News Release
Office of the Official Opposition

   

 

Liberal MHA wants commitments for Towns

Does not trust FPI or PCs to keep commitment

June 14, 2005

Percy Barrett, Liberal MHA for the District of Bellevue, wants provisions put in place within the changes to the FPI Act that would ensure the company is forced to keep its commitments to the people of Bonavista and Fortune.

"I have some very serious concerns that if we vote to give the company what they want, there is no way of holding the company to the commitments they have made," said Barrett. "The government needs to have these commitments or some stronger security provisions put directly into the legislation we are debating."

The Liberal MHA has moved an amendment to the legislation with the intent of getting government to require the company to put a portion of the funds raised through the Income Trust transaction into a special fund. This will ensure the company has no way of getting out of the commitments they have made.

"As it stands now government does not have adequate penalties to use against FPI to ensure they keep their commitments. There are too many loose ends with this piece of legislation. The company is not required to put their valuable shellfish quotas up as security and, if the legislation is passed, the company will be able to do pretty much what they want unless changes are made."

Barrett says he is concerned about the whole process regarding these changes to the FPI Act. "This company was established in the 1980s with a significant infusion of taxpayers money and it was established through an Act of the legislature, recognizing the importance of the fishery to rural communities. We should not be moving hastily to give that up because I think that initial purpose is still relevant today, maybe even more than when the company was established. Rather than acting from fear, we should be moving forward with confidence in our ability to create a fishing industry in this province that can be competitive internationally. We must also recognize that the people of this province are the owners of this fishing resource and the workers are the people who built this company. The interests of Newfoundlanders and Labradorians must also be served."

Reasoned amendment moved by Member for Bellevue:

Need for provision of to ensure commitments to Fortune and Bonavista are kept

That all the words after the word "That" be deleted and the following substituted therefor:

"This House declines to give second reading to Bill 41, an Act to Amend the Fisheries Products International Limited Act, until provisions are made so that the portion of the funds raised through an Income trust necessary to fulfill commitments made by the Company to the communities of Fortune and Bonavista can be placed in trust with government to ensure that these commitments are kept."

Media Contact:
Jeff Mackey
Communications
Office of the Official Opposition
709-729-6427 or 709-685-3128