NASSAU, BAHAMAS — The Grand Bahama Port Authority yesterday said that it will continue to lobby the government to partner with it to address several long standing issues, noting that a number of taxes and fees the government has imposed have either created an additional burden or are of no direct benefit to Freeport.
In a formal response to concerns of the Grand Bahama business community and residents, the GBPA pointed to the issue of government relations, adding it has been unable to address key issues without legislative backing.
“The Grand Bahama Port Authority is committed to working with all key stakeholders to promote and stimulate investment and to improve the quality of life for the residents of Grand Bahama,” read a statement.
“We understand that is only through collaboration and healthy relationships with the Government and the community that we can achieve progression and economic prosperity for our island. However, there have been stumbling blocks which have impeded and frustrated efforts to that revitalize the city. We will continue to lobby the Government to partner with us to resolve some of these long standing issues and work with the GBPA in the best interest of the people of Grand Bahama.”
The GBPA noted the need for amendment to regulations and bylaws under the HawksBill Creek Agreement is among the challenges impeding its efforts to revitalize Freeport.
The statement continued: “In 2007, GBPA submitted the framework and subsequently requested that the bylaws be amended so that we can move forward with demolishing more derelict buildings in the City of Freeport. To date, our application has yet to be approved. Unfortunately, without the legislative backing to truly address these issues, our current enforcement efforts are limited.
“In 2019, the passing of the Environmental Protection and Planning Act – Section 68, appropriated the regulatory authority of the GBPA over environmental matters in the Port Area. Consequently, there is now an additional layer of environmental project review, approvals, and oversight, which creates ambiguity and uncertainty for potential investors.”
Pointing to the government’s environmental levy introduced in the 2013/2014 budget, the GBPA noted that environmental levy fees are charged on the importation of a number of goods and were meant to be directed to fund the proper disposal of those items, such as tires.
“However, in Freeport, that disposal cost is now borne twice, as residents have to pay the levy fees as well as the actual cost of disposal.”
It read: “Generally, vehicle excise taxes or fees are used to maintain roads, streets, highways, bridges, and other infrastructure within the local area; however, Freeport does not receive any of the fees collected within the Port Area based on the thousands of vehicles that traverse the streets daily. On the other hand, all fees paid to the GBPA are spent on maintaining the city of Freeport which is two and half times the size of New Providence.
“There has never been any dividend distribution from the GBPA. In fact, frequent capital injections into the GBPA are required. The hurricanes have seen its revenue decrease and its expenditure increase, putting it further into an annual loss-making position.”
