PAC Meeting On AC Funding: Summons, Letters
The Public Accounts Committee [PAC] held a meeting today [Feb 12] where they were due to hear testimony from Economic Development Permanent Secretary William Francis on the public funding for the America’s Cup, however Mr Francis did not attend the meeting, with the PAC Chairman saying that he was told that Mr Francis was unwell and working from home today.
This followed after a series of exchanges which saw the PAC Chairman summons the Permanent Secretary, the Attorney-General say the Chairman does not have that authority, and the Speaker reply that the committee is empowered to act and inviting the Government to allow its officers to appear before the PAC as summonsed.
Today’s meeting centered around these communications, and a timeline summary of the correspondence, as well as the documentation, follows below.
Committee Members
The bipartisan Committee consists of Chairman David Burt [PLP], Lovitta Foggo [PLP], Cole Simons [OBA], Glen Smith [OBA], Jeff Sousa [OBA], Wayne Furbert [PLP] and Susan Jackson [OBA].
America’s Cup Funding & Revenue Projections
Minister of Education and Economic Development Dr. Grant Gibbons previously said that Government conservatively estimate that Bermuda will benefit from additional on-island spending of approximately $250 million from hosting the event, adding that “Government alone will receive additional gross revenues of $14 million from taxes and duties.”
Dr Gibbons said the capital costs for Government are estimated to be about $14 million; expenses related to the operation of the America’s Cup Village have been budgeted at $11M; costs for transport, security, emergency services, insurance, and legal costs have been budgeted at $12M; and our agreement with the America’s Cup includes a sponsorship fee of $1M in 2014, $4M in 2015 and $5M in each of 2016 and 2017.
Audio of PAC Chairman David Burt speaking after today’s meeting
February 10th: Summons issued to Permanent Secretary
David Burt, Chairman of the Public Accounts Committee, issued a summons to William Francis, the Permanent Secretary of Ministry of Economic Development, to appear before the PAC.
The summons said he was required to produce to documents including the Host Venue Agreement between the Government and the America’s Cup Event Authority, Economic Impact Assessment for the America’s Cup being held in Bermuda, and instructions and/or conditions attached to the financial grant provided to ACBDA Limited from the Ministry of Economic Development.
February 11th: PS asks under what powers the Chairman acts
Permanent Secretary William Francis responded to the summons saying, “I have since taken legal advice and am of the view that you do not presently have the authority to make this request.
“I would therefore ask that you make clear to me under what powers you purport to act before I am able to take further action in this matter.
February 11th: Chairman responds, says PAC has the power to summon
The Chairman responds to Mr Francis, saying the PAC has the power to summon witnesses and documents under the Parliament Act 1957 and House Of Assembly Standing Orders.
“Mr. Francis, you will no doubt be aware that the Government has allocated funds, which have been appropriated by the legislature, to the ACBDA,” Mr Burt said. “You will also be aware that as the Accounting Officer for the Ministry of Economic Development you are responsible for these funds…”
“The Public Accounts Committee has agreed by unanimous consent that you should appear in front of the committee tomorrow to speak to funds under your control. It is hoped and expected that as a senior civil servant you will obey the law, the Public Service Code of Conduct, and long held custom and practice and respect the authority of the PAC in this regard.
February 11th: AG sends letter to Speaker, says PAC does not have authority
In a letter sent by Attorney-General Trevor Moniz to Speaker of the House Randy Horton, Mr Moniz said “I would cite section 33 of the Parliament Act 1957 which restricts disclosure by public officers of certain official matters without the consent of the Governor, even if it were accepted that the PAC had the authority to issue a summons.
“The Government takes the view that he does not have the authority to pursue this course of action and humbly asks that you take appropriate efforts to restrain the Chairman from engaging in activities that may serve only to bring the house into disrepute,” Mr Moniz added.
February 12th: Speaker says the PAC is empowered to act
The Speaker responds, saying the “committee is empowered to act under our standing orders” adding that the office does not share the view that the “Governor’s consent is required and/or that PAC is without the requisite authority to proceed as proposed.
“I would, therefore, also invite the Government to reconsider its position in this matter and to allow its officers to appear before PAC as summonsed,” Mr Horton said.
“I do not think it helpful to charge that a properly-constituted committee of the House may, as you put it, ‘engage in activities that may serve to bring the House into disrepute’, when it appears that PAC, comprised as it is of members from both the Government and Opposition, is seeking only to discharge what is regarded as one of its responsibilities under our Standing Orders to the Legislature…”
The communication, which was read out at today’s meeting, is below [PDF here]:
OBA, Please don’t act like the PLP. This is 2015, its not too hard to be transparent.
I am not understanding OBA’need to run away from a process that helps to ensure TransparencyTransparencyTransparency
Especially, knowing this was something the OBA pushed do hard for pre-election. Now that attempts are being made to ensure future Capital projects are been managed in an effective manner. The OBA docks, cheats, runs and hide. This is most disappointing and dishonorable.
Come on OBA let’s get on with real TransparencyTransparencyTransparency!
No. There’s nothing here for the PAC to look at, it’s political grandstanding of the worst sort. burt and his fellow in the PLP KNOW they have neither the wit or forsight to even begin to attempt to attract a major event to Bermuda. They are still ranting on about minign the seabed.
ThIs is an attempt to remain relevent.
So let me get this straight. The PAC which has more OBA members than PLP members voted unanimously to have this meeting and speak to the civil servant.
Following that the OBA is arguing they can’t do that. When told they must the guy calls in sick!
What is really going on. Hey, OBA it’s my money! If you don’t have anything to hide show the eff up!
I’m beginning to think these lot are no better than the PLP!
Bit of a contradiction in your comment; “the PAC has more OBA members than PLP members voted unanimously to have this meeting and speak to the civil servant.”
“Following that the OBA is arguing the can’t do that”.
See your issue is that you do not differentiate to members of Government like the AG and members of the committee and members of a party. Sure they tend to lean one way or the other but in reality in this case it is really nothing but conflicting opinions regarding protocol. Yet you insinuate wrongdoing by members of the OBA and the Civil Service for that matter. Talk about jumping to conclusions without a shred of evidence.
If you are so concerned about it being ‘your money’, and sick days. Do you know that civil service sick days cost the Government in excess of $10m a year! That is nearly the total expenditure proposed towards the America’s Cup! Yet we have the PLP and the Unions whining about Furlough days.
By the way, it is obvious you are a PLP paid blogger. Who would make a name so obvious!
TransparencyTransparencyTransparency. OBA seems to be running away from the one thing they pushed for pre-election. The OBA are not looking good and further losing faith and trust in the people. Today has made me question their honesty.
That’s because you are not very bright and don’t understand the PAC and how it works.
Clearly it is you who is misunderstanding. His point is that the OBA Members on the PAC committee agreed to these meetings and other Members of the OBA (not on the Committee) are disagreeing to the same meetings. FYI the PAC has more OBA members than does the PLP so anything agreed to has to be done with the agreement of the OBA members.
It is never a quiet moment in Bermuda thanks to the PLP and the OBA. I surly don’t need a tv for entertainment.
Port Royal money…report please.
I am thinking that things should always go in a cronilogical order??? Not for a moment do I think we do not have to have checks and balances on the AC stuff but!!! We need to FIRST deal with these plp shinangagins first!!! Port Royal, Atlantic condos, Louis brown Evans building, Berkley school to name but a few from the plp first!!! How on earth does something so recent get ahead of those BIG questions that have NEVER been answered????
Seems like the PAC under David Burt has done some reports on the PLP already. So I don’t think you are correct in what you are saying.
http://www.parliament.bm/Public_Accounts_Committee.aspx
To be fair I think that the PAC has done a decent job and has been pretty fair and balanced.
Finally, As I attended the PAC meeting today, the PAC has discussed Port Royal already at prior meeting and will be holding public hearings in the near future.
I think its a good move to examine things as they happen, as opposed to waiting 5 years. Do we really want to be discussing things that may or not have been done by the current administration in 5 years, or do we want to do it now so we can catch or prevent it from happening.
Well said and it is best to do it now and not later.
well at least you are thinking….. now go further… your thoughts are subjective..the way it goes stated above is obviously a difference of opinion in protocol, lest we forget that MPs legislate law and civil servants are bound to actually produce and follow , so this is defintely going to throw the house in disrupte even further when it doesn’t matter what the previous administration did, the OBa obviously don’t think those matters are important enough to be in any chronilogical order, by the way ubp started the Berkeley project and Plp were obligated to follow through with already negotiated contracts..so what you think and how it actually goes is quite different why don’t you lobby your Mps to do what your will is..This appears to be a nation run foolishly, one that is unstable and blowing in any direction hmm quo feta farunt comes to mind.. there seems to be a GREAt Divide and lack of any sensible communication these days.. The script has definitely changed under this present government and hopefully it will be obvious that we are ALL being played..This doesn’t seem like any system that wants to cooperate with its people or have any type of justice ,, there is an elephant in the room, but um sure if you keep going around it , avoiding it, maybe it will disappear… the oba is obviously worse that any other party we have had and they care less for the people than all other governments put together.MP Patricia Pamplin -Gordon used to talk about the decay of the fabric of our society, would be interested to hear what she has to say about the loose threads remaining.
yes but we also need to make sure the same mistakes do not happen again which mean being proactive from now on which is what the PAC is now trying to do.
It’s a sad day when I agree with David Burt. I really wish the OBA would act better than this and stop behaving like children.
How is it that Trevor Moniz doesn’t know that committees have the power to issue summons? How is it that Dunkley isn’t ordering these people to show up and answer questions.
OBA, you can’t demand transparency from the PLP and then not be transparent when you are in government. DO BETTER!
Thanks for your frank honest comment only wish others would speak as you to the issue, rather than only defend their political parties. Refreshing
What is there to be transparent about. No money has been spent, the budget hasn’t been published FFS.
So many incompetents in the OBA cabinet , including the ex attorney general . William Francis please don’t act as a surrogate . It is your duty to FACE THE NATION , this is clearly part of your JOB DESCRIPTION . The civil service of which you are a part of is a honorable group of law abiding citizens , don’t let the OBA paid bloggers eat you alive as they attempted to do two weeks ago .
BLINDDIEHARTFAITHFULNESS
There is obviously more to this story than meets the eye. Mr Burt is so full of his own importance. I am so glad Mr Francis took a stand. The AG has stated he does not need to comply. How many times have we waited for feedback that never came from Mr Burt’s party? Glad to hear Susan Jackson finally has a voice.
Apparently, MP Jackson had the most “voice” at today’s PAC meeting, yet this was her FIRST meeting as a member. WTH? @Ace girl, it’s obvious that the OBA and your AG are “full of their own importance”, cause it is clear by the Speakers response that the AG view is of little meaning or rationale. The OBA is un-revelling in front of our very eyes, what a shame.
A civil servant taking time off sick? This happens a lot. They get 70 sick days a year. Gotta use ‘em.
He was frightened by the AG OBA this is called Political Interference. Not a good look for the OBA.
He was using up his 70 days a year.
Sally…are you really Christopher F?
No, he was not sick. He was ‘working’ from home. Don’t want to use up those sick days if you don’t have to.
800 million first plz!
I don’t understand why governments have these so called “committees” organized by politician, and civil servants! We Bermudians will never get answers! These meetings should be like how banks work: have auditors EVERY 6 months (or so)! that have no political affiliation and have a job to do! Thats how we (Bermudians) will get answers faster and more efficient! It also shows were money has gone what its being spent on!
@Bermy That’s a great idea and might ensure real results and no political interference!
The Auditor is usually at the PAC meetings
I think the OBA are making a mistake in this matter . You cannot expect the entire Bermuda community to get behind the hosting of this event , and at the same time try so hard to keep secrets about it . A lot of us expected better .
this was supposed to be a “public” accounts meeting… With that said they didn’t allow anyone from the regualar public to attend. I walked in and they said I couldn’t go in. The excuse was because the room was too small. I could of stood up in there easily with 20 more people. I was told we couldnt use the bigger room because Dunkley had booked it for something else… hmmmm I wonder why he wanted a public meeting in such a small room? and then wouldnt let the general public in! Seems to me like they are trying to hid stuff once again!!
and the political circus that is Bermuda Politics continues…
I would encourage you all to read the article;
http://bernews.com/2015/02/govt-pac-unfortunate-grandstanding/#comment-2775554
before forming an opinion and commenting!
@ Kangoocar: “How on earth does something so recent get ahead of those BIG questions that have NEVER been answered????”
Because there is nothing to see that’s why. The OBA have had plenty of time to look under the hood. Nothing to see.
Susan who?????