Ministerial Statement: Fourth Update on the Stimulus Programme

Friday, July 16th, 2021

Good Morning, Mr. Speaker.

I am pleased to provide another update on the Short Term Stimulus Programme that was launched on December 17th, 2020 to a maximum value of BMD $13,385,000 where small to medium sized contractors were invited to participate.

Mr. Speaker, the programme was launched as it wasdetermined there was an urgent need to provide stimulus to the local economy in order to retain and boost employment numbers in the wake of the economic downturn sparked by the COVID- 19 pandemic. As aresult the Ministry of Public Works compiled a list of“shovel ready” projects that are executable almost immediately. These projects are mostly infrastructure improvements and will not add further burden to government operational expenses. The project’s selection principles are to maximize the employment of the private sector while providing much-needed refreshing of neglected infrastructure.

Mr. Speaker, to ensure a fair and equitable allocation of the stimulus funding across the participating businesses, the Ministry maintains a register of approved contractors and awarded contracts to ensure that no one company monopolizes the project list. Once a company obtains a project, they will be rotated to the bottom of the list toallow other companies an opportunity for work. Theguiding principle is to prioritize all companies that provide the most employment benefit per dollar spent while spreading the work among Bermudian owned and operated businesses.

Many of these small to medium sized businesses have never worked for government before and oftentimes the challenge is cash flow. In light of this we have arranged with the Accountant Generals Department to accelerate the payment schedule to every two weeks – noting that those who owe government money must engage in a payment plan in order to secure the work.

Mr. Speaker, as of today 9 projects are ongoing, 5 are completed and 2 projects that have been awarded are awaiting start dates. Total of 16 Projects underway.

The 9 Projects currently ongoing are as follows:

• Flatt’s Bridge handrail project – work underway.

• Artemis building B Interior Work – Started May 21, 2021 – Duration 8 weeks

• Elbow Beach Access – May 17th, 2021 – Duration 5 weeks. Substantial completion has been achieved with the steps poured and in place. Waiting on fabrication and installation of handrails which should be complete in 2-3 weeks.

• New Plant Inspection Building at Botanical Gardens – Started May 24th – Duration 16 weeks

• Verandah repairs at Camden - Started week of May 30th – Duration 12 weeks

• Road Side Fencing Project 2 – Started June 7th – Duration 4 weeks

• Dock Maintenance Pack 2 – Started June 14th – Duration 6 weeks

• Dock Maintenance Pack 3 – Started June 14th – Duration 6 weeks

• Darrell’s Wharf Dock Repairs – Started June 28th – Duration 4 weeks

Mr. Speaker, 2 Contracts awarded but awaiting start date:

• Artemis Building B – Wash-down Area – Awarded to Heart and Soul Construction. Start date is August 2nd.

• Waste water section landscaping project –Awarded toUnity Edible Landscapes

– Start Date is August 2nd – Duration 4 weeks

5 Completed projects:

• MDL Lab – Completion date June 11th – with official opening conducted yesterday.

• Artemis Building A - Loading Dock Repairs – Completed June 16th

• Global Innovation - Road Side Fencing Project 5 – Mullet Bay Road St Georges

– Completed July 7th

• Creative Exteriors Management - Road Side Fencing 1 – Smith’s South Road– Completed July 9th

• Brown and Co. Road Side Fencing 3 – Government Hill – Completed July 9th

Mr. Speaker, Projects out for RFQS or evaluation:

• Cleaning Pembroke Canal – RFQ received May 6th – Evaluations ongoing. Pre contract site meetings scheduled for next week.

 • Roadside Vegetation Removal – RFQ received May 5th – Evaluations ongoing.

• Quarry Slate Shelter – RFQ received June 9th – Still undergoing evaluations as there was a large discrepancy in price between contractors.

Mr. Speaker, Financial

• Spent to date - $1,618,735.14 (12% of Stimulus Funds)

• Contract Value awarded to date - $4,875,308.70 ( 36% of Stimulus Funds)

• 14 out of 93 Companies have been awarded StimulusContracts.

We are very pleased with the response to the StimulusProgramme thus far from both contractors and likely employees – all of whom want to get to work and help the economy improve. These projects are bearing fruit and one can expect to see a continuation of Stimulus activity occurring around the country.

Thank you, Mr. Speaker.