By ANNELIA NIXON

Tribune Business Reporter

anixon@tribunemedia.net

A Bimini resort and marina yesterday said it has already suffered 12 guest cancellations due to the fall-out from new and increased cruising permit and other fees set to take effect on July 1.

Describing the loss of business as “significant”, Stephen Kappeler said the cancellations at Bimini Big Game Club Resort and Marina stretch into August with those guests involved looking for a refund.

“So that means people who are thinking and planning further out, they're upset, they're pissed off, they're not spending the fees, and they probably don't care to have to rush to go get some AIS system figured out inside their boat,” Mr Kappeler said. “I don't know what it takes to do that, but it's just something they're not even going to want to deal with so fast if they have to pay the additional fees also.

“Remember, when we cancel a booking, this is money that somebody's already paid, a deposit they've already paid. When you book a room and you book a slip with us, that's somewhere in the area of $500 in business just the first night deposit.  And guests are coming in for two, three, four nights.

"So you could multiply and extend that out to understand what the value of a cancellation is. And they're looking for the refund of their money. I can tell you, there were a dozen alone today. We're a 50-room resort. So if this continues at a pace of a dozen a day... I'm sure not everybody's got the news or got the message. So this thing is going to be exponential.”

Potential boating visitors to The Bahamas are not holding back in voicing their opinions over the increased cruising permit fees, new fishing permit and anchorage fees, plus the confusion over whether all boats coming to The Bahamas must have a functioning automatic identification system (AIS) that is turned on at all times. The latter was subsequently clarified to vessels of 55 feet or less in length.

"With the new rates for boaters, I am sad to say that after 25 years of going to Bimini three to four times' a year, staying there five to ten days, I won't be going any more," one boater posted. "I am not going to pay $1,500 to bring my boat there and I'm only able to come back within 30 days one time. Bimini, you guys are in big time trouble."

Mr Kappeler confirmed “the fees in themselves, are problematic”, and boaters have expressed outrage. As treasurer of the Association of Bahamas Marinas, he added that “the immediacy that this is being done, with not enough discussion and clarity with our members”, is an issue.

As for the AIS confusion, Mr Kappeler said it was unreasonable, to expect boaters “to get this done so quickly". He added that the impact will reach other businesses on the island, including restaurants and rental properties. He said there should be a “pause” for more education and clarification.

“This is a significant problem for tourism, with boating being one of the number one or two demand generators for our country. Recognise the multiplicity of this. When you impact these boaters, you impact the Bahamian-owned Airbnb properties, rental properties, small slips and others that they might have," he explained.

"So it's not just the property of 50 rooms and what have you, but then it's going to impact the jobs of those people working for us. If they're cancelling, then they're not eating. If they're cancelling, then they're not buying gas, they're not shopping... picking up bread or any other thing that they do to keep these grocery stores, I want to say, open.

“And I would say, in my view, there needs to be a pause and more discussion with this to understand the wider impact that this is going to cause tourism in the economy of our islands, and not just the Out Islands, but I mean Nassau as well.”

Mr Kappeler said marina numbers have been declining for years, and he “can't see the value of what they're going to gain by haste of initiating this act.” He also pointed to the lack of airlift to Bimini, noting that fewer boaters also add to the challenge of getting tourists to the island with the collapse of Silver Airways. 

“Our marina numbers are already down year-over-year, and that's been trending at these marinas,” Mr Kappeler said. “Our marina that on the weekends, might run 70 percent or something, is down to 40 percent or less, to 20 percent during the week. And this is Bimini.

"We are the first stop… We clear in more persons in the Bimini market than any other market because of the proximity to the major metros, Fort Lauderdale, Miami and even the reach from West Palm Beach. So this is significant, what's happening, and just what I'm watching in these last several days. 

“I can't see the value of what they're going to gain by the haste of initiating this act, much less how they think this further taxation and fees is going to benefit revenues and what it's going to benefit. When you lose the revenues, you lose the VAT taxes," Mr Kappeler added.

"And for this amount of money that they're now going to gouge these boaters for, and now make this requirement, which may be a good requirement about the AIS over time, let's say six months or something reasonable that might start with the next boating season.

"But surely this can't make sense in the peak of the high summer season. This cannot make sense, and it's not putting the right taste into the boat owners, and which I want to say significantly, are the owners of these resort homes whether they rent them out, which was more of a multiplicity of loss.

“With the failure and bankruptcy of Silver Airways, which largely served the Out Islands of The Bahamas, there's no airlift. And so now you're going to screw up the boating generator of traffic and upset the owners of these boats, and also the owners of these homes or who might even visit or rent," he continued.

"There's a lot of Bahamian-owned 'available for rent' in Bimini as well as what might be an outsider, or maybe they're even a resident, because they've lived in the country enough where they bought property, so they might have resident status. What they're going to lose is far [more] significant over what they think they're going to gain in excess charges.”