BRENT SYMONETTE’S COMMENTS
SUPPLEMENTARY APPROPRIATION (2006/2007)
RECURRENT ACCOUNT EXPENSES (No. 5) Act 2007
Mr. Speaker,
I rise to offer a few comments in respect of the
Supplementary Appropriation No. 5 Bill which contains an amount for
the Ministry of Foreign Affairs in the sum of $484,314.00.
Mr. Speaker,
The sum of $484,314.00 is subdivided into 6
different Contingency Warrants:
Honoraria - $ 1500,00
Establishment of Beijing Office - $ 320,102.00
Fees and Other Charges - 7,000.00
Official Entertainment - 34,472.00
Transportation of persons Outside - 37,000.00
The Bahamas
6. Temporary Weekly Personnel - 84,240.00
Mr. Speaker,
By Cabinet Paper dated March 16, 2007, the then
Minister of Foreign Affairs advised his Cabinet colleagues that he
proposed to host a Diplomatic Reception on Monday, March 26, 2007 as
a first in a series of events to commemorate the Bicentennial of the
Abolition of the Transatlantic Slave Trade.
It was proposed to invite 600 people at a
budgeted cost of $40,972.45.
The Cabinet Paper noted that the Ministry of
Foreign Affairs did not have sufficient funds in its Budget and
requested the Ministry of Finance to provide funding.
In other words, the event was not planned before
the Budget preparation.
It should be noted that the then Minister of
Finance was the Member for Farm Road who also had responsibility for
Culture. The Minister of Culture was expected to make an address.
The cost of the Reception was broken down as
follows:
Honorarium/Overtime - $ 1,500.00
Cultural Show - $ 7,000.00
Official Entertainment - $34,472.00
Mr. Speaker,
As relates to the sum of $37,000.00,
Transportation of Persons outside The Bahamas, the records show that
this was for financial support for a cultural dance troupe to China.
After a performance by the Shandong Aerobatic
Troupe, the Chinese Deputy Director of Culture invited the Creative
Cultural Agency headed by Mrs. Ann Higgins to participate in a
Festival in Beijing in late April 2007.
The Agency had participated in the Festival for
the past four (4) years and had been assisted in the past by The
Ministry of Culture.
On March 23, 2007, Mrs. Ann Higgins wrote to the
Government to seek assistance to cover airline expenses for twenty
–two (22) persons in the sum of $37,400.00.
The Cabinet Paper noted that the funds were
provided last year but nonetheless sought a Contingency Warrant in
the sum of $37,000.00 to cover the 2007 trip.
Mr. Speaker,
The last item under the current Bill is for a
Contingency Warrant in the sum of $230,102.00 to cover the continued
operation and outfitting of the Beijing Embassy.
As early as February 2004, Cabinet noted the then Minister’s
proposal to open an Embassy in Beijing to:
manage The Bahamas’ relations with China make direct
contact with major investors in China provide consular
services and invited the then Minister to undertake an
investigation with a view to ascertaining the financial and
other obligations involved.
In September 2005, the then Minister advised that the Ministry
intended to begin preparatory work to open the Embassy in
Beijing and to charge Mr. Philip Miller with the responsibility for
so doing.
Mr. Phillip Miller subsequently traveled to
Beijing.
Mr. Speaker,
It was apparent by early November 2005 from the
estimates provided by Mr. Miller that the total operating costs for
the first year excluding resettlement grants would amount to
$773,667.30.
In December 2005 the then Minister sought Cabinet
approval for
(a) Deposits on the Chancery, the
Ambassadors Residence and four staff apartments in the sum
of $31,539.00
Furnishings/start up costs/purchase of
two vehicles in the sum of
$112,072
143,611
( c) Operating funds for the second half of the 2005/2006
Budget Year in the sum of $324,112
Cabinet subsequently acceded to the then
Minister’s request and the Beijing Embassy opened in early 2006.
Mr. Speaker,
In early January 2006, Cabinet noted that the
then Prime Minister had appointed Mr. Philip Miller as Charge’
d’Affaires, noted that the Consular and Diplomatic Staff would be
identified, noted that space would be reserved for the Ministry of
Tourism and authorized the then Minister to expend the funding to
establish the Embassy.
According to the records at the Ministry of
Foreign Affairs, the sum of $321,612 was transferred to the Beijing
Embassy for the fiscal period 2005/2006 for the establishment of the
Embassy.
Approximately $100.000.00 of this amount was
spent on capital works for the residence and the Embassy, $67,000
for rent for the second quarter, and the remainder approximately
$153,000 for hotel accommodations, transportation and other
operational expenses.
Mr. Speaker,
The Budget estimates for the fiscal year
2006/2007 allocated the sum of $300,000 for the operation of the
Embassy notwithstanding the fact that earlier estimates pegged these
expenses at $648,224.
By mid year, it soon became apparent that the
$300,000 allocation for the fiscal year was running out.
Hence in January 2007, the then Minister applied
to Cabinet for a Contingency Warrant to cover the project shortfall
of $320,102.
Mr. Speaker,
The basis for the $320,102 was an annex to the
Cabinet Paper which disclosed projected expenditure at $351,592 less
the funds remaining in the bank of $31,850.00.
And I repeat these were estimated expenditures
for the six month period, January to June 2007 of $351,952 against a
total year’s budget of $300,000.
The major items of the estimated expenditure were
as follows:
Rental Embassy and Residence - $136,819.00
Purchase of Cars - 81,013.00
Car Rental - 34,172.00
Salary - 30,962.00
Office Equipment - 10,096.00
Furniture & Equipment - 90,26.00
and so forth.
Mr. Speaker,
I am advised that the residence which is a town
house is leased for a three year period 2006-09.
The residence covers some four floors , I am
advised, and has at least four bedrooms, two sitting rooms and other
amities. Please bear in mind that we only have a single officer
posted to Beijing.
The Chancery is also leased for three years 2006
– 2009 and consists of a reception area, the Ambassador’s suite, a
large secretarial/registry and some ten or so single offices.
There is also under rent, I am advised an
additional apartment which has three bedrooms.
Mr. Speaker,
In the Beijing Office, there are five locally
hired staff who were hired between March and May 2007 and Mr. Philip
Miller.
I referred earlier to the salaries being
projected $30,962 for the six month period.
Please bear in mind that Mr. Miller’s salary is
paid from Nassau and is in addition to the sum of $30,962.
Mr. Speaker,
It is fair to say that several Senior Officers in
the Ministry of Foreign Affairs expressed their concerns about the
manner in which the Beijing office was opened.
An attempt to regularize the process so that a
strategic plan could be developed led to an "acrimonious exchange
"between Senior Management and the then Minister.
Mr. Speaker,
The Government recently sent a Senior Official to
Beijing who conducted a Mission Audit between October 30th
and November 2nd, 2007.
It is my intention to fully review the operation
of the Beijing Office and undertake the necessary charges, in light
of the aforesaid Mission Audit.
I am advised that for the fiscal year to date
$75,000 has been forwarded to the Beijing office.
Mr. Speaker,
I should advise you that visas for Chinese
Nationals wishing to visit The Bahamas are still being processed by
the British Embassy in China and not The Bahamian Embassy.
With the introduction of Machine Readable
Passports later this year, the Ministry of Foreign Affairs is set to
introduce a new visa system and visas will be issued by The Bahamas
Embassy in Beijing.
The current affairs that exist in the Beijing
Embassy is totally unacceptable and will be regularized in due
course.
Mr. Speaker,
With those few words, I support the Bill before
this Honourable House.
Thank you.