Belize - Belize News - Channel5Belize.com - Great Belize Productions - Belize Breaking News
Home » Featured, Miscellaneous, People & Places » Fin Sec Says No Gov’t Guarantee for Civic
Apr 5, 2018

Fin Sec Says No Gov’t Guarantee for Civic

The Government’s chief financial officer has confirmed that there is no such thing. So what did General Manager of Belize Infrastructure Limited, Christy Mastry, intend to convey when she said on March nineteenth that the Government is guaranteeing eight hundred and fifty thousand dollars a year to cover the maintenance costs of the Belize Civic Center? According to the People’s United Party, Financial Secretary Joseph Waight has confirmed that, “with regard to the purported G.O.B. Guarantee to Apex Belize Limited, after due inquiry, I am assured that there is no guarantee agreement between the G.O.B. and Apex Belize Ltd.” Waight also said that he does not yet have an executed copy of the agreement signed on March nineteenth during the public announcement by Deputy Prime Minister, Patrick Faber; GM Mastry; and the Principal of APEX International, Chad Eckert. The P.U.P. reiterates that B.I.L. is not a revenue earner for the Government and is not in any position to affirm government guarantees. Further, the National Assembly has not given approval to any such guarantee and neither has any such guarantee been published in the Gazette. So if such a guarantee exists, says the P.U.P., it would violate the Finance and Audit Reform Act. The Act is also being violated in respect of B.I.L.’s expenditure budgeted from the consolidated revenue. For the new fiscal year, the company gets three million dollars but there are no details on what it is spending on. As for Eckert, he has denied wrongdoing, though he faces a civil suit in respect of another business conducted locally. For context, here’s what Mastry said in its entirety on March twenty-sixth.

 

Christy Mastry

Christy Mastry, General Manager, Belize Infrastructure Limited [File: March 26th, 2018]

“There is a minimum guarantee based on their gross revenue that the company has to earn. That is basically what we would have said that if the government was running this facility itself for the year, it’s what it would cost to run this facility. The beauty of a contract such as this is once they have made past that gross revenue we no longer have to put a dollar into it – that gross revenue has now made the government revenue neutral on the facility every year for three years. That is the mark of success; if they are making that, banking that, filling that pot to that number, the project is successful as long as they are maintaining the facility. Over and above that there becomes a profit sharing mechanism, a ladder style mechanism, where it’s twenty-five-seventy-five and then it goes to fifty-fifty so the government always comes out with extra above. So not only are we revenue neutral we have the capacity to earn money while they maintain the facility. Should in those three years they not be able to achieve this then we believe the contract would be, and we do not believe it will ever be, would be in failure and then we would have to decide after those three years – at two and a half years into it we would start renegotiations and if they are where we see the project would be failing we would then go out for another management entity after those three years. Should we believe that they are in success and in the mode of success they have the first right to renegotiate.”

 

The Opposition continues its demands for a copy of the management contract on the public/private partnership between Government and APEX. The P.U.P. is also asking for a copy of the due diligence report of IMG Rebel, contracted by the Government, and asks for the support of the Belize Chamber of Commerce and the trade unions.

Be Sociable, Share!


Viewers please note: This Internet newscast is a verbatim transcript of our evening television newscast. Where speakers use Kriol, we attempt to faithfully reproduce the quotes using a standard spelling system.

Advertise Here

Leave a Reply

CAPTCHA Image
*