: —that makes up that $480,000 for this first budget estimate?
The ChairmanChairmanThank you, Member. The Chair recognises the Premier. Hon. Michael H. Dunkley: Madam Chairman, I will repeat what I said, probably using differ ent wording this time. This is a budget. I explained that we have not come to terms on who the counsel would be or what they would …
Thank you, Member. The Chair recognises the Premier.
Hon. Michael H. Dunkley: Madam Chairman, I will repeat what I said, probably using differ ent wording this time. This is a budget. I explained that we have not come to terms on who the counsel would be or what they would be paid at this point in time. We do not know other expenses that are associated with the commission. When the time comes and those are sorted out, I will be happy to provide all of those details. I cannot give any more detail at this time. I have told Honourable Members what we know will be the cost of the chair per hour and what commissioners will be paid. We do not know trave l expenses. We do not know where the chair will stay when the chair comes to Bermuda, or how often the chair will come to Bermuda. But we will provide all of those when we have them.
The ChairmanChairmanThank you. Are there any other Members who would like to speak to— The Chair recognises the Member from constituency 29. Hon. Zane J. S. De Silva: Thank you, Madam Chai rman. With what the Premier just said, how the heck did he work out a budget of $480,000 if …
Thank you. Are there any other Members who would like to speak to— The Chair recognises the Member from constituency 29. Hon. Zane J. S. De Silva: Thank you, Madam Chai rman. With what the Premier just said, how the heck did he work out a budget of $480,000 if he does not know six things that he just mentioned ? Six items he just mentioned he does not have a cost for. How did he work out a budget of $480,000?
The ChairmanChairmanMember, you cannot ask me a question. Hon. Zane J. S. De Silva: Well, I am asking the Premier, Madam Chairman. Because from what he just sa id, well, one minute we have a budget of $480,000. The Premier then gets on his feet, lines off six items that he …
Member, you cannot ask me a question.
Hon. Zane J. S. De Silva: Well, I am asking the Premier, Madam Chairman. Because from what he just sa id, well, one minute we have a budget of $480,000. The Premier then gets on his feet, lines off six items that he has no cost for! So what is this going to be, $1 million, $1.2 million? One thing we know is that if it is six months, we know, Madam Chairman, we know without a . . . You cannot deny the fact that it is $80,000 a month. The Premier said earlier, and his words, three, six, seven, eight months. So we know that it is $80,000 a month. If it goes to eight months and he is allotted six, at $80,000, t hat is another $160,000. Now, with the six items he just reeled off, is that another $100,000, $200,000, $300,000? What is it? What is it? What is the number? So what he is telling us is, the $480,000, you might as well just put some numbers in a hat. L et’s pick out one! Oh, here’s $480,000. We’ll just drop that on the table in the House. That is what it is telling me, Madam Chairman. Premier?
The ChairmanChairmanThe Chair recognises the Premier. Hon. Michael H. Dunkley: Madam Chairman, I will repeat it agai n. It is a budget. And it is not the Port Royal budget.
Some Hon. Members Some Hon. MembersNo! Ooh! Oh!
The ChairmanChairmanThank you. Are there any other Members who would like to speak to clauses 1 through 3? The Chair recognises the Member from constituency 29. Hon. Za ne J. S. De Silva: Madam Chairman, he is right, it is not the Port Royal budget! Because the Port Royal budget was …
Thank you. Are there any other Members who would like to speak to clauses 1 through 3? The Chair recognises the Member from constituency 29.
Hon. Za ne J. S. De Silva: Madam Chairman, he is right, it is not the Port Royal budget! Because the Port Royal budget was given at $1.4 [million] and that is where it finished!
[Inaudible interjections]
Some Hon. Members Some Hon. MembersNo, no, no! Hon. Zane J. S. De Silva: Under budget! Under budget, Madam Chair! [Inaudible interjections and general uproar] Hon. Zane J. S. De Silva: If he wants to throw stones at me, I can assure you, Madam Chairman, the budg-et for Port Royal was a hell of a …
An Hon. Member An Hon. MemberA hell of a lot better! [Inaudible interjections]
An Hon. Member An Hon. MemberThat is not parliamentary language. Hon. Zane J. S. De Silva: A hell of a lot better, that is okay.
The ChairmanChairmanMember, I am waiting for the question. Hon. Zan e J. S. De Silva: Okay. Well, the question is, Madam Chairman, is that the Premier —I asked the 1396 9 March 2016 Official Hansard Report Bermuda House of Assembly Premier if he could try and be as specific as the …
Member, I am waiting for the question. Hon. Zan e J. S. De Silva: Okay. Well, the question is, Madam Chairman, is that the Premier —I asked the 1396 9 March 2016 Official Hansard Report
Bermuda House of Assembly Premier if he could try and be as specific as the Port Royal budget, because I can assure you, Madam Chairman, he mentioned it, not me. The Port Royal budget, Ma dam Chairman, the budget that I think he is talking about, if he is talking about the excavation, was brought in under budget!
[Inaudible interjections]
Hon. Zane J. S. De Silva: Now, Madam Chairman, let us talk about it. And the Honourable Premier asked, was it put out to tender? Madam Chairman, it was!
An Hon. Member An Hon. MemberYeah, yeah! Hon. Zane J. S. De Silva: Yes, sir! Yes, sir! It certai nly was! [Inaudible interjections and general uproar] [Gavel]
The ChairmanChairmanQuiet! We are in the House of A ssembly, and I would like to hear the question from the Member who is on the floor. Hon. Zane J. S. De Silva: Thank you, Madam Chai rman. This is —
The ChairmanChairmanMember, I would like to hear the question that pertains to the Bill that we are on. Hon. Zane J. S. D e Silva: The question is to the Premier, Mr. Premier —
The ChairmanChairmanTo the Chair.. Hon. Zane J. S. De Silva: To the Chair . . . well, is it a question to you or the Premier?
The ChairmanChairmanWell, you just have to just speak to me. Hon. Zane J. S. De Silv a: So the question goes to you?
The ChairmanChairmanJust speak to me! Hon. Zane J. S. De Silva: Okay. [Inaudible interjections] Hon. Zane J. S. De Silva: Well, you know, Madam Chairman—
The ChairmanChairmanMember, Member, come on. Hon. Zane J. S. De Silva: Okay . So, Madam Chai rman, my question to you to the Premier is this: He talked about the Port Royal budget.
An Hon. Member An Hon. MemberWho is “he”? Hon. Zane J. S. De Silva: The Honourable Premier. He is not listening.
An Hon. Member An Hon. MemberWho is “he”? Hon. Zane J. S. De Silva: The Honourable Premier is not listening. Now, if he wants to make a comment about budgets and, you know, finishing your scope of work within budget, then if he is going to make that comment, then at least pay attention and …
The ChairmanChairmanMember, your question, please. Hon. Zane J. S. De Silva: So my question to the Honourable Premier is this: Honourable Premier, will you attempt, at least try — Hon. Michael H. Dunkley: Yes. Hon. Zane J. S. De Silv a: —to bring in your budget — Hon. Michael H. Dunkley: …
Member, your question, please. Hon. Zane J. S. De Silva: So my question to the Honourable Premier is this: Honourable Premier, will you attempt, at least try — Hon. Michael H. Dunkley: Yes. Hon. Zane J. S. De Silv a: —to bring in your budget —
Hon. Michael H. Dunkley: Yes.
Hon. Zane J. S. De Silva: —like the Port Royal budget for the excavation and bring it in at least what you bid on, at least what you state to the people of Bermuda, Mr. Premier? Instead of saying $480,000, but we have got six other items that may take it to $1 million or $2 million, or go beyond the six months at $80,000 a month, will you, Premier, try to at least give us some comfort in that $480,000 that seems to me to be growing to maybe $1 mil lion or maybe $1.2 million as we sit here tonight?
The ChairmanChairmanThank you, Member. Are there any other Members who would like to speak to the clauses before us, clauses 1 through 3? There are no other Members. Premier. Hon. Michael H. Dunkley: Madam Chairman, now that the Honourable Member has got that off his chest, I would like to additionally …
The ChairmanChairmanIt has been moved that —clauses, clauses 1 through 3. Hon. Michael H. Dunkley: I already moved the clauses when we got into them. Bermuda House of Assembly The Chairman: That they are approved. Hon. Michael H. Dunkley: I would like to move the Schedule and then approve the clauses …
The ChairmanChairmanWe have to move the clauses first. Hon. Michael H. Dunkley: Okay. I already moved the clauses, so now I move that they be approved.
The ChairmanChairmanOkay. Right. So it has been moved that the clauses be approved as printed. Are there any objections to that motion? No objections. Agreed to. [Gavel] [Motion carried: Clauses 1 through 3 passed.]
The ChairmanChairmanWe do not have the Schedule. Hon. Michael H. Dunkley: Yes, you do. Okay. I move that we now report it to the House.
The ChairmanChairmanThe Preamble? Hon. Michael H. Dunkley: Yes.
The ChairmanChairmanIt has been moved that the Preamble be approv ed. Any objections to that motion? No objections. Agreed to. [Gavel]
The ChairmanChairmanThe Bill be reported to the House? It has been moved that the Bill be reported to the House as printed. Any objections to that motion? No objections. Agreed to. [Moti on carried: The Commissions of Inquiry Amen dment Act 2016 was considered by a Committee of the whole House …
The Bill be reported to the House? It has been moved that the Bill be reported to the House as printed. Any objections to that motion? No objections. Agreed to.
[Moti on carried: The Commissions of Inquiry Amen dment Act 2016 was considered by a Committee of the whole House and passed without amendment.]
[Pause] House resumed at 10:29 pm
[Hon. K. H. Randolph Horton, Speaker, in the Chair]
REPORT OF COMMITTEE
COMMISSI ONS OF INQUIRY AMENDMENT ACT 2016
The SpeakerThe SpeakerHonourable Members, the second reading of the Commissions of Inquiry Amendment Act 2016 has been approved. Orders No. 10 and 11 are carried over. Orders 13 through 27 . . . [Inaudible interjections] The Sp eaker: Yes, 27. Do you have the correct order sheet?
An Hon. Member An Hon. MemberCarry on.
The SpeakerThe SpeakerYes. You are not up yet . Take your time.
Some Hon. Members Some Hon. MembersAh! [Laughter]
The SpeakerThe SpeakerTake your time. So, up to Order No. 27 are carried over. And Order No. 28 is carried over. And we will do Orders No. 30 and 29. Rather than doing 29 and 30, we are going to 30, then 29. So, the Chair will first recognise the Honour able …
Take your time. So, up to Order No. 27 are carried over. And Order No. 28 is carried over. And we will do Orders No. 30 and 29. Rather than doing 29 and 30, we are going to 30, then 29. So, the Chair will first recognise the Honour able Member from constituency 34, the Learned Member Kim Wilson. You have the floor.
Ms. Kim N . WilsonThank you, Mr. Speaker. Mr. Speaker, the motion reads as follows: WHEREAS unemployment is at unprecedented—
The SpeakerThe SpeakerYou would like to move the motion.
Ms. Kim N. WilsonYes. Thank you, Mr. Speaker. I would like to move the motion as fol lows: MOTION SELECT COMMITTEE OF THE HOUSE TO EXAM - INE THE IMPACT UNEMPLOYMENT IS HAVING ON WOMEN AND THEIR FAMILIES
Ms. Kim N. WilsonWHEREAS unemployment is at unprecedented levels; AND WHEREAS the majority of single parent households are headed by women; AND WHEREAS age discrimination affects women and their employment opportunities in alar ming numbers; BE IT RESOLVED THAT Pursuant to the Pa rliament Act 1957 Part IV, I move that a Select …
WHEREAS unemployment is at unprecedented levels; AND WHEREAS the majority of single parent households are headed by women; AND WHEREAS age discrimination affects women and their employment opportunities in alar ming numbers; BE IT RESOLVED THAT Pursuant to the Pa rliament Act 1957 Part IV, I move that a Select Committee of the House be set up to examine the impact unemplo yment is having on women; and their families and to report their findings along with recommendations to the House as soon as practicable.
The SpeakerThe SpeakerAll right. Thank you, Member. Carry on. 1398 9 March 2016 Official Hansard Report Bermuda House of Assembly Ms. Kim N. Wilson: Thank you, Mr. Speaker. Mr. Speaker, yesterday on the steps of City Hall, I had the distinct pleasure of joining with approximately 25 women and young ladies representing …
All right. Thank you, Member. Carry on. 1398 9 March 2016 Official Hansard Report
Bermuda House of Assembly Ms. Kim N. Wilson: Thank you, Mr. Speaker. Mr. Speaker, yesterday on the steps of City Hall, I had the distinct pleasure of joining with approximately 25 women and young ladies representing all walks of life here in Bermuda, as we jointly paused to celebrate International Women’s Day, a day where we celebrate the soci al, economic, cultural, and political achievements of women, whilst at the same time recognising that process has slowed in many places around the world and that urgent action is needed to accelerate gender parity. Those of us who participated in yesterda y’s celebration joined women across the world to pledge to take action as champions of gender parity. Closer to home, Mr. Speaker, we as women in Bermuda have made significant strides in our quest for gender equality. However, we remain vigilant in our des ires to further progress. Take, for example, the income di sparities based on gender with respect to major occ upations and industries. In Bermuda, Mr. Speaker, one might think at first blush that women earn, on average, more than their male counterparts for the performance of some jobs. However, on closer inspection, the earnings and salaries of males are heads and shoulders above that of women for the same jobs. And, Mr. Speaker, with your leave, I would like to just quickly refer to the Median Gross Annua l Income and Major Division of Economic Activity pr oduced by the Department of Statistics, based on major occupational group and sex. And when you look at this particular chart, Mr. Speaker, for example, under the category Major Division of Economic Activi ty, there are some 16 categories ranging from agriculture, manufacturing, construction, real estate, public administration, to international business activity. And when you look at the statistics, Mr. Speaker, of those 16 categories, 11 of those women fall way behind their male counterparts for performing those same jobs. And in fact, on average, women seem to make about 65 cents on the dollar to every male that earns a dollar. Likewise, Mr. Speaker, under Major Occupational Groups, there are 10 categories that are listed, ranging from senior officers and managers, techni-cians, et cetera, all the way down to elementary occ upations. And of those 10 categories, in 7 of those categories women are paid less, far less in many cases, than their male counterparts for [doing] the same jobs. So, Mr. Speaker, when we look at those st atistics, perhaps one of the recommendations that will come from this joint parliamentary committee, if the motion passes this evening, would certainly be to evaluate methods of eliminat ing gender income di sparities here in Bermuda. Mr. Speaker, in addition to speaking about gender income disparities, we must also look at i ssues facing women where they have no income at all to speak of. It also provides a segue into this even-ing’s debate concerning the issues facing women and the impact unemployment is having on their families. Mr. Speaker, last month, I had the opportunity to meet with over 150 women at a brainstorming f orum that I hosted at the Cathedral Hall entitled Women Hearing Women. And on that occasion, I had the opportunity to hear the plight of many women who happened to call . . . it was based on a talk show that I was listening to. And one woman called and explained some very heart -wrenching concerns that she was having as she faced unemployment. And that partic ular day, when I heard this particular talk show, that just kind of sparked me into action. And I was so moved that I just felt compelled to try to host this particular forum to give women an opportunity to come and di scuss the challenges that they are having, the difficul-ties they are having with being unemployed and the implications that it is having on their families. Hence, the Women Hearing Women forum that was held in February. So, as women, Mr. Speaker, at that f orum we bonded. We shared ideas and offered solutions as ways to cope during these challenging times. And, Mr. Speaker, this evening during this debate, I would like to share some of the stories that I have heard from that particular event, as well as from other members and women in our community, so as to better put a face to the current issues facing women and the impl ications unemployment is having on their families. Mr. Speaker, at that forum, I also committed to those strong women who were present that I would highlight their concerns on the floor of the House of Assembly —hence the motion that we are debating this evening. Mr. Speaker, based on my own personal r esearch (and of course, I stand to be corrected), this, I believe, is the first time that a motion has been tabled in this Honourable House and debated seeking the appointment of a parliamentary joint committee to look specifically into issues germane to women and their families. It is against that backdrop that I am hopeful that both sides of the House will consent to a joint parliamentary committee which will allow us to examine the issues and the surrounding impact unemployment is having on women and their families, and to report their findings, along with recommendations, to the House. The value of such joint parliamentary commi ttees, I believe, is understated. And the opportunity for collaboration only aids in providing solutions and assistance for the people who have elected us to serve. We have seen in other jurisdictions, such as the Uni ted States, for example, where bipartisan committees even on very contentious, hot -button items, have proven to be an invaluable means of forming consensus on issues which directly affect the electorate, i ssues which have far -reaching consequences for the future.
Bermuda House of Assembly Turning now briefly, Mr. Speaker, to this m otion. Now, I do not want to stand here and have it stated that men in our country are not also suffering from the negative impact underemployment and un-employment are having on them and their families. Having just celebrated International Women’s Day yesterday, I would like to spend my few moments this evening discussing the impact unemployment is ha ving specifically on women. However, I do have one observation concer ning the challenges faced by families where the man happens to be unemployed, and in particular in ci rcumstances where the male is unemployed and the partner is the one who is gainfully employed. We note that in most of those circumstances, and a lot of women spoke about this at that forum that I was speaking about a few moments ago, that that creates its own set of challenges, because of the gender norms that are supplied in our society that basically instil in us that men are the main breadwinners, et cetera, et cetera. And many of the women who were at this forum have shared their experiences with r espect to circumstances where the male loses his em-ployment. The female is employed. And the dynamics of that affect negatively on the family because of this perception that the male has to be empl oyed and be the main breadwinner. So I am going to say that in passing. But again, I do not want to just underestimate the cha llenges that men in our community face. But for these moments, I would like to just specifically speak to the issues concerning women. Now, Mr. Speaker, Bermuda, like the rest of the world, is experiencing a financial and economic crisis. And this crisis is still unfolding. We know that losing a job is a very stressful event. It means less money, potentially lengthy job searches, and often diminished self -esteem. Such stress, in turn, can destabilise families and the family bonds. An important question is, What can we do to support women who lose their jobs? And the answer might well be a creative solution that could be found in recom mendations stemming from a joint select parliamentary committee. There is no intellectual property, Mr. Speaker, in good ideas and solutions. Mr. Speaker . . . (Excuse me, Mr. Speaker.)
[Pause]
The SpeakerThe SpeakerI have all night. Take your time.
The SpeakerThe SpeakerCertainly. You have time. [Crosstalk] [Pause]
Ms. Kim N. WilsonOkay, Mr. Spe aker. Thank you for that. I have some statistics, but I might just have to read them from my iPhone. Mr. Speaker, one of the major factors that unemployment is having on women and the impact that it has on their families directly relates to emotional distress. …
Okay, Mr. Spe aker. Thank you for that. I have some statistics, but I might just have to read them from my iPhone. Mr. Speaker, one of the major factors that unemployment is having on women and the impact that it has on their families directly relates to emotional distress. This naturally arises from job losses, which adversely affect both the job- loser and the other family members. Mr. Speaker, it is no secret that financial hardships have a powerful impact on families, and that effect is oftentimes negative. It is no secret that, as levels of financial hardship rise, so does the level of tension and conflict between family members. Clear evidence, Mr. Speaker, is shown that unemployment of workers has a negative effect on their families through financial hardships. Jus t ask the thousands of persons here in Bermuda who are unemployed, and if any of them are being honest, they will all certainly admit that their unemployment status is causing a negative effect on their families. Mr. Speaker, it is the financial hardship that is produced through unemployment which directly affects the family relationships of women. Unemplo yment causes financial hardships, which in turn cause a deterioration in family relationships, whether the i ssue is inability to pay bills, difficulty in feeding and clothing the family, scrimping on medical care, or en-gaging in a series of behaviours reflective of financial difficulties, such as delayed bill payments, running up credit card bills, missing mortgage payments, missing rent payments, or havin g to accept financial assi stance. Females report significantly higher evidence of hardship when unemployed than males, perhaps because we know, in large part, the single- family homes in Bermuda, the majority are headed by women. For families, Mr. Speaker, unemployment can mean more than just the loss of job and resources. As mothers struggle to make ends meet, instability can strain mothers’ and children’s relationships and harm their overall well -being. Economic and psychological stress can also lead to c hanges in housing or the family structure that may have long- lasting adverse effects on children’s development. Mr. Speaker, I would like to refer to a study that was conducted by the Pew Research Center that found that, across the board, stability is low er for chi ldren who are living with unemployed parents. Now, Mr. Speaker, notwithstanding that that is a US study, I suspect that, because the Bermudian demographics are so similar to those of the United States, it is highly 1400 9 March 2016 Official Hansard Report
Bermuda House of Assembly likely that if similar data wer e captured here in Berm uda, we would no doubt find similar results. Mr. Speaker, the recent labour force survey showed that the statistics in Bermuda, as of 2015, reflected that the unemployment rate for males was 8 per cent, down from 9 per cent in 2014, and 5 per cent, down from 8 per cent for women. Now, of note is the fact that some 42 per cent fewer females are looking for work in 2015 compared to 2014. Now, Mr. Speaker, when you look at these labour force survey statistics, 42 per cent fewer woman ar e looking for work year over year? This could mean, I submit, one of two things, Mr. Speaker. Either the women have relocated themselves or their families overseas in search of better opportunities, or alternatively, they have just given up. And I submit t hat neither of them is an acceptable option. And, Mr. Speaker, much has been written of the plight of the unemployed in terms of lost income, diminished self -esteem, and depression, and the stresses on families. While we recognise that there are numerous social economic theories on what contributes to the breakdown or disintegration of the fam ily unit, unemployment ranks as one of the highest and leading causes of family instability. Mr. Speaker, based on many discussions that I have had with persons who are employed or who act as volunteers within the helping professions and/or charities that deal with families and the support units that are needed to help to undergird the family sy stem, all of them have said that they have found that families become far more unstable and prone to di ssolution when one parent loses a job. Again, referring to the Pew Research Center’s findings, they suggest that children who experience an unemployed event in their families are also more likely to see destabilising changes in family arrangements in the subsequent months following that series of unemployment. Now, in Bermuda, Mr. Speaker, many of the women whom I meet with have also experienced a change in living arrangements following a period of unemployment. Many women hav e had to change accommodations, shifting from one family member or friend to another. And if we look briefly at the impact that financial instability is having on the risk of divorce and/or separation, we know that in other jurisdictions, there is a higher correlation—for example, in Amer ica—of divorces with respect to . . . or families are two times more likely to end their marriage in divorce as a result of extended unemployment. But in Bermuda, it is a little bit different. The phenomenon is somewhat di fferent, in that couples who are facing divorce in Bermuda proceed with the divorce, but because of financial reasons, they conti nue to reside together in the same home, matrimonial home or apartment. That is for a number of reasons. One, it is obviously v ery, very expensive, and because the matrimonial home may very well be tied up and shared in ancillary provision, it is cheaper to live t o-gether as opposed to trying to sell the property in what is already a soft market. The banks are not loaning out money right now, so people cannot buy out the other party. So therefore, we are finding this phenom-enon where people are divorcing in Bermuda for a number of reasons, but they are remaining living t ogether in the same household because of the constraints that I just mentioned with respect to the distr ibution of the property. Now, you can imagine what that does, partic ularly to the children if the divorce was for reasons that were not necessarily civil. Can you imagine having the family still living together under the same household with children and how those adverse effects can affect the family, and in particular, the children? It certainly can create a difficult family dynamic, and ultimately the children may be the sufferers. And we all know and agree that f amily stability is crucial for a child’s health and development. Now, Mr. Speaker, let us talk for a few m oments about job losses which are also bad news for children of single mothers. Mr. Speaker, the statistics are clear: The vast majority of single- parent hous eholds in Bermuda are headed up by women. And my own personal anecdotal research, as well as hours of discussions with single mothers, indicates the extreme stress that unemployed mothers and underemployed women feel, attempting to survive in a c ountry that has a high cost of living, coupled with high unemployment. Many single mothers have to leave their independence and reside with extended families. Many have to move from one family member to an-other, thereby uprooting their children in the proc ess. Many women are forced to take whatever work or work hours which are available just simply to make ends meet, thereby leaving their children som etimes to have to fend for themselves or to raise them-selves. Let us talk about the obstacles faced by foreign nationals who have Bermudian children. I am speaking specifically about women who may hail from a foreign jurisdiction, married to a Bermudian, subs equently divorced, but have children who are deemed to belong to Bermuda. So that foreign national can also remain in Bermuda during that time. Well, Mr. Speaker, imagine the challenge of a divorced woman who, in the absence of various imm igration permissions, is challenged with finding em-ployment in what is already a soft economy, and these women also ha ve challenges with respect to securing financial assistance in order to feed their children because of their status with respect to being a foreign national. Now, Mr. Speaker, speaking of Financial A ssistance, we know the impact this recession is having on our social services, and we know that the vast m ajority of the recipients of financial assistance are u nemployed mothers. The effects of parental unem-ployment and job displacement, Mr. Speaker, on the
Bermuda House of Assembly well-being of families and children has rarely ever been more relevant than it is in this current economic climate. There is no doubt, Mr. Speaker, that job loss can have a wide- ranging negative impact and it can negatively affect families economic security. This is reflected in families reducing their food expenditures, moving, and relying on Financial Assistance. Job losses also negatively affect adults phys ical and mental health and relationships with both their children and their spouses or significant others. Mr. Speaker, job losses have both immediate and longterm economic effects. There are several implications of the economic setbacks for family processes and child development when a mother is unemployed or underemployed. On one hand, we have unstable or insufficient work, which limits the family’s economic resources, in particular the income that is necessary to purchase the resources and the goods that are cri tical, such as food and housing. But in addition to that, the level of income, the source of income and, vis -ávis, part -time versus full -time is also a contributing factor because the decline in the family’s work hours and income obviously is associated with increased reliance, potentially, on financial assistance. This decline in work hours, Mr. Speaker, also manifests itself in situations wh ere women are forced to take on part -time positions as opposed to working full-time, thereby reducing the income coming into the family. Mr. Speaker, I would like to turn now and speak for a few moments of the negative impact unemployment can have on women’s children, based on the children’s observations. Mr. Speaker, we have already emphasised the fact that unstable work and unemployment are psychologically stressful for the mother, which in turn, perhaps, can inhibit the mot her’s emotional warmth and inc rease the parent’s erratic and potentially disengaged behaviour. If the mother is stressing about where they are going to get the next money to buy food for their family, then sometimes that stress can obviously cause her to have not the best interaction w ith her children, for no fault of her own. And ineffective parenting, obviously, can lead to poor adjustments in our children. Now, Mr. Speaker, the children’s observations of their parents’ work experiences can also help to shape the views of what they v iew as future economic opportunities. However, as women, Mr. Speaker, we can also serve as role models for our children’s att itudes and behaviours by our own interpretations of our job loss or unemployment experiences. Children who witness their mother’s j ob loss may be motivated to stay in school longer in order to eventually secure better or even more stable jobs than the job which their parent may have had. Mr. Speaker, the implications of unemplo yment on women and their families must also be di scussed in the wider context as how these implications play out in our society. Unemployment affects not just the woman herself, but also her family and, in the long run, the society where she lives. Unemployment brings with it despair, unhappiness, and anguish. I t forces people to live their lives in a way that they do not wish to. It can be said that the life expectancy is negatively affected. And by that I mean life expecta ncy insofar as the ease by which people living in a time and a place are able to satisfy t heir needs and their wants. Some of the aspects that are affected through unemployment follow. Mental health— we know that mental health issues, low self -esteem, feeling unworthy, depression and hopelessness are all factors of people being unemployed. With the loss of income and the frustration that it entails, the recently unemployed may develop negative attitudes towards common things in life, and they feel a sense of hopeles sness and that purpose is all lost. Frequent emotions could be low self -esteem and feeling dejected and hopeless. Health diseases, Mr. Speaker, obviously i ncrease with stress. And unemployment, we know, is a contributing factor to stress in many individuals. And with the unemployment, the overall tension can i ncrease dramatically and can have poor effects on one individual’s health. Tensions at home—we have spo-ken about that previously. Quarrels and arguments at home can lead to increased numbers of separation and divorce. Insecurity amongst employees —imagine being in the company of fr iends who are unemployed. You are employed, and you are listening to the plight of your friends and your family members who are u nemployed, and you may feel this insecurity or like pins and needles, wondering, Am I going to be next? Another illustration is persons who are wor king within the financial services, and we have seen a number of redundancies in recent months from the banking industry. And you wonder whether or not I am going to be the next person getting that pink slip be-cause my colleague already has. Those type of stresses only negatively impact women, as well as how they interact with their children. Crime and violence —we see the statistics, that there is an increase in the crime rate when people are unemployed and when people are having that feeling of hopelessness. Unfortunately, sometimes in some jurisdictions there is an increase in suicide rates. There was something in the newspaper recently from somebody, I think, from Mid Atlantic Wellness Institute, who was speaking about the higher instances of depression and the need for more mental health services because of people feeling the pull and the stress and the strain of being unemployed and not being able to care for their children. And there is a stigma attached, Mr. Speaker. Unemployment brings with it more than just this nowork. But it brings this disgrace to the person. Oh, yeah, that person is unemployed. And there can be a stigma attached to it. Of course, we know that the 1402 9 March 2016 Official Hansard Report
Bermuda House of Assembly standard of living in terms of unemployment obviously decreases because you do not have the added r esources to perhaps purchase other things that you may need and/or want. So the standard of living changes. Mr. Speaker, to further complicate the situation, the longer an individual is out of a job, the more difficu lt it becomes for them to find one. Because employers, as you know, find gaps in the CV [curriculum vitae] as a negative. And when they see a person who has a job break here and there or big gaps between employment, then the employer starts to question that. And no one wants to hire a person who has been out of work for some time, even if it is not that person’s fault. Loss of job skills is a factor. If you are not using it, you lose it. And sometimes, persons who are unemployed may not be able to put thei r skills to use, and they may find difficulty in reapplying those skills when employment opportunities come along. And then, as I have spoken about previously, Mr. Speaker, in this House, skilled people we see are leaving Bermuda in search of other job opp ortunities abroad. Forty-two per cent of women, Mr. Speaker, like the labour force survey says, are not looking for work this year, in 2015, as opposed to 2014. Mr. Speaker, yet another factor which must be discussed when looking at the negative implicati ons that unemployment is having on women and their fa milies relates specifically to what I refer to as the san dwich generation. Mr. Speaker, today there is an entire generation of women who find themselves being forced to juggle conflicting demands —demands which are unpleasant and very exhausting at times. This is what we refer to as the sandwich generation, who are people between the ages of 40 and 60, and they are caught between caring for their ageing parents who increasingly need their help for day -to-day activities, as well as living expenses, finances to help them live and pay their expenses. And then on the other hand, they have children, whether they are young children still at home or adult children who have suffered their own economic losses due to unemployment and r eturn back home, and they need financial assistance as well, or a place to live. As it happens, members of the sandwich generation are typically in their own peak -earning years, where they are at the time where it is critical to their employers that they be there, and they are trying to aggressively save for their own retirements. These employees want to perform well at work and advance their careers, but at the same time, they are conflicted because they are dealing with, perhaps, issues co ncerning taking care of elderly parents, as well as chi ldren. You can also appreciate that often it comes with an added emotional and financial distress. Imagine the added stress of female sandwichgeneration persons who find themselves underem-ployed or unemployed, who can no longer assist their parents with the living expenses that their parents need, such as food and medication or the other basic necessities. Imagine the pain and frustration of being forced to go without so that both your elderly par ents and your young children have their needs met. Mr. Speaker, a person whom I met at the Women Hearing Women forum that I spoke about, in February, this woman was financially responsible for caring for her elderly mother, whilst at the same time she was educating her daughter overseas in univers ity. This woman was made redundant and has only been able to secure part -time employment, which meant that she had to remove her child from overseas, bring her back home to Bermuda so that she could continue supporting her mother, as well as tr ying to save money to return her child to university. So when this woman expressed this to me, you can imagine the emotional turmoil that she was feeling because, of course, she wants to educate her child. But being torn in that sandwich generation, she also has the responsibility to her mother. Mr. Speaker, let me turn briefly to another area which is affecting women, and the implications of this, obviously, have far -reaching ramifications on their families as well. And thi s I would like to refer to as late-in-life job losses. And by that, Mr. Speaker, I am referring to the challenges that middle- aged and middle -management women face, who are now finding themselves unemployed. Mr. Speaker, I am talking again about those women between their 40s and 60s who would normally be saving for retirement and hel ping their children to be educated. But instead, many of these women in this category are burning through their own savings and working odd jobs just to make ends meet. Many of the women whom I have met recently have not held a full -time job in years. Many of these women have worked in banking, finance, or other ar eas of IB, and when outsourcing, mergers, and redun-dancy came, they found themselves joining the ranks of the thousands of other unemployed. Mr. Speaker, much of the attention during this prolonged Bermuda unemployment crisis has been on the high rates of joblessness among young people. And less noticed, but of no less significance, is the plight of many mi ddle-aged middle -management women. For two decades, between the ages of 40 and 60, those are meant to be the prime years of earning and building wealth, the period when they buy homes, send their children to school and university, and often plan for their retirement. Unemployment, especially for an extended period of time, can short -circuit that process. The e ffect can span generations, because middle- aged workers are more likely to be supporting retired parents and sending their children to college, or suppor ting thei r adult children who may have also landed on hard times because of their own unemployment st atus.
Bermuda House of Assembly Part of what sets this recession apart, Mr. Speaker, from previous ones is the fact that this r ecession did not primarily strike young workers or those who had erratic work behaviours or work histories. This recession has also hit productive, steady females in the prime of their careers, people who are ordinarily the backbone of our economy. Mr. Speaker, again turning to the labour force statistics, the unemployment rate for people ages 45 to 65- plus was 14 per cent, which represented 9 points lower than that for people under the age of 24. But the lower rate has to be distinguished from the fact that, when a middle- aged person loses his or her job, it is goin g to be much harder to secure alternative employment. The statistics in the United States bear a very similar pattern, and that also shows that it almost takes a person between the ages of 45 and 64 years old almost a year, on average, to locate alternativ e employment than it does for the counterparts of their constituent base of 25- to 44- year-olds. Some middle- aged job seekers worry that they will be ending up effectively retired without the resources for the retirement that they had expected. At that fo rum, Mr. Speaker, I met one woman who shared her experience, how she was one week short of her 65 th birthday and was a government employee, and was wondering what was going to happen to her the following week, because she knew that the writing was on the w all, that she would find herself amongst the ranks of the unemployed. And another middle- aged woman who had spent virtually her entire working life in the area of office administration, where she worked her way up the ladder, expressed her frustration at being made r edundant, and notwithstanding her strong references and work ethic, was unable to secure employment through the temp agencies here in Bermuda, who were seemingly able to secure employment for their overseas secretaries and office administrators , but yet she was not able to even receive a callback. Mr. Speaker, other women voiced frustrations with the seemingly deceptive way the job adverts were drafted in such a way so as to discourage local applicants, based on the pages and pages and pages and pages of skill sets that were required, oftentimes for jobs which generally no such skill set would even be applicable. Or other women spoke of deceptive job adverts requiring that the successful applicant perform the job virtually exclusively for 24 hours a day with very minimal pay —jobs that it is unlikely that a Bermudian will ever be able to take. Another woman spoke of her experience of losing her job with the local bank. She was 57 years old. She had a mortgage and, of course, had the benefits of t he mortgage attached to her employment. And once she lost her employment, she received a few months of the mortgage benefits, but then, of course, the same interest rates that other people have to pay were applied to her. She said to me she never thought s he would ever be unemployed in her life. She networked as much as she could and made calls. She met with people and did everything that she thought she was supposed to do to try to find a job, and assumed that she would get one very quickly, because she had a middle -management skill set and had very good references. But that was two years ago. And she is still looking for work. Her savings have been depleted. She was forced to draw off some of her pension co ntributions to assist with her mortgage payments. And her part -time job does not cover her own expenses, and she has to rely on, to her embarrassment, her elderly parents for assistance. Now, she is still looking for work. And she said she never thought she would be unemployed and never dreamed that she would be unemployable, but she is because of her age. Women who are seeking employment oftentimes get frustrated during the jobseeking process. Calls go unreturned, interviews lead to nowhere, online applications seemingly disappear into mid -air. And these are just some of the many added difficulties encountered in a job search. Mr. Speaker, middle- aged women struggle to find work for a variety of reasons. They are more r eluctant to change industries than their younger counterparts, and they tend to have greater financial commitments that make it harder to start all over at entry - level jobs. Because they made career choices dec-ades ago, they are even more likely to work in industries which are in decline and have been replaced by technology. The same Pew Research study that I referred to previously shows that employers often give prefer-ence to younger workers, whom they perceive to be more flexible, technologically savvy, and able to grow with the company. Mr. Speaker, they tend to go with younger applicants. And if you are 50 and you have been out of work for a while, it makes it all the harder for you to go back into the employment spectrum. Mr. Speaker, I was speaking to a friend of mine who runs a local employment agency in Berm uda. And she has noticed an increase of women who are unemployed, but have these great CVs and this great business acumen and these great experiences. And they are in their middle age, but they are unemployed. And whereas in times gone by, she was trying to help locate jobs for wo men who were unemployed who had far less experience and far fewer credentials. And the difficulty she sees now is that in middle- age middle -management mid- range applicants, they are a dime a dozen. And they are being further disadvan-taged because of their age. And there are rare job opportunities. When they do come up, these women are probably either too specific or too experienced in their own work history to ever be considered. This is the plight of the unemployed and in particular women aged 50- plus. Statistically, they are 1404 9 March 2016 Official Hansard Report
Bermuda House of Assembly the employment group most affected by the recession and the continued downturn in the job market. Now, when we do not hire these experienced women, Mr. Speaker, you can appreciate that we lose the knowledge, the skills, the passion, t he quality, the commitment, and all the other skill sets that come with more experienced individuals. Mr. Speaker, this is a segue to the final point that I would like to discuss this evening as I close my comments on the effects unemployment is having on women and the implications on our families. And that relates specifically to age discrimination. Mr. Speaker, nowadays, people do not just a utomatically retire at age 65. Instead, they keep wor king well into their golden years. But if you are a woman and y ou are over 60 looking for a job, the studies in the United States show that your employment search is going to be quite challenging. And based on my discussions with people in the HR businesses here in Bermuda, the same phenomenon exists. There was a stud y conducted by the National Bureau of Economic Research in the United States. And according to the study, they conducted a study of over 40,000 mock applications that were sent to 12 cities. The jobs were advertised online in four categories—office adminis tration, retail sales, security guards, and janitors. The mock applicants fell into three age groups: younger, 29 to 31; middle- aged, 49 to 51; and older, 64 to 66. All of the r ésumés in the older category included people with more than five years’ work ex perience in those particular jobs. This is what the study revealed. And again, I suspect that if equal [job studies] were done here in Bermuda, we would see very strong analogies because of our own demographics when compared to the United States. The femal e applicants in their mid- 60s who applied for the low -skill jobs were never even called back for an interview, contrary to the fact that the i nterviewees found that the men with those similar qual ifications did receive callbacks. Employers were less likely to interview older applicants in the categories of office administration, retail sales, and security. And in the four categories, the callback rates for the older women were 35 per cent lower than that for the younger women. Discrimination against job applicants closer to the retirement age, namely, 64 to 66, was far more prevalent, as was in the case of persons 49 to 51. And people say that 50 is the new 65. So we are seeing in America that age discrimination is occurring to these women who are only between 49 and 51. Evidence of discrimination against older women was especially prevalent in the retail sales jobs. While younger applicants are more likely to be contacted for an interview in the sales area, the gap was twice as large as for women who were o ver 60 not being called for those interviews. So, Mr. Speaker, in closing, this evening I have highlighted but just a few examples of the challenges that women are facing in our community as a result of unemployment and the implications it is having on t heir families, implications so serious that sol utions and recommendations need to be found. Thus, this motion is before you concerning the establis hment of a joint parliamentary committee to look further into this issue. Mr. Speaker, I apologise for my computer glitch, but I am looking forward to hearing the other comments from the Honourable Members in this House, and further I am looking forward to support from both sides of the aisle with respect to a joint s elect committee to deal with the issues of unemplo yment of women and the negative implications it is ha ving on their families. Thank you, Mr. Speaker.
The SpeakerThe SpeakerThank you, Honourable Member. The Chair will now recognise the Honourable Member from constituency 2. MP Nandi Outerbridge, you have th e floor.
Ms. Nandi OuterbridgeThank you, Mr. Speaker. Mr. Speaker, having heard the motion from the Honourable Member from constituency 34 and her remarks, I would like to at this point propose an amendment to this motion.
The SpeakerThe SpeakerDo you have copies that can be distri buted? Yes? Okay. Yes. Carry on. I have a copy. PROPOSED AMENDMENT
Ms. Nandi OuterbridgeI move that this motion be amended to read as follows: WHEREAS there are concerns related to unemployment; AND WHEREAS the majority of single- parent households are headed by women; AND WHEREAS there are relevant concerns related to employment opportunities afforded to women; BE IT RESOLVED that, pursuant to the …
I move that this motion be amended to read as follows: WHEREAS there are concerns related to unemployment; AND WHEREAS the majority of single- parent households are headed by women; AND WHEREAS there are relevant concerns related to employment opportunities afforded to women; BE IT RESOLVED that, pursuant to the Parliament Act 1957, Part IV, I move that a Joint Select Committee of the House be set up to examine any impact that unemployment is having on women and their families and to report their findings along with recommendations to the House as soon as practic able.
The SpeakerThe SpeakerRight. Thank you. All right. The way to move is that, Honourable Member, is that you will speak. Then all Members will speak to the amend-ment. Then the Member who brought the original m otion will speak at the end, and we will vote on the Bermuda House of Assembly …
Right. Thank you. All right. The way to move is that, Honourable Member, is that you will speak. Then all Members will speak to the amend-ment. Then the Member who brought the original m otion will speak at the end, and we will vote on the
Bermuda House of Assembly amendment to the motion. If the amendment is successful, then that carries. If the amendment is not successful, then the original motion will carry on.
Ms. Nandi OuterbridgeThank you, Mr. Speaker. Mr. Speaker, yesterday I also had the opportunity to be on the City Hall steps while International Women’s Day was celebrated. And as I sat there, I heard the contributions made from women on their vision of 2030 and where they see females in Berm uda. …
Thank you, Mr. Speaker. Mr. Speaker, yesterday I also had the opportunity to be on the City Hall steps while International Women’s Day was celebrated. And as I sat there, I heard the contributions made from women on their vision of 2030 and where they see females in Berm uda. And one of the two main themes that kind of came out of that was the fact that women need equality in the future, and they would also like to see women u plifting women more in the future. Mr. Speaker, what I must say is that, as women, we have come a long way in society, from not having the right to vote to now adv ancing in the wor kplace. But make no mistake about it: There is still a way to go, Mr. Speaker. And as a woman in politics, this is one of the areas I would actually like to see more women involved in on both sides of the Government. The OBA is well on the ir way with having six out of our nineteen as women. But of course, I would definitely like to see more women in politics. Because I feel that more women in politics would afford for more opportunities for policies that are affecting women to be brought to the forefront. Mr. Speaker, from time to time, I tend to hear on the streets from people who know my family bac kground is PLP that, What would your Aunt Lois Dame Browne -Evans say about your sitting on that side? How would she feel with your being on that [side of the] political divide? But I would venture to say, Mr. Speaker, that she would just be proud that I was a woman in politics. And for these reasons, Mr. Speaker, we have no issue on this side supporting the entire concept of the motion by the Honourable Member from constituency 34.
The SpeakerThe SpeakerAnd, Honourable Member, you want to share with us, too, why you made the amendment.
Ms. Nandi OuterbridgeThank you, Mr. Speaker. So, Mr. Speaker, I just want to look at the amendment. The first amendment that I have made based on unemployment levels being at an unprec edented level. I felt the need to change this statement to read that there are concerns related to unemployment. Because …
Thank you, Mr. Speaker. So, Mr. Speaker, I just want to look at the amendment. The first amendment that I have made based on unemployment levels being at an unprec edented level. I felt the need to change this statement to read that there are concerns related to unemployment. Because with “unprecedented” meaning never done or known before, the statement that unemplo yment levels are at an unprecedented level is just simply untrue, Mr. Speaker. Mr. Speaker, we take a look at employment levels over the years. It is recorded, or was recorded that, in 2015, the unemployment levels were at 7 per cent. And in 2012, they were at 8 per cent. And in other years, they were recorded higher. So that was simply just not true. And further to that information, Mr. Speaker, in 2015, unemployment levels among females, I must say, were at the lowest since 2009. I did hear the Honourable Member speaking about the 42 per cent fewer females who were looking for work in 2015. And if you also turn to the Labour Force Survey, I would venture to say that it is because some of those women have actually found work. In 2014, the number recorded for women in the working population was 16,684. And in 2015, those numbers were recorded at 16,723. So, that is the reason why I changed it. And might I add that, looking at some r esearch and having found some graphs, I saw that between 2004 and 2012, unemployment levels were at a constant rise. I can only assume that this was, you know, due to the policies that were put in place under the Government at that time, policies that not only led to unemployment, but, you know, to the entire [ec onomic] disaster we find ourselves in today. But I do not want to dilute the discussion by talking about the unemployment levels as a whole. Mr. Speaker, I was not able to find any Government statistics on the majority of single- parent households being headed by women. But what I was able to find was a document that was prepared by Ms. Dunnay Cheryl on December 11 th, 2012. And if you would allow me to read out just a piece of that information, Mr. Speaker, it stated that “Single- parent households account for 12 per cent of all households in Bermuda, with 1,932 single female parents with a working reference, there are only 243 single male parents with a working refer ence.” So I would venture and also agree that single mothers probably are heading a majority of the households, as single motherhood is becoming the new norm worldwide. Being a single mother, Mr. Speaker, is very stressful. And like it has been said, you know who feels it knows it. Having experience being a young single mother, I know all too well the stressful times of having to go to work and go home from work, clean house once I do get home, help with homework, cook dinner, prepare everyone for bed, and then do it all again the next day, Mr. Speaker. And if you are u nemployed, having to do all of the above while figuring out how you are going to feed your child or keep your lights on can be very stressful. So I would appreciate the findings on this, and also, you know, just some solutions that will come out of this committee to be able to addres s some of those circumstances that face single mothers. And having spoken to women in the community and knowing women and friends myself who have to sacrifice their meals for their children or child to eat, it is important that we do have this joint select committee to examine these processes and what people are going through. When I do speak to these women, however, Mr. Speaker, whether it be on the streets or various church groups that I attend for feeding people, I a l1406 9 March 2016 Official Hansard Report
Bermuda House of Assembly ways try to give them some advice on what helped me get through while I was a single mother and with a young son. But it is important for us to listen to these people, Mr. Speaker, but it is also important to give solutions in this matter. So, some of the things that helped me while I was a single parent was having the proper support system set up. And we all need some sort of support system, whether it is helping with babysitting while we run errands or if we go to apply for a job, or if we are working a job that is beyond school hours, havi ng that support system is crucial. Also, having someone to talk to when feeling overwhelmed—
[Inaudible interjections]
[Gavel]
The SpeakerThe SpeakerHonourable Members, let us respect people who are speaking. I appreciate that. Carry on, Honourable Member.
Ms. Nandi OuterbridgeThank you, Mr. Speaker. Mr. Speaker, it is important to have in this support group somebody to talk to when feeling overwhelmed. And this is not necessarily the same person who probably is babysitting your children, but it can be someb ody else. It is very stressful as a woman …
Thank you, Mr. Speaker. Mr. Speaker, it is important to have in this support group somebody to talk to when feeling overwhelmed. And this is not necessarily the same person who probably is babysitting your children, but it can be someb ody else. It is very stressful as a woman trying to handle everything alone and on your own. I know we sometimes want to feel like Super -Mom and that we can get it done, or maybe some of our egos will not allow for people to come in and see what is going on in our lives. But I do want to stress that having a support system set up is crucial. Another important thing, Mr. Speaker, is getting a handle on your finances. I know that when you do become unemployed, you tend to rack up bills. You have outstanding bills. And the first thing you do is stop answering your phone. You do not want to talk to people whom you owe money to. You just try to avoid them. So, what I found that worked for me is actually contacting those people and letting them know that I am une mployed. I am looking for work. This is what I can afford to pay at the moment. And you find that those people tend to work with you as long as you are in constant contact with them. So that is another piece of advice I would give to people. And also when it comes to financing, budgeting with the finances that you do have is very i mportant, Mr. Speaker. All too often, we see women who just sometimes do not have their priorities right. And this is not all of them, Mr. Speaker. But it is i mportant that the ones who are limited on finances have to budget with their funds. The other thing that I also found that worked for me in my household was maintaining a daily routine. And this is just simply so that I am not going home to what I find a stressful environment, a chaotic environment. When you have a daily routine, your house tends to be more settled. If you have children or a child at home, they tend to know that when mummy comes home, this is what is going to get done. I do have to get my bath. I have to get my su pper. They are not going to be as chaotic, you know, as not having a routine. So it is important to not put yourself in that chaos. And most of all, Mr. Speaker, staying positive and not letting your circumstances overtake you. So with that being s aid, Mr. Speaker, there is more to be done in the area of addressing single motherhood. I would agree with a lot of the points that were put forward by the Honourable Member who just took her seat. And I would support a lot of her stats. I do not think it makes sense repeating some of those, but I definitely support her, which is why I felt the need to call for a joint select committee. The Honourable Member had initially in her Statement to have a select committee, but I believe a joint select committee would broaden the Parliament to be able to have a discussion amongst the women who are involved. Now, what I would also venture to like this committee to examine is the skill set and education level of these women who are unemployed. When it comes to being a single parent, the most important characteristic of a job tends to be flexibility and salary. And I know that this is not an ideal circumstance. It is not necessarily the circumstance that all women can have, but that is where the support system comes in place for those who cannot. But ideally, it is always better to have a job with a lot more flexibility. Speaking from experience, Mr. Speaker, where I worked at a job that I was working 40 hours a week at work —that was not necessarily what I was doing outside of work. And it was just complete insani-ty. I just felt like I could not handle it. I was being overwhelmed. So I decided to go out and look and search for a job with fewer hours. And as a single mother, that worked for me. It worked for my circum-stances to be able to collect my child from school, having to spend that additional time and even creating a little bit of time for myself. The Labour Force Survey stats show that most women worked in fields such as executive secretaries, senior clerks, cashiers, nurses, and nurse’s aides. And sales clerk and retail trade was in there at the bottom, as well. The survey also shows that the majority of people in Bermuda work between 35 and 40 hours. Again, I would say that I believe that the ideal work week for a single parent would be som ewhere in the range of 25 to 30 hours a week. And most of those jobs with those hours of flexibility, while still being able to take in a good salary to provide for your family, fall within public relations, health care, real estate, bookkeeping, and education. So I would be interested in the findings in this area. And depending on those findings, Mr. Speaker, maybe we have the opportunity to address and get these ladies to the level of work they need to be to get
Bermuda House of Assembly those jobs th at probably work more flexibly for them and their families. And I know that the Minister is going to probably speak more about that and the policies that are in place or being looked at when it comes to this. Now also, Mr. Speaker, I just want to speak to what I want the committee to look at to find out what type of jobs these unemployed women are applying for. I know certain jobs may not be as appealing to women, especially women raising families, and the hours required. I know leading up to the 2012 elec tion, we held a Single Mothers’ Dinner, the One Bermuda Alliance. We had a Single Mothers’ Dinner. And bas ically, the layout of the dinner was, we invited women in the community. I believe we had maybe 100— it was over 100, I know that for sure. They were able to bring their children. We kind of created a comfort zone, a place for their children to be while we sat [the mothers] down at tables with our candidates at that time, and we just talked to them about some of their struggles that they were facing in B ermuda at that time. And one of the main issues that was raised in that meeting was definitely not being able to have the support system to work the jobs in their skill set. Either they did not have anybody to watch their children, or they could not affor d for anybody to watch their chi ldren. But I believe there are some community opportunities that may address this —i.e., bartering, forming a single mothers’ group where you guys can work t ogether to figure out how to get through this without having literal ly everything all the time falling on Go vernment. And finally, Mr. Speaker, I wanted to address why I changed the age discrimination to read— it had read out that “age discrimination affects women and their employment opportunities in alarming numbers.” I have changed that to read that “there are relevant concerns related to employment opportunities affor ded to women.” While I understand or know that age may fall into that category, I believe that we should look at it on a broader sense of all the opportuni ties that are being afforded to— you know, the relevant concerns that women are not able to get jobs, in that regard. So I would not go deep into that, because I know that other Members want to speak on this. But what I will say, Mr. Speaker, is that I di d hear the Honourable Member when she was talking about the age discrimination. And anybody who does feel di scriminated against, we have things like the Human Rights Commission in place. I know the Women’s Council is in place. So I would definitely encourage people to utilise the things that we do have in place when it comes to that. So, with this said, Mr. Speaker, we on this side understand the important role that women play in our community, and we do feel that they are the bac kbone of our community. And we could not disagree with the concept of this motion. There were just some wording issues that we did have issues with. So I am looking forward to this joint select committee and its findings. Thank you, Mr. Speaker.
The SpeakerThe SpeakerThank you, Honourable Member. Would any other Honourable Member care to speak? The Chair will recognise the Honourable Member from constituency 18. MP Burt, you have the floor.
Mr. E. David BurtThank you very much, Mr. Speaker. Mr. Speaker, I appreciate the amendment which has been laid by the Junior Minister. Just one, I guess, technical issue is that it says joint select committee of the House. And you cannot have a joint s elect committee of the House. I understand …
Thank you very much, Mr. Speaker. Mr. Speaker, I appreciate the amendment which has been laid by the Junior Minister. Just one, I guess, technical issue is that it says joint select committee of the House. And you cannot have a joint s elect committee of the House. I understand you inser ted “joint,” but you have to make it “joint sel ect commi ttee,” period.
The SpeakerThe SpeakerAbsolutely, yes. It should be a joint s elect committee.
The SpeakerThe SpeakerAll right. Thank you. Thank you, MP Burt. Would any other Honourable Member c are to speak? The Chair will recognise the Honourable Member from constituency 17. MP Walton Brown, you have the floor.
Mr. Walton BrownThank you, Mr. Speaker. Mr. Speaker, this is an important debate. I want to thank my honourable colleague and friend, Kim Wilson, for bringing this matter to the attention of Parliament. Issues relating to gender and discrimination against women are very important. To my knowledge, Parliament has never even adequately …
Thank you, Mr. Speaker. Mr. Speaker, this is an important debate. I want to thank my honourable colleague and friend, Kim Wilson, for bringing this matter to the attention of Parliament. Issues relating to gender and discrimination against women are very important. To my knowledge, Parliament has never even adequately touched on these issues. And Parliament has been around for a long time, Mr. Speaker. I would like to begin my remarks by starting with an experience I had when I was a lecturer at Bermuda College. I learned a lot of lessons from those college days, Mr. Speaker. I used to invite my students (I taught a po litics course) every year to write a paper answering the following question: Why is there no organised women’s movement in Bermuda? We are a rich, strong democracy. There was no organised women’s movement in Bermuda.
[Laughter]
1408 9 March 2016 Official Hansard Report
Bermuda House of Assembly Mr. Walton Brown: As I say , Mr. Speaker, there was no organised women’s movement in Bermuda in the 1990s.
[Laughter]
Mr. Walton BrownI said when I taught in the 1990s at Bermuda College. And I would send my students to go and talk to the politicians. Go and ask the female politicians why there is no organised women’s mov ement. And without fail, every year . . . I think there may …
I said when I taught in the 1990s at Bermuda College. And I would send my students to go and talk to the politicians. Go and ask the female politicians why there is no organised women’s mov ement. And without fail, every year . . . I think there may even be one of my former students sitting in here in the public Gallery, Mr. Speaker, who I believe did a paper on that. We cannot, of course, communic ate with the public Gallery, Mr. Speaker. But I thought I saw someone’s head shaking. But I am not sure. And without fail, they came back and said, The female politicians said women’s issues were not important, that there were more important issues to deal with. And that was across the political spectrum! So no one should feel offended that I am criticising some particular party. It was across the political spectrum. I just found that very interesting. Around the same time, I decided, because I see myself as a feminist, to donate some research services to the Women’s Resource Centre. I said, I’m going to donate a survey and do some focus groups for you. And I was interviewing these folks from these different groups of women. And there was one very poignant comment by one individual. She said, You know, we have all these women who have middle management positions at Bank of Bermuda. You look around. All of the middle management positions were women. But, she said— and this is the 1990s —I can guarantee you, you will have a black CEO at the Bank of Bermuda before you have a woman CEO. And of course, it happened, as you know. That speaks to a systemic set of discrimination, structural discrimination against women in this country! And so, I love this motion. I l ove the idea of setting up a committee, now a joint select committee. Part of the remit has to be to look at the issue of gender and di scrimination against women in a much broader context. Because when— and if I can paraphrase a comment by a famous sociolog ist, Georg Gerbner , he said, If you don’t have representation, you don’t exist . So it is important to have women in positions of power to be able to readjust the power imbalance. That has to be a fundamental point of departure. And so, if you do not address the issue of power and the imbalance, we are unlikely to see pr ogress in so many areas. So look, for example, at the issue of the workplace. There remains structural di scrimination in the workplace against women. There is structural racism; there is str uctural sexism. And so, I hope this committee can address some of these i ssues in a way that brings about meaningful results. And there will need to be some tough cha llenges and some tough positions advanced. Because one thing about power, Mr. Speaker, those who have power never give it up without a challenge. Men will resist. Men have had power for a long time in most societies. Right? We should have equality of repr esentation in this Parliament. We are far from it. And you do not need to get into political party bantering about who has more and who has less. The fact of the matter is that this Parliament does not properly repr esent the community that we are meant to serve. So the more you have representation, the less certain issues are issues. So, when yo u look at the issue of the workplace and opportunities, if more women are in control, more issues would be a ddressed. I can guarantee, Mr. Speaker, if men could have children, you would not have much of an issue about day care and child care, because every company would have day care. Every company would have an extended period for maternity leave. And so, when you have people in power who are either women or sympathise with the issue, you would see a far greater degree of changes in place. Even this august institution, I keep saying, Why do we have laws that always say “he” ? Every time I talk to lawyers, they say, Well, “he” means “she,” as well. Really? In the twenty -first century, we are still writing laws that say he? And every person in the legal fr aternity thinks that it is okay to do so? I do not know. Language is very important in conveying meaning in the sense of power and representation. So there is a lot of work for this committee to do, if we are serious. It has to go far beyond just the issue of single -parent households headed by women. Because you cannot get proper opportunities, you cannot get the proper levels of support unless you have a level of sensitivity. Now, I do not want to sound—I am not going to sound patronising at all. And of course, I have to be careful. But women just seem to be better at organi sing and getting things done than men.
An Hon. Member An Hon. MemberCan I have an Amen, Mr. Speaker? [Laughter]
Mr. Walton BrownIt just seems that way. I was i nvolved with a group, Mr. Speaker. There was an activity that was planned last week, I believe, outside of Parliament. And there was a little, a smaller group who said, Don’t worry. We will sort out everything. They had everything sorted out …
It just seems that way. I was i nvolved with a group, Mr. Speaker. There was an activity that was planned last week, I believe, outside of Parliament. And there was a little, a smaller group who said, Don’t worry. We will sort out everything. They had everything sorted out in an hour. I said, Have you done this? Have you done that? Everything was done in an hour. So, our society does not properly value women. We over -sexualise women. We focus on women primarily from the maternal and child- raising aspect. How many comments do you see in society where people say, Wow, look at her. She is a successful businessperson. Hmm. And
Bermuda House of Assembly she has managed to do all that while raising her chi ldren and taking care of her household. When do you ever say that about a man who is successful? You do not say that. So we have to really alter the way we look at things. And it is going to be tough for a lot of people, especially guys. Because we are so dominated by sexist language and historic practices. So if we are really serious about bringing about a greater level of gender equality, and we can start with this committee, there is a lot of work that needs to get done. We need to change our Constit ution. Can someone refresh my memory? Well, we need to change our Constitution for a number of reasons. One reason is that it does not provide for the protecti on of discrimination against women. It does not. How do you have a constitution in place in the twenty -first century that we think is okay not to have that sorted out? So there are some preconditions that need to be addressed if we are serious about looking at these issues. Unemployment is a serious one. That is one part of a much larger set of issues. It is an important one, because if you are not working, you cannot pr ovide for your family. At the same time, Mr. Speaker, a government that cares about its people has to ensure that those kinds of issues are addressed. So I look forward to the continuation of this debate. But even more so, Mr. Speaker, I look forward to a committee being set up, recognising its mandate, but wanted to ensure that there is a full and proper context for the multitude of issues that need to be addressed. I look forward to robust recommendations that try to help to break the barrier that still leaves women today as second- class citizens. Thank you, Mr. Speaker.
The SpeakerThe SpeakerThank you, Honourable Member.
Mr. E. David BurtCould I have a point of order, please, Mr. Speaker?
The SpeakerThe SpeakerWhat is your point of order? POINT OF ORDER
Mr. E. David BurtThe point of order is that there was an amendment on the floor. I just want to make sure that we approve the amendment, seeing that there is no objection to our side, so we can g o back to debating the primary motion. The Speaker: We have the amendment. …
The point of order is that there was an amendment on the floor. I just want to make sure that we approve the amendment, seeing that there is no objection to our side, so we can g o back to debating the primary motion. The Speaker: We have the amendment. So we will speak to the amendment, and then we will go back to the mover of the motion. So we will debate the amendment first.
Mr. E. David BurtI have got you, Mr. Speaker. I am saying there is no objection to the amendment from our side, so we can approve the amendment. So we can proceed to the main debate.
The SpeakerThe SpeakerThis is the main debate now. The amendment is the main debate until it is completed, Honourable Member. The Chair will recognise the Honourable Member, Susan Jackson.
Mrs. Susan E. JacksonThank you, Mr. Speaker. I would just like to take a few moments to bring to the attention of the House some of the concerns that I would like to see included in the researc h and the discussions that will be held through this joint select committee. When I …
Thank you, Mr. Speaker. I would just like to take a few moments to bring to the attention of the House some of the concerns that I would like to see included in the researc h and the discussions that will be held through this joint select committee. When I think about the impact that unemployment has on women, it starts for me, having been through a similar experience where I have been made redundant from a position and have had to go home and realise, once there was not the financial resource to supplement my budget and the bills that I had to pay, that I realised just how many responsibilities I was carrying. And I am sure that I am carrying only a few of what some may be c arrying, and that the pressure and the stress that weighs down on so many women in this community, if we can find any kind of support to help them, then I believe that this joint s elect committee will have done its job. But certainly, there are two pieces that I would like to focus on. First is that I would like the women of Bermuda to be acknowledged for their contribution to the makeup of the social fabric here in Bermuda. So many women in Bermuda are the financial breadwi nners right now because of our economic environment. The women in Bermuda tend to be those who are the ones who are holding on to the precious few jobs that are out there. And I am sure that there could be a lot of discussion around the reasons why. And they also are the caregivers for not only their children, but also their ageing families, and in many cases are the pe ople who are taking care of the mortgages and many of the financial responsibilities in the household. And when we find ourselves unemployed, we are oftentimes faced with many of the traumas and insecurities that we are facing. And certainly, I am not going to go into the detail that the Member on the ot her side has just shared with us in her opening r emarks. But, sometimes when we are ground down to the basics in our lives , we have to look at some of the things that . . . you know, I certainly could say maybe some of the things I could have done better. 1410 9 March 2016 Official Hansard Report
Bermuda House of Assembly And certainly, being jobless, being made r edundant, feeling that sense of low self -esteem, conf idence gone, I think about the things that maybe, if I had had more support, or if the community had pr ogrammes in place to help us prepare for not only the success in employment, but also the trauma of poss ibly losing our employment, that it may create a social fabric that is healt hier and is just a better resource for women in particular (because that is the topic) who are unemployed. And it begins —I just was doing some r esearch and doing some soul -searching, and it oftentimes begins with education. I would like very much for the joint select committee to take a look at what it is like to be a young woman in education in Bermuda, and what can be done to empower young women to feel as though they should strive for the very best, and to be sensitive to any negative experiences that our young women are having in the education system, whether it be through bullying or if it is just the teac hing methods and the delivery of teaching, the env ironment in the school, what it is like to be a young person and be in a stage of their lives when they are quite impressionable. And to make sure that that educational experience is a positive one so that they can rely on that skill set as they get older and they are in the employment environment. The other is that we continue to look at health and reproduction, that family planning remains an i mportant part of a young woman’s development, that she understands the responsibilities involved in family planning. And another sort of impact of unemployment for women in particular would be to take a look at what goes on in some of the lifestyles. Many times, whether it is because we are under, the stress of unemployment or whether it is the environment in which we are living at the time, some of our lifestyles can be less than healthy. And a joint select com mittee could certainly take a look at things from domestic violence, where certainly psychologists have been able to study and report on the fact that women who are unemployed are more likely to suffer from domestic vi olence than if a man is unemployed. Somehow, a man who is unemployed, if he has a tendency to be violent, will tend to hold back from being violent because the woman is out there working and bringing home the finances. And so, he does not bother with her. But when the man is working and the woman is unemployed, the man, if he is pr edisposed to violence, will tend to act out and often-times create an abusive environment in the home for the unemployed woman. So, with that, these are some of the concerns and issues that I certainly would like to s ee included in the joint select committee. And moving to sort of the positive side, you know, what we could do to make employment in Bermuda more flexible would be to examine what many companies on the Island have right now as standard operating procedures . But in some cases, it may be that it is cultural. These are the kinds of things maybe we can investigate in the joint select committee. But there are a number of working opportunities, working patterns that we could invest igate and introduce to this comm unity. And maybe through some cultural massaging, this could become something more acceptable. One is working flexible hours, where the hourly differences allow for mothers to be at home when their children are finished from school. Maybe they are able to then come in earlier and leave earlier, that kind of flexible hour environment. The other would be working remotely, where with the influx of technology, many mothers and women can actually work from home or outside the office. And certainly in other j urisdictions, this is quite acceptable. There are certainly many companies on this Island that allow for this. And culturally, it is something that I believe we have not really explored as an opportunity for women to be able to have a more successful opportunity in the emplo yment environment. So, with that I would just like to say that I look forward to a joint select committee. And I do not want to speak too much longer because it is late. And I look forward to our working together. Thank you.
The SpeakerThe SpeakerThe Chair will now recognise the Honourable Member from constituency 3. MP Lovitta Foggo, you have the floor.
Ms. Lovitta F. FoggoThank you, Mr. Speaker And I want to thank my Honourable Member, who sits to my left, for bringing this motion. And since it is a motion that specifically speaks to the concerns of—
The SpeakerThe SpeakerNo, no, now the amendment. So she brought an amendment.
Ms. Lovitta F. FoggoOkay. Thank you, Mr. Speaker. [Because this] speaks to the concerns of f emales in particular, I am duty -bound to stand to my feet and weigh in on this. In fact, Mr. Speaker, I think that it is good that this conversation begins here first in the House of …
Okay. Thank you, Mr. Speaker. [Because this] speaks to the concerns of f emales in particular, I am duty -bound to stand to my feet and weigh in on this. In fact, Mr. Speaker, I think that it is good that this conversation begins here first in the House of A ssembly, becaus e as Parliamentarians and lawmakers and the like, and as role models for society, it is our jobs to, I guess, get it right. In fact, one of my honourable colleagues, Walton Brown, spoke about (and I may be paraphrasing it slightly) having proper repr esentation. And it is important. If we are going to be dealing with female issues, then it is important that
Bermuda House of Assembly females weigh in on this and that, even from the top, we get the proper representation here. And why do I say that, Mr. Speaker? Even when we look at t he parliamentary realm, policies worldwide have not really met the requisite female representation level, which is at least 30 per cent, who get to weigh in and bring the female perspective to the way in which we shape laws and policies in our countries so that in no way are females disadvantaged. And so, Mr. Speaker, saying that, let me say this. One of the things that, in looking at this issue as it pertains to parliamentarians, was the fact that when we have females in our societies who do manage to get up, high up on the topper rungs within institutions in the work field, or who do manage to be successful in the parliamentary arena, it is key to network, and it is key to support other females who are in successful positions. Because in so doing, you can develop a power base that women can begin to rely on in order to ensure that their issues are heard and dealt with. And so, if we are going to try to do something, Mr. Speaker, that has a real positive impact or indeed does impact the way we want it to, then we have to make certain that as a group we do things to empower ourselves and each other. And one of the things, particularly as they spoke about females and politics, is that it is key, especially for women in the role of politics, to ensure that they have the skill set that speaks to success. B ecause we operate in a difficult arena, it makes it that much more difficult for females who follow if, when we reach a certain level that, I guess, puts us on the front stage and centre stage within society, if we are seen to be failing. It makes it that much more difficult for other females who try to come along. And I am sure that every female who sits wit hin this House appreciates what I am saying. And so, when we network and work together to try and a dvance the issues of women, we are able to develop a more successful power base. And using that power base, Mr. Speaker, then allows us to address some of the issues that both women across the floor are speaking about, taking a look from the parliamentary level so that we can help women as they are cha llenged and particularly in this environment today. Mr. Speaker, I think, as you well know, I was a lead panellist in one of the plenaries in Sri Lanka on speaking about strategies for empowering women. These are some of the issues that were brought out and were highlighted as being very instrumental in pushing women’s issues out in the public domain in a successful way. Mr. Speaker, because it is important to have those networks and to develop a good connecti on with females across the strata I, as an educator, always held what I call “girls’ clubs.” In having a girls’ club I was able to introduce young women, as they were developing and thinking about establishing careers, to professional and successful women in the wider community. In those girls’ clubs we had women from every walk of life —politicians, doctors, lawyers, busines swomen. And they held high key positions. I can ho nestly say that some of the young women who were in my girls’ club were able to deve lop long -lasting rel ationships with those women who were successful in the workforce and were able to tap into that to help them create a successful path for themselves as they continued their educational careers from high school through college. Then they had those connections when it came to securing positions in the wider community in the workforce. Mr. Speaker, I would like to suggest that those are some of the same sorts of things that we need to be doing amongst ourselves as female parliamentar ians, trying to develop social groups like that, so that when we find women who because of the challenges that face our society today and they have singleparent households, if we are able to develop social networks like that, Mr. Speaker, we could use those arenas to try and educate and help women who find themselves in tougher positions, and model ways, teach them ways to create avenues that will allow them to have more success. It will also give them the confidence in knowing that they have a group that they c an fall back to, rely on, to be there to lift them up and to help them to continue as they find themselves in difficult situations. Let me say this, Mr. Speaker. It was also key in pointing out that for women to get the support and success that they need in societies where they often find themselves (because of their gender) being treated differently, it is crucial to likewise also get the support of some of their male counterparts where and whenever they can. Again, I do not think there is any society worldwide where you do not witness discrim ination of females in the workforce and in other ar enas, even in the family setting it is there. Whether you think you do or do not, you need to have the support of your male counterparts. But, again, it is crucial to ensure that the women themselves demonstrate that they are willing to do whatever is necessary to empower themselves. Mr. Speaker, again, we have a society where many people and women are economically challenged and oft -times that gives one the belief that because of their circumstances they will not realise success, or they are not able to go to tertiary institutes of learning to acquire various skills. In other societies, you see the informal economy being used to mobilise women. Women learn to use t he skills, their inherent skills. If they are great bakers at home, they learn to use those skills and turn that into something which is market able. Again, develop social networks help women to gain the confidence that even those types of skills that do n ot come with certificates and degrees are still 1412 9 March 2016 Official Hansard Report
Bermuda House of Assembly skills that can render them quite successful and are quite marketable within their own societies. I point that out because these are hard times and often when people . . . what do they say? Necessity is the m other of all invention. Often it is in times like this, Mr. Speaker, when the ingenuity that exists within people comes out because you have to succeed. I think it would be a good idea if we are able to put this committee together that we also explore simple things like that where we can teach those who find themselves in single -parent households, challenged financially to take care of their families. Help them to shape the skills that they already have, help them to recognise avenues that they might be able to use to put themselves in a better state for their fam ilies. Mr. Speaker, again, I say that the best way of getting this done as women is by recognising and tapping into the resources that we have as women. In Bermuda we have many females working in pretty decent positions. We have the Honourable Member Patricia Gordon- Pamplin who has a senior position in her institution—a wealth of knowledge in her area. Why can she not be a part of an organisation that we bring women to where they can tap into that resource where someone like her can share the skills, share her history, even share with people in need, other f emales that she interacts with, and use those r esources to help our women who find themselves in a situation where they are having difficulty getting jobs, they are having difficulty recognising the skill sets that they can use to put themselves in a better state? If we use the power base that we have as women, if we use the intellectual capital that we have as women across the different institutions that make up our society, if we tap into that and even those of us who are in those better positions recognise first the power that we have as that group and use that to help bring along other females who find themselves in an undesirable position. I think, Mr. Speaker, that we will recognise that we can have much success trying to, one, put women who find themselves marginalised for whate ver reasons within our society in a better stead and, two, in so doing as that impacts on families and other situations, address some of the negative issues that befall us today, Mr. Speaker, such as unemployment, such as insufficient education, such as . . . you know, we have many families who . . . (there are certain words I do not like to use) find themselves chal lenged and do not operate in a harmonious way, Mr. Speak-er. In being able to provide a support base for women who find themselves in that type of situation, we can get a handle on that and I think it speaks volumes that if as a collective group of female parliamentarians, if we work together, to get that ball rolling with the assi stance of our male counterparts, then that is a tick that we can put beside us. Mr. Speaker, with that being said, I take my seat.
The SpeakerThe SpeakerThank you, Honourable Member, MP Foggo. The Chair will now recognise the Honourable Minister for Community, Cultural Development and Sport, Ms. Patricia Gordon- Pamplin. You have the floor. Hon. Patricia J. Gordon -Pamplin: Thank you, Mr. Speaker. Mr. Speaker, I wish to express my appreci ation for the Honourable Member …
Thank you, Honourable Member, MP Foggo. The Chair will now recognise the Honourable Minister for Community, Cultural Development and Sport, Ms. Patricia Gordon- Pamplin. You have the floor. Hon. Patricia J. Gordon -Pamplin: Thank you, Mr. Speaker. Mr. Speaker, I wish to express my appreci ation for the Honourable Member who first brought the Bill and also to my colleague for the amendments that I believe are very necessary in order to give this Bill a little bit more impact. I believe that having a joint s elect committee enables us to be able to tap in to the talent that we have in the other place which for the first time in history is majority women. Mr. Speaker, I had the opportunity yesterday as well of attending the event at City Hall and watc hing and listening to the 25 young women (young and not so young women) who spoke, and spoke of their vision for 2030 in terms of the 50/50 parity. Mr. Speaker, it was quite an enlightening and it was heartening to hear that our future is really going to be in very good hands. The topic of this motion, Mr. Speaker, is to speak to those issues of difficulty that might be faced by women in the workplace—
The SpeakerThe SpeakerYou are speaking to the amendment, Honourable Member. Hon. Patricia J. Gordon -Pamplin: Yes, I am speaking to the amendment. —concerns relating to unemployment of women and the concerns expressed that the majority of single- parent households are headed by women and the relevant concerns relating to employment o pportunities …
You are speaking to the amendment, Honourable Member. Hon. Patricia J. Gordon -Pamplin: Yes, I am speaking to the amendment. —concerns relating to unemployment of women and the concerns expressed that the majority of single- parent households are headed by women and the relevant concerns relating to employment o pportunities afforded to women. Mr. Speaker, you will recall this morning . . . or you may not recall because we were actually in Committee. But this morning I reported that in January of 2015 the Department of Community and Cultural Affairs —the human rights aspect of it —undertook work to complete a compliance template for CEDAW which is the Convention on the Elimination of All Forms of Discrimination against Women . We find, Mr. Speaker, that when women find themselves in a situa-tion of difficulty respecting their employment or lack thereof, chances are there is some level of discrimina-tion that may have been meted out against them. I would like to refer if I may very briefly to a couple of the articles that were in the CEDAW convention that speak to discriminatory practises. Article 11 of CEDAW requires parties to elim inate sex discrimination in the area of employment. While we know that Bermuda has certain legislation in
Bermuda House of Assembly terms of the Employment Act in which we are able to arrest any challenges that might exist in that regard in the workplace, we still have a long way to go in terms of some of the conditions that must be made available to women that could be perhaps consistent with international standards. In addition, Article 12 mandates its parties ensure that women have access to health care services. What happens when you have proper health care which is afforded to women in the workforce, then at least that is one less challenge that they have to be concerned about. Another major thing, Mr. Speaker, is that women ought to be afforded equal rights to access credit free from discrimination. Mr. Speaker, we do not have any legal impediment that prevents women from so doing but the practical application when you look in terms of some of the challenges that women face, if they have difficulty in the workplace, if they have unemployment situations, then they are not going to be able to access credit because there would be no ev idence that they would be able to repay any indebte dness that they might incur as a result of going d own the path of trying to find additional funding just in order to make ends meet. Mr. Speaker, the one thing that I believe that this committee could look at and consider would be the entrepreneurial opportunities through the Bermuda Economic Development Corporation. Very recently, Mr. Speaker, they held a seminar which I believe they are now repeating —it may be in its second cohort which might be coming to a close, actually, called Who owns the ice house? Mr. Speaker, that was one incredibly amazing eye -opener in terms of the opportunities that could be available. I believe that very fr equently as women having difficulty in having to find employment and knowing that within the workplace, if there is difficulty as such that —and even through si ngle parenting —we might find that if one has the wherewithal, the tools, and the knowledge to be able to build up an entrepreneurial base and attitude and mindset that they might find themselves free of the levels of challenges that might occur when they have to actual ly be hired by somebody when they are perhaps not as skilled, not as educationally adept as they might otherwise be. Women who have reasonably good education, women who have reasonably good support systems are not the ones who are going to find themselves in this situation. I think that the women who are better off have an obligation to mentor those young women who might find themselves in this situation. Sometimes, Mr. Speaker, young women feel helpless and hopeless because when you do not know where to t urn, when you do not know how to feed your child, when you do not know where the money is coming from, it can be a daunting exper ience for people. The Department of Financial Assistance, Mr. Speaker, through policies that were implemented by the previous administration brought into being chil dcare allowance, as well as an earnings low allowance which effectively helps to assist young women, and especially those single- parent households, to be able to give them that additional support that is required in order for them to stabilise the households which they have and not find themselves in the situation of not being able to feed their children. Mr. Speaker, I believe that we should—this committee perhaps might be able to explore how si ngle mothers’ jobs or how experiences can be shared so if they are looking for jobs so that they are aware of some of the appropriate methods by which they can approach even a work interview. These are some skills, Mr. Speaker, that many women do not have—young women, you know, become pregnant very early in life, Mr. Speaker, may not have a support system that helps them to be able to help themselves as time goes on. Mr. Speaker, the fact that somebody is single and perhaps the head of a household— a single parent—head of a household and that they have an unemployment situation does not have to be the end of the world for them. I had occasion today to attend the Dare2Be graduation ceremony, Mr. Speaker, and the guest speaker on that occasion, Patrice Frith Hayward spoke to a per sonal experience that she had in which she spoke to almost the complete negativity of exper iences of “woman number one” and the success that juxtaposed upon that of “woman number two” and then to suggest and identify the fact that she was speaking that “woman number one” and “woman number two” were actually one and the same. It was her personal story and her response to adversity that caused her to go from an attitude of despair which would be created by such circumstances as having difficulty with respect to employment o pportunities being afforded to women and the educ ational component that goes along with it and perhaps making choices of not settling down, not taking advantage of the educational opportunities, finding her-self on the wrong side of idealism in terms of a family environment and then being able to turn that around with an attitude and with some encouragement. Many young women, Mr. Speaker, who are single parent heads of households may find themselves in a situation where there is very little or very limited family support. These are the kinds of things that can be explored as to how such a committee can make recommendations so that these young women will find themselves better able to handle their circu mstances. Mr. Speaker, the family assis tance that is needed is important when one knows that they are not alone. Mr. Speaker, I can speak to personal exper iences, having a child at the age of 15, married at the age of 17, having been beaten for breakfast, dinner, 1414 9 March 2016 Official Hansard Report
Bermuda House of Assembly lunch and tea; fractured skull, fractured ribs, divorced at 21. One would think perhaps that in those circumstances being a single parent, having divorced my husband, being a single parent and having to rely on my own devices that it could really have spelled doom and gloom. But, Mr. Speaker, I stand here 50 years later (because my son is 50), Mr. Speaker, to say that it was not the end of the world. Having family support was critical. My mother passed away three years ago. But Mr. Speaker, I can tell you that I will be forever indebted to her for the level of support shown in those circumstances. Mr. Speaker, I know I always have light words with the Honourable Member from constituency 5, who says, you know, I do not think that guy roughed you up enough, because he knew the circumstances in which I found myself. But, Mr. Speaker, I believe it is also important to be able to share that when you have those kinds of experiences you can pull yourself up by the bootstrap. You can find yourself in a situ ation where you do not permit negative experiences to dictate who you are. As a result, Mr. Speaker, you can forgive and let go and not allow negativity to consume you, then you can get through these situations which are temporary challenges. They are temporary challenges. Experiences that one p erhaps may have and may almost need to have in order to be able to have that knock being a boost. Mr. Speaker, I believe that it is difficult and I think that as the Honourable Member who first spoke tonight spoke to some of the anecdotal situations r especting some of the people who attended her sem inar, her forum, and some of the stories are quite horrendous, Mr. Speaker. But when one can look at an example, an experience, and most of us have had some kind . . . we all have had a past. We have all had ex periences. But it is how you handle it. You do not sort of show up today on the floor of the House of Assembly saying, Here I am, without knowing that in order to get there you have had to go through things. Going through things, Mr. Speaker, and how one r esponds to that is only something that you can learn how to cope with when you have a support system that helps you out. When we have people unable to run a hous ehold, unable to know how to run finances, do not have the budgeting skills, do not know how to save, do not know how to pay themselves first when they do find employment, Mr. Speaker, these are the sorts of things that women need to be taught. I think that it is important that they are taught these lessons by other women who can give them those attitudes, who can give them the experiences that they may have had to be able to say this is how it ought to be done. While one may not necessarily be able to stand on a pedestal and say, Look at me, I have arrived, certainly, when one shares negative stories in terms of what they have had to go through to get from point A to point B, Mr. Speaker, it is very critical that people realise that it is okay to have adversity. It is okay to go through difficult times because everybody is not born with a silver s poon, Mr. Speaker. Ever ybody, at some point in time, is going to find them-selves in a situation in which there are concerns with their unemployment, knowing that there is a gover nmental structure as a safety net, is always useful to have, Mr. Speaker. However, I see the pride on the faces of many people who walk through those doors needing financial assistance. In many instances, Mr. Speaker, you know that those young women as single parents and heads of households do not want to be there. Not only do you see it as a one- on-one experience, but you get the e- mails, you get the stories, you hear the challenges. People would say to you, Minister, I do not want to have to go to that office, because the exper ience in and of itself, just recognising that one needs that type of help, can be demoralising. Certainly, it can start to eat away at a level of self -esteem that one requires in order to be able to share those positive influences on the children that they are responsible for, Mr. Speaker. I am looking forw ard to this committee and some of the issues that I have just raised without wanting to give all of the ideas here tonight, but I believe it is just important that we show that this is som ething that must be supported both by the women in this Honourable H ouse and in the other place, as well as the Honourable Member from constituency 3 ind icated, our male counterparts. Mr. Speaker, every challenge that exists for women in the workplace— and this is point number three —there are relevant concerns relating to employment opportunities affor ded to women. They are not all necessarily challenges that obtain for women who are single parents —which is a serious challenge— or unemployed people, that is a challenge in and of itself. But you can find that there are profes sional people, Mr. Speaker, who find themselves in a situation where there are discriminations that are appended to them in their employment ci rcumstances, Mr. Speaker, and the opportunity to be able to rise above and push through the glass ceiling that is there, the male dominated board rooms that exist, Mr. Speaker, the attitudes, the misogyny that exists as part of our culture because we have men who believe that if a man cannot do it , it cannot be done. I applaud the Honourable Member from [constituenc y] 17 who recognised that, for things to be done well ask a woman, Mr. Speaker. I think that women . . . we undervalue our worth. I believe, Mr. Speaker, if we start to recognise that there is a corr elation between strong women and women of strength, I believe that together we can help to lick this problem, Mr. Speaker. I believe that we can find effective sol utions and that we can bring those solutions into play and make them an actuality by virtue of putting our
Bermuda House of Assembly collective minds and brains together, Mr. S peaker, bringing that report here to this Honourable House and hoping that it will provide and produce an end result that inures to the benefit of all of our young women. Thank you, Mr. Speaker.
The SpeakerThe SpeakerThank you, Honourable Minister. The Chair wil l recognise the Honourable Member from constituency 29, MP Zane De Silva. Hon. Zane J. S. De Silva: Thank you, Mr. Speaker, much appreciated. Mr. Speaker, it gives me great pleasure to contribute tonight and some may call us arch- rivals. But the …
Thank you, Honourable Minister. The Chair wil l recognise the Honourable Member from constituency 29, MP Zane De Silva.
Hon. Zane J. S. De Silva: Thank you, Mr. Speaker, much appreciated. Mr. Speaker, it gives me great pleasure to contribute tonight and some may call us arch- rivals. But the Honourable Minister who just took her seat, I was very impressed by what she had to say. I must say some of the stories she told actually touched my heart quite warmly. I appreciate everything she had to say. I also would like to thank the Honourable Member, the Learned Member, Kim Wilson, for bringing this motion, Mr. Speaker. When we first discussed it, I said, Well, I wonder how many people will be contributing tonight . It seems, Mr. Speaker, that ever ybody wishes to contribute. Mr. Speaker, as a father that has a daughter and now three granddaughters, I am certainly happy to contribute. I have listened intently, especially to the females in the House. And I think that all of the f emales that have spoken tonight have certainly given me food for thought, Mr. Speaker. The Honourable Member, Patricia GordonPamplin, who just finished speaking, talked about the boardrooms. Many of the boardrooms, as you know, Mr. Speaker, are dominated by males. I am happy to say, Mr. Speaker, one of the companies that I run has just appointed in the last year two females to our board. I must say, Mr. Speaker, having those two f emales on the board certainly gives a different perspec-tive no matter what the subject may be. I would certainly encourage more companies, Mr. Speaker, to include our women as they grow their businesses because women have not only different perspectives, Mr. Speaker, but they have a lot of experience in life which I know many of them apply to their jobs. Mr. Speaker, hopefully it is not too late and some of our business owners may be listening tonight, Mr. Speaker, or they may pick up some of these. I see the press are still here, hopefully they are taking notes diligently, and they will put some things in the media over the next few days that some of our co mpanies will take note of. Mr. Speaker, one of the things that I thought that we should be looking at is longer maternity leave. I know some countries have it, Mr. Speaker, where the mothers are allowed to take a year with full pay to look after their ki ds, Mr. Speaker. I can tell you that my wife was deeply hurt when my son was born, Mr. Speaker. She only had four weeks at half -pay, Mr. Speaker, when my son was born, and my son was born with an issue with his legs so he was in a cast and it was a very challenging time. But it hurt my wife that after six weeks she had to return to work, for two reasons —one is we were both fighting to pay our mortgage and, of course, the second reason is that her employer said, Look, if you do not come back to work, I am go ing to have to replace you. Simple as that. So it was a trying time. Certainly, Mr. Speaker, whilst I know employers have their challenges, I would like to see women getting more time off work after they give birth to their children. Mr. Speaker, let us not forget the men. In some parts of the world men get time off too, to help the mothers. That is certainly something else that should be considered, Mr. Speaker. Mr. Speaker, I must say when the Honourable Kim Wilson held her forum just a few weeks ago w ith regard to Women Hearing Women, I did not get to hear all of the stories because she had me working in the kitchen, Mr. Speaker. I was serving soup, along with MP Brown, MP Weeks, and MP Furbert, as well. Mr. Speaker, it was a bit of a challenge trying to listen to the women and their stories while MP Wilson had us working our backsides off. Mr. Speaker, I tell you what. That room was packed. In fact, we could not find enough chairs to accommodate all the ladies that showed up. Mr. Speaker, we did hear a few stories and MP Wilson gave many of those tonight, so I will not repeat them. But it just goes to show that the number of women that showed up that afternoon, Mr. Speaker, told a story. I think that is what spurred MP Wilson into bringing this motion and, of course, later changed by MP Nandi [Outerbridge]. Mr. Speaker, the number of people there certainly triggered something in my mind and told me that we have a problem with women unemployment in Bermuda. Some of these stories, Mr. Speaker, some of our people are hurt and hurting because of the sit uation they have found themselves in. Mr. Speaker, I would like to put the challenge out to the banks tonight (and I have done this before) but certainly now that we are talking about single mothers, Mr. Speaker. There are many mothers that find themselves challenged because the husbands or the boyfriends —in particular, the husbands, Mr. Speaker, because most married couples get houses. You would certainly be aware, Mr. Speaker, that there are many, many foreclosures which have taken place over the last three years and there are still many on the brink. My challenge to the banks, Mr. Speaker, is to try and find a little bit more sympathy towards our single mothers. I know one family member of mine, Mr. Sp eaker, lost her job, thought it was fairly secure (in the international business), had a mortgage to pay—single mother, daughter has a daughter. Mr. 1416 9 March 2016 Official Hansard Report
Bermuda House of Assembly Speaker, they are struggling to survive. So she had to go out and get creative. Mr. Speaker, I think it w as maybe the Ho nourable Member Wilson talked about later in life and the 40- and 50- and 60- year olds that were finding themselves unemployed. Well, I have a family member, Mr. Speaker, that is going on 50 and that is exac tly the position that she found herself in. She lost her job, had a mortgage to pay. Has a daughter and a granddaughter. How is she going to do it? One of the things that Pat Gordon- Pamplin, the Honourable Member, talked about, Mr. Speaker, was this committee talking about financing, savi ng and sacrificing (I think she said), which is very important, Mr. Speaker. I think that this committee—if they can do that —will go a long way into helping some of our mothers. Some of our people, Mr. Speaker, get good jobs, they live a little bit of the high life, they get themselves in position where they can buy a house, and maybe have some other little benefits along the way. But then all of a sudden they are hit with a shock —I have lost my job. We have to teach our people, Mr. Speaker, as Pat Gordon- Pamplin said, the Honour able Member, about financing, saving, and sacrifice because you never know, Mr. Speaker, what the good Lord may have in store for you. So try and be like the squirrel. In the summer he puts those nuts away for the winter, Mr. Speaker. We have to be able to teach all of our people, especially our young people, Mr. Speaker —women and men. Mr. Speaker, I think someone mentioned earlier that there are now many women in Bermuda in particular who are breadwinners for their family. They are the breadwinners for their family. Once upon a time it was the males that dominated that title. Not anymore, Mr. Speaker. Our women are the breadwi nners, Mr. Speaker. Having said that, another challenge to our employers . . . we need to put more emphasis on giving our women more benefits when they are working for you. There are many women . . . and I am sure the Honourable Member Nandi [Outerbridge] gave a story about her coming home from work and having to clean house and look after her son. Mr. Speaker, there are many women in that position. E mployers need to be more sympathetic and supportive of our mothers, Mr. Speaker. So that challenge goes out to them. Mr. Speaker, another thing we need to talk about (and I think the Learned Member Kim Wilson talked about this, too) is our women who have lost their jobs. They have great CVs, and they cannot find work. One thing that she did not talk about that I know . . . another friend of mine, Mr. Speaker, a female, lost her job. She has a master’s degree. She app lied for a job and said, Look, it is not the job that I want. It is a low-paying job and I know it is going to be lower than what I am used to, but I need to work . Mr Speaker, do you know what she was told? She did not get it because she was overqualified. Now, Mr. Speaker, how can you be overqual ified for a job? If I have a master’s degree and I wish to wash dishes, do not tell me I am overqualified to wash dishes, Mr. Speaker. Do not tell our young women that may have a master’s degree that she is overqual ified to do marketing. What is that? Employers need to stop that. Every time someone says that they cannot get a job because they are overqualified it burns me. How can you be overqualified, Mr. Speaker? That needs to stop. So those employers that are out there— if we have our women in their 40s, 50s or 60s that have their master’s degree and years of experience—do not do that. Do not do that to them, Mr. Speaker. Mr. Speaker, I think this committee can do good work. I think this committee, if you get the right people —and I think we have the right people between the other place and this place. I think that we have some very good quality candidates for this committee. I am sure that they can teach and certainly have rec-ommendations that can teach our women— whether it be young, middle aged, or even older, Mr. Speaker, some new tricks. Certainly some keys to survival, some keys to success later on in their mid- 30s, 40s and 50s, because in my book, Mr. Speaker, you are never too old to learn. Mr. Speaker, I would also encourage this committee to talk to Mr. Brian Duperreault. Now, there are some in this House that know that Brian Duperreault has a wealth of experience in international business. You might be familiar, Mr. Speaker, that he now runs a company ca lled Hamilton Re, Ltd. The Honourable Member Pat Gordon- Pamplin I am sure is a little familiar with Brian’s workforce. It is predom inately women. He is an advocate for promoting wom-en in the workplace, and I will take my hat off to Brian for the stance he has taken. Not only is he supportive of women to work for his company, I think he infl uences other international CEOs to do the same. I take my hat off to him and I would urge this committee to have a sit -down conversation with Brian and how he is operatin g and what his goals are for the females that he has working for him. Mr. Speaker, I am going to finish on a little bit of a humorous note and I would like all Members to pay attention. It is a little story that I tell, Mr. Speaker, when I do most of my s peaking at Vernon Temple [AME Church] on men’s day or women’s day. Mr. Speaker, I do not know if you have ever heard any of this. I do not know if you have ever heard it, but Dame Jennifer Smith told me this story one day. Dame Jennifer was having an argument with a male about who works harder. The guy said, Well, we guys work harder than you girls. Dame Jennifer said, No, you do not. No, no, no, no. They had this huge argument.
Bermuda House of Assembly He said, Look, let me tell you something. Men work harder than women and that is it. I do not want to hear any more! Dame Jennifer said, You know what? You are right. Men do work harder than women because women get it right the first time.
[Laughter]
Hon. Zane J. S. De Silva: So, Mr. Speaker, on that note I will take my seat.
The SpeakerThe SpeakerAll right. Thank you, Honourable Member. The Chair will recognise the Honourable Member from constituency 33, MP Jamahl Simmons. You have the floor.
Mr. Jamahl S. SimmonsThank you, Mr. Speaker, and good morning. A favourite quote that I love is by the Honourable Elijah Muhammad who said, “A nation can rise no higher than its women. ” And the conditions that our land faces now has driven many of our women low — from high states …
Thank you, Mr. Speaker, and good morning. A favourite quote that I love is by the Honourable Elijah Muhammad who said, “A nation can rise no higher than its women. ” And the conditions that our land faces now has driven many of our women low — from high states to very low. Despite that, I am humbled and honoured by their indomitable spirit and their commitment to persevere. Mr. Speaker, unemployment in women in particular leaves them in a particularly vulnerable state—especially if they have children. As a single mother you may be forced to live in places you would not norm ally live, stay in relationships you would not normally stay in, endure conditions that you normally would be able to walk away from because you are trapped because you do not have that independence that having a job would allow you. Or at least the i ndepe ndence that you could reach for and attain if you had something coming in. Mr. Speaker, it is a deep issue, and I think this is a very important issue that should take some time because while so many Bermudians are unemployed the situations of women are unique. You have the women who maybe have not received a proper ed ucation, you have the women who have been very . . . let me go back. We have had women who were not heavily educated, maybe they have a high school diploma or GED, but with the erosion of entry -level position jobs there are less opportunities for them to get on the rung to be able to that opportunity. We then have the people who have been in the workforce for a while, have always been employed, and who have been made redundant and the jobs in their field just simply are not there anymore. The competition is too stiff and there just are not enough places for the people seeking. With women you have the added burden of di scrimination— doubled if you are a black woman. So there are multiple challenges facing our women. Mr. Speaker, I hope the committee will consider taking a comprehensive approach in looking at this because there are roots to unemployment that begin in education, in upbringing, in the skills that you have. I remember an incident. I saw a young lady running home to get changed to go for a job interview (this was very early) and she was all excited, all exci ted. I am going to have a chance. I am going to get this job! I saw her later in town and she was just in tears. What happened is that she had gone to a job interview, but what she was wearing was not appropriate. She just did not know that it was not appropriate. Did not know. She felt like she had just ruined this opportunity just from not knowing. She had the abilities, she had a ll the skills, she just did not know that the first impression when you make when you step in the door could hinder you— particularly in a competitive env ironment where so many people are looking for work. We have to make sure that our women know what they need to do to get a job and get in the door and to be able to make themselves as marketable as possible. Mr. Speaker, there is a charity in the United States. I cannot remember the name of it, but they actually would provide suits for women to be able to go on job interviews to make sure that they were properly attired because sometimes when you lose your job you may be evicted, you may be forced to live out of suitcases, you may not have anything to wear. So they provided these things, and these are the gaps that we have to look at how we can fill —and not necessarily through government. This may be a way to reach out to the private sector. But we also have to look at the issues of security for women. There are many women who are reluctant to go to Financ ial Assistance for fear of losing their chi ldren. As I mentioned, that means that sometimes you end up in crowded conditions with other relatives who take you in. It may be with an ex -boyfriend or an ex - husband that you do not get on with, and so you have these issues of tension and you have these issues of potential physical violence. You also have the issues of sexual exploitation with many women—to provide for their children—being forced into prostitution and things of that nature. There is a lot of aspects to look at. Mr. Speaker, we have to give assurances to our women who have always [had work], who do not have issues —character issues, integrity issues, work ethic issues —that Financial Assistance is not a place that will punish them and treat them lik e criminals if they are driven to go into their doors. It is very i mportant. We also have to somehow fix the reputation of Workforce Development. I mean this to say no dispar-agement on the Government, but there is a perception in the community that Workforce Development does not work. When somebody says to me they are unemployed, the first thing I ask them is, Have you been 1418 9 March 2016 Official Hansard Report
Bermuda House of Assembly to Workforce Development? The first thing they say is either (a) I went there and nothing worked for me; or (b) I am not wasting my ti me going there because they are not going to do anything for me. But still I encourage them. Somehow we have to fix that reputation that it is not working. If it truly is not working, we need to fix that as well. Mr. Speaker, we also have to look at the g aps that are unique to women with children— whether you may need to retrain yourself to be marketable now because the job you were in [no longer] exists, but you have issues of childcare, reliable safe childcare. A lot of women in these periods of time whet her it is tr ying to get educated or trying to just hold onto that job are forced to leave their children with whoever they can leave them with just to be able to stay going. Or sometimes have been forced to bring their children to work with them and jeopar dise their jobs because they did not have reliable, secure, safe childcare. Those are gaps we have to look at as well. Mr. Speaker, we should also take a serious look at tougher antidiscrimination laws. We have to also take a look at how we can begin to push diversity and empowerment of women and girls into our bus iness community and start changing the culture where the default image is a man, or a white man. It has to broaden so that we allow the talent and expertise that so many of our women have to be a ble to shine, to be able to participate. I have been very blessed during my career in politics to be surrounded by very strong, very intell igent, very articulate women. Politics is interesting be-cause in a lot of ways it is the ultimate meritocracy because when you go out on the doorstep, you cannot really have anybody holding your hand. You have to win that seat. When you come to Parliament, som ebody might give you something to read or somebody can do whatever, but that is okay, but you still have to carry yourself. It is an opportunity that is lacking that there are not more women in the House of Assembly because their voices are important. Their perspective is important. What they bring to the table helps to enrich the dialogue and brings forward ways t o make all of us better —both politically as well as for our society. Mr. Speaker, the other issue . . . and this is a pet cause of mine. This goes beyond unemployment for women, and it is the issue of equality impact assessments. We have to begin looking at taking the same approach to legislation that we do for our env ironmental impacts. We need to gauge how our legi slation affects women. How it addresses their issues, how it may actually hinder them in some ways when we bring forward legislation before it comes to the House, specifically analysing the impact on equality. I was very impressed years ago. There was a political party in Australia and they put out a platform that was children focused. Their focus said that bas ically every bit of legislation . . . the first thing you ask is, How does it affect children? How does it affect the stability of the family? How does it keep that family unit strong? How does it enrich and educate our chi ldren? That approach for women is important if we are looking at th ings. Then we can look at discrimination laws because a discrimination of somebody based on sex is not necessarily the same as on race or on sexual orientation. If we are looking at policies, whether it is financial assistance, whether it is how Workforce Development intakes people, there are unique cha llenges that arise because of women that sometimes when we go and produce a sort of cookie- cutter approach, it does not fit. Mr. Speaker, what is clear is that our society is going through a radical transformation right now and while we do not like to say the words “unprec edented levels of unemployment,” there is unprec edented, certainly, level of suffering that I have never seen before in this country. We have to begin this process. If this committee does n othing else, we have to begin restoring hope that there are better days ahead. Not based on what the Government does or the Opposition does, but on giving people the skills to elevate themselves, to lift themselves up, to get conf idence in themselves. The process of being unemployed, the pr ocess of looking in the paper and not seeing any jobs that you are qualified for, or seeing jobs that you know is for a work permit renewal . . . I am not going to waste my time putting my name in that . Or even when you apply and nobody calls you back and that is very soul-crushing when as a mother —a single mother in particular —you have to be the person who stays strong. You have to be the person who maintains that façade 24/7 because you may not have the support network where you can go to be by yourself. You may not have the living environment where you can go and be by yourself and catch yourself. This is taking a tremendous toll and it is just amazing to me the strength of our women and how many are managing to make i t during these times in spite of. But let us look at how we can take a young girl who maybe did not receive the education she could. She may have made poor life choices. And let us look at a pathway from where they are to where they can be. To the woman wh o has worked all her life, never been a burden to society and is forced into Financial Assistance . . . how can we continue to make sure that their dignity is maintained and get them off as quickly as possible? To the woman in advanced years —not yet to retirement —who may have to go back to school, who may have to retrain, how can we make sure that she is able to do so without worrying about the safety and security of her children? Without worrying about where her children will be and what they will be doin g and who will be with them when they have to take a class or maybe when they have to work that extra job to get where they need to go.
Bermuda House of Assembly I think a holistic approach could be very beneficial. I actually think the process of having this indepth select commi ttee going into the issue may also change the way we think collectively about these i ssues. We may become more focused on thinking how this will impact on women in particular. Once we start having that perception of being able to look deeper into the issues, we might then be able to look deeper into other issues. We can look at how we talk about women on Financial Assistance—the negative and derogatory stereotypes that are perpetuated out there that do not reflect the reality of the majority of people on fi nancial assistance. We can look at how we as men talk to women. We can look at how we treat women and have a better perspective on how we can make things better. Mr. Speaker, I am encouraged by seeing and if possible participating in this because I think that we have some very, very, very bright minds in this House of Assembly and in the other place that I think can actually do some good work and draw something positive out of this. I commend my colleague, the Honourable Member from constituency 34, for br inging this to our attention. Let this not end here. Let this not be a committee that goes off somewhere and pr oduces a report that sits on a shelf. Let us make this something that we can take to the people that will be a living document and drive us going forward. Thank you, Mr. Speaker.
The SpeakerThe SpeakerThank you, Honourable Member. The Chair will now recognise the Honourable Minister for Health, Seniors and the Environment, Mi nister Jeanne Atherden. You have the floor. Hon. Jeanne J. Atherden: Thank you, Mr. Speaker. Mr. Speaker, I do applaud MP Wilson from constituency 34, but I do believe that this …
Thank you, Honourable Member. The Chair will now recognise the Honourable Minister for Health, Seniors and the Environment, Mi nister Jeanne Atherden. You have the floor. Hon. Jeanne J. Atherden: Thank you, Mr. Speaker. Mr. Speaker, I do applaud MP Wilson from constituency 34, but I do believe that this whole topic is so important that a joint select committee would indicate how strongly we feel that it is important to us. Mr. Speaker, when we started to look at one or two of the changes that were made, they reflect what I call some of the nuances with respect to the focus that we should be having because unemplo yment (if you start to look at unemployment itself) means that you also have the opportunity to start to look at the opposite side, which is how do you make sure that you are employed. How do you look at some of the things that can enhance your opportunities to stay employed? What can you do to make sure that all of our women in Bermuda can have employment le vels and aspire to the greatest level? I know that we are starting to talk here about single- parent households headed by women. But I also think that we must not lose sight of that som etimes these single- parent households were families that star ted off with two people in them and in the end they became single. So we have to start recognising that it is really all about understanding what is ha ppening as it relates to our women and whether they are taking on spouses and trying to achieve a family or whether they are in the end becoming single because if you do not realise, you sometimes get people who have no aspirations other than to be a housewife. I am not saying that there is anything wrong with that. But it does mean that if they have taken control of their life and their life says that is what I want to be, understand what that means and understand how you make sure that you maximise your opportunities. As we go forward and we start looking at things with respect to employment opportunities, I maintain that everyone should aspire to the highest level because first of all in Bermuda we do not have enough of a population as it is. The women are the larger percentage and, therefore, we have to make sure that the women who have lots of abilities are able to go up to the highest level. We talked briefly here, Mr. Speaker, about this whole question of what we should be doing as women. I think we need to understand because I r emember when I went to one of the Commonwealth Women’s Parliamentary confer ences, as women we understood that if you do not do something to actually make sure that the policies and the rules and practi ses that affect you as women . . . if you do not put yourself into a place where you can start to have some influence over it, then you are setting yourself up for someone else— and it is a man—who is going to make some decisions as to why it is important or how it should work. Ultimately, the same way women have control over their bodies, we need to have con-trol over our opportunities. It is very important for us when this joint select committee starts to look at it, to start to make sure that we look at all of the things that are out there in terms of what is happening with women, not only from the point of view of the time they are born and how they are educated, but also to make sure that in some r espects we break the lifecycle because there are also lifecycles with respect to single households which have become what I call a perpetuation which means that sometimes women who have l ots of talent and lots of ability because they are then trapped into what I call a lifecycle, do not get to break it and actually go around and be able to utilise their talents and have some negative effects as it relates to their children. We have been talking about families and I take the position, as we all do, that a child is a product of a man and a woman. Therefore, we have to make sure that when we start to look at the opportunities that are out there, we try and look at our families and we try and look at what we can do to make sure that our families have the maximum benefit and try to put things into place that will reduce the negative impacts on them. Mr. Speaker, I was just thinking earlier. I know one of our colleagues across the way made a com1420 9 March 2016 Official Hansard Report
Bermuda House of Assembly ment about if men were having children, then there would be lots of day care, et cetera. Well, all I can say, Mr. Speaker, is that I used to have a different version of that. I used to have the version that said if men could have children, then women woul d have lots of children because they would then make up their mind that, Hey, someone else can be out there doing these things and as women we could be turning around and focusing on running the country, we could focus on doing all the other things because women, per se, tend to be very organised. Women, per se, are able to see the bigger picture. And women have also gotten to the logic that says we are supposed to be out there holding the families together, holding society together. We are the ones that are supposed to be out there putting ever ybody ahead of us. We are supposed to do everything for our families. We are supposed to do things and put the family ahead. But sometimes if you really want the country to benefit from it, as a woman you need to turn around and put yourself first. As a woman, if you are going to be turning around and doing things for your country, then sometimes you have to say, I can do this. I actually am very good at doing this. I remember going to a conference where we were sayi ng to the delegates from the other countries, Why do you not have more women here? because they did not have many representatives to the women’s conference which was the day before. Their response was, Well, they had to stay home and organise for the next conference that we are having. I said to them, Well, why could you not stay home? You knew this was important to women . I think sometimes we as women have to make the men understand that they have a role to play in helping us get to where we need to go because women in this country have all those talents. If this joint select committee starts to look at all the things that are here, then when I look at it, it is also talking about impact, and although it says unemployment, I turn it in my mind and say opportunities for employment. If it says to me about women and their fam ilies, then I turn it in my mind and it says looking at women and what we can do to make sure that their families are not impacted by them perhaps making a choice to even become a Member of Parliament because you cannot get here . . . if we do not have enough women going forward to aspire to the higher levels —and the higher levels are not just in the boar droom, the higher levels are at any job level that we are thinking that women should aspire to. That means as long as they have made up their mind that they want to have a family, they have to figure out a way in which to make sure that their family is not impacted. They have to figure out how they have that support, and if they are lucky enough to have a husband or a partner (because I have to remember it is all about partners) then they have to make sure that there is joint agreement on what the family is trying to aspire [to], and the commitment and support has to be there. Mr. Speaker, if we look and we say that we are going to do this, I truly believe that we will not have to worry about it sitting on the shelf. I would hope that all the women that are in the joint Houses when it comes back the second part will be that they will come forth with some plan that talks about how it can be implemented and how we can make sure that it is not something that sits on the shelf but goes forward and has some timelines to make it happen. It is really important that if we are going to make this happen that we move it not just from what happens in our private lives, but make sure that ult imately when we look around Houses like this that we have equal representation, because so many things that we look at we do not turn around and stop and think abo ut how does it affect women. We do not stop and think about if we had done it in a slightly different way . . . we are having draftsmen or women looking at these things and we do not say, Okay, if you had done this slightly differently it would have been more pos itive or if you do this it has unintended consequences . I think too often we sit here and we talk about uni ntended consequences. We really do have to make sure that we do not have those because it is such a very important point. Mr. Speaker, you know me. I am not going to sit here and talk forever because it is really important to us to get on with other business. But I would like to think that this is something very good because gender equality is important. If the women are going to come and be ab le to continue to help our country grow, we have to encourage them to take charge of their lives. We have to make sure that they plan for the future, and I would like to think that all of them out there li stening to us [would think of] Parliament [as] the ultimate goal, because that is the way they can influence society and they can make sure of what is done here. There is one other point I just wanted to make. I am just going to throw this out to you as an opposite side that we might not have thought of. When you talk about the declining birth rate, you have to recognise that it is the women who are out there making conscious decisions about how many children they want to have. So we have to also recognise that as a country we need to talk about where we are going and what we are doing. I am not saying that people should not make any difference, but I do think that you have to recognise that as a s ociety people are making choices, and the choices that they are making have to be whatever the number of popul ation that we have, as long as we have women here then we have to make sure that they have the opportunity and they are encouraged and we have to make sure that we can do things to enhance their opportunity and reduce their risk of not being able to contin ue in employment.
Bermuda House of Assembly That being the few things that I wanted to say, Mr. Speaker, I look forward to us having that joint s elect committee.
The SpeakerThe SpeakerThank you, Minister. The Chair will now recognise the Learned Member from constituency 36. MP Michael Sc ott. You have the floor. Hon. Michael J. Scott: Thank you, Mr. Speaker. Mr. Speaker, I am very grateful to my co lleague the Honourable and Learned Member from [constituency] 34, Ms. Wilson, …
Thank you, Minister. The Chair will now recognise the Learned Member from constituency 36. MP Michael Sc ott. You have the floor.
Hon. Michael J. Scott: Thank you, Mr. Speaker. Mr. Speaker, I am very grateful to my co lleague the Honourable and Learned Member from [constituency] 34, Ms. Wilson, for this motion. As I analysed her motion as amended by the Honourable Member Ms. Nandi [Outerbridge] I wish to say this. It is timely that we should be shining the spotlight, Mr. Speaker, on this issue. The first thing that arises in the motion is that unemployment levels in Bermuda now have risen to very high and described as unprecedented in my colleague’s motion. It is just described as unemployment in the amended one. However you cut it, what has happened in Bermuda is that unemployment has gone up not amongst only women but just generally. But you are seeing this also in America. Our problems in Bermuda with unemployment have been linked to the downturn that occurred in America. The challenge that we are being asked to a ddress is how unemployment in Bermuda will impact women in a more punishing way than men jus t because of discriminatory practises. It will also hurt women who are at an age of 50 and above. It is also affecting men at ages 50 and above in this country and in America. Solutions have to be ones that set aside and address these discriminatory practi ses. Mr. Speaker, in Bermuda (because this is where we want to have solutions) the trends in Ber-muda were that women were okay in employment. And may I say this: The issue, because of discrimination, young women seem to have an insulation against this iss ue of unemployment because, again, of sexism in the workplace where men who are the leaders of these employment cathedrals are making decisions that are discriminatory against older women. But we are now finding that because the economy is so bad even youn g men and women, certainly young women, are being impacted with the challenge of finding jobs. The Millennials are saying to themselves that they want the Baby Boomers (my age group) to get out of the way so that they can take jobs. We are at a serious cr ossroads in the country. We are at a very serious crossroads when we have unemployment lev-els at a couple of thousand and in some cases it has been described as being up to 3,000. In that cohort, there are many women at the age of 50 who had great administ rative jobs in our local sector, great admini strative jobs in the international business sector. But because of the impact of the downturn in the international sector in America that is linked to the American economic realities, this has caused women in good jobs in the international sector here to have been impacted. Now these women have fallen out of employment and not only have they been single women, they have been women who have been hol ding down the fort in their marriage relationships and in their homes where a husband has already lost a job — often a husband who worked in the construction i ndustry which began to flatten out before women were being impacted who worked in the international sector. So we are at a difficult point. Mr. Speaker, the point that I wish to make and to have the Members of the Government benches acknowledge that we are at a concerning level of unemployment in this country. In contributing to this di scussion I can say that a joint select committee must have, and I can predict wil l have, as one of its primary outcomes in terms of solutions, the task of creating jobs. Jobs need to be created whether it is in the hospitality sector or in the green energy sector; this PLP Opposition have made a number of suggestions as to where the job creation opportunities are. To have the Government acknowledge today in their amendment to this motion that we have a co ncern with unemployment . . . one thing that they will also have to address is how immigration policies in this country must not mili tate against or further exacerbate this whole question of re- employing women in this country —women and men. But what we are looking at and what we are understanding is coming down the pike are policies that will absolutely militate against re- introducing employment in Bermuda. I contemplate that a joint select committee will have to look at immigration policy as well and it should not be policy that works against the aims and objectives of re- engaging able, skilled women who happen to be over the age of 50 and getting into higher ages. The difficulty is that women are now being impacted with unemployment on two fronts. They are having two strikes against them. Sexism discrimination is one in the workplace and the other is their age. This I would think a joint select committee will have to look at and find ways to eradicate. Bermuda is a kinder, gentler environment to all of our potential employees but we have a twin-pillared economy here and the international business sector import these cold and harsher practises. What we have to also guard against in this joint select committee should, I contemplate, look at this is not importing wholesale these awful trends from the Uni ted States where sexism is a value that is celebrated in these cathedrals of employment across America and here, or that women up in age lack technical skills therefore they cannot employ them. All of these bogus reasons that are raised for not employing an older female in a business. These are some of the harsh bottom line decision- making practises that are taking place in American and Wes tern Europe businesses and we must guard against 1422 9 March 2016 Official Hansard Report B ermuda House of Assembly them infecting like some awful cancer, the kinder gentler local sector here in Bermuda. We have to strike the right balance and not allow ourselves to be infec ted by these ideas. The second part of the motion is that a major ity of single -parent households are headed by women, and that is a truism. There is a relevant concern related to employment opportunities afforded to women. I think that is what I have been examining in my early remarks. This motion is timely, and I commend the Honourable Member from constituency 34 and her colleague Ms. [Outerbridge] for the amendment that we seek to address this problem in our country. Ms. Matthie, who is staging a pr otest, is yet another example of a woman, a middle- aged woman, who is out of work and is being impacted by these issues. These are the challenges we face, and the Government that seeks and does agree that we have an unemployment situation are duty -bound to be responsible and responsive to finding solutions and in not pursuing policies in this country, in this small I sland, which are going to exacerbate the problem. I hope that they are listening. Mr. Speaker, I was going to be brief, but I am just standing to support my colleague. It is a timely motion to shine the spotlight on this problem. I hope that we will be realistic and focused on what the real problems are as we come up with solutions for job creation. That is the major response that a Gover nment has to take under consideration and advisement in reversing this challenge that we face in our midst. Thanks.
The SpeakerThe SpeakerThank you, Honourable Member. Any other Honourable Member care to speak? The Chair will recognise the Honourable Member from const ituency 18, MP David Burt.
Mr. E. David BurtGood evening, Mr. Speaker. Mr. Speaker, I would just like to say that on behalf of the Progressive Labour Party members of the House, we look forward to this committee noting that the Government has looked to make this a joint select committee and assuming that they have the votes …
Good evening, Mr. Speaker. Mr. Speaker, I would just like to say that on behalf of the Progressive Labour Party members of the House, we look forward to this committee noting that the Government has looked to make this a joint select committee and assuming that they have the votes to carry and pass this, it will happen. The one thing that I would just like to implore the Government in order for this thing to be successful is that the resources need to be provided and possibly that some additional resources could be provided to the House to ensure that there is adequate support for this committee to function in addition to the regular Parliamentary committees that we have so the com-mittee can actually produce a decent report in a timely fashion so that we can get back and have these matters debated. I would hope that the Government Ministers on the front bench would give that consideration so at least this committee could have the support which it requires in order to be successful as we do not want it to come back in three or four years later, as we know, just because of the fact that the resources are not there for our committee structure here in Parliament. Thank you, Mr. Speaker.
The SpeakerThe SpeakerThank you, H onourable Member. Any other Honourable Member care to speak? Then if you would like, MP Wilson, you can speak and close the debate before we vote on the amendment.
Ms. Kim N. WilsonProcedurally, Mr. Speaker, I may be erring, but on this side we do support the amendment and in the spirit of collaboration (which many people say is one of the traits that women seem to occupy more so than men) and in that spirit we on this side do support …
Procedurally, Mr. Speaker, I may be erring, but on this side we do support the amendment and in the spirit of collaboration (which many people say is one of the traits that women seem to occupy more so than men) and in that spirit we on this side do support the amendments as proposed by the Honourable MP from constituency 2. [ Amendment to Motion accepted]
The SpeakerThe SpeakerThank you, Honourable Member. So with that, Honourable Members, I will just put the [Motion as amended] to the floor. The Motion [as amended] is: WHEREAS there are concerns relating to unemployment; AND W HEREAS the majority of single parent households are headed by women; AND WHEREAS there are relevant …
Thank you, Honourable Member. So with that, Honourable Members, I will just put the [Motion as amended] to the floor. The Motion [as amended] is: WHEREAS there are concerns relating to unemployment; AND W HEREAS the majority of single parent households are headed by women; AND WHEREAS there are relevant concerns related to employment opportunities afforded to women; BE IT RESOLVED that pursuant to the Parliament Act 1957 Part IV, I move that a joint select committee be set up to examine any impact that un-employment is having on women and their families and to report their findings along with recommendations to the House as soon as is practical. A ll those in favour, say Aye. Those against, say Nay. AYES.
The SpeakerThe SpeakerThe amendment is carried. [Motion as amended for a joint select committee to exami ne any impact unemployment is having on women and their families passed.]
The SpeakerThe SpeakerThank you, Honourable Members. We have agreed to the amended motion. We now . . . MP Burt, you are carrying over? MP Commissiong is carrying over. MP Brown, from constituency 17. MOTION PARLIAMENTARY JOINT SELECT COMMITTEE BE APPOI NTED TO ENQUIRE INTO THE NATURE Bermuda House of Assembly AND …
Mr. Walton BrownThank you, Mr. Speaker. Mr Speaker, under the provision of Standing Order 25, I move to withdraw the motion which stands in my name.
The SpeakerThe SpeakerThank you Honourable Member. Order No. 33 is carried over. Order No. 34 is carried over. Now I will recognise the Minister of Finance. SUSPENSION OF STANDING ORDER 21 Hon. E. T. (Bob) Richards: Mr. Speaker, I move that Standing Order 21 be suspended to enable me to move that …
Thank you Honourable Member. Order No. 33 is carried over. Order No. 34 is carried over. Now I will recognise the Minister of Finance.
SUSPENSION OF STANDING ORDER 21
Hon. E. T. (Bob) Richards: Mr. Speaker, I move that Standing Order 21 be suspended to enable me to move that the Bill entitled Payroll Tax Amendment Act 2016 be now read a third time by its title only.
The SpeakerThe SpeakerAny objections? Carry on, Minister. [Motion carried: Standing Order 21 suspended.] BILL THIRD READING PAYROLL TAX AMENDMENT ACT 2016 Hon. E. T. (Bob) Richards: Mr. Speaker, I move that the Bill do now pass.
The SpeakerThe SpeakerThank you. Are there any objections to that? The Bill is now passed. [Motion carried: The Payroll Tax Amendment Act 2016 was read a third time and passed.]
The SpeakerThe SpeakerThe Chair will recognise the Minister for Economic Development in place of [the Minister for] Tourism and Transport. SUSPENSION OF STANDING ORDER 21 Dr. the Hon. E. Grant Gibbons: Thank you, Mr. Speaker. I mov e that Standing Order 21 be suspended to enable me to move that the Bill …
The Chair will recognise the Minister for Economic Development in place of [the Minister for] Tourism and Transport.
SUSPENSION OF STANDING ORDER 21
Dr. the Hon. E. Grant Gibbons: Thank you, Mr. Speaker. I mov e that Standing Order 21 be suspended to enable me to move that the Bill entitled Bermuda Tourism [Authority] Amendment Act 2016 be now read the third time by its title only
The SpeakerThe SpeakerAny objections to that? Minister, carry on please. [Motion carri ed: Standing Order 21 suspended.] BILL THIRD READING BERMUDA TOURISM AUTHORITY AMENDMENT ACT 2016 Hon. E. T. (Bob) Richards: The Bermuda Tourism [Authority] Amendment Act 2016 —I move that the Bill do now pass.
The SpeakerThe SpeakerAny objections to that? [Motion carried: The Bermuda Tourism Authority Amendment Act 2016 was read a third time and passed.]
The SpeakerThe SpeakerThat is it. Honourable Premier? Oh, you have one? Sorry. SUSPENSION OF STANDING ORDER 21 Hon. Michael H. Dunkley: Thank you, Mr. Speak er. I move that Standing Order 21 be suspended to enable me to move that the Bill entitled Commi ssions of Inquiry Amendment Act 2016 be now …
The SpeakerThe SpeakerAny objections to that? Honourable Premier — [Motion carried: Standing Order 21 suspended.] BILL THIRD READING COMMISSIONS OF INQUIRY AMENDMENT ACT 2016 Hon. Michael H. Dunkley: The Commissions of I nquiry Amendment Act 2016—I move that the Bill do now pass.
The SpeakerThe SpeakerAny objections to that? The Bill is pass ed. [Motion carried: The Commissions of Inquiry Amen dment Act 2016 was read a third time and passed.]
The SpeakerThe SpeakerPremier? ADJOURNMENT Hon. Michael H. Dunkley: Thank you, Mr. Speaker. I move that we adjourn to this Friday. 1424 9 March 2016 Official Hansard Report Bermuda House of Assembly Mr. Speaker: The Chair w ill recognise the Honourable Member David Burt.
An Hon. Member An Hon. MemberMorning! TIMING OF BUDGET BRIEFS
Mr. E. David BurtGood morning, sorry, good mor ning, absolutely. Mr. Speaker, I am not going to take to my feet for very long but I think it is important. I did not want to speak at the very late hour on Monday morning —or, sorry, I should say Tuesday morning —on this, …
Good morning, sorry, good mor ning, absolutely. Mr. Speaker, I am not going to take to my feet for very long but I think it is important. I did not want to speak at the very late hour on Monday morning —or, sorry, I should say Tuesday morning —on this, but I think that what we have seen transpire over the Budget Debate, and as the Shadow Minister of Finance and the person responsible for setting the Heads of the Budget Debate, I think that it is unfort unate that we have not had a fulsome debate on the budget issues. I would just hope that your kind offices could possibly direct the final permanent secretaries who may be preparing their budget briefs to keep in mind the timing for the briefs and possibly follow the Cabinet Secretary’s example and the Premier’s wonderful budget brief today on the non- ministry departments where he goes over the heads and the specific amounts and not necessarily a Minister reading an annual report of the department for all the training programmes that people have gone on and individual things which leaves very little time for the actual examination of the funds which are being spent. That is the only thing that I want to mention, Mr. Speaker, because it is a great disparity. We saw that some persons have spoken the entire time and other Ministers have had very well -prepared briefs which have allowed a thorough examinat ion of the heads. I will hope that your offices can kindly relay that. I would hope that the Premier and/or the Minister of Finance could relay that throughout the permanent secretaries and make sure that there is enough time that is given for the full ex amination of the debate. Thank you, Mr. Speaker.
The SpeakerThe SpeakerThank you, Member. I would think that Honourable Members have heard that, and Honourable Members will behave in order to ensure that we have an appropriate debate on the budget. Thank you v ery much. Honourable Members, the House is adjourned to Friday, which is tomorrow —the 11 th. Again …
An Hon. Member An Hon. MemberTomorrow?
The SpeakerThe SpeakerYes, it is tomorrow. Tomorrow, yes. [Gavel] [At 1:31 am [Thursday, 10 March 2016], the House stood adj ourned until 10:00 am, Friday, 11 March 2016.]