PHILIPSBURG–Princess Juliana International Airport should be able to make payroll this month if a US $5 million bridge loan from government reaches its account in time.
Finance Minister Perry Geerlings pleaded with Parliament on Thursday to allow him to make the transfer to the airport ahead of presenting legislation that would formalise the change. He took this route to go to the Central Committee of Parliament for a nod of approval due to the lengthy process of drafting the needed legislation and having it vetted by, among others, the Council of Advice.
Geerlings’ approach was not welcomed, in particular by opposition Members of Parliament (MPs) who pointed out that entire procedure was confusing and appeared not to make sense.
All MPs agreed the airport should get needed funds. However, opposition MPs were weary of granting anything to the minister without the law.
The $5 million will not come from taxpayers. The funds will be deducted from liquidity support extended to St. Maarten by the Dutch government. The void created by the sum to be given to the airport will be filled when the full bridge loan of $15 million is transferred from the Dutch government-financed, World Bank-administered Trust Fund.
Geerlings explained that government will be the conduit of the $15 million bridge loan. When that sum is received, the $5 million government gives to the airport will be subtracted. There is no interest attached to the loan and the term for repayment is three months.
Several MPs as well as Geerlings are in favour of an investigation into why the airport’s reserves were so quickly drained after Hurricane Irma on September 6, 2017. The airport was one of the hardest-hit of the country’s major assets. Rebuilding is still ongoing.
Source: The Daily Herald https://www.thedailyherald.sx/islands/84739-govt-will-transfer-us-5m-to-airport
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