The Tribune

By ANNELIA NIXON

Tribune Business Reporter

anixon@tribunemedia.net

JEFF Jacobs ended a community meeting on Thursday announcing “if there is no casino, there’s no Jeff” but pledged $100,000 toward a fire station to Governors Harbour residents regardless of whether the development happens.

The proposed development, which Mr Jacobs said is intended to create new tourism experiences, attract airlift and drive investment in infrastructure, has drawn strong criticism from residents concerned about its potential impact on Eleuthera’s culture, environment and way of life.

At the community meeting, one resident challenged Mr Jacobs to remove the casino from the proposal.

“I appreciate you pulling the idea of the government giving you land,” the attendee said. “I appreciate you pulling that project. Now, I don't see why we need a casino in this project. If you want to develop 300 homes over a course of 20 years, I think that's scalable, and I think that would be a positive in a lot of ways. I don't see where a casino fits into this in any way. You pulled the Navy Beach nonsense. Will you commit tonight to pulling the casino?”

Mr Jacobs rejected that option.

“The casino funds my activities here,” he said. “So, here’s how you can deal with that. If there is no casino, there’s no Jeff.”

His comment left residents seeking clarity.

However, resident Horatio Smith, following the meeting, said: “If no casino, no Jacobs, I would say no casino.”

Tanya Crone added: “Jeff Jacobs sorely misread the sentiment of the community and outpouring of opposition to his proposed casino development,” she said, adding that she believed his proposal to use Crown land for solar farms was essentially a “sweetener” intended to build support for the gaming component.

One attendee challenged Mr Jacobs’ references to tax benefits, noting that local entities do not directly collect taxes in The Bahamas and that staffing shortages on Eleuthera could force the development to import workers.

Mr Jacobs responded by proposing that a portion of gaming taxes generated on the island remain in Eleuthera. He noted that the current gaming tax is 20 percent of winnings from wagers and proposed that half of that amount, effectively 10 percent, remain on Eleuthera.

“I’m saying to the government, I think half of it should stay right here,” he said. “So that’s 10 percent of all gaming, or extra 50 percent of all gaming taxes stays here in Eleuthera and that’s my commitment to you.”

However, the attendee argued that such a proposal would require a major change in national policy and questioned what Mr Jacobs himself was prepared to contribute to the community. Mr Jacobs pointed to a proposed contribution toward building a local fire station.

“Whether I do my project or not, I’m committing tonight to the room that I will come up with $100,000 to get that fire station going,” he said.

The offer was met with further criticism, with the attendee describing the $100,000 contribution as insignificant relative to the scale and potential value of the proposed development.

Sarah Gardner raised concerns about Mr Jacobs’ track record, the proposed $100,000 fire station contribution and whether environmental assessments would adequately account for Eleuthera’s fragile ecosystem.

“I also question whether an offer to donate $100,000 for the fire station or provide beach access reflects genuine community interest [or] really services his own financial and reputational interests,” she said.

Pastor Orlando Thompson warned against the gaming component strongly and urged Mr Jacobs to rethink the proposal. Another resident argued that some tourists come to Eleuthera specifically because of its slower pace.

Diane Phillips challenged Mr Jacobs to consider whether the proposed development was compatible with what makes Eleuthera attractive.

“If you like it so much, why are you trying to change it so much?” she asked.

Despite the opposition, Mr Jacobs maintains that gaming is a critical component of his plan. He described gaming as a tourism-oriented amenity, arguing that visitors spending several days on the island could choose to participate and that gaming taxes could create a new revenue stream.

Mr Jacobs also sought to reassure residents about his financial capacity to undertake the project, saying his company has substantial cash reserves and generates significant operating cash flow.

“This year I think we end the year with about $100m in cash,” Mr Jacobs said. “We do about $100m in operating cash flow every year, and so we have the engines to do what we’re talking about here in front of you.”

One attendee questioned whether Mr Jacobs fully understood the ecological sensitivity of Eleuthera, pointing to his development background in places including Cleveland, Colorado, Miami and Reno and challenging whether approaches used elsewhere could be appropriately applied to the Bahamian environment.

A panelist explained that developments of this nature are subject to infrastructure bonding requirements covering roads, drainage, water and sewer systems. The bonds, the panelist said, are monitored by the government to ensure the developer progresses in accordance with approved plans. The panelist also said developers cannot simply sell lots without completing the required infrastructure.