Downturn in business hurting craft vendors, municipal corporation
MONTEGO BAY, St James — The St James Municipal Corporation says it has lost $35 million in revenue because of the downturn in business at the Old Fort Craft and Heritage Park and the Harbour Street Craft & Culture Village in Montego Bay.
Craft vendors at the two facilities, said the corporation, have been facing hardships due to fallout from the tourism industry because of the onset of the novel coronavirus pandemic and its effects on the tourism industry for over a year.
Since the start of the year meetings have been held with vendors on February 9, April 21 and May 20, 2020, where it was disclosed that the pandemic was having a serious negative effect on the businesses of the craft vendors and the operations of the St James Municipal Corporation, which owns and operates the Old Fort Craft and Heritage Park and the Harbour Street Craft & Culture Village.
Mayor of Montego Bay Leeroy Williams told a press conference at the corporation on Wednesday that craft vendors were currently making very little money as most hotels remain closed and very few people are visiting the craft markets. Mayor Williams pointed out that as a result rents are not being paid to the corporation, which has become a drain on the corporation.
“Continuing normal operations at the facility is a drain on the resources of the municipal corporation and the decision was taken to scale back operations. The opening hours were reduced from 7:00 am to 7:00 pm to 8:30 am to 5:00 pm in order to reduce the cost of overtime. And, for the [next] three months the facility will remain closed on Sundays,” said Mayor Williams.
Between April 1, 2020 and March 31, 2021, the total expenditure for both facilities was $38,127,931.93, with a revenue intake of only $2,569,610, said the corporation.
A breakdown of the figures showed that the expenditure for the Harbour Street Craft & Culture Village was $25,217,896.17 and the revenue was $2,252,200.00. This has resulted in a deficit of $22,965,696.17.
In relation to the Old Fort Craft and Heritage Park, the expenditure was $12,912,035.75 and revenue of $317,450.00, which shows a deficit of $12,592,585.76
“Notwithstanding the deficit, the municipal corporation granted the craft vendors a 100 per cent waiver on the rent payment on April, May and June and in 2020, 50 per cent waiver from July 2020 to June 2021,” stated Mayor Williams.
Opposition Leader Mark Golding, during a tour of the parish last week Friday, criticised the corporation’s handling of the matter.
Golding also called on the corporation to implement a payment plan for craft vendors who currently have outstanding rent.