Some 135 workers and 40 sub-contractors employed on the golf course project by Flag Luxury Properties, demonstrated outside the Government Secretariat on Wednesday.

They demanded that permission be granted to the Company by Friday May 7 to construct a reverse osmosis plant. The workers claimed that following a meeting at the property they were told that if approval was not received by then, work would be closed down for six months. Chief Minister Osbourne Fleming assured the demonstrators verbally and in writing that the matter would be settled by Friday. They however, continued their protest and brought in lawyer Tommy Astaphan to advise them.
Minister of Finance Victor Banks, told the demonstrators that there was a physical planning process to follow. He said the interests of some landowners in that area were being taken into account with respect to Flag’s development plans.

These plans included a sewage treatment plant, a laundry, a reverse osmosis plant as well as a fan field and other amenities including a backup generator.

Banks said that negotiations with Flag Properties had facilitated the movement of the sewage plant, back-up generator and the issue of the fan field was set aside. The reverse osmosis plant was the only issue remaining.

Mr. Banks said that an environmental study was done to satisfy an aggrieved landowner (Paradise Cove) that the plant would not be a problem. The Minister stated that Government was now in a position to convey the facts to the landowner and the Land Development Committee would respond by Friday.

“We are going through the process of satisfying everybody and by Friday these will be answered,” Banks told the workers.

Mr. Astaphan and the spokesman for the workers, Lennard Bennett, were able, with some difficulty, to persuade the workers to leave the Secretariat and return to their jobs. They were told to hold the Government to its commitment.

Following is a press release from Flag Luxury Properties:

On July 5th 2002 Flag Luxury Properties (Flag) made a commitment to the Government and people of Anguilla to build a world class Golf Course and Luxury Hotel in Merrywing on the site of the Former Sonesta Hotel and adjacent lands. The developers made this commitment based on their conviction that the vision set out by the present and former Governments of Anguilla of making Anguilla an unrivalled up-market world class destination was one which was worthy of realization which Flag supported wholeheartedly. Flag was also convinced that it possessed the resources, both technical and financial, to achieve this objective and to assist the Government in realizing its long held belief that a Golf Course could be built on the lands of Merrywing adding a tremendous asset to Anguilla’s tourism infrastructure.

As such, Flag began the necessary processes to begin the US$250 Million Golf Course development. An Environmental Impact Study was commissioned and appointed by the Government and paid for in full by Flag in March 2003. On the basis of this Study, Outline Planning Permission for the hotel and full Planning Permission for the Golf Course was granted to Flag on June 20th 2003, work proceeded in the preparation of architectural and engineering drawings on the hotel and work commenced on site for the Golf Course. We are as of today half way through the Golf Course construction programme.

On August 13th 2003 full Planning permission was applied for and granted on the 20 Estate Homes, and work has commenced on the construction of the first two Homes with a further three to be started in the immediate future.

Despite the above achievements, serious natural obstacles still had to be overcome. The most obvious obstacle was one of water supply. An 18 hole Golf Course requires 600,000 gallons of water per day in order to be maintained for play and to retain the beauty of green grass over some 70 acres which is the standard expected of championship Golf Courses the world over. The Government had made it clear in its negotiations with Flag that it could not and would not assist in the procurement of such large quantities of water for understandable economic reasons; however, it would assist and encourage Flag to obtain the technologies to do so by granting certain concessions related to the golf course. Flag agreed to this position and decided to employ the technology of reverse osmosis to provide water for the project.

After nearly a year of research and engineering a 1.25 Million Gallon Reverse Osmosis Plant was designed and ordered. This plant will have the capacity to service the Golf Course and provide water for the St. Regis Hotel, Villas, Estate Homes, Clubhouse and Spa also to be constructed on the site.

Planning approval was applied for on the 19th January 2004 for permission to construct a building in which the RO Plant would be housed. After some delay Flag was informed by the Planning Department that there were concerns expressed by neighboring properties that the establishment of the RO plant and other Back of House facilities like a sewage treatment plant and standby generators would be detrimental to their operations and that the location of these facilities should be reconsidered. After much internal discussion within Flag and negotiations with the Government and its agencies, Flag agreed to move a significant portion of those facilities to a zone which could cause neighbours less concern even though Flag was convinced that the technologies used and commissioned were sufficiently state of the art to ensure that no hazards or nuisances would result from their operation. However, for engineering reasons, Flag could not afford to move the location of the RO Plant even though it did agree to move the boundary set back for the building from 60 feet to a full 100 feet from its western property line. Sensitive to the further concerns of the Government and its corporate neighbours Flag also agreed that a second Environmental Impact Study be done by an independent consultant specifically charged to address the concerns raised in relation to the RO plant and other Back of House facilities. A short list of consultants was recommended to the Government by the Environmental Unit of the Organisation of Eastern Caribbean States (OECS) and a consultant was chosen by the Land Development Control Committee. Flag had no part in choosing this consultant or in drafting the Terms of Reference even though it agreed to bear a substantial portion of the cost of this study.

Flag did point out repeatedly that time was of the essence and that planning permission needed to be expedited if the commitment made to the Government to have a functional golf course by 2005 could be kept. In order for this to be achieved the RO building would have to be built and the plant operational by November 2004. This required a construction start date by the latest May 5th so that grasses could be watered and the Golf Course grown in by Christmas. To start at this late date required Flag to agree to bear significant overtime costs, which it did. On April 30tth the independent Consultant submitted an initial report to the Government stating clearly that noise and emissions from the RO Plant would not be an issue provided international standards were observed and proper engineering steps undertaken. None of his recommendations were of any surprise to Flag as Flag had already prepared engineering specifications which would have exceeded the consultants’ demands.

Another section of the demonstrators and supporters

However, the project still faced the issue of time constraints which had now become critical and after permission had still not been obtained to proceed with the RO building, the Principals of Flag made the critical decision to reassess their options for development. It was decided that the project could not afford a delay on this matter after May 7th 2004 and that projections, construction schedules, procurement issues and a host of other details would need to be reconsidered if the RO plant delayed further. It was therefore decided to temporarily shut down the project after May 7th if permission to build the plant was not granted. As a courtesy to all employees, a further decision was taken to inform the 100 plus employees of Flag that work would end on Friday May 7th until further notice, thus allowing them at least minimal time to seek other employment. It was this information that triggered the demonstration by employees to the Government on the morning of May 5th. Flag did not instigate or incite anyone to protest nor did it threaten the Government or its agencies in any way.

Flag believes that its record of development to date has been dovetailed to the dreams and aspirations of the people of Anguilla. Flag believes that its project will make a massive contribution to Anguilla’s continued prosperity. Flag is convinced that when the full extent of its contribution becomes apparent, there will be no doubt concerning its commitment to the healthy development of Anguilla. We have made a commitment to be good and responsible corporate citizens and this includes our corporate neighbours with whom we wish to work for the continued development of Anguilla’s tourism. However, we do expect some cooperation from all concerned during this challenging period of construction.

In conclusion we wish to reiterate our commitment to the vision of the Government and people of Anguilla and look forward to a more effective process of cooperation.

Demonstration outside the Government Secretariat

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