Budget cupboard bare for housing: Focus on Budget 1999
No new solutions or programmes to ease Bermuda's housing crisis were brought forward in yesterday's Budget.
But the Progressive Labour Party Government did endorse projects -- conceived during the United Bermuda Party's reign of power -- by the Bermuda Housing Corporation.
And Finance Minister Eugene Cox pledged a $6.75 million grant to the Bermuda Land Development Company for roads, sewage and the demolition of unsafe buildings on the former US navy baselands in St. Davids.
That will indirectly assist in the BLDC's scheme to build 54 houses and thereby increase supply and allow middle-income earners to move there, hopefully freeing up houses for low-income families.
But it is a quarter of a million dollars less than the BLDC got last year.
The Housing Corporation was granted $2.1 million to offset the loss from its operations and thereby comply with legislation demanding the Government ensure the body breaks even.
But that money was not earmarked directly for projects to alleviate Bermuda's housing problem with the Corporation's two projects to be funded through the private sector.
It was a half-a-million-dollar hike on the previous budget to make up for a loss of income from planned rental increases which had not occurred.
In presenting the budget to the House of Assembly yesterday, the Finance Minister acknowledged the projects would be completed at a "nominal cost to the Budget''.
The two projects, announced last year, include the revamping of about 100 unused residences for Housing Corporation clients and the building of 100 new, cheaper units around the Island.
A spokesman from the Corporation said yesterday he was pleased with the new Government's support of the projects.
Despite no funds in the budget for extra projects he said the Government's support "in other ways'' was vital and valuable.
He praised Health and Social Service Minister Nelson Bascome for being "absolutely committed to working as fast as possible and utterly committed to genuinely helping''.
Mr. Cox repeated the PLP's election campaign claim that they were committed to "the provision of more and better housing for low-income families''.
"To ensure a healthy population we will determine adequate standards are applied to housing structures and to housing availability,'' he said.
But Shadow Finance Minister Grant Gibbons dismissed the PLP's repeated claims that they would fix the housing problem.
"This is a budget wrapped in political rhetoric,'' he said.
"As far as I can see there are no new housing projects and the new Government has merely said they intend to continue with some projects that were already started.'' HOUSE OF ASSEMBLY HOA
