Agreements have been reached between two local hotels and the organisers of the World Mayors Conference, it was announced yesterday.

The disclosure was made by Acting Tourism Minister Wayne Furbert in a bid to ease fears that "stumbling blocks'' threatened the upcoming conference.

"I wish to submit that it would be wrong to suggest that `stumbling blocks' are being put in the way of the preparations for the World Conference of Mayors planned for the Fall of this year,'' he said. "The Department of Tourism was in fact pleased to learn by facsimile yesterday that agreements have now been reached with two major hotels.'' He said the latest developments meant that the convention should proceed as planned, to the delight of the Government.

The annual World Conference of Mayors is scheduled to take place from November 14 to 19 and is estimated that up to 1,500 people could fly in for the event.

The Department of Tourism is scheduled to pump in at least $100,000 into the upcoming conference, which includes many of America's most powerful mayors.

On Thursday, Shadow Tourism Minister David Allen called for Government action to ensure that the event would not be scrapped after he received word that "obstacles'' threaten to do so.

And Mr. Allen warned that Bermuda should not be perceived as treating the Mayors any different than other major groups.

"Government must ensure that the treatment of this group, which happens to be largely Afro-American, is not perceived to be less than that given to other major groups -- and it should be recognised that Bermuda has never before hosted such a large and prominent group of American political leaders,'' he said.

By helping the Conference, Mr. Allen added, Bermuda could eliminate the stereotype in the black American market regarding the Island's desire to attract their business.

Yesterday, Mr. Furbert reiterated Government's commitment to the ongoing development of effective programmes that would encourage black Americans to visit Bermuda.