February 20th, 2015
Hon. Mr. Hubert Hughes
Chief Minister of Anguilla
Minister of Finance, Economic Development,
Investment and Tourism
Government Offices
The Valley
Anguilla
Dear Mr. Hughes,
On Tuesday February 17th, 2015 at a meeting at the House of Assembly called by you, I made two statements that I have decided to address in writing.
The Anguilla Hotel & Tourism Association (AHTA) is of the opinion that the two contracts relating to the marketing of Tourism on Anguilla namely, the contract with the Britto Agency and the contract with Cheryl Andrews Marketing Communications should not be re-issued prior to elections. These contracts as we understand it have either just ended or are about to end and there is no secret that there has been a certain level of controversy regarding these two agencies. We believe that after the election whichever party takes control can choose whether to resign them or seek alternatives with the advice of the Anguilla Tourist Board and the Anguilla Hotel & Tourism Association. We believe that this will also spare the citizens of this country the expense should another party win the elections and decide not to use their services. The AHTA trusts your understanding and adherence in this important matter.
On Wednesday February 18th, 2015, Seaborne announced its coming to Anguilla. The AHTA and its members are delighted about this announcement as it obviously creates more seats into Anguilla and potentially more business as well. However, we are saddened by the on island statements that have followed regarding this upcoming service. Allow me to back track a bit. In late November 2014, the Honourable Mr. Haydn Hughes contacted the AHTA regarding a proposal from Seaborne Airlines. A meeting was setup for the representative from Seaborne to meet with the Accommodation sector of the AHTA on November 11th, 2014. At this meeting Seaborne explained the proposed service and stipulated that in order for them to fly into Anguilla, they would require Anguilla (the AHTA Members) to pay US $900,000.00 over three years to supplement their proposed losses. This would be paid at $500,000.00 in the first year, $300,000.00 in the second year and $100,000.00 in the third year. After receiving the agreement from Seaborne a meeting was convened between the Anguilla Tourist Board, The Anguilla Air & Seaport Authority and the Anguilla Hotel & Tourism Association on December 18th, 2014. At this meeting, it was decided that we would approach Mr. Gary Foss the CEO of Seaborne to discuss the proposed amount of $900,000.00. Through the efforts of the Anguilla Tourist Board and the Anguilla Hotel & Tourism Association, we were able get Seaborne to agree to $180,000.00 and called it a Marketing contribution over a period of 6 six (6) months that is $30,000.00 a month for the first 6 months of the contract. We were also able to negotiate the contract from a mere 8 months to 20 months.
The agreement between the Anguilla Tourist Board and the Anguilla Hotel & Tourism Association is that the $180,000.00 would be split between both entities 50/50 with the AHTA’s 50% coming from our member properties, and thus the coming of Seaborne to Anguilla was realized. It is sad to see that your government has taken all the credit for this venture when it was clear from the very beginning that the Government of Anguilla was not willing or able to finance in any way the operations of Seaborne. In an email by the Honourable Mr. Haydn Hughes on December 10th he says “I understand the accommodation sector’s reservation and concern regarding the financial responsibility but the Government of Anguilla cannot enter into any Revenue Guarantees with any airline.” The events of the last few days starting with the utter disrespect for the Association on Wednesday at the Seaborne’s press conference to the candidates and supporters of the AUM totally disregarding the efforts of the Association have jeopardized the AHTA from being able to collect these funds from our members. Our members have decided that since the Government of Anguilla has taken the credit for this venture, then it is apparent that they have decided to pay.
Therefore, we are again asking that as I did at the meeting on Tuesday February 17th, 2015, that the $90,000.00 due to be paid to Seaborne by the AHTA be taken from the Tourism Marketing Levy (A fund that was originally started by the AHTA in 2000 for the purposes of Marketing Anguilla). Only then can you truly claim that the Government of Anguilla has brought Seaborne Airlines to Anguilla.
Sincerely,
Mr. Delroy Lake
President, Anguilla Hotel and Tourism Association.
