Page 1

2010 - 2011


TABLE OF CONTENTS 3

Bloody Bay Hotel Development Limited

34

BOARD OF DIRECTORS

4

Caymanas Development Company Limited

34

CHAIRMAN’S REPORT

5

Central Wastewater Treatment Company Limited

35

GENERAL MANAGER’S REPORT

7

Hellshire Marble Limited

35

INFORMATION SYSTEMS DEPARTMENT

9

Kingston Waterfront Redevelopment Company Limited

35

Kingston Waterfront Hotel Company Limited

35

CORPORATE PROFILE

NATURAL RESOURCES MANAGEMENT AND ENVIRONMENTAL PLANNING DEPARTMENT

10

Lilliput Development Corporation Limited

35

DIVISIONAL REPORTS

12

Montego Bay Conference Centre Limited

35

STRATEGIC MANAGEMENT & SPECIAL PROJECTS

12

Montego Beach (1975) Limited

35

DEVELOPMENT PLANNING AND MANAGEMENT

14

Montego Freeport Limited

35

Downtown Kingston and Port Royal

16

National Hotels and Properties Limited

35

Montego Bay

17

Ocho Rios Commercial Centre Limited

36

St Ann

18

Portmore Commercial Development Limited

36

Trelawny

18

Portmore New Town Development Company Limited

36

St. Catherine

18

Port Royal Development Company Limited

36

Portland

19

Runaway Bay Water company Limited

36

St Mary

19

Rutland Point Beach Resorts Limited

36

LEGAL AND ESTATES

21

St. Ann Development Company Limited

36

CORPORATE SECURITIES

22

Sea Castles Limited

37

Seaside at Rose Hall Developments Limited

37

Urban Maintenance (1977) Limited

37

Board Committees

37 37

HUMAN RESOURCES MANAGEMENT AND ADMINISTRATION

23

ECONOMIC DEVELOPMENT AND CORPORATE RELATIONS

24

Audit

JAMAICA CONFERENCE CENTRE

26

Contracts Awards

RUNAWAY BAY WATER COMPANY

28

Finance Treasury and Investment

37

CAYMANAS GOLF AND COUNTRY CLUB

28

Human Resource Management

38

ST ANN DEVELOPMEN OMPANY

29

Information Technology

38

Dunn’s River Falls and Park

29

Planning and Development

38

Green Grotto Caves and Attractions

30

Public Relations and Marketing

38

Ocho Rios Bay Beach

30

Other Committees

Turtle River Park

31

Portland Bight Areas

38

Craft Markets

31

Revision of the Urban Development Corporation Act

38

Roaring River Estate

31

Montego Bay Advisory Board

38

32

Negril Advisory Board

39

Senior Executives Compensation

40

Directors’ Compensation

41

OCHO RIOS COMMERCIAL CENTRE UDC GROUP-SUBSIDIARIES AND ASSOCIATE COMPANIES

33

Financials

DIRECTORS OF THE UDC GROUP SUBSIDIARIES AND ASSOCIATE COMPANIES

34

Urban Development Corporation

34

Ackendown Newtown Development Company Limited

34

Cover Photo: Dunn’s River Falls and Park

ANNUAL REPORT 2010 - 2011




Core Values and Philosophy The UDC believes in people

We see ourselves as an organisation of people serving people. We are committed to making development happen for the people of Jamaica while nurturing a culture which values both our internal and external customers and is sensitive to their needs.

The UDC believes in quality

We are committed to employing the highest standards in the timely and efficient delivery of our products and services and will benchmark our operations against international practices.

The UDC believes in accountability

We will conduct our business in a transparent manner, while assuming responsibility for our actions and communicating openly and regularly with our clients and stakeholders.

Vision

To be the leading urban and rural development agency in the Caribbean.

The Corporate Mission Statement

The mission of the UDC is to fulfill our role as the nation’s main urban and rural development agency and facilitator, by effectively and efficiently assigning and managing our resources, so as to ensure the economic viability of the Corporation, sustainable national development and the best quality of life for the citizens of Jamaica.



ANNUAL REPORT 2010 - 2011


The Urban Development Corporation

O

ver the last 49 years of Independence, Jamaica has made a concerted effort albeit with mixed results to chart its own path and firmly entrench its presence on the world stage. For 43 of those years, the

Urban Development Corporation has been making a contribution to national development, across the various sectors. Established by an Act of Parliament in 1968 to plan and implement structured development of urban centres in keeping with national priorities, the first general manager, the late Hon Gloria Knight in assessing the work of the Corporation some 20 years on in 1988 said, “ Our work speaks for itself. We have tried to be responsive to the society in which we operate, to help create an aesthetically pleasing environment and to develop the resourcefulness of our people, by creating avenues for social and economic growth.” This assessment remains true today and it is within this context that the review of the performance of the Corporation during the financial year April 2010-March 2011 has been placed. The Corporation falls under the Office of the Prime Minister, with policy framework guided by a Board of Directors. The responsibility for the daily operations is that of the executive team led by a general manager, supported by seven deputy general managers with oversight for the areas of–

• Corporate Security and Facilities Management

• Legal and Estate Management Services

• Finance, Administration and Treasury

• Human Resource Management

• Development Planning and Management

• Economic Development and Corporate Relations

• Strategic Management and Special Projects



ANNUAL REPORT 2010 - 2011


Board of Directors

Wayne Chen Chairman

Audrey Marks Deputy Chairman

Desmond Young

Joy Douglas General Manager

Cleo Taylor

Tom Tavares-Finson

Dahlia Kelly

Michael Subratie

Daniella Gentles

Zachary Harding

Lennox Elvy

Robert Russell

Ann-Marie Rhoden

Sancia Templer

Sally Porteous

Michael Ammar Jr.



ANNUAL REPORT 2010 - 2011


Chairman’s Report

T

he Urban Development Corporation during the financial year April 2010March 2011, remained committed to the path embarked on in the previous

year as guided by the Corporate objectives. Consequently, the focus remained on increasing operational efficiencies, enhancing the customer service experience and improving compliance levels as required by regulatory agencies. This was Senator K.D. Knight QC

also in keeping with the goal of the Corporation to align its operations to best practices.

The Corporation continued to be guided by the listed objectives –

• Returning the Corporation to its core function as defined by the UDC Act of 1968

• Maximizing and aligning the talent of the UDC with the new structure and redefining the

Corporate culture

• Assuring the financial viability and solvency of the Corporation

• Improving service provided to our stakeholders

• Improving business and operational efficiencies

The year for the Corporation was one of mixed fortunes as great gains were had in strengthening partnerships and collaborating on programmes and activities designed to fulfil the mandate of facilitating development in select areas. In Falmouth, for example, the UDC was integrally involved in preparing the town and its citizens to welcome cruise visitors consequent on the construction of the new Falmouth pier. The Corporation utilized all opportunities to inform the public of the return to core functions and therefore the concentration on the planning for the five special development areas of downtown Kingston and Port Royal, Montego Bay, Ocho Rios, Caymanas Estate and Falmouth. Consistent with this mandate, the Corporation embarked on a process of divesting non-core assets through its own efforts as well as through the National Development Bank of Jamaica, the national agency charged with this responsibility. During the period, the UDC invested internally in infrastructure upgrade, primarily of its information technology system; capacity building and alignment of its team to corporate objectives, strengthening environmental management



ANNUAL REPORT 2010 - 2011


and monitoring, with increased emphasis being placed on becoming a more customer focused entity, all with the goal of making development happen for Jamaica. Overall, the Corporation delivered a good performance, laying the foundation for continued improvements and efficiencies. It is therefore my pleasure to present the Annual Report for the financial year 2010/11.

• Report based on records seen.



ANNUAL REPORT 2010 - 2011


General Manager’s Report

T

he Corporation started the financial year determined to improve on the successes of the previous year and excited at the prospects for the new

assignment, the town of Falmouth. The Corporation was pressed into service to co-ordinate the readiness of the town ahead of the anticipated arrival of the first cruise vessel into the newly constructed Falmouth Pier in 2011. Desmond L. Malcolm, PE, J.P.

The Corporation through multi-stakeholder partnerships engaged the citizens

in awareness/sensitisation sessions, capacity building workshops, identification of economic opportunities, even as it was employed in the redevelopment planning for the town and its environs. Concurrently, the UDC in collaboration with the Port Authority of Jamaica, the Trelawny Parish Council, the Ministry of Youth, Culture and Sports and the Social Development Commission coordinated a “Falmouth Experience” for the cruise visitors. This became necessary as developments to the town were not completed ahead of the arrival of the Voyager of the Seas on February 17, 2011, the precursor to the visit of the world’s largest cruise vessel, Oasis of the Seas in March. The Experience showcased Jamaican food, culture, arts and performances. Even as the resources of the UDC were positioned behind Falmouth, development planning continued for the other areas of focus - downtown Kingston and Port Royal, Montego Bay, Ocho Rios and Caymanas Estate. Downtown Kingston came in for its share of the spotlight, as telecoms giant Digicel commenced construction of its global headquarters in December 2010. This followed their collaboration with the Kingston and St. Andrew Corporation and the UDC to upgrade sections of the downtown Market District. The UDC was also part of a team, again comprising the KSAC, Transport Authority and the police in completing the Municipal Transport Centre at Water Lane and introducing a new transportation arrangement for Downtown in January 2011. Over in the west, the Corporation was very proud to have delivered the state of the art Montego Bay Convention Centre, ahead of the international gathering of tourism players, the Caribbean Market Place in January 2011. The response was overwhelmingly positive, although full completion had not yet been achieved. Completion continues into the new financial year.



ANNUAL REPORT 2010 - 2011


Cognizant of the correlation of improved business and operational efficiencies, the Corporation sought to develop and implement risk management policies and procedures that would enhance this process. The critical significance of this programme was signalled by the upgrading of the Corporate Planning and Risk Management Department into the Strategic Management and Special Projects Division, which as process owners would champion this initiative. Again in a bid to strengthen the business and operational platform, the modernization of business processes and the provision of a secure and robust information technology infrastructure was embarked on by the information technology specialists. The April 2010 to March 2011 Report offers a review of the performance of the Corporation for the financial year. The activities have been presented within an integrative framework of divisional, subsidiary and associated companies, while separate reports have been presented on the IT and environmental programmes of the Corporation.

• Report based on records seen.



ANNUAL REPORT 2010 - 2011


Information Systems Department The Information Systems Department (ISD) sought, through a comprehensive integrated IS strategy, to support the objective of aligning the staff within a redesigned corporate structure and redefined culture geared at excellent customer service delivery. The first step of the strategy which commenced during the review year, involved the recruitment of a Chief Information Officer, whose primary responsibility was to ensure the strengthening of the IS information technology (IT) and computer systems capabilities to support the Corporation’s enterprise goals. Achievements realised included –

• fortification of the Corporation’s network infrastructure

• regularization of software licenses

• exceeding the benchmark levels of 98 % uptime for all major systems

• ensuring optimal access to workstations and printers for members of staff.

Significantly also, the Department re-shaped the internal communications framework through the introduction of corporate email using Microsoft Outlook. This has facilitated access to a unique email address for all employees which has enhanced effectiveness in of transmission of corporate documents and messages. Recruiting of other key personnel, inclusive of database administrator and it development team, has also realised gains. In the case of the former, this has resulted in the standardization of the databases currently maintained by the department. Whilst the IS development team has conceptualized, designed and developed a property management system to support the operations of the Ocho Rios Commercial Centre. Positive feedback from users of the system has indicated that the solution allowed for a more effective accessing of information used in daily functions. The year however, was not without challenges. These included the low bandwidth associated with the Corporation’s Wide Area Network (WAN), irregular back up procedures, inadequate office space and the absence of an application development team. While these factors impeded the quality of service delivered it did not significantly affect the timeline for completion of the scheduled tasks. For the next financial year, the ISD will continue to upgrade the network and develop IT systems to meet the varying business needs of the Corporation.



ANNUAL REPORT 2010 - 2011


NATURAL RESOURCES MANAGEMENT AND ENVIRONMENTAL PLANNING DEPARTMENT

T

he Corporation continued to strengthen its environmental management capacity, with the addition of two environmental officers, bringing the complement of the Natural Resources Management and Environmental

Planning (NRMEP) Department to eight, at March 2011. During the year, the Department remained actively involved in the environmental monitoring and management of the facilities and attractions owned and operated by the Corporation including Dunn’s River Falls and Park, Reach Falls, Fort Clarence Beach, Long Bay Beach parks and Two Sisters Cave. In addition to which monthly and quarterly monitoring and the requisite reports prepared and submitted to the regulatory agency. These monitoring activities were conducted at an approximate cost of J$ 3,000,000. Other activities included ensuring that environmental principles and concepts were taken into consideration during the development planning process and the monitoring of projects being implemented by the Corporation in pursuit of sustainable development goals. NRMEPD was also responsible for an increase in the Corporation’s compliance with applicable environmental laws and regulations through the renewal and or application for beach and environmental licences and permits. NRMEPD made significant strides on two programmes initiated in the previous year, establishment of three Biosphere Reserves and the Blue Flag Programme. Activities under the Biosphere Reserve Programme included a three day stakeholder sensitization workshop tailored to the relevant statutory agencies, members of civil society and landowners, who would be impacted by or involved in the process. In addition, a Biosphere Reserve Planning Committee was established with membership drawn from government agencies. The UDC achieved Blue Flag Certification for three of its beaches, Ocho Rios Bay, Bluefields and Long Bay Beach Park 1 during the period. In keeping with a condition of certification, where the Corporation was required to carry out a minimum of five environmental outreach activities for each of the three beaches for the November 2010 – October 2011 Blue Flag Season, at the end of the year, seven activities had been implemented. The Blue Flag programme is a part of the Foundation for Environmental Education (FEE), a non-government, non-profit organization that promotes sustainable development through environmental education. The certification is awarded based on compliance with thirty two (32) criteria covering:

• Environmental Education and Information

• Water Quality

• Environmental Management

• Safety and Services

10

ANNUAL REPORT 2010 - 2011


In addition, the Department continued its environmental education programme which included commemoration of World Wetlands Day (February 2, 2011), International Biodiversity Day (May 22, 20010) and National Tree Planting Day (October 2, 2010). Outreach activities also included the culmination of the 2009/2010 Hellshire Schools Environment Competition and the launch of the 2010/2011 competition for schools in Kingston and St. Catherine at the Annual Enviro Fair at Two Sister Caves in Hellshire. Environmental education was also conducted among internal stakeholders, with twenty one security personnel/ environmental wardens from the Corporate Security and Facilities Management Division benefitting from training in basic environmental management concepts and principles.

Bluefileds Beach Park proudly flies the Blueflag …while young patron reads up on the programme.

11

ANNUAL REPORT 2010 - 2011


DIVISIONAL REPORTS Strategic Management & Special Projects The Strategic Management and Special Projects Division (SMSPD) is the newest addition to the corporate structure and comprises four departments - Corporate Planning, Enterprise Risk Management, Strategic Research and Programme Management. The Division acts as process owner and facilitator for the formulation and implementation of the annual Strategic Plan for the UDC, its subsidiaries and associate companies, accomplished through a collaborative relationship with key internal and external stakeholders. Once the strategic initiatives are identified, the team is responsible for providing programme management services – to ensure that the initiatives are effectively implemented. The SMSPD also facilitates the creation and operation of an enterprise risk management system that – identifies key risks, analyzes them in terms of the likelihood and severity of losses, speed of impact etc., and ensures that the proper mitigating actions are in place. The team is also responsible for ensuring that proper quality management practices are embedded on the organization’s processes. Additionally, the team supports the research needs of the Corporation – whether directly or through the use of a third party. The Division’s activities were guided by the following Strategic Objectives during the review period

1.

Develop and execute a plan to get the UDC ISO9001:2008 certified by the end of the 2011/12 fiscal year.

2.

Close out 17 of the projects listed as ‘chronic incomplete’ during the fiscal year.

3.

Strengthen the strategic management framework of the Corporation through the implementation of a

comprehensive measurement/reporting system for the UDC and its subsidiaries.

4.

Develop and implement an Enterprise Risk Management (ERM) framework.

5. Complete a strategic industry analysis that will be used as one of the drivers for the Corporation’s strategic

plans.

In assessing the performance scorecard, the Division has, commenced the identification, process mapping and engineering of the UDC core processes, documentation and adherence to which will form the basis of the Corporation’s ISO9001:2008 certification. On the matter of chronic, incomplete projects, 5 of the 17 listed have been closed out, resulting savings to the Corporation as well as the avoidance of contingent liabilities. Adopting the Balanced Score Card (BSC) methodology both as a performance management system and as a strategy management framework, has allowed for streamlining and standardising the reporting process .This has increased transparency and alignment throughout the Corporation as well as with subsidiaries and associate companies. This has

12

ANNUAL REPORT 2010 - 2011


also allowed for the development of a comprehensive corporate plan that aligns corporate and divisional objectives as well as those of the subsidiaries and associate companies. The Division has adopted the COSO framework for Enterprise Risk, in drafting an Enterprise Risk Management policy and procedures manual as well as instituted a continuous environmental scan (e-scan) programme to regularly review the operating conditions within and outside Jamaica that could affect the Corporation.

13

ANNUAL REPORT 2010 - 2011


DEVELOPMENT PLANNING AND MANAGEMENT The Development Planning and Management Division (DPMD) comprises a team of

over seventy (70) multi-disciplinary technical professionals, inclusive of architects, engineers, quantity surveyors, urban and regional planners, natural resource managers, environmental planners, portfolio managers and geographic information system analysts. One of the UDC’s Corporate Goals over the review period was that of returning the Corporation to its core functions as defined by the Urban Development Corporation Act, which under section 4(1) is to carry out or secure the laying out and development of areas designated under section 14 as urban areas. DPMD in support of this objective , was required to ensure the designation of areas and the effective design production, development, implementation and compliance of plans and projects within the UDC designated areas. The Division was also charged to ensure the design and implementation of projects for the Government of Jamaica and its agencies. The DPMD ‘s strategic initiatives over the period of review were designed to facilitate the preparation and implementation of approved development or redevelopment plans, city/town management plans and development guidelines for the five development areas, in keeping with the unique attributes and characteristics of each. The development areas are:

Downtown Kingston and Port Royal

The Caymanas Estates

Ocho Rios

Montego Bay

Greater Falmouth

The Downtown Kingston and Port Royal plan for example, seeks to: - Arrest physical and social blight - Improve economic and social conditions - Reposition downtown Kingston as the capital city - Improve physical development infrastructure - Create the impetus for public/private investment. Development planning for Caymanas Estates, is being guided by a multi-use concept and the recognition of existing facilities and activities. The implementation of the Caymanas development plan will be undertaken therefore through a mix of sale of development blocks to private developers, joint venture and the implementation of key infrastructure elements by the Corporation. Ocho Rios is one of the fastest growing urban centes in Jamaica. Its recorded growth between census periods 1991-

14

2001 was 51.28%. This has caused the town to outgrow its physical infrastructure resulting in unplanned developments,

ANNUAL REPORT 2010 - 2011


dilapidated and non-cohesive expansion as people are drawn to the perceived monetary opportunities associated with a resort town. The Ocho Rios Redevelopment plan will seek to list and rationalise the existing issues and provide solutions as well as identify economic opportunities to sustain the further growth and development of the town. The Montego Bay Redevelopment plan looks at the city over a 20 year period. The creation of a Master Development plan is intended as with Ocho Rios, to identify issues and opportunities and through the plan offer development and economic possibilities. The UDC owned lands in the town will create the catalyst for the intervention, as they cover all aspects of development typologies needed to build a Resort Town that is rich in character and offers future sustainability. By defining the scope of each UDC type project therefore the UDC will be defining all the typologies found in the town and as such, able to offer a benchmark for all other stakeholders, investors and residents. The redevelopment plan will then provide “block definition” for all non-UDC owned lands in the town, with the UDC’s “lead by example approach”. The UDC was mandated by the Government in February 2010 to spearhead a multi-agency collaborative approach to support the redevelopment of Falmouth, Trelawny by coordinating the work of various agencies in the town. The ultimate aim was to upgrade the town to resort status through the implementation of discreet projects. In addition the Corporation embarked on redevelopment planning for Greater Falmouth and pursuing the designation of the development area. The scope of the Greater Falmouth Redevelopment includes addressing the transition from rural to urban landscape, without compromising the architectural legacy of the town. Attention is therefore being focused on

• Infrastructure upgrading inclusive of

– Drainage – Traffic Management – Public Transportation and planning for – Adequate Social Services/Facilities

• Resolving issues of, and ensuring compatibility of land uses

• Managing Urban Sprawl

• Protection of National Heritage sites

• Protection of Sensitive Ecology

• Addressing issues of Sustainability

• Creating a symbiotic relationship between the town of Falmouth and the pier development

• Creating the impetus for public/private investment

The Corporation ’s inclusive approach to the development process should ensure that draft plans are reflective of the programmes of other agencies engaged in the special development areas. The implementation period for the plans range from a low of ten (10) years in the instance of the Caymanas Estates to a high of twenty-five (25) years for downtown Kingston and Port Royal, Ocho Rios, Montego Bay and Greater Falmouth.

ANNUAL REPORT 2010 - 2011

15


Activities Undertaken During the Period In addition to the continued preparation of the Development Plans, Town Management Plans and Development Guidelines for these development areas, the Division continued with the planning, designing, development and execution of projects in downtown Kingston, St. James, St. Ann, Trelawny, St Mary, Portland and St Catherine:

Downtown Kingston & Port Royal Simon Bolivar Cultural Centre Construction works continued on this project under a contract of USD$3,077,344.44. The restoration project which had achieved 65% completion at end of the year, is funded by the governments of Jamaica and the Bolivarian Republic of Venezuela. On completion, the 350 seater multicultural theatre is expected to commemorate Simon Bolivar’s stay on Princess Street in downtown Kingston in 1835. Kingston Market District Upgrading Works The busy market district came in for attention during the financial year with several contracts being executed through or in collaboration with the Kingston and St. Andrew Corporation. Among the works was the rehabilitation of Rose Lane roadway and drainage under a contract valued J$7,030,400.00. Minor remedial repairs remained to be carried out at the end of the review period. A J$30,040,000.00 contract was also entered into for general drain cleaning and rehabilitation works in the Market District, which at the close of the financial year had achieved 75% completion. Emergency works involving the basic upgrading of market areas and the delineation for formal vending was also undertaken. This was to accommodate vendors who had to be relocated from the streets where their operations were impeding traffic. Demolition of structures which contributed to the overrun of the roadway was also carried out under a J$11,023,000.00 contract. Still in Downtown, infrastructural upgrading was carried out on Pechon Street Bus Terminal, as part of the improvement to the transportation facilities to usher in the new transportation system. The contract sum of J$32,613,500.00 covered paving and drainage works as well as rehabilitation of the sanitary conveniences. The Chapel Lane Open Market was rehabilitated and resurfaced under a contract sum of J$37,275,000.00. Completion of the projects was 90% and 95% respectively. May Pen Cemetery The UDC again partnered with the KSAC to rehabilitate the May Pen Cemetery, which involved primarily, bushing and repairs to the administrative facilities under a J$21,981,486.00 contract.

16

ANNUAL REPORT 2010 - 2011


Montego Bay

In the Montego Bay Special Development Area, several projects were advanced. The Montego Bay Sports Complex The complex was officially opened in June 2010, following the completion of the 7,000 seater spectator stand, around the existing playfield and running track. Perimetre fencing of the complex was erected as well as ticket booths; turnstiles at access points; gates, changing rooms, public bathrooms, concession areas and an entrance feature constructed. The fabrication and erection of four lighting towers were undertaken during the year. This has allowed for the staging of night events at the facility, including the CONCACAF tournament in February 2011. Development of the complex was undertaken on a phased basis between 1998 and 2010 at a total cost of $21M, funded by the Government of Jamaica and the Bank of Economic and Social Development (BANDES), under the San Jose Accord with the Government of Venezuela. The Old Hospital Park Creation of the Old Hospital Park along the Montego Bay Hip Strip fulfilled the intention to develop a recreational facility for both visitors and residents. The 2.7-acre park which is geared towards passive activity include amenities such as entry building with administration office and public restrooms, north and south entry courts, scenic path ways, timber gazebos, seating, viewing pavilion, a water feature and ornate boundary fencing. The project was executed through two contracts, one for Builder’s Work and the other for Hard & Soft Landscaping valued at of $17,390,603.48 and $12,305,301.00, respectively and was funded by the Tourism Enhancement Fund (TEF). Additional works have been approved for the park and were in progress at the end of the financial year. The Montego Bay Convention Centre The Corporation on January 7, 2011 hosted stakeholders at a soft opening of the Montego Bay Convention Centre, ahead of the Caribbean Market Place event scheduled for later that month. The Convention Centre is situated between Half Moon Golf Course and Rose Hall Great House in Montego Bay, St. James. The Centre offers 56,113 sq. ft. /5213 m2 of exhibition space, 21,528 sq. ft. /2000m2 of banquet facilities, 12,357 sq. ft. /1,148 m2 of meeting rooms, 3,487.5 sq. ft. /324 m2 of display area with the requisite administration and service and is fulfilling the three fold objective of accommodating meetings and conventions to enhance the tourism industry, increasing the foreign exchange earnings potential from tourism and providing employment for persons in the western region of Jamaica. The Montego Bay Convention Centre was constructed at a cost of US$45M or 350 Remini, the result of an agreement

ANNUAL REPORT 2010 - 2011

17


between the governments of the People’s Republic of China and Jamaica. The project was executed through China National Complete Plant Import Export Corporation (COMPLANT).

St Ann

Projects in St. Ann included the Replacement of Water Main for the Ocho Rios Cruise Shipping Pier under a J$9,728,200.00 contract and a Dunn’s River Sewage Treatment facility contracted at J$67,238,044.50. Work was completed on the former, however completion of the latter will extend beyond the financial year, as the project involves the construction of a tertiary treatment sewage plant with Lift Pump Station, distribution and collection system. On completion this will provide the property with an efficient and cost effective system in keeping with the overall development strategy for Dunn’s River.

Trelawny Falmouth Re-Development The redevelopment of the town of Falmouth required some rationalization of the existing land use. A part of this process involved the relocation of informal settlers at “Dump” to Hague in the parish, being implemented through the Housing Agency of Jamaica. At the end of the financial year 30% of the Hague resettlement project had been completed. The Corporation worked in collaboration with the Parish Council and all other relevant or related agencies to implement projects inclusive of beautification of the town, refurbishing of the Court house and repaving of some streets and sidewalks. A traffic management programme was also implemented which saw to the reorganizing of the traffic flow in the town in support of the pedestrianisation of the focal Water Square. Work also commenced on the new Falmouth Police Station, executed through the Jamaica Defence Force. The Corporation established an office in the new development area to afford the public easy access to and interaction with the planning team during the initial planning process. Some J$709,419,540.31 was earmarked for developmental work in the special development area.

St Catherine Half Moon Bay Sewer Line Work was completed under a $3,634,570.89 contract and involved the excavation and repairs to the existing line. This was to ensure the secured conveyance of sewerage from Half Moon Bay Bach to the Hellshire sewage treatment plant. Emancipation Square, Spanish Town Stabilization of Walls at Old Kings’ House and Old Court House buildings in the historic square was embarked on

18

during the year as part of a $19.8M contract.

ANNUAL REPORT 2010 - 2011


The proposed conservation was undertaken with the aim of ensuring that the historic buildings were sufficiently reinforced to undergo planned future development. The works on the Old Kings House Building included the replacement of defective raking shores (supports) and rehabilitation of the brick walls and buttresses which have deteriorated over time, whereas the Old Court House underwent replacement of, approximately 76 wooden lintels with reinforced concrete lintels and the brick work above the lintel, part of the mechanism supporting the external walls. GC Foster College - Seating, Changing/Bathroom facilities including Sewage Disposal Works The UDC resumed its association with the nation’s athletic training facility, the GC Foster College of Physical Education and Sports, during the review period. The works included the installation of bleacher seating, complete with change rooms for players and match officials, shower and toilet facilities, construction of a sewage disposal system and the installation of a chain link fence around the perimeter of the field. The football field was also upgraded as part of a $45.6M contract. The UDC had previously upgraded the Gymnasium and installed the Mondo Running Track at the College.

Portland Reach Falls The Corporation continued upgrading works on the attraction inclusive of the construction of an administrative building, new ticket office, craft and snack hut, nurse’s station, and souvenir shop. A new sewage disposal system was also installed, all aimed at enhancing the facilities and bringing the attraction in line with international standards, in keeping with its green designation.

St Mary The Port Maria Civic Centre Restoration and refurbishing works were completed at the Port Maria Civic Centre which saw final accounting being done at the end of the review period. The Civic Centre was restored from the burnt ruins of the old court house to accommodate mayor’s office, council chambers, retail shops and restaurants, craft museum, commercial shops and amphitheatre. The project was funded by BANDES and the Government of Jamaica.

19

ANNUAL REPORT 2010 - 2011


Simon Bolivar under construction

Concacaf Under 17 played at the Montego Bay Sports Complex in February 2011

Downtown Kingston Municipal Transport Centre

Reach Falls, Portland

20

Vessel docks into the new Falmouth pier

ANNUAL REPORT 2010 - 2011


LEGAL AND ESTATES The Legal and Estates Division had a challenging year; however, despite the hurdles and difficulties, the overall objectives were met. The year began with an increase in the complement of staff members to the Estate Department to enhance the capability of the section as the home of the Corporation’s extensive land bank for which reconciliation has been problematic and ongoing. This saw the addition of a Director of Estates and two estate officers, and in the latter part of the year the complement of surveyors was increased by two noncommissioned surveyors mainly to assist with the Caymanas project and to provide support to the lone commissioned surveyor. The team has also made other significant strides and with the certification of the legal officer as a mediator, is now open to resolving conflicts and supporting any other department of the organization. Trademark registrations were effected by the Legal Department through Jamaica Intellectual Property (JIPO) in various categories for the Corporation’s subsidiaries and attractions which will augur well for the Corporation in this new era of rigorous protection of intellectual property rights. Consequently the following trademarks were registered –

• Reach Falls (registration did not include logo)

• Laughing Water

• Top Forte

• Love Trail

• Festival Village

• Pineapple Place

• Roaring River Estates

• Caymanas Developments

• Artisan Village

• Fort Clarence Beach

• Two Sisters Caves

In addition to which, Dunn’s River Falls and Park and Green Grotto Caves and Attractions though previously registered had their categories expanded.

CORPORATE SECURITY & FACILITIES MANAGEMENT DIVISION The Corporate Security & Facilities Management Division executes its responsibilities through the following departments and units:

21

ANNUAL REPORT 2010 - 2011


Facilities Management Department This Department maintains all buildings along the waterfront owned by the UDC, inclusive of two 12-storey office blocks, the Office Centre Building (Block 4) and the Oceana Building; an art gallery and institute – the National Gallery of Jamaica (Block 3); a commercial block with offices and shops – Block 2/6 and a commercial block with small shops – The Seabed Arcade. Maintenance of the Jamaica Conference Centre, Two Sisters Cave and Fort Clarence Beach was also undertaken. The department also manages and maintains the three multi-storey parking garages and six open parking lots in Downtown owned by the UDC.

Occupational Health & Safety Unit This Unit has the responsibility for establishing health standards for the Corporation and encouraging compliance through monitoring and regular inspections. Additionally, it ensures that work methods applicable to all employees, as well as contractors and consultants are effected for sites. The Unit promotes health and safety awareness with the by-product of a healthy staff complement being the minimising of the social and financial effects of workplace injury and illness, as well as litigation and related liabilities. In support of this, the Unit has established an Emergency Preparedness and Response Programme.

Transport Unit This Unit has responsibility for the maintenance and operation for the fleet of vehicles for the UDC group of companies inclusive of:

- St. Ann Development Company (SADCo)

- Runaway Bay Water Company (RBWCo)

- Caymanas Golf & Country Club

- Caymanas Development Ltd

Corporate Security Department The responsibility for the protection and security of the Corporation’s personnel, facilities and holdings, falls to this department. The reach of the team extends from Kingston to, St. Andrew, St. Catherine, St. Mary, Portland, St. Ann, Trelawny, St. James and Westmoreland. This is facilitated by a cadre of two categories of security personnel: those directly employed to the Corporation and those contracted. During the review period the Division:

22

a) Prepared the Jamaica Conference Centre for the International Seabed Authority Conference in July 2011.

ANNUAL REPORT 2010 - 2011


b) Assisted in correcting defects to Hellshire Glade Phase II housing development units.

c)

Returned vacant shops to a state of readiness for rental

d) Relocated electrical panels at Kingston Mall.

e)

f) Implemented the new Advance System for the purchase of fuel and lubricants for fleet vehicles, for greater

Monitored all UDC properties to prevent new squatting.

efficiencies. On the Facilities Management side, the Division continued to be challenged by the sheer volume of maintenance requests primarily created by obsolete equipment as well as the poor state of the existing infrastructure. On the Security side, squatter management and removal were the major challenges.

Human Resources Management and Administrative Division The Division has responsibility for the management and strategic alignment of the Corporation’s most valuable resources, its people. In addition to which it supports the operational efficiencies of the organization. This is achieved through several departments, inclusive of Human Resource Management, Human Resource Development, Office Services, Strategic Sourcing and Procurement and Documentation and Records Management. During the year under review, the Corporation enjoyed an increase in its staff complement, from to, with particular emphasis placed on the recruitment of technical professionals to support the planning objective. The Corporation also engaged in capacity building of its team through a series of training programmes, conducted internally as well as externally. In the area of Strategic Sourcing and Procurement, the Corporation embarked on a programme designed to facilitate increased efficiencies in the procurement process, as well as improved compliance with the Government of Jamaica’s procurement procedures. The involved the liaising and submission of requisite reports to the Office of the Prime Minister (Portfolio Ministry), Ministry of Finance, Office of the Contractor General and the National Contracts Commission among others. The Office Services and Documentation and Records Management departments assured in the instance of the first, the comfort of the staff and persons attending meetings. In the case of the latter, the responsibility for the management and security of the Corporation’s records, as well as making information available internally as well as externally in support of the corporate objectives.

23

ANNUAL REPORT 2010 - 2011


ECONOMIC DEVEOPMENT AND CORPORATE RELATIONS The Economic Development and Corporate Relations Division is comprised of two departments, Economic Development and Community Integration and Corporate Relations and Marketing. The operations of the Division are guided by the mission to ensure that the social and economic components of the urban planning process are given due consideration. Additionally the Division must engage the stakeholder in the development process to underline the relevance and value of orderly spatial development in the lives of corporate as well as individual stakeholders. The Division sought to accomplish this by –

• Participation in the development planning process and managing the interaction with stakeholders

• Reviewing and identifying economic potential in existing or proposed projects

• Strengthening social/corporate sponsorship through the alignment of the goals and interests of the UDC with

other entities in support of the national development

• Communication of the goals and objectives of the Corporation to secure stakeholder buy in while

repositioning and leveraging the value of the UDC brand. Consequently several activities were undertaken during the year. The Division sought to create economic development and communication plans in support of the special development areas. In the case of Falmouth, for example, a framework was set up which involved the identification of the stakeholder groupings and their needs in keeping with the development mandate for the area. A programme of activities was then fashioned which included sensitization of the group to the plans, training sessions to equip the residents to take advantage of the opportunities that were expected to be likely outcomes. Two major activities supported this process. One was the staging of the Falmouth Community Expo, which brought together planners of the development, the partners and implementers of the new port development, the training, certification and community enabling agencies and of course, the communities themselves. The other was the coordination of the Corporation’s involvement in the “Falmouth Experience” a programme developed in collaboration with the Trelawny Parish Council and the Ministry of Youth, Culture Information and Sports to present a cultural slice of Jamaica to the early cruise ship arrivals. Other major events coordinated by the Division include the “soft” opening of the Montego Bay Convention Centre, the opening of the Transport Centre for downtown Kingston in addition to supporting the communication campaign for the changes in the transportation arrangements in Downtown. Another successful staging of Fireworks on the Kingston Waterfront on December 31, 2010, which saw participants

24

exceeding 100,000 at the peak of the event, was co-ordinated by EDCR.

ANNUAL REPORT 2010 - 2011


The Division also continued with the administration of the Tax Incentive Programme for Urban Renewal on behalf of the Ministry of Finance which had been formally launched in Spanish Town during the previous year. The Division also sought to pioneer a paradigm shift in how the Corporation financed its business, through the exploration of several financing models and received approval from the Ministry of Finance for various Public Private Partnerships, including the use of Real Estate Investment Trust.

Then Prime Minister, the Honourable Bruce Golding signs into effect the Spanish Town Development Area, under the Tax Incentive Programme in October 2012. Also in photo from left, Member of Parliament , Honourable Olivia Grange and Chairman and General manager of the UDC, Mr. Wayne Chen and Miss Joy Douglas respectively.

Miss Betty Ann Blaine, guest speaker at the UDC’s Reading Competition interacts with participants

Community Expo in Falmouth

Youngsters enjoy Fort Clarence Beach during the Hellshire Summer Fun 2010

25

ANNUAL REPORT 2010 - 2011


REPORT ON THE JAMAICA CONFERENCE CENTRE The start of the business year was marred by the civil unrest in West Kingston which affected the confidence levels among customers. Tremendous effort was extended by the team to regain lost confidence, garner new business to the Downtown Central Business District (CBD) and maintain the Centre on the public’s list of viable event venues. Strategies employed ranged from promotions in the print media to personal sales calls which translated into increased activities of June and July. The events included weddings, new groups and repeat bookings. International recognition was given to the Centre, its team, and management with the awarding of the prestigious title of the “Caribbean’s Leading Meetings & Conference Centre” at the World Travel Awards in October 2010. The month of December brought mixed fortunes for the JCC. The opening session of the Commission of Enquiry on the Manatt Phelps and Phillips matter hosted by the Cabinet Office in collaboration with the Ministry of Justice received significant media coverage. As time progressed, and all Jamaicans tuned in to the inquiry, some clients had reservations about having their events at the venue during the time. Consequently some events were postponed while others were cancelled. On a positive note, December saw the re-opening of the restaurant to the public under the management of concessionaire “From Thought to Finish”. The restaurant was renamed Sea Breeze and has enjoyed a growing customer base since then. The alliance with “From Thought to Finish” has been a positive one and has strengthened the position of the JCC in the market place. The contractual arrangements have also resulted in increased revenue from rental of the Restaurant. Major challenges included:

• Malfunctioning of kitchen equipment such as chiller, steam tables and ice machines.

• Inadequate parking space on weekdays, resulting from the reduction in allocation in the multi-level car park (a

facility marketed as a part of the JCC offering) down to fifty spaces at the end of the review period. With the limitations in mind, arrangements have been made to utilize the Old Myrtle Bank location adjacent to the Jamaica Stock Exchange lot to accommodate the overflow parking when necessary. Its distance from the Centre however makes this a less than ideal situation.

• Reduced staff complement with the temporary reassignment of one member of the team to the UDC Office.

Total revenue generated this year was $38,963,398, an increase of $3,648,957 over the previous review period (April 2009 - March 2010). The graphs below indicate the breakdown of income over a monthly and quarterly period. It should be noted that the revenue indicated for the previous period included gross income from meals. However, the revenue generated for this review period indicated a net income where food costs have already been deducted. This reflects a significant increase in revenue generated from the commission earned from the provision of food and beverage. In addition, a consistent income continues to be earned from the Ministry of Justice which rents the Caucus

26

Rooms for use as Civil Court. Finally, the hosting of the Manatt Enquiry over five months, positively impacted revenue.

ANNUAL REPORT 2010 - 2011


The expenditure for this year showed a further decrease to $75,266,764 compared to the previous year’s expense of $82,891,188. This is attributable to diligent conservation methods which have yielded decreases in electricity and water. Maintenance and cleaning savings were also realized.

27

ANNUAL REPORT 2010 - 2011


RUNAWAY BAY WATER COMPANY LTD. Runaway Bay Water Company Ltd. is a wholly owned subsidiary of the Corporation. During the Financial year April 2010 to March 2011, the Company retained its staff complement of nineteen full time employees, four administrative personnel and a manager to perform the functions required for the Commercial Office. Additionally, the plants which house the two wells were manned around the clock by a system supervisor and thirteen system operators who monitored the quality, extracted, treated and distributed 2.19 Million m3 of potable water. 1.688 Million m3 or 80.65% of this production was sold wholesale to the National Water Commission (NWC) for re-distribution to their customers in communities around the Runaway Bay area and the remainder was distributed directly by the Company to its 342 domestic and 61 commercial customers in the Cardiff Hall sub-division of Runaway Bay. Throughout the year the Company accomplished its mandate to supply potable water to all its customers twenty four hours per day, seven days per week at all the standards stipulated for potable water by the Jamaican Government and monitored by the various statutory regulatory agencies. Based on the unaudited financials, the Company displayed an improved position, generating Gross Sales Revenue of J$118.4M an increase of J$3.72M or 3.24% over the previous year with an after taxation profit of J$23.98M which was J$3M better than the previous year. Management Fees of $24M was paid to its parent, the Corporation.

CAYMANAS GOLF AND COUNTRY CLUB CAYMANAS GOLF AND COUNTRY CLUB experienced another financially challenging year with golf-related revenues (membership subscriptions, green fees, cart fees) level at best and down in some areas (cart revenues). The Club made a strategic change by moving its renewal date to April 1st to coincide with UDC accounts, and as such, renewed membership at the then current rate for a five-month period (November 2010March 2011). In March, an increase of approximately 15% was instituted together with a benefit package, which included a food/beverage allowance and other benefits. This enabled a successful renewal in April 2011. The food, beverage and function side of business, has shown significant growth and this continues to be the area of greatest potential in the short-term. The general experience in this line of business is that competition is reducing margins and therefore profitability. We continue to pursue a more aggressive strategy in going after this line of business

28

and with the hope that this will continue to contribute to the bottom line.

ANNUAL REPORT 2010 - 2011


ST. ANN DEVELOPMENT COMPANY LIMITED OVERVIEW The St. Ann Development Company Limited (SADCO) was established in 1967 under the name St. Ann Redevelopment Company which was amended in 1997 to reflect the present company name. The company is mandated to promote responsible and sustainable development for the parish of St. Ann through its relationship with the UDC. One of the company’s main functions is to manage and oversee the day to day operations of all attractions and properties owned by the UDC in St. Ann and consequently manages the following :

• Dunn’s River Falls & Park

• Green Grotto Caves

• Ocho Rios Bay Beach

• Turtle River Park

• Roaring River Estate

• Ocho Rios Craft Market

• Pineapple Place Craft Market

• Laughing Waters

• Undeveloped Lands

SADCO continued during the 2010/2011 Financial Year with the restructuring of the organization to include a comprehensive Marketing Department, Landscaping Department, Maintenance Department and Training Department within the Human Resources Department. This restructuring is vital to effect efficient day to day operations of all entities and to maximize the potential of revenue centres. The company embarked on the implementation of a continuous training programme, to include exposure of all employees to Customer Service Training and support and training for their individual skill areas. A number of new staff welfare initiatives were also implemented during the year inclusive of GSAT back to school gift certificates to employees’ children .

Dunn’s River Falls & Park World Travel Awards 2010 Caribbean’s Leading Tourist Excursion, Dunn’s River attraction offers a magnificent setting with its lush flora and spectacular cascading waterfall continues to be the jewel among the Corporation’s attractions. During the 2010 – 2011 financial year significant work was done to assure first class facilities and quality service while securing the integrity of the natural environment. Projects included

• Expansion & Upgrading of Sewage Treatment System – The site was officially handed over to Scientific

Research Council for commencement of work in March 2010 for official start date of the project stated as April 26, 2010. Phase 1 is slated for completion in September 2011

ANNUAL REPORT 2010 - 2011

29


• Electronic Ticketing and Access Control System – The project feasibility, requirement matrix and cost

benefit analysis for this provision was undertaken and completed during this financial year.

• Central Garden Project – A project to develop an area that is centrally located and beautifully landscaped

is being pursued. This is to accommodate twelve (12) kiosks of various sizes that will diversify the offering of goods and services for the patrons to the park, as well as the provision of a water feature that will create another major revenue centre for the attraction. The development of the architectural and technical plans which was started in 2009, was advanced during the year. Refurbishing of existing structures and a series of operational system changes were also implemented to fit the outstanding needs of the attraction, inclusive of

• The refurbishing of the old ticket office to accommodate a Customer Service Centre and Lost and Found

service was completed in May 2010.

• A revised entry management system instituted in August 2010, immediately reflected an improvement in

revenue. For the period August 2010 – March 2011, there was a 39.75% increase in entry at the main ticket office at Dunn’s River Falls & Park.

• Installation of uniform signage throughout the property

GREEN GROTTO CAVES & PARK Projects designed to enhance the visitor experience at Green Grotto Caves and promote positive feedback, were undertaken during the financial year. Activities included :

• The installation of additional signage highlighting key rock formations

• The installation of coloured lighting in the caves and grotto again highlighting key rock formations

• The establishment of a Logo Shop

An increase in resident entry rates from to during the review period, should enhance the revenues. During the year, SADCo signed an agreement with Royal Caribbean Cruises for the provision of a tour package which includes Dunn’s River Falls and Park and Green Grotto Caves. This tour is being sold to passengers on Royal Caribbean cruise ships arriving at the new Falmouth port which opened in February 2011. The Green Grotto Caves and Park continues to garner accolades and was benchmarked by EarthCheck - EC3 Global - Australia in 2011. Green Grotto Caves is listed as a Star Performer on their website at www.earthcheck.org with nine of the twelve indicators assessed being at or above the Best Practice level.

OCHO RIOS BAY BEACH

30

SADCo had proposed the implementation of new revenue centres along the beachfront during 2010, even as the UDC

ANNUAL REPORT 2010 - 2011


continues work on a comprehensive Ocho Rios Redevelopment Plan, which includes the beach and marina. Proposals to refurbish the jetty on the beachfront that was destroyed by severe weather in 2007 as well as the introduction of several new revenue centres were placed on hold during the period as consideration was being given to the divestment of the facilities. The implementation of a new fee structure in the marina and increased the revenue by approximately 175%. Some success has been realized through the promotion of the company to external partners as a potential tour and in 2011, Dolphin Cove Limited successfully packaged the beach as a tour to Carnival Cruises. Ocho Rios Bay Beach received Blue Flag Certification status in 2010/2011.

TURTLE RIVER PARK The Turtle River Park, an oasis in the bustling town of Ocho Rios enjoyed a 15% increase in events over the previous year, a direct result of increased marketing and promotion of the park as a venue for large events and parties. Proposals aimed at expanding the customer base include the addition of a jogging and exercise trail on the outer perimeter of the park to attract fitness enthusiasts, as well as an open door structure for the housing of a comprehensive fitness centre. SADCO is also proposing the acquisition of the lot on the north western side of the park for the addition of a small amusement park for children which could include a miniature golf circuit. These additional revenue along with other existing and planned revenue centres is needed to offset the cost of maintaining this green space and will be pursued.

CRAFT MARKETS The design concept for the Artisan Village which is proposed to be located on the Shaw Park South lot in the centre of Ocho Rios was completed in 2010. The concept was presented to the Tourism Product Development Company and the Tourism Enhancement Fund boards, in an effort to seek investment and support for this plan. Planning activities continue on this project.

ROARING RIVER ESTATE Roaring River Estate has been operating as a farming enterprise with its primary operation being cattle and pimento production. The decision was however taken to cede the cattle rearing activities at estate in September 2009, and the entire herd disposed of. During the financial year, SADCO proceeded with the refurbishing of the Great House and pursued markets for the sale of a cultural /heritage tour of the Great House and its environs. In October 2009, Royal

ANNUAL REPORT 2010 - 2011

31


Caribbean Cruise Lines added this tour to its line up for the 2009/2010 cruise ship season. The tour was well accepted and started to gain momentum but was not resold to the cruise lines for the 2010/2011 season due to the notification a pending divestment. The cost of maintaining a property of this size is significant and SADCo decided to promote the property as an event venue in the short term until a decision regarding the development of the property is taken.

OCHO RIOS CONMMERCIAL CENTRE The Ocho Rios Commercial Centre Limited (ORCC) is a wholly owned subsidiary of the Urban Development Corporation (UDC). ORCC owns and operates the Ocean Village Shopping Centre complex located on Main Street, Ocho Rios. The complex was developed by the UDC in 1972 to complement its resort and residential properties within the environs of Ocho Rios. Operational since 1974, the complex consists of four (4) blocks measuring 73,034 square feet and encompasses ten (10) offices and seventy six (76) shops which offer a variety of amenities. Its competitors are Beecham Plaza, Island Plaza, Island Village, Soni’s Plaza, The Harbour Shops and Taj Mahal, with the latter three catering primarily to non- resident visitors. The organization’s core functions are to provide effective and efficient maintenance services to the building, grounds and gardens: in addition to the rental of all the lettable spaces and the timely collection of rental and maintenance fees. The ORCC performance for the period has been presented under the four fold perspective of financial, customer, internal business, learning and growth. The entity’s unaudited Financial Result for the period, reflects profit before tax of $6,563,103.28, with revenue (Rental Fee and Other Income) earned totaling $18,111,395.17. Expenditure for the corresponding period amounted to $11,537,291.89, with the balance for the aged accounts receivables at $11,591,738.97 ORCC in recognition that the global recession was adversely impacting the complex’s retailers and service providers, developed and executed a marketing plan which generated an increase in the customer traffic through the Centre. The marketing tool employed was advertising and promotion vis a vis printed and audio medium. From the business perspective, the implementation of the Preventative Maintenance Schedule saw an increase in routine maintenance of the building, grounds and associated amenities. One area of operating inefficiencies was however the keeping of the Aged Accounts Receivable balance which is 1-60 days. The capacity building of the team continued with four team members acquiring the Tourism Product Development Company Limited’s “Team Jamaica” certification for their participation in that programme. Additionally, two staff members participated in the Credit and Debit Collection Conference held on 2010 October 13.

32

ANNUAL REPORT 2010 - 2011


URBAN DEVELOPMENT CORPORATION SUBSIDIARIES & ASSOCIATE COMPANIES AS AT MARCH 31, 2011

• ACKENDOWN NEWTOWN DEVELOPMENT COMPANY LIMITED

• BLOODY BAY HOTEL DEVELOPMENT LIMITED

• CAYMANAS DEVELOPMENT COMPANY LIMITED

• CENTRAL WASTEWATER TREATMENT COMPANY LIMITED

• HELLSHIRE MARBLE LIMITED

• KINGSTON WATERFRONT REDEVELOPMENT COMPANY LIMITED

• KINGSTON WATERFRONT HOTEL COMPANY LIMITED

• LILLIPUT DEVELOPMENT CORPORATION LIMITED

• MONTEGO BAY CONFERENCE CENTRE LIMITED

• MONTEGO FREEPORT LIMITED

• MONTEGO BEACH (1975) LIMITED

• MONTEGO SHOPPING CENTRE LIMITED

• NATIONAL HOTELS AND PROPERTIES LIMITED

• OCHO RIOS COMMERCIAL CENTRE LIMITED

• PORTMORE COMMERCIAL DEVELOPMENT COMPANY LIMITED

• PORTMORE NEWTOWN DEVELOPMENT COMPANY LIMITED

• PORT ROYAL DEVELOPMENT COMPANY LIMITED

• ROSE HALL RESORT LIMITED

• RUNAWAY BAY WATER COMPANY LIMITED

• RUTLAND POINT BEACH RESORTS LIMITED

• ST. ANN DEVELOPMENT COMPANY LIMITED

• SEACASTLES LIMITED

• SEASIDE AT ROSE HALL DEVELOPMENTS LIMITED

• URBAN MAINTENANCE (1977) LIMITED

33

ANNUAL REPORT 2010 - 2011


DIRECTORS OF THE URBAN DEVELOPMENT CORPORATION, SUBSIDIARIES AND ASSOCIATED COMPANIES AS AT MARCH 31, 2011 Urban Development Corporation

Bloody Bay Hotel Development Limited

Wayne Chen

Chairman

John J. Issa

*Audrey Marks

Deputy Chairman

Muna Issa

Joy Douglas

General Manager

John Stuart Fisher

Chairman

Robert Russell

Thomas Tavares-Finson

Michael Subratie

Joy Douglas

Sancia Templer

Ann-Marie Rhoden

Michael Ammar Jr

Daniella Gentles

Tom Tavares-Finson Zachary Harding

Caymanas Development Company Limited

Sally Porteous Daniella Gentles

Cleo Taylor

Chairman

Lennox Elvy

Joy Douglas

Dahlia Kelly

Patrick Stanigar

Desmond Young

Dahlia Kelly

Cleo Taylor

Anthony Hyde

Ann-Marie Rhoden

David Mais

*Deputy Chair appointed overseas during the review period.

Paul Lalor William Mahfood Desmond Young

SUBSIDIARIES & ASSOCIATES Ackendown Newtown Development Company Limited

JJoseph M. Matalon

Chairman

Ann Marie Rhoden

Milverton Reynolds

Wayne Chen Wentworth Charles

34

Wilfred Baghaloo

ANNUAL REPORT 2010 - 2011


Central Wastewater Treatment Company Limited

Lilliput Development Corporation Limited (dormant)

Lennox Elvy

Winston Dear

Chairman

Joy Douglas

Chryseis Reynolds

Genefa Hibbert Martin Miller

Montego Bay Conference Centre Limited

Philip Bernard Akiva Schiff

Wayne Chen Joy Douglas Robert Russell

Hellshire Marble Limited (winding up in progress)

Montego Beach (1975) Limited (dormant)

Reginald Carl Chantrielle Winston Hayden

Wayne Chen

Raymond Wright

Joy Douglas

Avris Pamela Whittingham Norman Patrick Saulter

Montego Freeport Limited

Richard Clarke Yvette Sibble

Kingston Waterfront Redevelopment Company Limited (dormant)

Michael Ammar Jr

John Gourzong

Chairman

Barrington Baugh

Methelina Scarlett-Jones

Dale Sinclair

Robert Russell Michael Subratie

Francis Kennedy

Joy Douglas Kingston Waterfront Hotel Company Limited (dormant)

Melissa Chang

National Hotels and Properties Limited Michael Ammar Jr Francis Kennedy Joy Douglas

Tim Scarlett

Lennox Elvy

Michael Subratie Joy Douglas Yvette Sibble

35

ANNUAL REPORT 2010 - 2011


Ocho Rios Commercial Centre Limited

Robert Stephens Michael Campbell

Junior Haughton

Chairman

Lois Sherwood

Martin Lyn

Donovan Perkins

Richard Clarke

Maureen Facey (Alternate)

Portmore Commercial Development Company Limited

Runaway Bay Water Company Limited

Desmond Young Sancia Templer

Dwight Clacken

Chairman

Peter Morais

Chryseis Reynolds

Lennox Elvy

Ann Marie Rhoden

Daniella Gentles

Joy Douglas

Barrington Chisholm

Veronica Bennett-Warmington (Alternate)

Keith Smith Lloyd Davis

Rutland Point Beach Resorts Limited (dormant)

Audrey Deer-Williams Ludlow Bowie

Shalman Scott

Portmore New Town Development Company Limited (dormant)

Robert Russell Michael Subratie Sally Porteous Yvette Sibble

Desmond Young Sancia Templer

St. Ann Development Company Limited

Lennox Elvy Richard Clarke

Port Royal Development Company Limited

36

Junior Haughton

Chairman

Laura Heron

General Manager

Nathan Morrison

Thomas Tavares-Finson

Patrick Drake

Daniella Gentles

Delroy Giscombe

Robert Russell

Derrick Chang

Joy Douglas

Carlton Cole

Martin Lyn

Desmond Morgan

Carole A.M. Guntley

Alfred Lee

Edison Galbraith

Zachary Harding

ANNUAL REPORT 2010 - 2011


Sally Porteous Marcia Scott-Golding

URBAN DEVELOPMENT CORPORATION BOARD COMMITTEES Audit

Richard Clarke Wayne Chen - Chairman Seacastles Limited (dormant)

Ann-Marie Rhoden Francis Kennedy Lennox Elvy

Shalman Scott

Triff Snape

Robert Russell Chryseis Reynolds

Contracts Award Seaside at Rose Hall Developments Limited Thomas Tavares-Finson - Chairman Desmond Young

Wayne Chen

Daniella Gentles

Daniella Gentles

Wentworth Charles

Robert Russell Joy Douglas

Finance Treasury & Investment

Don C. Stansberry Wyley Sweeney Cheryl Ann Lyon

Seacastles Limited (dormant)

Audrey Marks

Chairman

Lennox Elvy

Deputy Chairman

Wayne Chen Joy Douglas Michael Subratie

Shalman Scott

Ann Marie Rhoden

Robert Russell

Daniella Gentles

Chryseis Reynolds

Desmond Young Urban Maintenance (1977) Limited (ceased trading)

Cleo Taylor Dahlia Kelly Michael Ammar Jr

William Masterton

Robert Russell

Francis Kennedy

Zachary Harding

Desmond Young

Thomas Tavares-Finson

Richard Clarke

Sally Porteous

37

ANNUAL REPORT 2010 - 2011


Veronica Bennett-Warmington Sancia Templer

Human Resource Management

Thomas Tavares-Finson Chairman Dahlia Kelly

Michael Ammar Jr

Chairman

Dahlia Kelly Cleo Taylor Joy Douglas Robert Russell

Desmond Young

Revision of the Urban Development Corporation Act

Information Technology

Lennox Elvy

Other Committees Portland Bight Areas

Chairman

Zachary Harding

Wayne Chen

Chairman

Thomas Tavares-Finson Daniella Gentles

Planning & Development

Wentworth Charles Joy Douglas

Wayne Chen

Chairman

Yvette Sibble

Desmond Young Zachary Harding

Montego Bay Advisory Board

Robert Russell Audrey Marks

Robert Russell

Sancia Templer

George Thomas

Sally Porteous

Godfrey Dyer

Michael Ammar Jr

Noel Donaldson

Francis Kennedy

Wyley Sweeney

Michael Subratie

Cecil Davis

Joy Douglas

Merrick Fray

Chairman

Patrick Fletcher Public Relations & Marketing

John Gourzong Methelina Scarlettt-Jones

Zachary Harding

38

Chairman

Adrian Grant

Robert Russell

Anthony Pearson

Michael Ammar Jr

Norman Hall

Dahlia Kelly

Karl Jarrett Homer Davis

ANNUAL REPORT 2010 - 2011


Negril Advisory Board

Shalman Scott

Chairman

Eric Clarke Linus Aruliah Cosmo Brown Roy Hutchinson Carey Wallace Patricia Sinclair-Stair Opal Beharie Joan Smalling Russell Hammond Anthony Pearson Norman Hall Karl Jarrett Homer Davis

39

ANNUAL REPORT 2010 - 2011


SENIOR EXECUTIVE COMPENSATION FINANCIAL YEAR APRIL 1, 2010 – MARCH 31, 2011 Vacation Pay

Total ($)

Position of Senior Executive

Salary $

Gratuity or Performance Incentive $

General Manager

8,558,707.32

3,462,879.48

DGM - Legal Division

7,017,177.24

2,785,896.93

DGM - Finance & Administration

10,273,509.39

DGM - EDCR

7,017,177.24

7,017,177.24

DGM Corporate Security

7,017,177.24

1,403,435.45

8,420,612.69

DGM - DPMD

7,017,177.24

DGM - HRD

7,017,177.24

Company Secretary

6,655,180.00

Total

60,573,282.91 10,306,038.22

Travelling Allowance or Value of Assigned Motor Vehicle $

Pension or Other Other Retirement Allowances Benefits ($)

Notice pay & Redundancy Payments s

Non-Cash Benefits ($)

1,358,524.95

2,653,826.36 -

1,358,524.95

-

-

13,380,111.75 9,803,074.17

-

-

10,273,509.39

7,017,177.24 7,017,177.24 9,309,006.36 72,237,846.08

* Financial Statement on page 34 (24 (iii)) $63,230M does not include gratuity of $10,306M and vacation of $1,359M resulting in a difference of $11,655M. Amounts are captured in Administrative and General Expenses.

40

ANNUAL REPORT 2010 - 2011


DIRECTORS’ COMPENSATION FINANCIAL YEAR APRIL 1, 2010 – MARCH 31, 2011

Position of Director

Chairman **Deputy Chair

Fees ($)

446,284 0

Motor Vehicle Upkeep/Travelling or Honoraria ($) Value of Assignment of Motor Vehicle (s)

All Other Compensation including NonCash Benefits as applicable ($)

Total ($)

N/A

N/A

N/A

446,284

N/A

N/A

N/A

0

Director

204,284

N/A

N/A

N/A

204,284

Director

297,355

N/A

N/A

N/A

297,355

Director

232,087

N/A

N/A

N/A

232,087

Director

185,354

N/A

N/A

N/A

185,354

Director

181,607

N/A

N/A

N/A

181,607

Director

217,889

N/A

N/A

N/A

217,889

Director

194,424

N/A

N/A

N/A

194,424

Director

263,242

N/A

N/A

N/A

263,242

Director

193,241

N/A

N/A

N/A

193,241

Director

137,438

N/A

N/A

N/A

137,438

Director

212,171

N/A

N/A

N/A

212,171

Director

110,621

N/A

N/A

N/A

110,621

Director

266,003

N/A

N/A

N/A

266,003

TOTAL

3,142,000

3,142,000

* Directors Fees of $3,142 are captured in the Financial Statement on page 32 (21(b)) ** Deputy Chair was assigned overseas during the period of review. ***Compensation not included for Executive members.

41

ANNUAL REPORT 2010 - 2011


Annual report 2010 2011