The Tribune

By KHRISNA RUSSELL

Deputy Chief Reporter

krussell@tribunemedia.net

FINANCE Minister K Peter Turnquest yesterday told critics that the government’s decision to temporarily own the Grand Lucayan was an “investment” toward the overall health of the economy.

Critics, including Progressive Liberal Party Leader Philip “Brave” Davis, have said the Grand Bahama resort is a “black hole”, citing the exorbitant costs of the purchase and operational expenses. The government has also committed itself to the payment of voluntary separation packages for line and managerial staff.

The government spent $65m to buy the resort. It also costs more than $1m each month to run it.

And earlier this week, The Nassau Guardian reported the government was considering doubling the payout for line staff.

Line staff were originally to be paid $1.4 million, and $2.7 million was recommended for the managers.

Mr Turnquest said: “Well again we are within our budgeted expenditure for this project. Certainly the goal is to sell it to a third party as soon as possible and that’s what we are focused on.

“Again when we’re talking about people’s lives, when we’re talking about the economy of our second largest city, there is no such thing as a black hole,” Mr Turnquest said when he was asked pointedly if he considered the government’s purchase a “black hole”.

“Spending without a plan is a black hole and the leader of the opposition can speak to that.”

He continued: “But we have put forth a plan to the Bahamian people. We’ve put forth a plan to the employees of the Grand Lucayan and to the community of Grand Bahama, which is an important aspect of our overall economy. I don’t see that as a black hole it is an investment.

“And we are doing so with a clear goal and objective in mind, which we hope to be able to execute and finalise in short order.”

Asked if the sale was expected to meet the government’s self imposed deadline of the first quarter of this year the minister said: “Well again I would leave that up to Lucayan Renewal Holdings Board because I’m not fully engaged in the discussions and negotiations that are going on and the persons coming to view the project.

“I know that there’s continuous interest in the project and viewings of the property. To me it is still a very positive track that we’re on and hopefully we’ll achieve our objective in short order.”