News from the Turks and Caicos Islands for
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Commentary: National health care - Part two
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| Published on Friday, October 30, 2009 |
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By David Tapfer
The Turks and Caicos Islands is still waking up to the realisation that the Floyd Hall national health care programme will be the building block that breaks the camel’s back. According to the interim government we are taking in $11 million in monthly revenue and have monthly obligations of $12 million. Therefore we are adding $1 million to our national debt every month.
New taxes have been assessed on the residents outside of health care. Fees for transferring money, an increase in customs duties of an additional 2.5 percent, or 8 percent of the tax; hotel and served food tax increase of 1 percent on the food or hotel is 10 percent of the previous tax. On and on it goes and what will be the result? I believe people will now import less, buy less and transfer less money through agencies.
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| David Tapfer is a retired, US-born engineer and management executive. He is married to Yvette Robinson, a TCIslander born in Middle Caicos and raised in North Caicos. They have a home in Conch Bar, Middle Caicos. He is also the chairman of the Middle Caicos Branch of the opposition Peoples Democratic Movement. |
Net result: less revenue not more. This concept has been proven time and again in country after country. The British did not learn the lesson when old King George assessed a small tax on tea going to their colonies in the Americas and the result was they lost the world’s biggest economy and thousands of British and American lives in 1776 and later again in 1812 when they struck back, interfering with American seamen and ships on the high seas.
However, the tourist season will arrive soon and, despite cut backs, we expect to see revenue rise temporarily. The budget folk can pay some old bills in January, February and March. However, come April a disaster is due to strike. It is called national health care.
We are due to start paying $2 million per month for hospitals, plus $2 million per month to Interhealth Canada and an estimated $1 million a month for overseas health care. Total $5 million per month. They hope it will be less but it probably will be more. Three times as many people will be using the system and, while fewer cases will require referral to the USA or Nassau, there will be three times as many cases to consider, as the plan now includes each and every legal resident.
The plan assumes the government will collect $1.5 million per month from all the workers. They estimate there are 22,000 workers. This assumes that more than two out of three residents here are employed or twice the number of the total population of Turks and Caicos Islanders -- 11,000.men woman and children. One can only wonder who concocted these numbers even in the good times.
It is obviously so wrong. We cannot stop it says Governor Wetherell. It’s wonderful says Desiree James, John Smith and even Dr Ewing. The question is where the money will come from.
We are looking at a monthly shortfall of at least $4 million per month. The numbers don’t make sense and the hospitals themselves do not make sense. A 128-bed hospital under construction in the British Virgin Islands will cost only $90 million. That is about 100 beds more than we are getting and we are paying at least $30 million more. Something does not smell right.
Then we are told that $60,000 or more were paid as honorariums or payoffs to those in government. The names are not given and why not? Were some of our British overlords or assignees part of the payoff? Or was it the same old PNP ministers? They would have asked for more; maybe they planned to get it from the price overruns. It looks like the British do not want to explain the difference. One wonders if they understand it. We have a need to know, as the people will now pay the bills, including the honorariums. Why is the contract a secret? If Interhealth does not want us to know where they borrowed the money, redact that part but show us everything else.
The facts are there and they are indisputable. Starting in April we will be adding $4 to 5 million in new debt every month unless the British ask every Turks and Caicos Islanders to pay thousands more in taxes. Stand by to be boarded. Otherwise the TCI government will join Nikki Beach, Dellis Cay, Royal Reef and a number of others in receivership.
If real estate taxes are assessed, the Turks and Caicos Islanders cannot and will not pay it. Is this what we call recovery -- taking back peoples personal property? Frightening, I think.
There is another and very valid point. It is called contingent liability born out of the co-signing of all the smelly deals that went down the last six years. If an individual co-signs on a auto loan, he or she is responsible when the prime borrower defaults. If you co-sign for your child and that child through their fault or without any fault cannot make the payment, the co-signer must pay.
Governor Tauwhare, placed here by the British Foreign and Commonwealth Office (FCO), co-signed the health care plan, as well as numerous other questionable and corrupt deals. He signed on behalf of the FCO and the British government. It is time now for the British to either cancel this contract or accept financial responsibility for it.
Someone has been asleep at the switch (track) and our future train is about to be derailed.
I have been saying it for years now. We are broke. Now, with the world economy in tatters, we can only recover with fresh ideas, fresh and honest leadership and those whose agenda benefits the Turks and Caicos Islands. | | | | Reads : 393 |
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