OPPOSITION LEADERSHIP SEEKS CONTINUED DIALOGUE

C O N F I D E N T I A L SECTION 01 OF 03 NASSAU 001196

SIPDIS

E.O. 12958: DECL: 09/24/2017
TAGS: PGOV PREL SNAR ETRD BF
SUBJECT: OPPOSITION LEADERSHIP SEEKS CONTINUED DIALOGUE
WITH EMBASSY

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SUMMARY
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1. (C) Former Prime Minister Perry Christie hosted a working
lunch for the Charge and Embassy senior staff September 24 to
exchange views on current bilateral issues and domestic
Bahamian politics. Christie, who remains as Leader of the
Opposition, emphasized his party's commitment throughout
their tenure in office to maintaining close relations with
the U.S. and his desire that we continue to view the PLP as a
trusted partner. He registered his concern that a perception
had developed prior to the election that the U.S. was unhappy
with his administration because of its decision to establish
formal diplomatic ties with Cuba. The Charge, in reviewing
the many positive developments in relations under Christie's
stewardship, emphasized that we viewed both major parties as
close friends and allies. Christie criticized current Prime
Minister Ingraham for calling for a review of investment
deals and contracts concluded by his government, noting that
this represented a break with the Bahamian tradition that
could weaken the investment climate for foreign investors.
Still clinging to slim hopes that legal challenges in three
constituencies could return them to power, the PLP leaders
present sought to project the image of an engaged opposition,
which is ready to return to government. END SUMMARY.

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Drugs, Tourism, and Trade Top Agenda
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2. (C) Progressive Liberal Party (PLP) officials and former
government ministers, led by former Prime Minister and PLP
leader, Perry Christie and former Foreign Minister Frederick
Mitchell, hosted Charge and senior Embassy staff at a working
lunch on September 23 to discuss a range of issues in
U.S.-Bahamian relations following the recent change of
government. In an informal, question-and-answer format led by
the ex-Prime Minister and Charge, PLP officials queried
Embassy staff on the incoming Ambassador, the status of
Operation Bahamas Turks and Caicos (OPBAT),the Caribbean
Basin Initiative, Western Hemisphere Travel Initiative, Haiti
and visa issues -- even including some specific visa concerns
on behalf of constituents.


3. (C) Following the recent release of the "Majors" drug
list, PLP leaders solicited the Charge's views on continuing
joint efforts at drug and migrant interdiction on the high
seas, especially given the imminent departure of U.S. army
helicopters from OPBAT on October 1. Charge reviewed the
reasons for the Bahamas continued inclusion on the Majors
list, but noted that the report specifically praised the
cooperation of The Bahamas. He thanked the former PM and FM
for their steadfast support of OPBAT, which had contributed
to the successful effort to identify the resources to
backfill Army's October 1 departure from the mission. He
noted there would be a ceremony to mark the turnover of the
Exuma base from Army to DEA, and invited Christie to attend.


4. (C) A number of PLP members registered concern that the
Western Hemisphere Travel Initiative was having a negative
impact on Bahamian tourism receipts, given some indicators of
softness in the hotel industry in the past year. Consular
Chief Ramadan highlighted U.S. efforts to meet the
unexpectedly high passport demand and current issuance
waiting times in the U.S. and overseas. The Charge pointed
out that both Puerto Rico and the U.S. Virgin Islands, which
were not affected by the WHTI, had also experienced a soft
early season. While we have heard anecdotally from hoteliers
that conference and wedding business is off, summer numbers
appear to have recovered.


5. (C) Former Foreign Minister Mitchell inquired about the
status of the region's request to renew CBI authority. The
Charge affirmed that the administration was committed to
working with Congress to renew and update the CBI to ensure
continued duty free access to the U.S. market. He also noted
the success of the Competitiveness Forum held in early June,
and ongoing efforts to finalize a Trade and Investment
Framework Agreement with CARICOM.

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Perceptions on Bilateral Relations
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6. (C) Turning to the overall Bahamas-U.S. relationship,
Christie noted the public assertion by the new Foreign
Minister that relations with the U.S. were "better" than they
had been under the PLP, and asked whether this was indeed the
case. He noted that many PLP supporters felt that the U.S.
had been "unhappy" with the PLP prior to elections, and that
this had had an impact on the campaign. The Charge pointed
out that whenever he had been asked publicly about the
Foreign Minister's statement, he had stated that we enjoyed
outstanding relations with the current government and
outstanding relations with the previous government. He said
we were fortunate to be in a country where the major
political parties both wanted to have and be seen to have
close relations with the U.S. After reviewing the highlights
in bilateral relations during Christie's tenure, including
agreement on the megaports and container security
initiatives, the CARICOM-U.S. meeting in Nassau, and mutual
support for the new Haitian government, the Charge reiterated
U.S. appreciation for Christie's support for the close
partnership we enjoyed.


7. (C) Christie thanked the Charge for this affirmation, and
then launched into a defense of his opening of formal
diplomatic relations with Cuba, recalling his conversations
with the Secretary on the subject. The Charge, noting he had
heard the former PM speak before of his concern for the
perceptions created by this opening, said he believed the
Opposition Leader was more concerned by the relationship than
the U.S. was. He explained that the U.S. understood the
Bahamas need to work with Cuba to resolve migration matters
and look after Bahamians who travel to or study in Cuba. At
the same time, we sought to encourage democratic countries,
such as the Bahamas, to use their relationship with Cuba to
encourage Cuban government respect for the same values and
rights that people in the Bahamas demand.


8. (C) Responding to Christie's repeated concerns about
perceptions of differences in relations pre-election, the
Charge noted that the Embassy had been troubled by airport
security and safety issues, especially in the wake of high
profile cases of baggage handlers involved in the drug trade,
and the former Ambassador had determined after months of
government inaction on our concerns to raise our concerns
publicly because of the urgency of addressing ongoing drug
trafficking and potential terrorism concerns. While
acknowledging that this issue could have contributed to
perceptions of differences in the relations, the Charge noted
that there were also many very public areas of cooperation
and common action as well during the PLP's final months in
office. He noted in particular the PLP's decision to train
Haitian police officers at the Royal Bahamas Police Training
center, which represented one of the most concrete
contributions of any CARICOM country to Haiti's rebuilding.
The Charge rounded out the discussion by pointing out that
the Embassy had maintained a studious neutrality throughout
the election campaign.

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Election Challenges and New Directions in the PLP
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9. (C) Charge wrapped up the discussion by asking the PLP
about the status of their ongoing legal challenges to
election results in three constituencies. Christie said
indications were that many people had voted outside of their
constituency, but did acknowledge that this occurred on both
sides. He said this represented a significant weakness in
the electoral process that would need to be addressed prior
to future elections. Christie registered his concern for PM
Ingraham's statement that he would not allow a Court to
decide the election -- and would call early elections if it
appeared his party would lose the election challenges.


10. (C) In the same vein, Christie and his colleagues were
sharply critical of the Free National Movement (FNM)
government's decision to review contracts and investments
approved by the PLP prior to elections. They underlined the
potential negative impact of withdrawal from or abrogation of
such contracts on the climate for foreign investment in The
Bahamas. Pressed as to whether any contracts or foreign
investments had yet been canceled, they acknowledged that all
were still in force. They also lamented the new
administration's domestic spending priorities, including an
apparent determination to alter their plans for downtown
Nassau's redevelopment and a decision not to retain
government employees hired in a pre-election government
hiring binge.

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COMMENT
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11. (C) The lunch, which emerged from a discussion the
Charge had with Christie in the weeks after the elections,
itself reflected the shortcomings of the PLP's governing
style. The date and format was repeatedly changed at the
PLP's request as they could not agree internally on a
suitable date. Characteristic of the PLP, half of the 12
participants arrived late. And, while there was some
substance in the discussions, the PLP seemed more interested
in photographs and a press release of the meeting to signal
their continuing good relations with the U.S. The party as a
whole continues to have difficulty accepting their surprise
electoral defeat, and the divisions that plagued the party
during elections have become worse in the wake of the defeat
with blame for the loss usually being directed at Christie
for his indecisive leadership style or at those ministers
with scandals that tainted the party. The ex-Foreign
Minister's offhand remark that the current government was
seeking to portray the PLP as "corrupt and inept" may have
been an inadvertent diagnosis of what went wrong with the
PLP's campaign. Christie appeared more resigned to the
defeat than in earlier encounters, and openly discussed his
turning the party over to a younger generation. Overall, the
PLP sought to project the image of an engaged opposition that
is a good friend of the U.S. which sees its future back in
government after leadership changes and political
retrenchment. END COMMENT.
HARDT