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BUDGET RESPONSE 2015/2016

A ‘CAN-DO’ COMMITMENT

TO ECONOMIC REVIVAL

July 27th, 2015

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Madame Speaker, colleague Parliamentarians, fellow citizens of Dominica, on

behalf of the leadership and members of the United Workers Party TEAM

Dominica – the Parliamentary Opposition of Dominica - I rise in response to

the 2015 Budget Statement of the Dominica Labour Party Government

delivered by the Minister of Finance Hon. Roosevelt Skerrit on July 24th,

2015.

In their individual responses, the other nine members of our Parliamentary

team who serve in our 10 member alternative Cabinet, will address matters

specific to their portfolios as follows:

Name Designation 1 Hon. Lennox Linton (MP)

Finance, Foreign Affairs, Diaspora Affairs, Public Service, Social Security & National Security

2 Hon. Joseph Isaac (MP) Tourism, Aviation, Ports, Urban Revitalization & Cultural Industries

3 Hon. Joshua Francis (MP) Legal Affairs, Immigration, Labour & Kalinago Affairs

4 Hon. Danny Lugay (MP) Health, Wellness & Sports 5 Hon. Ezekiel Bazil (MP)

Agriculture, Lands, Forestry & Marine Resources

6 Hon. Hector John (MP) Education, Human Resource Development, Information & ICT

7 Sen. Dr. Thomson Fontaine

Economic Planning & Development, Employment, Trade, Enterprise Development

8 Sen. Isaac Baptiste

Housing, Physical Planning, Energy & The Environment

9 Sen. Monell Williams

Community Development, Social Transformation & Youth Empowerment

10 Sen. Felix Thomas

Communications & Works, Public Utilities, Water & Mineral Resources

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What a difference a year makes? Last year during the budget debate, my

brother Dr Irving Pascal and I were savaged in this honorable house by the

Prime Minister because he did not like our righteous stance and our just,

truthful representations for God and country. In this year’s budget session,

Dr Pascal is commended by the Speaker for supplying the flowers that

beautify this august chamber and I have the privilege to stand for the people

of Dominica in response to the 2015 budget statement of the Prime Minister.

Keeping it real, the parliamentary opposition responds in sacredness of

national duty to the cluelessness of an oversized, CANNOT DO administration

proud of consistently achieving the worst economic management

performance results in the Eastern Caribbean Currency Union for fifteen

straight years

In contrast, our mission is to develop and grow a model green economy that

rewards enterprise, puts our people to work for decent wages, gives a fair

chance to all and secures our place in the global trade of goods and services.

This mission emerges from the global positioning strategy prescription of our

national anthem:

Isle of beauty, isle of splendour,

Isle to all so sweet and fair,

All must surely gaze in wonder

At thy gifts so rich and rare

Rivers, valleys, hills and mountains,

All these gifts we do extol

Healthy land, so like all fountains,

Giving cheer that warms the soul

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Dominica, God hath blest thee

With a clime benign and bright,

Pastures green and flowers of beauty

Filling all with pure delight,

And a people strong and healthy,

Full of godly reverent fear

May we ever seek to praise Thee

For these gifts so rich and rare.

The leveraging of these gifts so rich and rare for global economic success

should be a governance labour of love especially for a labour party that

came into government 16 years ago pledging that all shall eat. Instead, the

nation has been burdened with the CANNOT DO expertise of a ruling party

tightly focused on inflicting public pain for personal gain.

Things are bad and getting worse… but in this cruel tale of two countries the

boasts of how well government is doing makes it crystal clear that the

country the government talks about is quite different from the one in which

the people struggle and catch hell. As the struggle continues, as the hell

fires of socio economic deterioration burn, people are losing hope,

intimidated by their government into the belief that this is the best we can

do… we cannot do anything to rise from this mess of governance failures

In response to the 2015/2016 budget proposals, we keep it very real.

Dominica can do much better. Indeed, Dominica can become the best.

The Prime Minister wants this “to be the start of a period in our development

where the interest of the country is paramount, where there can be bi-

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partisan support for measures deemed to be in the best interest of

Dominica”.

That era Mr. Prime Minister began with a United Workers Party TEAM

Dominica commitment to stand not for a red, blue or green Dominica but for

the greatest good of the Commonwealth of Dominica. In fact in keeping it

very real, we have welcomed government’s initiatives to address specific

national issues as much as we have urged government to make use of our

ideas and suggestions especially those dealing with economic growth and job

creation.

The spirit of bi-partisanship is already bearing fruit. After severely criticizing

as an unrealistic pie in the sky, the United Workers Party TEAM Dominica

plan to grow the economy by 5 – 7 percent per year and thereby create

5000 new jobs in three years, the Prime Minister is now enjoying a change

of heart and mind.

He tells us in this year’s budget presentation Government’s economic growth

target is 5 – 7 percent and he has already counted over 1,000 jobs that

could be created in this budget year alone. After years of dissing agriculture

in favour of tourism and services; and after thumbing his nose at the UWP

TEAM Dominica commitment to revive agriculture as a key engine of growth

he now tells us that his government’s plan is to “maintain agriculture as a

leading contributor to economic growth”. He has embraced the tax reduction

approach to increasing the competitiveness of Dominica’s tourism product.

He is increasing the budget for destination marketing. And he has accepted

the recommendation to introduce time share legislation

All of these proposals were put forward in our 2014 budget statement at the

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Arawak House of Culture last year. It was savaged as a side show. It was

put down as foolishness… a waste of time. One year later that same 2014

budget statement at the Arawak is the source of useful growth measures for

the government. In the cause of national development, we welcome the

adoption of these measures by a ruling party whose agents and hired guns

continue to fire away at us as Dominicans with nothing to offer. For the

avoidance of doubt our hands are “on deck and to the plough”. We have

reported for duty.

We nonetheless lament the enduring obsession with the same old failed

policies of exclusion, secrecy and petty political partisanship that have made

a complete mockery of the parliamentary oversight responsibility for

preparation of the national budget and the management of public finances.

The Prime Minister says and we believe “Development… is about

participation, mutual respect, love of country and hard work. It is not about

participation of some. It is about the involvement of all”.

I take it Sir that especially in this honourable house you only say what you

mean and mean what you say… So I will only ask, where then is the

provision for the involvement of the parliamentary opposition at stages in

the budget preparation cycle where it can meaningfully contribute to the

annual revenue and expenditure planning exercise?

Once again this year we have a budget that lacks credibility because it is not

the product of an effectively anchored, bi-partisan parliamentary mechanism

to decide on and fund the growth and development priorities of Dominica.

Once again, parliament is being asked to adopt the rubber stamp mode

dictated by the executive, for the consideration and approval of a budget

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that is not designed to (and therefore cannot) serve as a tool to deliver the

fundamentals of the national agenda.

Typically, a national budget shows how government will prioritize and

achieve its annual and multi-annual objectives. It’s not just about financing

new and existing programmes… it is also about implementing fiscal policy,

and thereby impacting the economy as a whole. It is the budget that must

provide guidance for bringing plans and aspirations into reality.

The budget is supposed to be a contract between government and the

people, showing how resources are raised and allocated for the delivery of

public services. Accordingly, the budget must be clear, transparent and

credible in order to command trust, and to serve as platform for

accountability.

Dominica therefore needs a budget formulation process that:

Presents budget outlook and budget strategy papers for better public

understanding of the fiscal strategy driving the revenue and

expenditure allocations

Issues Medium Term Expenditure Framework guidelines

Uses Sector Working Groups and Ministerial Public Expenditure reviews

to bring together input from ministers, parliamentarians, public

officials, the private sector, civil society organizations and private

citizens

Engages a Finance Committee of Parliament, the Budget Office and

Sector Hearings to consider these contributions and transform them

into action-oriented proposals for the betterment of Dominica.

Engages an Estimates or Finance Committee of Parliament to review

and approve the Estimates of Revenue and Expenditure

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Promotes trust among citizens that government, is listening to and

acting on their concerns, has a plan for achieving worthwhile

objectives, and will use the available resources effectively, efficiently

and in a sustainable manner.

Once parliament approves the budget, allocations should be effectively

implemented by the ministries and agencies of government to secure the

intended development benefits. Revenue collection and spending as

authorized in the budget must be subjected to proper oversight throughout

the year by the Public Accounts Committee, the Audit Department, the

Budget Office and line ministries as appropriate.

We must break with the tradition of pigeon-holing the Public Accounts

Committee into a primary concern with audited reports on government

finances and empower it to embrace the discipline of oversight in real time.

Let’s keep it real. In any event reports from the Director of Audit are

backlogged three to four years, which condemns the PAC to oversight of

history while live revenue and expenditure performance goes unchecked.

We cannot continue the practice of silence on the implementation of budget

allocations after approval by Parliament. There must be periodic budget

performance reviews that allow parliament to note the trend of overall

collection and spending and prepares Cabinet to reassess budget alignment

with fiscal objectives and development priorities. This will mean budget

execution reports, including in-year and audited year-end reports designed

to yield useful improvement messages on performance and value-for-

money.

In democracies around the world, the parliamentary budget oversight focus

is on “Budgetary governance” - the processes, laws, structures and

institutions to ensure that the budgeting system effectively meets these

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requirements. Here in Dominica, after 15 years of same old, same old… it is

time for integrated budget formulation systems and monitoring procedures

that are coherent and consistent across all levels of governance in the public

interest

Background

1. Over the past 15 years the Dominican economy has suffered from a

chronic lack of economic policy leadership resulting in low and

declining growth, rising unemployment, and increasing poverty. In the

last 5 years, the Dominican economy grew at an average of less than

one percent per year, well below the 5 - 7 percent required to

generate sustained employment and to reduce the incidence of

poverty. Ironically the Dominica in which Labour Party ministers and

their friends are doing extremely well is the same Dominica in which

the people are catching hell.

2. Characteristically, in today’s Dominica we find: no jobs; low paying

jobs; working poor people; no more savings; the unpaid monthly bills

are piling up; land, houses, vehicles and appliances are being

repossessed; the days on hungry bellies continues to increase; no

money for school fees and school books and school clothes; in many

cases no options left but to sacrifice dignity as a beggar at the mercy

of a government minister.

3. The economy is in shambles and we are witnessing the consequent

social ills particularly among the youth where unemployment is the

most acute. This also translates to a growing segment of the

population requiring government assistance and the provision of a

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‘social safety net’. Government’s main revenue efforts continue to be

focused on the VAT, which was introduced in 2006 and in the last fiscal

year accounted for 35 percent of total revenues. This shows a modest

decline over the 2009 level, which is a further indication of an

economy in decline. At the same time, grant funds are falling well

short of the targets putting further pressure on government revenues.

4. The Minister of Finance has developed the habit of blaming Dominica’s

poor economic performance results in the last 5 years under his watch

on the “global financial crisis”. And he persists with his obsession in

the absence of evidence that the nature of Dominica’s connection to

global markets justifies any such assignment of blame. Of interest, the

IMF 2012 Article 4 Consultation Report tells a completely different

story:

“The structure of Dominica’s economy renders it less sensitive to

spillovers from the world business cycle. The small scale of the tourism

industry and the preponderance of stay-over visitors from Caribbean

countries make it less vulnerable to the business cycle fluctuations in

key tourism markets, as only a third of stay over visitors are from

United States, United Kingdom, or Canada – the smallest share in the

ECCU. Moreover, a large share of the stay over tourists from the U.S.

is accounted for by students at the offshore medical schools, whose

decisions to travel to Dominica are less likely to be influenced by

economic developments than pleasure tourism. In the agriculture

industry, output is mainly influenced by domestic factors such as

weather and crop conditions.

“Because of the nature of Dominica’s international linkages, local

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developments tend to influence economic performance relatively more

than regional or global ones. In particular, growth in Dominica shows

only little correlation with that of advanced economies, significantly

less than other ECCU countries that show a tight relationship during

most of the past two decades… Most of the growth in Dominica, is

explained by country-specific factors rather than direct impact of

global or regional developments… However, growth in the other ECCU

countries has a much closer relation to advanced economies...”

5. So on the critical issue of growing the economy, creating jobs and

expanding socio economic advancement opportunities for the people,

how has Dominica performed under this DLP administration in

comparison with its ECCU neighbors who unlike Dominica have been

really feeling the effects of the global financial crisis?

6. At the end of 2014, according to the Eastern Caribbean Central Bank, the GDP

for Dominica, the total value of goods and services in the Dominica economy was

EC$1.4 billion which makes Dominica the smallest economy in the big six

territories of the OECS. In fifth position ahead of Dominica is St Vincent and the

Grenadines with a GDP of EC$2.0 billion – six hundred million dollars more than

Dominica. St Kitts occupies position number 4 with a GDP of EC$2.3 billion.

Grenada with a GDP of EC$2.5 billion is in 3rd place behind Antigua in 2nd place

with a GDP of EC$3.4 billion. St Lucia tops the group with a GDP of EC$3.8

billion.

For the 15 year period 1999 to 2014, the average annual growth rate for the

Dominica economy was the slowest in the 6 nation grouping at 3.87 percent.

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COUNTRY 1999 2014 Growth$ Growth% AV

Antigua 2.1B 3.4B 1.3B 63% 4.19%

Dominica 0.9B 1.4B 0.5B 58% 3.87%

Grenada 1.3B 2.5B 1.2B 89% 5.94%

St Kitts 1.1B 2.3B 1.2B 119% 7.92%

St Lucia 2.1B 3.8B 1.7B 81% 5.40%

St Vincent 1.0B 2.0B 1.0B 95% 6.35%

7. In terms of tourism, touted as the leading growth engine, when we

come to the critical indicator of overall visitor spending in the six OECS

tourist destinations finds Dominica is at the bottom of the group again

with an average visitor spend of EC$170 million. In all of the other five

territories, the average visitor spend is in excess of EC$200 million.

You had Antigua and St Lucia >EC$780 million; Grenada > EC$334

million; St Kitts & Nevis > EC$250 million; and St Vincent &the

Grenadines > EC$211 million.

8. Since the Dominica Labour Party took office in 2000 the trade deficit,

the difference between exports and imports has doubled to over half a

billion EC dollars.

9. Annual Foreign Direct Investment inflows to the OECS for 2001 - 2014

as reported by the UN Economic Commission for Latin America and the

Caribbean (ECLAC) confirm the severe performance deficiencies of the

largest Cabinet of Ministers in the grouping:

OVERALL PER ANNUM

Antigua & Barbuda US$2.2 billion US$160 million

St Lucia US$1.7 billion US$122 million

St Kitts US$1.6 billion US$114 million

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St Vincent US$1.3 billion US$ 94 million

Grenada US$1.2 billion US$ 83 million

Dominica US$0.4 billion US$ 31 million

10. The ECLAC FDI statistics also reveal that since 2000, Dominica is

the only country in the big six of the ECCU grouping in which Foreign

Direct Investment was less than EC$100 million per year. Every other

country attracted in excess of EC$200 million per year on average over

the period.

11. Wages and salaries combined with debt interest payments have

over the past five years accounted for more than [50] ‘percent of

current spending. The capital expenditure program of the government

has been focused largely on improving public road works to the

exclusion of feeder roads. Consequently while Dominica has benefited

from an improved road network, the agriculture sector has suffered

because of a lack of focus on key infrastructure and the absence of

related marketing arrangements.

12. Growing government expenditures combined with stagnating

revenue have led to increasing fiscal deficits and a growing debt

burden, which if left unchecked can only result in further disruptions in

the economy, lower growth and galloping poverty.

13. So have been forced to grin and bear the worse economic

decline in our nation’s history, where the local private sector is

disappearing at an alarming rate, tax revenue continues to fall… even

VAT, for years the revenue saviour of government has joined the band

of underperforming taxes as the economy remains in the clutches of a

leadership paralysis in which it has become impossible to correct the

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failed strategy of treating the revenue/expenditure performance of

government as the economy of Dominica. In the circumstances, our

best and brightest minds continue flee from financial persecution in

their homeland only to have their talents harvested by our neighbours

where they find refuge.

BUDGET CREDIBILITY

14. Regrettably, the 2015/2016, Budget Statement of the Prime

Minister and Minister of Finance, confirms that the CANNOT DO DLP

Administration continues to fiddle with the nation’s business. What we

should be doing, is finding and implementing solutions to the problems

that continue to beat down the economy. Why would anyone believe

the tall stories about prudent management of public finances and

grand promises to grow the economy served up once again in this

year’s Budget statement?

15. For the fiscal year 2015/2016 government is forecasting overall

expenditure of $563.0 million and overall revenue of $551.4 million –

a deficit of $11.6 million. But For the previous fiscal year,

government’s overall revenue fell more than $120 million short of the

approved budget for a deficit in government’s overall fiscal operations

of $50.3 million, according to the Finance Minister

16. Last year, 2014/2015, the plan was to spend 552 million dollars

to take care of Dominica’s nation building business as determined by

the DLP administration. $378.5 million to meet recurrent expenditure

and $173.8 million for capital expenditure. To finance those provisions,

the DLP administration proposed recurrent revenue of $417 million

($312.5 from taxes; 104.5 from non-tax sources) and capital revenue

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of $173.8 million comprising $60.0 million from the government of

Dominica; $38.3 million from loans and $75 million from grants.

17. These targets were not met last year… and with no explanation

or suggestion of any corrective action to improve performance, the

recurrent revenue estimate for this year is $420.4 million against

recurrent expenditure estimated at $367.2 million for a current

account surplus of $53.2 million. Keeping it real? Really? The reality is

it will not happen. Capital expenditure is budgeted this year at $184.2.

It will be financed by $51.7 million from government; $33.1 million

from loans; and 99.4 million. Based on past performance, and keeping

it very real, this dream will not come true.

18. At the end of 2014/2015, the capital expenditure forecasted at

$173.8 million was only $113.6 million - meaning $60.2 million or

35% of the capital budget for development projects remained

unfunded. The DLP administration that boasted great expertise in

getting grants from its many friend around the world and therefore

knew where every red cent of project funding would come from,

actually fell short of its 2014/2015 grant funding target by $30 million

dollars or 38%... almost 40 out of every hundred dollars of grant

money promised to fund the capital budget did not materialize.

Understandably, increasing implementation failures continue to plague

the Public Sector Investment Program and the DLP administration

remains incapable of corrective action.

19. On the recurrent side of the 2014/2015 budget, the Minister of

Finance projected to generate a current surplus of $77.2 million. He

gave the impression that he could manage the public finances to allow

government to collect $77.2 million more than it had to spend for

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recurrent expenses. It did not happen. The recurrent revenue

forecasted at $417 million closed the year at $356.7 million - $60.3

million below the target. Interestingly, the more than 400 pages of the

2015/2016 estimates give no indication of the recurrent expenditure

numbers for 2014/2015. But we learned from the Finance Minister’s

Budget Statement that it was $354.5 million which means a current

account surplus of $2.2 million - $75 million dollars less than what the

finance minister promised to achieve. No explanation has been given

for the difference of $23 million between the 2014/2015 approved

recurrent expenditure of $378.5 million and the actual recurrent

expenditure of $354.5. What were you authorized to spend $23 million

on but didn’t, and why? What aspect of government operations no

longer needed the $23 million for which approval was secured from

this Parliament? It is difficult to trust these current account numbers in

respect of a fiscal year in which government was busy overspending

an underfunded capital budget in selected areas

20. The 2014/2015 promise - a current account surplus of $77.2

million; the performance - a current account surplus of $2.2 million.

The revenue decline began more than years ago. The IMF actually

raised the red flag on underperforming taxes masked by windfall

economic citizenship revenues in the wake of the Arab Spring as far

back as 2012. Government has failed to reverse this accelerating

revenue slide because of its chronic inability to grow the economy.

21. Of course, it was an election year… so notwithstanding the

significant capital revenue shortfall, the Minister of Finance created the

avenue to increase expenditure on certain items as follows:

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2014/15 B 2014/15 A DIFF 2015/16 B

NEP $7.0 m $14.4 m $7.4 m $5.0 m

Public Support $1.0 m $4.0 m $3.0 m $1.5 m

Housing $32.0 m $36.2 m $4.2 m $13.6 m

Constit. Emp. $2.0 m $4.0 m $2.0 m $2.0 m

$42.0 m $58.6 m $16.6 m $22.1 m

22. With all these forecasting irregularities, and don’t care spending

the debt stock continues to climb as the debt servicing challenges

intensify in an environment of unchecked falling revenues

23. Still, the unfulfilled promises of the 2014/2015 budget are mind

boggling:

In housing, we heard of the commencement of construction of 1,500

houses. To date the DLP administration CANNOT Do it.

The 2014/2015 budget stated that government would finally deliver on

a more than 6 year old promise to operationalize pack houses. To

date, the DLP administration CANNOT Do it. But in keeping it real…

more promises for 2015/2016

There was supposed to be improvement work at the Portsmouth and

Marigot hospitals and the commencement of the long awaited state of

the art national hospital. To date, the DLP administration CANNOT Do

it. But in keeping it real… more promises for 2015/2016

There was a plan to start actual construction work on the Roseau River

Promenade. To date, the DLP administration CANNOT Do it. But in

keeping it real… more promises for 2015/2016

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Construction of an indoor sporting facility at Stock Farm was included

in the list of projects planned for the 2014/2015 budget year. To date,

the DLP administration CANNOT Do it. But in keeping it real… more

promises for 2015/2016

The 2014/2015 budget also highlighted initiatives grow the economy

that would see the light of day before June 30th, 2015

As has been the case for the last 4 years, we were promised a vessel

to transport people and goods cheaply between the islands. To date,

the DLP Administration CANNOT Do it. But in keeping it real… more

promises for 2015/2016

The more than three year old promise that the Coffee Processing Plant

at One-Mile would begin processing coffee was made again for the

2014/2015 budget year. To date, the DLP administration CANNOT Do

it. But in keeping it real… more promises for 2015/2016

There was a commitment to complete the Morocco funded Cabrits

Hotel and Spa on which construction commenced four years ago. To

date, the DLP administration CANNOT DO it. But in keeping it real…

more promises for 2015/2016

There was an expectation influenced by statements in the 2014/2015

budget that ongoing discussions about a passport money funded

Kempinski Hotel in the Cabrits and hotel in the public works location

would give way to concrete action to bring both into reality. To date,

the DLP administration CANNOT Do it. But in keeping it real… more

promises for 2015/2016

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The 2014/2015 budget statement asked us to expect a geothermal

development agreement with a French Consortium in October 2014 on

the way to bringing the domestic plant on stream. To date, the DLP

administration CANNOT Do it. But in keeping it real… more promises

for 2015/2016

We even had a commitment in 2014/2015 budget statement that

“…work will commence on the road aspect of the Roseau Enhancement

Project focusing on the roads in the vicinity of the Dame Eugenia

Charles Boulevard”. To date, the DLP administration CANNOT Do it.

But in keeping it real… more promises for 2015/2016

24. Now that the Prime Minister has started counting jobs to be

created in the productive sector projects he has been talking about

and/or working on, but cannot finish, we need to keep it real with an

analysis of the opportunities that are lost the DLP administration

glorifies its inability to deliver:

PROJECT HC AMS ANNUAL

Bananas, Plantain 250

1,200 3,600,000

Abattoir 28

1,400 470,400

Coffee Plant 22

1,400 369,600

Poultry 46

1,200 662,400

Morocco Hotel 204

1,400 3,427,200

550

6,600

8,529,600

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25. What then can the members of this DLP administration do with

the resources approved by this parliament for the good, just and

progressive governance of Dominica year on year?

26. They spent in budget year 2014/2015, without budgetary

approval, a quarter of a million dollars to entertain supporters dressed

in red at the October 2014 political event to rename the Melville Hall

Airport. Nine months later, the official name of the airport by Act of

Parliament remains the Melville Hall Airport.

27. We hear of concerns at the highest levels of government that

there is racketeering of visas and work permits in the Labour Division

of Government. This is a department that facilitates the inflow of

money into the treasury from the issue of visas and work permits to

foreign nationals. There is an allegation shared with the head of the

division that racketeering - organized crime – is bedeviling this public

service responsibility. But no one seems concerned enough to do

anything but to quietly ask the Labour Commissioner himself to fix it.

28. Then of course, members of the DLP administration travel, they

travel, they travel… as the song says: “they having their fun and

getting paid they boasting about the trips they made… cause their

party running the country… they have the power and authority to take

their foot on taxpayers money”.

29. They travel to sell passports; they travel to sign passports… and

they travel to Malaysia to be wined and dined by their passport

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buddies at My Dominica Trade House and to associate themselves with

the investment projects which My Dominica Trade House claims it

operates in Dominica, but which no one has ever seen. The annual

budgets of this DLP administration over the years tell us chapter and

verse of its to-be-commenced and the cannot-be-completed projects

to grow the economy… But not a single word so far about the allegedly

completed and operational limousine service, aqua prawn farm, energy

solutions company, spring water bottling plant and the quintet of

medical centres of My Dominica Trade House. Hundreds of young

Dominicans should be working at these facilities endorsed by a DLP

administration that is budgeting money again this year to rent jobs for

struggling unemployed persons on a short term basis. Yet we see and

hear nothing but the lies told to the world by My Dominica Trade

House and accepted by their friends in the DLP administration. In

addition to all they claim to have done which we are still waiting to

see, there is a promise of investment in a five star hotel. Would that

be the one planned for the public works location that we have heard

about for the past three years? Or is that another one? Is it in the

2015/2016 budget?

30. During the 2014/2015 budget year, a senior public officer with

state financed citizenship by investment responsibilities attempted to

transfer from overseas $1.5 million into his personal gas station

account and declared the source of funds as sale of passports. This is

the same budget year in which the revenue from economic citizenship

forecasted at $80 million turned out to be only $25 million dollars – a

shortfall of $55 million. Do we have any explanation for this massive

shortfall in economic citizenship revenue from those who appear to

have entitled themselves to multimillion dollar payments for

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Dominica’s passport selling services? Not a word! But the 2015/2016

estimate of NON-TAX revenues from economic citizenship is $70

million even though it was only $25 million in the previous year. They

are keeping it real indeed.

31. Somehow, the nation is being led to expect the Budget to be

successfully put together and implemented by persons proud to be

operating without the discipline of playing by the rules. No law seems

to constrain them and no Constitution can tell them what to do either.

As members of this honorable house they observe the silence of lambs

in the face of violations of the qualifying criteria for membership and

then behave as though nothing has happened while one of their own

sits defiantly, in breach of the Constitution and the operation of law as

an invalid member of Parliament. The contract signed by Senator

Jahisiah Benoit with the Government of Dominica represented by

Permanent Secretary in the Ministry of Health Helen Royer on April

22nd, 2015 puts him in breach of sections 32 (5) (a) and 35 (3) (c).

And the only honorable course of action available to him is to vacate

his seat by operation of law. He is a bright young man who may wel

have aspirations of becoming the next prime minister of Dominica. But

that is not the point. We are here to set the example of upholding the

constitutional rule of law in the words and deeds that discharge our

parliamentary responsibility for oversight of the budget cycle in the

interest of a better Dominica. It’s about being accountable for doing

the right thing according to the constitution and the rule of law. If we

don’t, where will the poor people of this country yearning for better

days find credibility in a budget management process deprived of its

moral compass?

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32. We see massive over-spending of the approved budget for

constituency empowerment for example… So the assumption is that

constituencies are being empowered… Which constituencies?

Constituencies represented by Government MPs. The MPs of the

parliamentary opposition know absolutely nothing about these millions

being spent and overspent on the empowerment of constituencies. In

the face of such blatant iniquity in the allocation of budgeted resources

where is the basis to trust the stewardship of those responsible for

implementing the budget approved by this honorable house.

33. I conclude this segment of the budget response with an example

of how a minister of government deals with funds approved in the

budget to be spent on helping the less fortunate. (Justina Charles

empowers)

SOCIAL IMPACT OF DLP’s ECONOMIC DISASTER

34. In the absence of an overarching vision and a road map for

economic transformation the DLP administration continues to tinker

from one budget to the next promising much and delivering little. The

neglect and abandonment of the means of livelihood of people in a

predominantly agriculture-based economy has severely affected

personal and household income, productivity, motivation and quality of

life all around the country. Unemployment, underemployment,

hopelessness and the working poor phenomenon have led to

migration, drug abuse, youth alienation, crime and violence.

35. When, after 15 years of watching their government do nothing

about rapidly deteriorating farm access roads, the powerless people of

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Salisbury turned to their tool of protest, they sent a powerful wake up

call to their brothers and sisters especially in rural Dominica that is

time to force the issue of getting back to the farms to grow the food

we need to survive and thrive

36. The response of the police using funds from the public purse to

brutalize, intimidate and put the protesters under heavy manners with

gun fire and expired tear gas, epitomized the disconnect between the

worthwhile aspirations of the people and the ad hoc self serving plans

of the ruling party.

37. As a matter of top national priority, we request adequate

provisions in the 2015/2016 budget to identify and retain appropriate

medical expertise to determine the health risks to which citizens of

Dominica were exposed in that recklessly irresponsible use of expired

tear gas at Salisbury on May 11th, and June 11th, 2015. We also

request budgetary provisions for government action to provide the

medical care and attention that have become necessary for the victims

of this law enforcement atrocity. And we demand a proper budget

allocation to immediately turn the police inventory of expired tear gas

over to a relevant international organization. Let’s keep it real!

VISION

38. UWP Team Dominica Vision for Dominica is sustainable,

harmonized growth and development in which every Dominican has an

opportunity to have an education; proper health care; a job; an

affordable home; a reasonable standard of living and quality of life, in

a peaceful and secure social environment. We are committed to

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making Dominica the best place to live, the best place to work and the

best place to enjoy life. To this end, we recommend a long-term

economic plan will build a stronger, more competitive economy; a

fairer society; create more jobs; and secure a better future for

Dominica by:

making Dominica a low-tax jurisdiction open to increased investment

dollars across all growth drivers from at home and abroad

backing small business and enterprise with better infrastructure and

lower job taxes in an environment of strong, market driven revival of

agriculture, tourism and manufacturing;

boosting the activities and performance of the construction sector;

maximizing the economic benefits of our water, music and cultural

resources;

ensuring no nonsense implementation of renewable energy projects;

and embracing ICT as the backbone of our bid to earn a profitable

place in the global trade of goods and services.

condemning to the dustbin of history the governance disgrace of

having the largest and most inefficient government in the OECS

officially unplugged from the responsibility to green, renew and grow

the economy.

adjusting taxes and duties to help hardworking people be more

financially secure

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ensuring welfare based on merit and prioritizing employment

opportunities for Dominicans first so the economy delivers for citizens

who want to work hard and play by the rules

delivering the best schools, skills and apprenticeships for young people

so the next generation can succeed in the global race

39. Nonetheless, we are now in the vice-grip of a worsening

economic crisis which can only be reversed by getting employment and

business income into the hands of the poor, suffering people especially

in the villages of Dominica. The revival of market driven agriculture

must be priority number one as we set out to achieve growth of 5 – 7

percent per annum and thereby establish the platform for the creation

of 5 000 new jobs within three years.

UWP Team Dominica Growth Strategy

40. The UWP Team Dominica’s strategy for immediately rekindling

growth in Dominica’s Economy, is to remove the most binding

constraints on our most important growth sectors:- Tourism,

Agriculture, Construction, the Diaspora and Foreign Direct Investment.

Low Returns on Investment

41. “Low Returns on their Investments” seems to be the most

binding constraint on all five growth sectors, Tourism, Agriculture,

Construction, the Diaspora and FDI. A low return on investment also

seems to explain, why Dominica attracts the lowest level of Foreign

Direct Investment (FDI), among OECS States.

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1. In the Tourism sector, the most critical factors leading to low

profitability on investment, run down properties and eventual closure,

are low room occupancy, and high taxes.

2. In the Agricultural sector, the most critical factors leading to low

profitability on investment, abandonment of farms and eventual sale of

lands, are: Disorganized markets, high production costs, and

inadequate technical support to the farmers.

3. In Construction, the most critical factors leading to low returns on

investment both to the homeowners and contractors. High taxes on

materials, and high property transfer fees.

4. Besides the financial support which our brothers and sisters in the

Diaspora give to their families, much of the Diaspora investments have

been in Tourism, Agriculture, home Construction. Thus they fall victims

to the constraints leading to low returns on investment, forcing many

of them to abandon Dominica and return, with no encouraging news

for other Diaspora members.

5. In the case of FDI, in addition to the constraints mentioned, corrupt

practices by government officials and their agents, in awarding of

government supply contracts and fiscal incentives seems to be a major

factor leading to low returns on FDI.

42. UWP Team Dominica believes that by removing these binding

constraints on these most important growth sectors, government can

jump start the engine of growth in Dominica’s Economy, and

immediately begin a cycle of economic growth and job creation.

43. In the medium term, as we rebuild “Dominica’s Confidence in

itself”… as we facilitate and support new innovative ideas in ICT,

Financial and Professional Services, Manufacturing, Renewable Energy,

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Water industries, Sports, Music and Cultural Industries, the Dominica

Economy will enter an orbit of sustained growth at the level of 5-7%,

generating thousands of good paying permanent jobs annually.

THE GROWTH AND EMPLOYMENT INITIATIVES

44. This segment of the 2015/2016 Budget Presentation outlining

the growth and employment agenda of the United Workers Party

TEAM Dominica is dedicated the young people of Dominica, especially

those who have lost hope in that long night of pessimism and broken

dreams visited on them by the CANNOT Do government. Finally it is

clear that the neglected, misunderstood and taken-for-granted young

people of this country can enter an era in which they will have jobs,

their parents will have jobs, their brothers and sisters will have jobs,

their girlfriends and boyfriends will have jobs… they will eat bread from

the sweat of their brows, they will be their own people, spend their

own money, make their own life building decisions… from today of

honest work, they will create yesterdays of pleasant memories and

tomorrows of brilliant hope. We dedicate the growth agenda as well to

our senior citizens who can now rest assured that their children and

grandchildren no longer face a future of crippling uncertainty.

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Growth Enhancing Policies

Agriculture

45. Agriculture is central and critical to Dominica’s short and long

term development strategy. Thus tremendous effort must be placed on

the revitalization of this sector in order to stimulate the rural economy.

This will involve improved land management, direct support to farmers

and fishermen, technology deployment, and improvement in

agricultural and fisheries infrastructure in order to enhance

productivity and production volumes.

46. We must prioritize spending on irrigation systems, green houses,

and a comprehensive feeder road network. Tax and fiscal incentives

must also be provided to the private sector to invest in agro and root

crop processing plants as well as a chocolate factory. The coffee

processing plant must commence operations within the first three

months of this fiscal year.

47. In 2015/2016, with $11.3 million for operations and $24.7

million for capital projects, the Ministry of Agriculture has been tasked

to pay attention to 5 crops – bananas, plantain, coffee, cocoa, citrus;

pork and poultry; pig rearing; sheep and goats. Keeping it real, the

reality is, if we are serious about agriculture, this mandate falls well

short of reasonable expectations.

48. In addition to revitalizing our traditionally successful agricultural

products – bananas, plantain, root crops, breadfruit, avocadoes,

ginger, peppers, mangoes, paw-paws, pineapples - we must reopen

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the sector for successful niche business in select global markets for

high value products like coconut oil; cocoa; coffee; cashew; vanilla;

essential oils – bay oil, vertiver, patchouli, lemon grass and wellness

herbs like industrial & medical marijuana, mint, cumin and basil.

49. Overall, beginning this year, we must work towards the goal of

doubling production volumes within three (3) years in the areas of

fisheries, horticulture, food crops and livestock in order to ensure food

security and increased export earnings.

50. We must Develop and implement an agricultural land use, land

zoning and land bank policy to make idle lands available for

production.

Provide direct support to farmers and strengthen the institutional

framework including, but not limited to, extension service and

research and development.

Provide access to finance and Technical Assistance (TA) support to

entrepreneurs, farmers, fishermen and fisheries cooperatives involved

in fishing and agricultural production, processing of meat, fish, crops

and vegetables.

Develop a network of farm access roads to new and existing farm

holdings and provide required capital investment to ensure optimum

production levels.

Facilitate the increase in agricultural exports to CARICOM, French

Territories, USA and Europe by establishing trading houses in these

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targeted markets.

Introduce the “Entrepreneurship In Agriculture” programme.

51. To ensure market success, government must commit, beginning

in this budget year to guaranteed purchase of targeted agriculture

produce and fish of commercial value; providing suitable cargo boats

for agricultural exports as well as fishing trawlers in major fishing

communities and improved landing sites for fishermen.

Manufacturing, Agro-processing and Natural Resources

52. UWP TEAM DOMINICA recognizes the largely untapped potential

of Dominica’s agricultural and natural resources and its light

manufacturing sector. Work must commence this year towards

attaining our true economic potential. We must diversify the economy

through innovation, the nurturing of infant industries, and facilitating

the addition of value to their supply chains from product sourcing to

production to delivery. The encouragement of import substitution

business initiatives will reduce the country’s massive trade deficit,

build capacity for world trade and create much needed jobs.

53. The Goal is to increase Dominica’s export earnings by 100%

within the targeted economic subsectors over the next three years.

In this regard, government must, starting this year, remove the VAT

and other taxes on raw and packaging materials. Access must be

provided to low cost and venture capital financing, training and

technical assistance support, to new and existing businesses in light

manufacturing, agro processing, quarrying, and water export.

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Parliament must review the fiscal incentives act, quarry related

legislation and regulations as deemed necessary, and enact Small

Business Legislation. In this budget year we must streamline the

application process for new business start-ups to result in a one stop

shop that improves efficiency. We must also develop a comprehensive

human resource development program aligned to the priority

industries.

Construction Housing and Infrastructural Development

54. UWP TEAM DOMINICA is fully committed to the revitalization of

our construction industry, through the development of an affordable

and climate resilient housing stock and infrastructure, in a transparent

and responsible manner. We support the rehabilitation and expansion

Dominica’s infrastructure through the Public Sector Investment

Program (PSIP) and Public- Private Sector Partnership (PPP).

Furthermore we support stimulation of the construction sector through

policy reform in order to boost economic growth, generate new jobs,

improve housing conditions, instill pride and ensure the health and

safety of our people.

55. Side by side with the responsibility to provide housing support to

those in need government must develop a housing market that will

make it easier for employed young Dominicans to own their own

homes

56. In this fiscal year, duties must be removed on construction and

building materials; government must facilitate the provision of low

interest rate loans for housing, commercial and industrial development

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through the AID bank and other financial institutions; government

must engage in foreign policy initiatives with friendly governments and

donor agencies in order to finance public infrastructure development

projects; and transparent public sector procurement procedures must

be enforced.

Tourism

United Workers Party sees the Tourism Sector as one of the major growth

and job creation sectors of Dominica’s Economy. To achieve the required

growth and create the necessary jobs for our people, Government must

immediately set upon a strategy to increase hotel occupancy by 25% - 40%

and cruise visitors by 50% within the next two years. The multiplier effect of

this increase in Tourism income to the hotels and its employees, and the

increased income it creates directly to restaurants, tour guides, vendors,

night clubs, tour and taxi operators, and the indirect income to musicians,

beauty parlours and spas, the increased sale of farmers vegetables and

meat, the increased sales to fishermen for fish, more than compensates

government for the revenue foregone, in reducing the VAT to hotels from

10% to 7.5%.

UWP 5-STEP MISSION TO RESCUE TOURISM & JOBS

1. Enact Timeshare Legislation- Fill Hotel Rooms-

Solve Finance Problems.

“Timeshare is one of the most powerful Tourism Marketing and

Financing strategies which is being used across the Caribbean and the

World to develop Tourism. Timeshare Legislation, will give hotel

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owners access to this guaranteed tool of success to market and

finance their properties, and get themselves out of the debt trap in

which Hotel Sector is presently caught. Timeshare will give the local

Private sector a guaranteed strategy for high room occupancy.

Timeshare will generate the necessary capital for locals to upgrade

their properties, build additional rooms whilst at the same time they

reduce their present burdensome debt, or even become free of debt.

When UWP left office 15 years ago, the National Development

Corporation, had already began drafting of Timeshare

legislation, based on research of the various Time Share

Legislations in the Caribbean. We applaud the government’s

decision to accept the recommendation to enact time share legislation

in this fiscal year. This was long in coming. More than a decade of

timeshare benefits have been lost to the struggling hoteliers of

Dominica. But keeping it real; we say better late than never.

Right now, the Caribbean is among the most highly demanded

timeshare destinations and timeshare industry supply is not meeting

the demand.

Timeshare sales continue at a good pace and have gone past the

US$10 billion mark. Part of the reason given for this continued growth

is the fact that purchased interests can be converted into exchange

points or other methods, so the timeshare owner doesn’t always have

to return to the same property but has choices for vacations

throughout the world.

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This record of sales gives troubled or developing resorts solid

opportunities to raise capital and keep their properties afloat in these

tight lending times.

The Carrousel Hotel in Cancun, a failing resort was converted to a

timeshare property in its entirety.

The owners, Sunset Group, renamed it the Ocean Spa Hotel and

repositioned it as a wellness resort with high-end amenities. They

purchased the property for $13 million and put $5 million into

renovations. In their first two years they reported over $50 million in

unit sales.

These are numbers that governments promoting tourism, hotel

owners, and especially those holding excess inventory in the high-

demand Caribbean region, would be wise not to ignore

It is time for time share legislation in Dominica. Accordingly, I am

pleased to lay on the table of this Honorable House a draft bill (based

on the Belize Act) for a Timeshare Act in Dominica

2. Cut Taxes on Tourism and Make it Competitive

(a) Remove the 10% government transfer Fees on Tourism properties.

Government proposes downward revisions to the stamp duty, vendor fee and

judicial fee components of the transfer fee. Our proposal is to remove it

completely. Presently, a Dominica investor who owns say 5 to 10 acres of

land valued at about one million to two million dollars, and would like to put

it into a company as his equity in a Tourism Project, whether by himself or

with another local or foreign partner, would have to pay Government

between $100,000.00 and $200,000.00 just to transfer the land into the

Company. The removal of this burdensome fee will enable more locals with

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land to invest their lands in Tourism.

(b) We welcome government’s decision to remove the VAT on free meals to

hotel/resort employees and on complimentary rooms for tourism promotion.

Once again, we recommend a reduction of the VAT on hotel operations to

7.5% across the board to make Dominica’s Tourism competitive and in line

with the other OECS islands. In the OECS, the Government of Dominica

charges the highest VAT on Tourism.

3. Dominica Trade & Marketing Center in French

Islands- Double Marketing Budget and FOCUS ON Core

French Islands - EU Markets

In order to take maximum advantage of the New European

Partnership Agreement (EPA) we must establish a permanent,

professionally staffed all year round “Dominica Trade and Marketing

Centre in the French islands to promote Tourism and Tourism

investment in Dominica, and to also market Dominica’s Crafts, Music,

Culture and Agriculture. The Caribbean is our core Market accounting for

50% of Dominica’s stay over visitors, more than half of which comes from

the French Islands. The increase in the Tourism Marketing budget from $4 to

$6 million is not enough; and still way below the Caribbean norm of 2-3% of

visitor spending. Again, we recommend an annual tourism marketing budget

of at least $10 million.

The present policy of sending trade missions to the French West Indies, just

before, World Creole Music Festival, just before Carnival, and a few other

times in between, is not the most effective way of growing the French

Caribbean market.

4.Promote Our Kalinago People & Give them a Fair Share of the

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Tourism $$

Towards this goal, we must:

Tap the huge global funding and other resources for Indigenous

Peoples to do major Sites, hotels, and other development initiatives in

the Kalinago Territory and Atkinson .

Build a Five Star “Eco & Heritage Resort” in the Kalinago Territory

Expand the marketing of the traditional Kalinago crafts industry

Develop a Jewelry and Precious Stones Industry in Kalinago Territory

including (gold & silver craft, gasper, turquoise and amber.)

Develop a leather craft and Tanning Industry in Kalinago Territory

Protect Kalinago Intellectual Property and Branding through copyright

and Trade Marks.

5. Bring Back Carnival Cruise line Weekly Calls

Due to DLP Government’s neglect of basic amenities for the vendors,

taxi operators and Tour guides, Dominica lost its best Cruise line,

Carnival Cruise line in 2010. Carnival Cruise line used to visit the

island every week, bringing over 150,000 cruise passengers per year

to the island. Carnival ships were the biggest buyers of bulk water

from DOWASCO and the Carnival passengers were the best customers

for the vendors. UWP Team Dominica knows the key people at Carnival

and what they want to see done, to get Carnival back. In this budget

year Government must make the Bay front Improvement and the

Improvement of the Cruise passenger experience on the island, a top

priorities .

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AIR ACCESS IMPROVEMENT STRATEGY

As part of the Strategy for increasing returns on existing investments

in Tourism, attracting New investments in the Key Growth sectors, and

creating sustainable Economic growth and jobs, Dominica must move

ahead to deliver the International Airport, started in 1997, during first

term of Office of the United Workers Party.

Since gaining independence, every administration has advocated

intentions to construct an international airport. In this year’s budget,

the DLP is again promising an international airport. Keeping it very

real, the reality is, the UWP is the only party that has gone beyond talk

and study to concrete implementation of this important piece of

Dominica’s economic infrastructure.

The massive spending at Melville Hall by this CANNOT DO DLP

administration has not positively impacted visitor arrivals by air into

Dominica and by extension our stay-over tourism sector.

The upgraded Melville Hall Airport with night landing was

commissioned in 2010. Annual visitor arrivals before 2010 at Melville

Hall Airport were generally higher than the number of arrivals since

the advent of night landing at that airport. This failed DLP air access

strategy has also created a costly nuisance for motorists commuting

the only main public road at Melville Hall. Additionally, lands purchased

by the UWP for international airport development remain abandoned

Recognizing the urgency and great importance of improved air access

and an international airport to sustainable economic advancement of

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Dominica, government needs to institute the following measures:

Facilitate establishment of a Dominica based airline and negotiate with

LIAT and other carriers to provide express and direct air services

between Dominica and the thirteen (13) existing international airports

located between San Juan to the north and Caracas to the south in

order to secure same day transit into Dominica from major gateways

in the US and Europe in particular. In pursuit of this objective, the

government must work closely with local investors having similar

interests, the diaspora, hoteliers, farmers and traders of agricultural

produce, as well as friendly governments.

Establish the Dominica International Airport Development Project

Management Office with responsibility for the following:

Update detailed studies commissioned by the UWP administration for

construction of the international airport

Settlement of all issues surrounding lands purchased by the UWP for

construction of the international airport and related developments

Mobilize financing and finalise arrangements for construction and

commissioning of the international airport.

RENEWABLE ENERGY

In this day and age we cannot grow the economy of Dominica without

the progressive development of our renewable energy resources. No

one argues with idea that we can and must make Dominica the world’s

premier clean and green destination where competitive energy costs

encourage local and foreign investment by ensuring that 100% of

Dominica’s energy needs is produced from renewable sources.

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We can do it… we can do it within five years… So let us do it… Let us

start in this budget year… Let us:

Review, legislate and implement the national energy policy.

Remove all taxes on equipment and spare parts used in the generation

of power from sustainable renewable sources.

Develop a sustainable energy industry which will include, but not

limited to, research and development, manufacturing and export of

technical services in the area of renewable energy.

There is a lot of work to be done… lets get it done

Let us Facilitate the private sector in the establishment of businesses

to engage in the design, fabrication, installation, maintenance and

enhancement of renewable systems.

Let us Introduce an Associate Degree programme in Renewable

Energy Systems at the Dominica State College.

Let us Facilitate partnerships with these energy companies that will

see young Dominicans trained in the design, service and maintenance

of clean systems.

Let us Critically and thoroughly assess the development of geothermal

energy to ensure its safety to our people, ecosystem, and the

environment.

Let us establish small Hydro plants in the south East, north east and

north west of the island, supported by an integrated, forest soils,

water and other natural resource restoration and management

program.

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Let us develop the right mix of the production of sustainable energy

using hydro, wind, and solar to optimize energy output.

Let us provide fiscal incentives and tax credits to companies creating

sustainable new jobs in the renewable energy sub-sector.

Let us encourage communities in sustainable energy usage initiatives

through the establishment of several model eco villages.

FOREIGN DIRECT INVESTMENT

57. Another key component of the plan to stimulate growth and

create new jobs is the ability to attract FDI flows. We can and must do

better than the average of $31 million per year achieved over the past

15 years. To this end, government must commit to creating the

enabling environment and putting in place the structural reforms

through which prospective investors, especially the thousands who

have purchased Dominican citizenship over the past 15 years will play

their role in helping to move our country forward.

Reducing Waste

58. We enter budget year 2015/2016 with the DLP administration

insisting on being a shining example of public sector waste with the

largest Cabinet of ministers in the ECCU managing the smallest

economy and delivering the worst performance results. In the Cabinet

of 18, there are Ministers paid in excess of $100,000 per year to

manage operating resources of less than $500,000. There are

ministers managing capital spending portfolios with annual values of

less than 1% of the capital budget. You have 4 or 5 ministers

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responsible for manufacturing and 3 or 4 responsible for the electricity

business. Trade and commerce are getting separate ministerial

attention… But in the world bank funded Caribbean Growth Forum

where assistance is available to build our capability and capacity for

export trade and commerce, Dominica has been inactive for three

years. Keeping it real? Really? [comment on frugality of FS]

59. So what is the inside scoop on the capabilities of this ministerial

army of occupation? Very early into this budget year, on July 7th,

2015, we got a brutally frank mini performance appraisal from an

unlikely source – a minister of government sharing concerns with a

high profile international civil servant prior to the commencement of a

press conference when the microphones were already on:

“… even the Minister of Finance eh… not everybody holding their

weight… like the Minister of Trade don’t even know about those

measures and that’s something we discussed (I think) a couple of

weeks ago… the potential measures for the increased taxation of

cigarettes and stuff, he is not even all versed with it… a lot of times

eh, when you see you discuss certain things… Oh My God! I forgot…

Excuse me, these recorders are off? … I need them wipe off please…

can you wipe it out please?”

60. The oversized Cabinet is accompanied by a contingent of highly

paid advisors some of them with nothing to do but hang out at their

media stations to demonize and dehumanize the members of the

parliamentary opposition. And the hard earned tax dollars of suffering

people lines their pockets every month.

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61. The highly rated National Employment Program was not good

enough for the unsuccessful Labour Party candidates who joined the

ranks of the unemployed after the 2014 election, so an elite category

of state funded employment was created for them at the rate of > $80

thousand per year.

62. The oversized Cabinet, advisors and hangers-on couldn’t care

less about wasteful spending on utilities, travel and other excesses of

poorly managed public sector operations.

63. Now government increases taxes for driving on the road and for

getting protein from meat sources with the exception of wings and

back and neck. Keeping it real? Really!

64. The reality is that there is an urgent need to streamline spending

by reducing waste and improving efficiency within government

operations. This will ensure savings that can be used to fund critical

requirements of the growth priorities.

65. Spending within the Public Sector Investment Program (PSIP)

must be strictly monitored through the setting up of a Special Projects

Team that will be charged with overseeing project tendering,

monitoring and implementation. Priority within this spending envelope

must be given to investment projects that support our growth agenda.

In particular, government must continue to pursue the development of

alternative energy sources including solar, wind, hydro and

geothermal. Successful implementation of these investment projects

will lead to reductions in the cost of energy, which is one of the major

impediments to the growth of buoyant manufacturing and tourism

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sectors.

YOUTH EMPOWERMENT

66. The UWP TEAM DOMINICA understands the pain and the

struggles of the young people growing up in the state of our current

society. We strongly recommend urgent government action, beginning

in this budget year, to facilitate job creation and business

opportunities, provide and improve sports and recreational facilities,

assist in the development of youth creativity and talents, to ultimately

improve the quality of life of our young people

Let us therefore prioritize resources:

To Provide sustainable jobs for youth across all sectors

To Provide sports and academic Scholarships which involves

transparent selection criteria based on merit and need

To Diversify subject areas in primary, secondary, and tertiary schools

to include Technical Vocational training

To Develop of a comprehensive sports policy and action plan

To Provide exposure, business opportunities, technical and financial

support for youth

To Further advance ITC integration in schools and workplaces

To Increase social safety netting for youth which would give young

people facing social and academic challenges a second chance

To Provide job and housing opportunities for youth in city, sub- urban

and rural areas

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In this budget year, we must:

Develop a transparent system for accessing sporting and academic

scholarships based on merit

Prepare and implement a sports facilities development plan and

training program targeting youth across the nation

Establish a youth village including a state of the art sound stage

and video production studio along with specialized training and

recreational facilities

review and enhance existing entrepreneurship programs and

establish business incubators in Key Market locations for housing

and technical advice for small business growth

initiate a comprehensive adoption of Internet Communication

Technology (ICT) at schools, government institutions, and

workplaces to improve productivity and speed up services and

empower youth

facilitate participation of youth in local, regional, and international

sporting tournaments and conferences

Work with educational institutions to include and expand on

curricula to include entrepreneurship studies, as well as sports

management, music, dance, culture, technical and vocational skills.

OUR GOVERNANCE AGENDA FOR CHANGE

ELECTORAL REFORM

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67. Free and fair elections are indispensable to a properly

functioning democracy. The DLP administration needs to stop playing

self serving games with the work of the independent electoral

commission and allocate in this budget year the financial resources

needed for the completion of its work in two critical areas:

Total re-registration of all eligible voters on the basis of which a new

register of voters will be issued

Issue of picture ID cards for voting to all eligible voters on the new

register of voters who will be obligated to use the cards as

identification during elections; beginning with the next general election

whenever it is called

THE PUBLIC SERVICE

68. In the leadership responsibility for a better Dominica, UWP TEAM

Dominica values caring, honesty, integrity, accountability, the pursuit

of excellence, continuous improvement and world class teamwork.

These values must drive a clear government commitment to manage

the public servants and services of Dominica to the highest levels of

professional success in the public interest.

Parliamentary oversight responsibility for legislation, representation

and public finances must be taken seriously and adequately funded.

Parliamentarians must set the example of professional conduct in

public life that adheres strictly to the constitutional rule of law. Public

officers must be allowed to do the jobs professionally without any

partisan political interference in order to ensure value for money,

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inefficiency and accountability in government spending.

LAW AND JUSTICE

69. Government must restore the pride and dignity of Dominica as a

nation under God committed to truth, righteousness, justice, the

constitutional rule of law and zero tolerance for crime, violence and

other threats to national and global security.

70. Government must stamp out rampant corruption that illicitly

enriches ministers of government and their friends with public money

cheated away from securing the greatest good for the greatest

number.

LEGISLATIVE CHANGES

71. As a top priority, parliament must pursue constitutional

amendments for a fixed election date every five years and a limit of

two consecutive terms for anyone serving in the office of Prime

Minister

72. Changes proposed by the Integrity Commission for the increased

effectiveness of the Integrity in Public Office Act, and the widely

discussed changes to the Sexual Offenses Act must be implemented in

this budget year.

73. Government has promised that the Act to regulate the conduct

of legal professionals will finally come into operation in this budget

year. This is good news assuming that this more than 8 year old

promise will be delivered. The Act to govern public procurement in

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Dominica came into effect automatically in January 2015, but in the

absence of regulations it is not functional. Keeping it real, we

recommend that government ensure that the Public Procurement Act

promised in the wake of the garbage bin scandal 8 years ago is fully

functional by September 1st, 2015

Health Care

74. World class Health Care is an important component in our vision

of Dominica as the best place to live, work and enjoy life. Not only will

it help keep our vital human resources at home, it will also encourage

our brothers and sisters living overseas to relocate their talents, skills,

special expertise and investments to the land of their birth. In this

budget year, we urge government to commence collaborative work

with relevant stakeholders to:

purge the inefficiencies of the status quo and thereby set the stage to

resolve the national issue of health care financing;

empower Dominica’s offshore medical universities to play a greater

role in providing tertiary care, including but not limited to the design,

equipment and material sourcing; and operations in respect of existing

and new hospital facilities

upgrade and modernize the primary health care system.

75. We welcome the actions proposed by government to deal with

the challenge of securing and maintaining a healthy population. But do

they go far enough?

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76. The tax on unhealthy foods is a trend but will 10% cause any

significant change. In the developed world, with significantly lower tax

rates, tax impositions on unhealthy foods are usually 20%. How much

money is expected to be raised? What percentage will go back into

health education and promotion? Or is this just a way of finding money

to pay hangers on labour party politicians employed in the ministry of

health, to duplicate responsibilities and waste scarce resources?

77. Where are the strategies for making healthy foods cheaper?

Where is the strategic plan for increased production, distribution and

consumption of healthy local foods for example? Is this too much to

ask for from the 2015/2016 action plan of the Ministry of Health in

respect of which this honorable house is being asked to approve $52.1

million for operations and $19.5 million for projects?

78. Let us spend some money in the schools influencing healthy food

choices at break time and prohibiting sale of junk food within

reasonable distances from all school compounds during school hours.

Let us limit advertisements of the goods and substances that increase

the risk factors for chronic non-communicable disease. Let us

encourage increase physical education. We missed a opportunity to

put include cycling tracks, jogging trails and walkways for exercise

along with EO Leblanc Highway. We need to revisit this… and

Government needs to remove its politically motivated road blocks to

the upgrading of Lindo Park so that the facility can begin to serve a

wider range of fitness needs in a safe and more comfortable

environment. What really is the plan for the new $78 million hospital

on which the budgeted spend for 2015/2016 is $10.5 million. Is it

going to a new location or will it be built at the PMH while normal

services continue to be offered there? Will the Ministry of Health

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implement existing recommendations to improve the management of

the old and hence the New hospital?

Education, Science and Innovation

79. Consistent with our commitment to educate our sons and

daughters to successfully compete and win in the varied disciplines of

global enterprise for self and country, we recommend that in this

budget year government commences a review of our education system

aimed at effectively aligning it with emerging socio economic realities.

80. We believe for example that apprenticeships play a vital role in

equipping young people with the skills they need to compete in the

labour market, and which employers need to grow their businesses.

Government is advised to consult with the private sector on the

introduction of an Apprenticeship Grants for Employers (AGE) scheme.

81. The changing nature of the labour market is demanding higher

skilled workers. There are however barriers in the education system

that may be restricting the supply of these higher skills. To ensure

Dominica can compete successfully in the global economy, government

must investigate options to support increasing participation in targeted

education and training programmes

82. Science and innovation are key drivers of long-run economic

growth. Government must facilitate the commercialization of research

and ensure the Dominica economy benefits from a world class science

base.

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ELDERLY CARE

For wellness, preservation of dignity and the continuing pursuit of

happiness

83. It is the responsibility of government of the people, by the

people, for the people to pay attention to continuous improvement in

the living conditions of all citizens especially our seniors. In this

regard, we must protect the spending money of our retired citizens by

significantly reducing the VAT on food and utilities. Additionally,

incomes must be reviewed regularly, starting in this budget year, to

ensure that they are able to cope with cost of living increases.

84. UWP TEAM Dominica recommends establishment of 4 Senior

Care Centers over the next five years, each with the capacity to

accommodate up to 100 residents, in strategic locations around the

country. The Senior Care Centers will provide food, clothing, shelter,

medical attention, nursing care, companionship and Social Interaction

for our senior citizens ordinarily condemned by circumstances beyond

their control to lives of isolation and aloneness.

85. In partnership with Non-Governmental Organizations and

charitable institutions dedicated to 1st class care for elderly citizens,

government must utilize emerging best practices at home and abroad

to develop standardized facilities that meet and exceed the

requirements of our seniors in safe, clean, properly maintained and

efficiently managed care centers. Each Center will have an outreach

program comprising specially trained elderly care professionals

dedicated to providing care as needed (especially at night and on

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weekends) for seniors living alone or living with family members,

relatives or friends.

86. Residence in the Senior Care Centers and service from the

outreach facility will be based solely on merit with priority going to

those most in need based on assessments by the welfare professionals

of the state.

87. This elderly care model will allow for easier ownership,

sponsorship and participation by civil society. It will also give youth

and children, through visits with our seniors as part of their family life

curriculum, the opportunity to learn valuable history and cultural

lessons that drive successful living. The self esteem the elderly will

derive from sharing their experience, knowledge and wisdom will help

preserve their dignity and add value to their continuing pursuit of

happiness.

MARIGOT CONSTITUENCY

88. In the constituency of Marigot our vision is to become a self

sufficient, full employment eco city with modern education, health,

sporting, and recreational facilities; a road network that effectively

connects the residential, commercial, agricultural, tourist and

recreational areas; 1st world water and sanitation services; 100%

energy requirements from wind and solar; and a minimum 4G platform

for world class ICT functionality

89. Starting in this budget year, the people of Marigot would like to

see adequate resources budgeted for the road network, housing,

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health and village economy priorities for one of the most progressive

and productive communities in this country. A better Marigot means a

better Dominica… a politically victimized Marigot means a Dominica

operating below its capability for outstanding sustainable growth and

development

90. The budget approved by this parliament for the fiscal year

2014/2015 included an amount of 900 thousand dollars to be spent on

the Marigot Hospital – the health care facility closest to the National

airport. Not one cent was spent. The same government that built a six

apartment building at Silver Lake for $1.2 million, and plans to build a

health centre in Vielle Case for $1.5 million, now claims it will build a

New Hospital at Marigot at the cost of one million dollars of which 10%

will be spent in 2015/2016. The Marigot Hospital needs at least $3

million dollars just to rehabilitate the existing facility. So one million

dollars cannot build a new state-of-the-art hospital for Marigot which

will cost in excess of $15 million. SO what hospital is planned for

Marigot and when will it be delivered? While only $100 thousand will

be spent on the Marigot hospital this year, $1 million will be spent on

the Vielle Case health centre. The politics of injustice and

discrimination in the allocation of public resources continues

undisturbed. We are keeping it real!

91. Some years ago, citizens with long-standing interests in land in

the housing area at Melville Hall were promised that land reserved for

them by the Housing Division would be officially allocated. This has not

happened. As a result, persons willing to build are unable to do so and

in some instances allocations agreed to are being compromised by

intervening arrangements. Again, we are asking the government and

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the minister responsible to give urgent attention to what has become a

particularly vexing matter. A number of persons in the constituency,

like Myrose Abraham at Concord, remain anxious about a housing

revolution intervention to address their deplorable housing conditions

92. The playing field at Concord needs urgent attention. And the

excellent sporting facility at Lio Park regrettably abandoned by the

government is in desperate need of rehabilitation

93. There is also the long-standing promise to rehabilitate the vital

Cayam Bouc/Sunderley Road at the back of the Melville Hall Airport. It

is not specifically mentioned in the capital project allocations for this

fiscal year, but we expect that the financing requirements are fully

catered for under the Banana Accompanying Measures (BAM) feeder

road program.

We need budgeted resources to rehabilitate a number of other feeder

roads:

Baron/Tantan road

Captain Bruce/Windy lodge road

Myshall road, Craig road

Coffee road, Tantan/pagua link road

We also need budgeted resources to bring a number of village roads

up to acceptable standards:

Fine Grass, Bull Hole, six acres Melville Hall link road

Valley road, North End road, Overgutter Road

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We need to fix the Dam bridge and we need Speed bumps for the

highway passing through Concord

CONCLUSION

94. The proposals in this budget response are targeted at energizing

the economy through a strong revival of agriculture island wide and

getting the country back to work in the other critical growth engines of

tourism, manufacturing, construction, diaspora partnership, FDI and

renewable energy. In this regard we have not been hesitant to

recommend tax relief because we are confident that the economic

activity generated as a result will return to the treasury the tax

revenue initially lost.

95. Our case for early involvement of the Parliamentary opposition in

the preparation of the annual budget is made by the number of

worthwhile recommendation once again this year from our team of

original thinkers and strategic planners passionate about

implementation. The ideas and proposals in this response merited

consideration at the stage of fiscal strategy formulation prior to the

preparation of the estimates of revenue and expenditure so that they

could be costed, revised if necessary and integrated into the budget as

appropriate. At this eleventh hour, we are condemned to making

recommendations in competition with government’s proposals that

may already be cast in stone and will not be changed at any cost in

the interest of partisan political correctness.

96. In any event, we kept it real and focused on the presentation of

real alternatives for a better Dominica

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97. We commend the proposals in this budget response to the

people of Dominica as the starting point in a program of economic

recovery that is long overdue. I close with the final stanza of our

National Anthem:

Come ye forward, sons and daughters

Of this gem beyond compare

Strive for honour sons and daughters

do the right be firm be fair

toil with hearts and hands and voices

we must prosper, sound the call

in which everyone rejoices

all for each ad each for all

98. Thank you Madame Speaker… May our ancestors be pleased… All

praise to our redeeming Lord… We love you Dominica… God bless you.