Instead of cutting the budget to charitable organizations and in other crucial areas, the government should have cut the $12 million it provides Kerzner International and other resort operators for marketing and public relations efforts, said Leader of Opposition Business in the House of Assembly Obie Wilchcombe, while contributing to debate in the House yesterday on the 2010/2011 budget.

Wilchcombe said that since Kerzner started operations in The Bahamas, the resort has received subsidies from the Ministry of Tourism's budget. He claimed that at $4 million per year, Kerzner has received well over $50 million in government subsidy for marketing and promotions, in addition to millions of dollars worth of concessions.

"I was happy to see that the Managing Director of Kerzner International (George Markantonis) said that he has no problems with the new taxes and has confirmed that the hotel is spending approximately $100 million in several phases of expansion and that Kerzner will eventually employ an additional 400 Bahamians," said Wilchcombe, who is the parliamentary representative for West End and Bimini.

"The $12 million that would usually come from the tourism budget could be redirected to provide the subsidies for the private schools and for the charitable organizations and could assist even with mailboat subsidies."

While slamming the government for its decision to slash subsidies to private schools and charitable organizations, he also criticized the government for failing to consult the opposition on impending salary cuts for parliamentarians.

Prime Minister and Minister of Finance Hubert Ingraham revealed last week that as part of overall measures to boost government financing during what is expected to be another difficult fiscal year, he would take a 16 percent pay cut, Cabinet ministers would take a salary slash of just over seven percent and parliamentarians are being asked to take a five percent pay cut.

"Just as the government must sit with union leaders before unilaterally suspending increments or discussing salary deductions, the government should have spoken with this side before making the announcement," Wilchcombe said.

"It appeared to be more of a public relations gesture than a serious effort to send the message that we are all in this boat together. It would have been, I believe, an even stronger message if the prime minister were to reduce the size of his Cabinet."

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