Contribution to the Throne Speech

By Hon. Moses Kirkconnell

Deputy Premier and Minister responsible for

District Administration, Tourism and Transport 

Madam Speaker – I rise to share my contribution to the Throne Speech presented by Her Excellency the Governor, the Budget Address delivered by the Honourable Minister of Finance and the Policy Statement, ‘Getting Back on Course” delivered by the Hon. Premier.  I take this opportunity to congratulate them on a job well done.

In her address, Madam Speaker, Her Excellency has outlined the major policies and objectives that will be undertaken by the Government during the 2013|2014 financial year.

In my contributions here today, Madam Speaker, I will address the focus and specific initiatives in my Ministries, which include District Administration, Tourism and Transport.   I believe we have been charged with growing job opportunities and improving the quality of life for Caymanians.  It is with this filter, Madam Speaker that we evaluate and prioritize all of our policies and programmes.

During the 2013|2014 financial year, Madam Speaker, the emphasis will be placed on facilitating private sector investment throughout the Cayman Islands; improving and growing the public infrastructure on Cayman Brac and Little Cayman with the commencement of island-wide piped water on Cayman Brac; the preliminary works for the conversion of the multi-purpose building on the Bluff to the new campus of the Layman Scott Senior School; and improving infrastructure directly related to our tourism product: namely our three airports, and the cruise berthing project in Grand Cayman.  As stated by Her Excellency the Governor, my Ministry will also be implementing various cost-saving methods through increased efficiencies, enhanced coordination, and effective use of resources.  In other words, breaking down government silos.

Doing more with less

Madam Speaker, in the Budget Address the Honourable Minister of Finance described a prudent, disciplined plan.   Madam Speaker, as we all know, a country’s budget defines the investments from which the Government’s outcomes are realized.  In the current economic climate, the Cayman Islands Government has put forward a budget that “does more with less”. That, Madam Speaker, is precisely what has been done.

Specifically, in My Ministry we have been – and will continue – to scrutinize each dollar spent to ensure we get the maximum benefit with the people’s funds.

This government’s pledge to do more with less is evident in the policies and programmes we have already begun in these first few months. They demonstrate our commitment to improving government’s efficiency, ensuring value for money, and investing for maximum return.  We believe we enhance benefits by facilitating Private Sector investments that create jobs and improve the lives of our citizens.  This facilitation includes prudent policies, infrastructure investments, and good governance to improve investor confidence.  Simply put, creating an environment for success.

District Administration

Madam Speaker, I will first outline the plans for one of the most important areas for which I hold responsibility- District Administration.

Madam Speaker, District Administration is much more than a department or subject area, as you well know.  Having Constitutional responsibility for District Administration means that as Minister, I have the responsibility for the sustainable development of Cayman Brac and Little Cayman while being sensitive to the islands’ unique characteristics.  This is a responsibility that is near and dear to my heart and one I wholeheartedly welcome.

Madam Speaker, I am committed to increasing job opportunities, and improving the quality of life in Cayman Brac and Little Cayman through both my Ministry and by working with my colleagues in other Ministries.  These two objectives require the development of infrastructure that is fit for purpose and the resolve to judiciously develop programmes and policies that incorporate the talents and assets of all three islands. This, Madam Speaker, is my commitment to the people of Cayman Brac and Little Cayman during my term as Minister.

Growing Job Opportunities

The first initiative that I would like to announce is the establishment of a Cayman Airways Reservations Centre on Cayman Brac.  It is common knowledge, Madam Speaker, that a Reservation’s Centre can be established almost anywhere because of advances in technology.  Through the work of my Ministry together with Cayman Airways, this facility will be established shortly. This initiative, Madam Speaker, will promote job growth on Cayman Brac and the disaster mitigation efforts of Cayman Airways. Madam Speaker, the Reservations Centre facility will be coupled with a Cayman Airways Cargo Facility, which will also create stable employment on Cayman Brac as well as offer services that will add to the long term sustainability of Cayman Brac and Little Cayman.

Madam Speaker, we are also continuing discussions with Mr. Cleveland Dilbert concerning his application to build a marina on Cayman Brac and hope to make an announcement soon with regard to this project.

Madam Speaker, another example of thoughtfully developing programmes that incorporate the talents and assets of all three islands is the work of the Cayman Traditional Arts Initiative.  My Ministry will be supporting their initiative to ensure that every Caymanian child knows who they are and where they come from; The Cayman Traditional Arts initiative gives our next generation a deeper understanding of our heritage and culture, taught through history and art traditions of the Cayman Islands.  This initiative will employ local people skilled in our traditional arts and crafts, in order to pass on these priceless traditions and preserve our culture.  This is an excellent example of how we can wisely use our resources to provide jobs while investing in our most valuable asset for competing with other jurisdictions in the tourism industry.  This of course, is our people and our culture, which creates the charm that attracts visitors to our shores.

Madam Speaker, the final initiative I would like to announce is the commencement of ‘Tall Ships’ calling on Cayman Brac and Grand Cayman early next year. The route to be sailed is Grand Cayman, Southern Cuba, Cayman Brac, and back to Grand Cayman.  These Tall ships will bring adventure-minded tourists to experience the unique qualities of each island.  Madam Speaker, this is another example of thoughtfully developing programmes that incorporate the talents and assets of all three islands.  This initiative will benefit employment on Cayman Brac through the transportation of cruise visitors on various tours.  The types of tours envisioned are a general island-wide tour, an historical tour, and a tour of our caves. There will also be opportunities for cruise visitors to be taken on scuba and snorkeling excursions.  Additional expressions of interest regarding potential sites to be visited are the Lighthouse on the Bluff, the Public Beach, and the Brac Reef Beach Resort. Madam Speaker, I am in full support of this initiative, which leverages opportunities in the cruise industry to promote the experiences offered through a combined vacation including both Grand Cayman and Cayman Brac.

Improving the Standard of Living

Madam Speaker, I will now outline the Ministry’s plans for the infrastructure projects that will be started on Cayman Brac.  Her Excellency and the Honourable Premier have highlighted some of these plans and I will seek to elaborate on them.

First of all Madam Speaker, I will address the enhancement of the Charles Kirkconnell International Airport by the Cayman Islands Airports Authority.  This expansion is to include an area for hold baggage screening, which will include an X-ray Machine for checked baggage.  Madam Speaker, this improvement will allow for the processing of international flights in Cayman Brac.  With this increased capacity in place in Cayman Brac, it will allow a Cayman Airways route to destinations in Eastern Cuba.  This initiative has great potential, given the lucrative market that eastern Cuba represents.

Further phases of expansion to the Charles Kirkconnell International Airport will include an expanded departure lounge facility and an enlarged arrivals facility. This will help to relieve some of the stress on Owen Roberts Airport and promotes the use of our airports for maximum economic benefit.

In Little Cayman, Madam Speaker, efforts are underway by the Cayman Islands Airports Authority to build an airport that will be in compliance with international aviation standards.  This proposed facility will be constructed on Cayman Islands Airport Authority property.  The first phase of this project will be the runway.  The justification for this project, Madam Speaker, is that it will allow for a more cost-effective turbo prop aircraft to service Little Cayman.  Once again, Madam Speaker, the underlying goal is the long-term sustainability of the Sister Islands through purposeful infrastructure.

Other strategies for Little Cayman, Madam Speaker, include plans for a new boat ramp and dock for the north shore, continuation of the road improvement programme, and ongoing dialogue with the tourism partners on the Island to maintain and enhance their vibrant tourism offering.

Madam Speaker, the Cayman Brac certified FIFA pitch on the Bluff is to be improved with amenities that include changing rooms, bleachers, perimeter fencing, and flag poles.  These improvements will allow for international football matches to be played on Cayman Brac.  Essentially, Madam Speaker, this project will be the impetus for the beginning of Sports Tourism on Cayman Brac.  Just this week we met with Concacaf reps to discuss how they will use this field for future Cayman Island tournaments.  This project will also provide temporary employment on Cayman Brac during the construction period.

In addition to enabling Sports Tourism that will create jobs, the Sports facility will provide our young people the facilities to develop their talents and build character from team participation.

The Affordable Home programme is positioned to begin construction of four additional homes before the end of 2013 creating more job opportunities in the construction industry.

Our youth, Madam Speaker, currently attend the only Secondary School on Cayman Brac. It was constructed some 40 plus years ago and is in need of upgrading.  In the spirit of doing more with less, we will re-purpose the Hurricane Shelter on the bluff.    This repurposing will minimize the cost of building a new school, by using the structure already built and completing it as a purpose-built secondary school.  During emergencies, it can function as a hurricane shelter thereby serving as a dual-purpose facility.  And, Madam Speaker, as you know it adjoins the sports field giving our students immediate access to world-class facilities, and eliminating the costs associated with building a separate field for the school.

This project will be undertaken in phases, with the initial concept drawings being currently discussed by the Ministry of Education, Ministry of District Administration, and the Public Works Department.  I would like to share some of the initial thoughts of the concept being developed.

It is envisioned that the main building of the project as it currently stands will serve as a multipurpose hall, the heart of the school if you will.  The upstairs areas of the current main building will serve as the administration area.  It is also envisioned that classroom blocks can be built out from the existing main building in order to suit the educational needs of our students.  I look forward to updating the public, especially those on Cayman Brac, as I receive more specific information to share regarding this project, which will help to ensure the long-term sustainability of the delivery of education to our students on Cayman Brac.

Madam Speaker, the last infrastructure project I would like to summarize is the realization of piped water throughout Cayman Brac. Currently Cayman Brac has two of the three major utility providers, electricity and communications, which includes telecommunications, data communications and television.  The third service utility: water, is currently available only on a very limited basis.

However, this year marks the 30th Anniversary of the Water Authority Cayman and their Board of Directors have approved the continuation of piped water throughout Cayman Brac. Work is scheduled to commence in November and is expected to create at least eight new jobs.  I am intently looking forward to this service, which will add to the long-term sustainability of Cayman Brac as a thriving community for many years.

District Administration Wrap-up

Madam Speaker, the initiatives and programmes that I have outlined have a single focus– the sustainable development of Cayman Brac and Little Cayman.   Each of these projects show case this government’s commitment to grow job opportunities and improve the quality of life in a way that is sensitive to the character of each island.  This focus will continue to be my underlying basis for all future initiatives over the next three and a half years.

Tourism

Madam Speaker, I now turn to the subject of Tourism. While at a global level, Madam Speaker, the effects of the global recession are showing signs of abating, here at home the cries of our people are being heard more loudly than ever. In recent years, the scourge of unemployment has spread across our Islands, and has proven to be no respecter of name, gender, class or profession.

Madam Speaker, this Government is keenly aware that for a country like ours, the tourism Sector is not only a major contributor to the growth of the economy, but a generator of employment opportunities as well. As such, we are committed to addressing this challenge on several fronts in order to facilitate inclusive growth to all sections of the population.

Madam Speaker, tourism works in synergy, with government acting as the catalyst for infrastructural growth and development. And it is for this reason, Madam Speaker that we are seeking to establish an environment that will lay a foundation and provide greater chances of success for entrepreneurs who embrace the Caymanian dream to be successful.

Enabling entrepreneurship incorporates many factors, including the allowance of healthy competition, which in turn leads to product innovation. In this regard, government will rightfully assume the responsibility for positioning the major building blocks required to underpin our future success. However, we also remain committed to breaking down silos so that the participation of various stakeholders can be encouraged, in order for the best opportunities to take hold.

Madam Speaker, since the onset of the recession, the Department of Tourism has redefined its strategic objectives and conducted research to gain a deeper understanding of precisely who our customers are, and exactly where they come from. These actions, along with the incorporation of innovative projects, promotions and marketing initiatives have delivered dividends.

Madam Speaker, I, like the Department of Tourism, am cautiously optimistic that this positive trend will continue.  However, we cannot rest on the past. To the contrary, Madam Speaker, this government has a clear vision for the future, which includes several major building blocks that I am personally committed to accomplishing during my term as Minister.

Madam Speaker, the first building block I would like to expound upon is a robust and equitable framework in order that Caymanians are better able to take advantage of the benefits of our thriving tourism product.

To address this requirement, the Department of Tourism is collaborating with the Ministry of Education to ensure that tourism education is included in schools, and scholarships are available in areas that align with private sector needs.  To support this Tourism Curriculum infusion, Madam Speaker, the Cayman Islands Hospitality School will be established September 2014, and will provide opportunities for Caymanians, school leavers and individuals who have worked in the industry for years, with an opportunity to receive City and Guilds certification in specific core areas of study. In addition, Associate’s and Bachelor’s Degree Programmes will also be available as the provision of tertiary certification is the first key that will provide Caymanians with the opportunity to access the wide variety of opportunities available in the Tourism Sector.

Madam Speaker, on a more immediate basis, a further effort to provide employment for Caymanians is underway.

The Department of Tourism is working with the Cayman Islands Tourism Association on their Tourism Employment Drive, which is being rolled out in every district during the month of October.

This initiative is aimed at building awareness of both the job opportunities and the training available to prepare workers for these jobs.  Through the Department of Tourism’s PRIDE PROMISES workshop, we prepare workers for employment in the tourism industry.  This includes exposure to the basics of customer service and their own role in creating positive visitor experiences.  The workshop also highlights facts about our culture, history and heritage.  The workshop prepares participants to share historical and cultural features of our three Islands and our people.

The ultimate goal of these initiatives, Madam Speaker, is to provide the appropriate types and levels of training to shift the balance and enable Caymanians to be qualified for jobs which are currently, to a great extent, performed by work permit holders.

In terms of entrepreneurship, Madam Speaker, the Ministry of Tourism will be setting up a framework through the Department of Commerce and Investment, to provide assistance to entrepreneurs giving them the best chance of success.  By way of example, assistance and technical advice will be given for the development of business plans, which in turn will assist in securing loans from financial institutions. Help will also be given with website development and social media marketing.  Working with the Department of Commerce and Investment in this manner to offer education, training and support is an inexpensive and readily available distribution channel that will allow smaller businesses to have a better chance at achieving success.

Madam Speaker, the relative success of our tourism sector has highlighted the fact that we have reached a point of diminishing returns if we don’t improve our product. With consumers being increasingly more aware and discerning about how they spend their hard earned dollars, value for money and quality of experience are essential. With the Department of Tourism working hard to increase visitation, negative experiences at entry and exit points – our air or sea ports – completely disrupts what the Department of Tourism is trying to do– drive visitation.

For more than a decade, Madam Speaker, the country has repeatedly been told that we are fighting against fierce competition particularly from destinations with enhanced cruise berthing facilities. At the Florida-Caribbean Cruise Association conference, which I recently attended, this was once again confirmed when we received a further reminder of the product enhancements that our competitors have already completed; along with information on new facilities that are under development. If the Cayman Islands do nothing to address the absence of cruise berthing facilities, we will over time lose our cruise business completely.

Madam Speaker, as an interim measure while government is working on the business case and framework to facilitate the construction of a cruise berthing facility, I am happy to confirm that some progress has been made. Upon assuming office, I took the opportunity along with Counsellor Hew and the Chief Officer to meet with cruise line representatives to explain the improvements planned for the short term in order to encourage more visitors to Cayman.  These improvements along with current world events, have given the cruise lines the confidence to continue booking visits to the Grand Cayman, which is projecting numbers of approximately 500,000 more visitors for 2014 and approximately 700,000 more cruise visitors for 2015. This means that in 2015 we are projected to receive the most cruise passenger arrivals ever in the history of the Cayman Islands! This, Madam Speaker, is a testament to the confidence and partnership that the Ministry has forged with the cruise industry.

Madam Speaker, with two record-breaking years on the horizon, the need to improve the customer experience has become even more critical and time sensitive.  It is therefore timely that upgrades have recently been completed to enhance customer comfort at the Royal Watler cruise terminal. The new amenities include the installation of benches and shading to provide cover and protection from the sun and rain, and designated areas for tour operators, vendors and taxi dispatchers to operate within. Changes to the way passengers are organized from an embarkation and disembarkation perspective have also been instituted, in order to give visitors the best experience possible. The budget also calls for a new restroom block and rest area in George Town by the bus dispatch area.

Having outlined the upgrades at the cruise port, Madam Speaker, I would also like to provide a brief overview of changes which are planned to take place at our other important points of entry – our airports.

Madam Speaker, we are at a point with stay over arrivals where we face another significant guest comfort problem. Simply put, we are bringing in more people than the current facility can cope with during peak travel times. I am sure that anyone who has recently travelled on the weekend will have witnessed that the high concentration of passengers at the airport, is more than the infrastructure can properly manage. As in the case of the proposed cruise berthing facility, attention needs to be placed on improving the customer experience. Madam Speaker, the medium term goal is to redevelop the airport and increase its footprint so that it can comfortably accommodate much higher passenger quotas in the departure and arrival areas in the peak periods. Until this can be affected, the decision has been taken to implement a series of cost effective improvements over the short to medium term. These include the covering of inbound walkways to protect passengers from the elements on arrival and departure; as well as entertainment and refreshments, such as our world famous rum cake to be available during the peak winter season.  Additionally, the need for improved outbound immigration checks will also be examined.

Madam Speaker, these measures are being introduced to ensure that passengers receive the best entry and exit experience possible, because we know that the last impression is a lasting one, and if it is less than ideal, it can ruin what would otherwise have been considered a fabulous vacation experience. However, when a visitor’s experience ends on a positive note, visitors are more likely to return and more likely to recommend a Cayman Islands vacation to their families and friends.  To ensure that the experience is great on the way in and way out, attention is also being paid to customs and immigration interactions.

Madam Speaker, as I have outlined, Government is clearly committed to taking care of every component of the visitor continuum and is reaching visitors more effectively through the Department of Tourism activity.  Supplementing this effort, Cayman Airways is also being used more strategically, enabling markets to be serviced that are not only lucrative, but that other airlines are not currently servicing. We are fortunate to have a national airline, Madam Speaker, and the Cayman Islands Government has historically never provided revenue guarantees, or paid airlines to fly into our destination. Going forward, Madam Speaker, Cayman Airways will be used more efficiently, to ensure that we continue to stimulate the right markets and build the right air bridges that our destination needs to ultimately increase tourism arrivals.

A good example of how Cayman Airways can be used as a strategic marketing tool is in our quest to be considered as the ‘divers airline’ of choice. By working with the private sector and ensuring that the booking process is easy and such things as dive bags can be carried free, there is no reason why this aspiration cannot be fully realized in the not too distant future.

Madam Speaker, I will now speak to our tourism product.

As a mature destination, we must face the uncomfortable fact that aspects of our tourism product have become stagnant and aged. As an Island blessed with natural beauty and magnificent waters, it is easy for complacency to set in, and we forget that other destinations are constantly refreshing and adding to their tourism products, in the hopes of enticing visitors to their shores.

Madam Speaker, as a government we are committed to playing our part in taking care of some of the ‘big projects’- such as the redevelopment of the airport and the building of the cruise berth. Private sector too is playing their part by developing new accommodation products which will help us to secure our positioning and competitive edge in the tourism sphere.

Madam Speaker, in recent months, news has been released confirming the Kimpton boutique hotel and the redevelopment of the former Hyatt Hotel. In addition to these two exciting projects, I am pleased to announce that two additional Hotel properties are planned for development on the Eastern side of the Island, and are expected to come on stream over the next 2-5 years.  These new developments will expand our existing room stock, add more diversity to our accommodations sector, and will underscore our reputation for offering a high-end, cosmopolitan and sophisticated tourism product. I would like to publically thank the Cayman Islands Tourism Association, as well as the major properties both planned and existing, for their continued commitment to the Cayman Islands and their willingness to work as true partners with this government toward the common goal of sustaining our tourism industry.

Madam Speaker, with that said, we must be mindful that we have a fine line to play between regulating and protecting the supply of tourism providers, and allowing new opportunities for Caymanian small business entrepreneurs. I am of the view that healthy competition is the catalyst that spurs innovation and new ideas, which in turn keeps the destination functioning at the cutting edge.  We cannot afford to take continuing success and the growth of the tourism sector for granted.  Rather, we must strive to continually improve our product, develop through careful planning, and implement refined marketing strategies to ensure our Country remains at the cusp of innovation, quality and customer value.

Madam Speaker, the Cayman Islands tourism industry continues to do well from an arrivals standpoint, however there remains a gap from a Caymanian participation perspective, which means Caymanians are not directly benefiting from the industry as much as we would like. This will be resolved over time through the provision of education and training, and by working closely with the private sector to close the loop on employment opportunities in order to ensure Caymanians are rightfully given every opportunity to be successful.

This Government is taking steps to ensure that through the collaborative efforts of the Ministry of Tourism and the Department of Commerce and Investment, a robust and effective framework is put in place to assist Caymanian entrepreneurs and small businesses, and increase their chances of success and sustainability. The development of both ports of entry is integral to the future growth and sustainability of our tourism industry, and this government will ensure that the major elements are completed within the next few years. This will give the second pillar of our economy, and major contributor to our GDP, the best possible chance to maintain the positive momentum that has achieved over recent years.

Madam Speaker, this government is striving toward product innovation and quality within the private-sector tourism offerings to allow for further opportunities for our citizens. We will ensure, Madam Speaker that in the future, every person working in the tourism industry possesses baseline knowledge of the most important aspects of our heritage, history and culture, to ensure a strong brand-essence moving forward.

Madam Speaker, I believe I have described the initiatives that clearly illustrate a bright future for the tourism sector and a viable way forward for the sustainable development of Cayman Brac and Little Cayman.  I look forward to working with the talented and experienced staff in my Ministry and our private sector partners to grow job opportunities and improve the quality of life for all who call these Islands home.

Thank you Madam Speaker.