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After a $7M tax payer bailout for BVI Airways not a dime for local ferries!

- to date there has been no government financial support for local ferries. Is it a double standard?
October 9th, 2016 | Tags: taxpayers bailout ferry operations BVI Airways NDP
Minister for Communications and Works Hon Mark H. Vanterpool (R4), left, said in the House of Assembly on September 23, 2016 that 'government intends to do more for the local ferries', however, this remains to be seen. Photo: VINO/ Rob Boudreau
Premier Dr The Hon D. Orlando Smith (left) and his Administration have been blasted for giving a defunct airline (right) $7M will local ferry services received no help. Photo: VINO/Internet Source
Premier Dr The Hon D. Orlando Smith (left) and his Administration have been blasted for giving a defunct airline (right) $7M will local ferry services received no help. Photo: VINO/Internet Source
ROAD TOWN, Tortola, VI- It seems that only foreign companies can obtain easy access to taxpayers’ monies in the millions to bail out their defunct or struggling businesses.

Take for example BVI Airways, an airline company with zero local ownership, who was able by a stroke of a pen to secure some $7M of taxpayers’ monies to restart a defunct airline that had commenced its operation in 2010 at the Terence B. Lettsome International Airport on Beef Island.

Was it a bad deal?

However, in 2014 BVI Airways abruptly ceased operations in the Virgin Islands (VI) and it was reported that the airline ran out of money, while owing the BVI Airports Authority close to $100,000.

What is even more ridiculous to many is the bailout deal, which is that if no plane flies in November or ever taxpayers cannot recover a dime from the deal that promises direct flights from Miami, Florida to the VI’s Beef Island airport.

Premier Dr The Honourable D. Orlando Smith, an At Large Member, told the public that flights will start in November 2016 but it was unearthed in the House of Assembly (HoA) on September 22, 2016 that many approvals needed from the US Department of Transportation  and the Air Safety Support International (ASSI)- the VI regulators- have still not been secured. This means that the public and taxpayers were again misled by the Smith Administration as flights are unlikely to commence next month.

No Help for local ferry companies

The Public was also misled by the Minister for Communications and Works Hon Mark H. Vanterpool (R4) on September 23, 2016 at the First Sitting of the Second Session of the Third House of Assembly. Hon Vanterpool claimed that “government intends to do more for the local ferries.”

However, our newsroom contacted three ferry companies that transport passengers between Tortola and St Thomas, USVI and were told that they had not gotten any call from the Minister.

One owner, who did not want his name used, said “I see Mark all the time and we talk about ongoing issues especially the rules the US imposed on us, but never about subsidising our operations.”

Hypocrisy/double standards

Research  by own newsroom  found that under the Virgin Islands Party Administration [2007-2011], subsidies and support were given to the ferries to transport persons to Anegada; however, not a dime beyond  that for plying the route between the USVI and the VI where most of the tourists and locals use to get to the VI.

Nevertheless, the public sees it as unfair that an overseas company can get a free $7Million USD bailout with no strings attached, only a promised of direct flights between Miami and Beef Island, however, locally owned businesses that pay most of the taxes and other port fees cannot secure a dime to help their operations with sea transportation.

Minister Vanterpool promised “to do more to try to help,” however, he did not elaborate in the HoA but instead chose to talk about BiWater, a company that is no longer in the VI.

20 Responses to “After a $7M tax payer bailout for BVI Airways not a dime for local ferries!”

  • ndp (09/10/2016, 10:13) Like (23) Dislike (1) Reply
    WE ONLY NEED THE LOCALS FOR VOTES
  • dye head (09/10/2016, 10:17) Like (21) Dislike (1) Reply
    He don't even want to rebuild a bigger ferry terminal much less subsidize them.
  • we stupid sah (09/10/2016, 10:19) Like (13) Dislike (0) Reply
    We made those broke guys instant millionaires
  • $250,000 (09/10/2016, 10:43) Like (9) Dislike (0) Reply
    school children say the NDP give one ferry company a loan but Barry said you will hear and its not Bobby Hodge
  • Glover Parks is back (09/10/2016, 11:12) Like (7) Dislike (1) Reply
    so interested to see how the NDP always try to change the subject we call that in DC payvet
  • voter (09/10/2016, 11:13) Like (12) Dislike (2) Reply
    Lets call it what it was a shareholder bailout.
  • R H (09/10/2016, 12:40) Like (17) Dislike (0) Reply
    someone got a kick back from the seven million
    • But of course (09/10/2016, 17:45) Like (3) Dislike (3) Reply
      @RH, of course someone got a kick. Someone will always get a kick back on the down low. I made a deal with someone on some simple S$$t and I got kick back money.
  • The Auditor (09/10/2016, 15:18) Like (7) Dislike (0) Reply
    My dear hearts and gentle people trust me, the $7 million which was advanced to this company to get the ball moving can only be described as the cotter, the bundle will follow shortly. Believe it or not, the signed agreement calls for this Government to fun the full cost of operating this service in the BVI, in the air and in Miami which includes salaries plus accommodation for all concerned. The fact of the matter is, our Government officials and their local advisors do not have a clue as to the extent of the financial burden which this ill conceived plan will place on the coffers of this country. Time will tell.
  • facts man (09/10/2016, 16:18) Like (6) Dislike (2) Reply
    Children going to bed hungry but 7 million to bail out the white man
  • dog (09/10/2016, 17:06) Like (5) Dislike (0) Reply
    Awful, awful, awful...poor we locals
  • just asking.... (09/10/2016, 17:12) Like (7) Dislike (0) Reply
    when will Virgin Islanders say: Enough is enough.
  • Political Observer (09/10/2016, 18:19) Like (7) Dislike (0) Reply
    Government cannot look at airlift and sealift as discrete components but view them both as a transportation system. It must take a holistic approach to building the transportation system. Thus, economic development assistance for the transportation system must be equally inclusive of airlines and ferries. Investing $7M of taxpayers hard earned and scarce money into BVI Airways, a defunct airline, was not a best management practice nor IMO was it using sound judgment or taking sensible risks. Government business is the people's business. So why not release the terms and conditions of the agreement between the people and BVI airways? Is there something to hide or be ashamed of?

    What is good for the goose is good for the gander. If government can play loosy goosy with an external airline company, why cannot it do the same for the local ferry companies? That said, it must be effective stewards of taxpayers money? Governments are elected to exercise effective stewardship of resources. In Oppostion, government campaigned on being better stewards than the previous government. Well, show me the the money.

    Moreover, economic development investment money must come with gurantees of some sort, i.e., hiring a certain number if people by a certain time, maintaining a set schedule for a minimum time, filling a number seats by a certain time......etc. Funding should be made when the established terms and conditions are met or for work put in place ( material and equipment bought). Payment should not be front loaded but rather performance-based.
  • No (09/10/2016, 20:19) Like (7) Dislike (0) Reply
    Forget the ferries (its Sunday, I'm using a friendly "F" word). Give them $7mil and guess what they will do with it? Not a thing for the customer. Trust me. There is a lot they can do right now and it wouldn't cost them one red cent extra. Advice to "local" ferries, instead of spending on s#!t with your money, start with fixing your seats, clean your boats and here is the kicker.........come up with a reasonable schedule and stick to it!
    • agreed (10/10/2016, 09:42) Like (2) Dislike (0) Reply
      Agreed! Even a smile they could bestow,a good Mawnin,all for free.
  • Sherry (10/10/2016, 00:16) Like (7) Dislike (0) Reply
    I have members of my own family in the states not coming home more often because of the ferry schedules not meeting the flights in St Thomas. Some ferries last boat is at 3:00!! The flights can come in up to 4:00. If they do get an earlier boat the race is on to try and catch it at Red Hook. This is inexcusable if you want more visitors.
  • wize up (10/10/2016, 09:40) Like (2) Dislike (0) Reply
    It is far cheaper to travel from main land USA to The US Virgin Islands and Puerto Rico...travel from USA to Britain Virgin Islands is always more expensive because BVI is seen as foreign destination out of the USA; travel to USVI or Puerto Rico from USA is considered domestic travel: it would have been wiser to set up an airline to offer travel from barbados, Antigua, st maarten to BVI; airlift for the European travelers coming to BVI.....Air BVI already had the route rights for the southern caribbean from beef island.....old people use to say penny wize pound foolish(Miami to Beef Island)....simply put a better ferry service from USVI to BVI; air travel will always be far cheaper from USA to St Thomas plus travelers have more options from various cities in the USA to USVI....whatever happen to travellers from Atlanta, New York because BVI Airways only serving Miami to Beef Island.....a fool and his money is soon parted
  • Real (10/10/2016, 12:16) Like (1) Dislike (0) Reply
    A revolution (from the Latin revolutio, "a turn around") is a fundamental change in political power or organizational structures that takes place in a relatively short period of time when the population rises up in revolt against the current authorities.
  • Struppz (10/10/2016, 13:01) Like (0) Dislike (0) Reply

    THE NDP IS SH*T!!!!!!!!!!



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