Minister's house - Norman Grindley/Chief Photographer

The $60-million purchase and refurbishment of the state-owned residence of Transport and Works Minister Mike Henry has been characterised as "an inappropriately lavish expenditure at a time when the nation is in the throes of a severe financial bind".

The ministry's official accounts corroborated expenditures of at least $60 million by the Port Autrhority of Jamaica.

A breakdown of the expenses which was read to The Sunday Gleaner by an official of the Ministry of Transport include the Port Authority's purchase of the house, which was part of the assets of the defunct Jamaica Omnibus Service (JOS), for between $35 and $40 million.

The breakdown revealed that another $7.8 million is being spent for security. Of that amount, $1.2 million has already been spent and another $6 million is earmarked to "further enhance security".

additional expense

It also revealed that there was an additional listing of expenditiures.

However, The Sunday Gleaner sources say plans are in place to construct a perimeter fence around the premises at an estimated cost of $12 million.

When contacted about the issue early last week, Henry promised The Sunday Gleaner he would return the call. However, a response has not been forthcoming to date.

It's understood that he subsequently delegated one of his officers to respond to The Sunday Gleaner queries.

Ministry officials stressed that all the expenses associated with the project have been above board.

The official who asked not be named said two valuations were done, one by the National Land Agency and the other by a reputable private valuator.

He said the National Land Agency valued the land for $65 million, while the private valuator opted for between $60 and $65 million.

The ministry official contended that, guided by the valuations, the Port Authority was getting a bargain when it purchased the house for between $35 and $40 million.

He told The Sunday Gleaner that the money was pumped into the cash-strapped Jamaica Urban Transit Company (JUTC).

However, a former government minister said the level of expenditure was 'questionable' as it has skyrocketed past the sums paid for rental by government ministers.

It is understood that the ceiling is in the region of $50,000 monthly.

The official said when the house was placed in the care of the Jamaica Labour Party (JLP) by the People's National Party (PNP) nearly two years, and handed to Henry after he was assigned the transport and works portfolio, it was in urgent need of repairs.

state of disrepair

"The house was not habitable - it was in an abject state of disrepair and has been cleaned up and made habitable."

However former Transport and Works Minister Robert Pickersgill reacted angrily to the ministry's claim. "It's a lie ... I left the house cleaned out, the swimming pool cleaned and the lawns trimmed."

Pickersgill said a house in disrepair that was photographed was not the one he handed over to the JLP two years ago.

He said he had inherited the premises in a state of disrepair in the aftermath of Hurricane Gilbert in 1988. "When we got into office the place was broken down," he declared.

According to Pickersgill, he found that the insurance claims had not been accessed and he used the proceeds to repair the house.

He told The Sunday Gleaner that he furnished the house, including electrical fittings, with his own funds, in the aftermath of the so-called furniture scandal.

When The Sunday Gleaner visited the property yesterday, the planned $12-million wall had not yet been erected.

A low white wall created a border between the front of the property and the road, but the other areas have not yet been separated by any perimeter fencing from overgrown lands nearby.

The house was, however, clearly rehabilitated, with a security guard at the gate, well-tended lawns and a swimming pool.

It is not unusual for state agencies such as the Port Authority to own houses.

Houses initially owned by State agencies, such as the Bank of Jamaica, were originally accommodations for managers who were employed from overseas.

Later, the houses were retained and used as accommodation for political officials.

Sources say nearly 30 years after the Edward Seaga administration applied the brakes to the State-run JOS, a belated move was being made to liquidate its assets.

gary.spaulding@gleanerjm.com