oMr. President and Members of the Senate,

Mr. Speaker and Members of the Honourable House of Assembly,

"The prosperity of a country depends, not on the abundance of its revenues,

nor on the strength of its fortifications, or on the beauty of its public buildings;

but it consists in the number of its cultivated citizens, in its men (and women)

of education, enlightenment, and character." Martin Luther

The indomitable spirit of Bermuda's people has been greatly evidenced these past few weeks as the Country automatically came together when the possibility of a category five hurricane loomed (fortunately, that hurricane passed us by greatly downgraded). Then, almost before we could catch our breath, we - like the rest of the world - were stunned by the horrific events of September 11. This event was followed a month later, on October 11, by a sudden storm that rendered almost the entire Island without power.

Throughout these events what has been most impressive has been the sense of duty, the commitment, competence, and professionalism of the men and women of the Bermuda Police Service, the Bermuda Fire Service, the Medical Service, the Bermuda Regiment, Works and Engineering, Agriculture & Fisheries, Parks, the utilities and other essential services. What has also been evident, is that the people of Bermuda have retained their innate sense of humour, their faith, and the essential optimism born of a Country blessed in so many ways.

It has been almost two months since that fateful day in September that changed the world; and the ripples from the economic fallout are being felt in every corner of the world.

This atrocity appalled us all and Bermudians were even more shattered when it was learned that the tragedy intimately touched the lives of two Bermudian families, as well as affecting countless Bermudians and Bermuda residents who lost friends and colleagues.

While lives have ended, the cause of freedom and justice never ends. Thus, in response to the public's oft-expressed desire to do something meaningful and to allow Bermuda to play a part by making a contribution to the worldwide anti-terrorism initiative, the Bermuda Government has established the UN AFGHAN APPEAL FUND. This fund is in response to a request by the United Nations for countries around the world to aid their efforts to raise five hundred and eighty-four million dollars to help the vulnerable in and around Afghanistan.

Government has opened accounts at both the Bank of Butterfield and the Bank of Bermuda and every man, woman and child is challenged to donate one dollar to this relief effort. Government will match public donations up to a maximum of seventy-five thousand dollars.

It is interesting to note that the British Government, with a population of fifty-six million, has given the equivalent of 64p per person (36 million pounds) to this fund. If Bermuda were to match this rate of giving, the donation would be in the region of fifty-eight thousand dollars.

Mr. President and Members of the Senate,

Mr. Speaker and Members of the Honourable House of Assembly,

As a financial services jurisdiction, the Government has made intensive efforts since September 11 to ensure that no institution, no bank, no finance house in Bermuda harbours, or processes, funds connected with terrorism.

The British Government has charged all Overseas Territories to move as quickly as possible to ensure that there is no safe haven anywhere for funds used to finance terrorist attacks; and by an Order In Council, effective October 10, the United Nations Security Council Resolution Number 1373 was extended to the Caribbean Overseas Territories and Bermuda.

In the last two Parliamentary sessions, the Government has brought forward legislation in accordance with their goal of creating a New Bermuda. The initiatives that Government will bring forward for your consideration during this Parliamentary session continue that mission.

There will be a stronger focus on economic stability and on enhancing the quality of life for all Bermudians. Over the next few weeks and months you will see legislation introduced to bring Bermuda's laws into keeping with international requirements to strengthen fiscal oversight, enhance police cooperation and our powers of extradition, and to support heightened levels of airline and airport security.

Mr. President and Members of the Senate,

Mr. Speaker and Members of the Honourable House of Assembly,

In recognition of the hardship caused by the events of September11, Government has developed a special package to offer payroll tax relief to businesses severely affected by the decline in tourism. Therefore, an amendment to the Payroll Tax Rates Act, lowering the rates for retail stores, restaurants, small businesses and taxi drivers, will be laid before you.

Amendments to the Land Tax Act 1967 - to reduce the amount of land tax payable by senior citizens; and amendments to the Contributory Pensions Act 1970 - to improve contributory and non-contributory pension benefits will also be brought before you.

Mr. President and Members of the Senate,

Mr. Speaker and Members of the Honourable House of Assembly,

Technological advances continue to change the way people live and work. This is as true for Bermuda as it is for the rest of the world.

As a result of a cross-Ministry study, carried out collaboratively with the private sector, the first steps in Government's strategic plan for electronic Government will involve making the electronic submission of payroll tax returns.

A national plan for e-business, outlining the strategy, policy and actions required to place Bermuda at the forefront of global e-business, will be presented to Parliament early next year.

To facilitate the development of a secure and trustworthy environment for both electronic Government and electronic business, Government will also introduce an Authorisation Scheme for Certification of service providers. Legislation will also be brought forward to ensure the harmonisation of the telecommunications regulations.

Mr. President and Members of the Senate,

Mr. Speaker and Members of the Honourable House of Assembly,

The health of the Bermudian economy is increasingly dependent on the presence of flourishing international businesses. Government will therefore work to strengthen the partnerships that exist while continuing to maintain a high quality, internationally recognised, competitive international business environment.

In cooperation with the United Kingdom, the Government will continue to implement recommendations contained in the KPMG Review of Financial Regulation. Legislative initiatives will be aimed at improving Bermuda's competitiveness as a jurisdiction by further streamlining the incorporation process, facilitating registration of foreign names and addressing conflict of laws issues for registered securities. A strategic plan for the development of financial services in Bermuda will also be introduced.

Specifically, amendments to the Bermuda Monetary Authority (Collective Investment Scheme Classification) Regulations 1998 will be introduced to give the Authority enhanced enforcement powers in certain circumstances and increased supervisory and intervention powers.

Amendments to the Investment Business Act 1998 to ensure compliance with the required international standard will also give the Authority increased supervisory and intervention powers.

Bermuda's competitiveness as a jurisdiction will be enhanced through amendments to the Segregated Accounts Companies Act 2000 to extend this Act to entities such as mutual funds and shipping companies.

The regulation of Trusts will also be improved with the introduction of an exemption order, statement of principles and codes of practice under the Trusts (Regulation of Trust Business) Act 2001.

In addition, Members will be asked to:

consider amendments to the Real Estate Licensing Act 1976 to restrict trading in real estate to licensed agents and to require persons seeking a Brokers' license to have experience as a sales person; and

regulations under the National Pension Scheme (Occupational Pensions) Act 1998 to cover actuarial valuations, pension fund management, reporting requirements and portability.

The public should be assured that the Government remains vigilant and, girded with constant monitoring, expert assessment and broad consultation, ready to respond to the changing economic environment.

Mr. President and Members of the Senate,

Mr. Speaker and Members of the Honourable House of Assembly,

Bermudians are blessed to inhabit a beautiful and largely unspoilt corner of the world. However, as economic development continues and as people's aspirations grow, the natural environment, and our quality of life that is so dependent on it, come under increasing pressure. The Government is committed to ensuring that Bermuda's unique natural environment is protected and to that end has signed an Environmental Charter with the British Government.

Further protection will be provided with the extension of the United Nations Convention on Biological Diversity to Bermuda next year. Legislative amendments to ensure that local species and habitats are protected and conserved in accordance with the principles of the Convention are currently being explored.

A White Paper on Marine Resources and the Fishing Industry in Bermuda, setting out Government's preferred course of action to improve the management, administration and control of the fishing industry and Bermuda's marine resources, will be laid before the House. And The Historic Wrecks Act, tabled and withdrawn in the last session, will be tabled in revised form following consultation with all key stakeholders.

To further improve the environment and Bermuda's attractiveness, Government will introduce amendments to the Waste and Litter Control Act 1987 to create on-the-spot fines for littering and to make the owner of vehicles responsible for any litter or dumping that originates from the vehicle.

Good air quality is another important component of environmental protection and legislation will be developed to enable the implementation of a programme for testing the emissions levels of all vehicles on Bermuda's roads.

Mr. President and Members of the Senate,

Mr. Speaker and Members of the Honourable House of Assembly,

The Land Title Registration Project is a long-term cross Ministry initiative of the Ministry of Works and Engineering, the Ministry of the Environment and the Attorney General's Chambers. It will eventually encompass three related pieces of legislation.

Mr. President and Members of the Senate,

Mr. Speaker and Members of the Honourable House of Assembly,

The National Transportation Management Plan, Bermuda's most comprehensive transportation study, will be tabled and a number of additional transport policy measures introduced.

A new Merchant Shipping Act, the culmination of a major undertaking by the staff of the Shipping Registry and the Attorney General's Chambers, will be introduced to consolidate all the Merchant Shipping legislation since 1984.

In an effort to recover new and existing costs associated with aviation security at the Bermuda International Airport, amendments to the Bermuda Air Terminal (Fees) Regulations 1952 will be introduced.

Mr. President and Members of the Senate,

Mr. Speaker and Members of the Honourable House of Assembly,

The Government has consistently labeled Bermuda's young people 'the Island's greatest asset' and the education and development of the young remains a priority for the Government.

A proposed Hall of Fame honouring Bermuda's sports men and women will be created to provide positive role models for our young people. The legislative machinery needed to administer this programme and establish criteria for nominations will be placed before Cabinet for their consideration before introduction in Parliament.

During this Parliamentary session, Government will underscore its commitment to the enhancement of the teaching profession by introducing The Teachers Bill to require that all teachers be licensed. It is encouraging to note that this proposal has the support of the Bermuda Union of Teachers and the Association of School Principals.

In addition, the Government will:

roll out its school literacy initiative covering the years from preschool to Primary Six. This stage incorporates professional development in best literacy practice, as well as the introduction of a ninety-minute period each morning devoted solely to instruction in literacy skills; and

improve safety for students and teachers through the installation of fire-rated doors and windows at all schools.

Mr. President and Members of the Senate,

Mr. Speaker and Members of the Honourable House of Assembly,

Whilst advancing initiatives to assist the young, the Government is not overlooking the needs of people at later stages of life.

You will be invited to consider amendments to the National Training Board Act 1997 to resolve matters identified since its implementation.

Mr. President and Members of the Senate,

Mr. Speaker and Members of the Honourable House of Assembly,

The physical and mental health of a community is a key indicator of the quality of life. In the next session, Government will take steps to improve Bermuda's healthcare system with amendments to the Public Health Act, to provide for the registration of hospitals and to regulate automatic external defibrillators and their use in the community by lay persons. An automatic external defibrillator is an easy-use, easy-to-maintain, portable device that delivers an electrical shock to the heart of a victim of sudden cardiac arrest. These devices have been placed in police cars, airports, hotels, sporting facilities, schools and other public places.

In addition, legislation to regulate Chiropractors and legislation to provide for the registration of counsellors and other helping professions will be forthcoming. The Young Offenders Act will be reviewed to ensure that it is consistent with modern practices for the management of young offenders and in line with the philosophy of the Children Act 1998.

Mr. President and Members of the Senate,

Mr. Speaker and Members of the Honourable House of Assembly,

Discrimination has no place in the New Bermuda. Therefore, amendments to the Affiliation Act 1947 will be brought forward to better reflect fairness and equality to parents and to children, without regard to the marital status of the parent. Existing legislation will also be reviewed to identify any remaining discriminatory clauses against women and amendments brought forward, if necessary, to allow for the UN Convention on the Elimination of Discrimination against Women to be extended to Bermuda.

Mr. President and Members of the Senate,

Mr. Speaker and Members of the Honourable House of Assembly,

The principal structures of Government's tourism plan: the Hotel Concessions Act 2000 and the Bermuda Alliance for Tourism (BAT) as an overall umbrella for joint public/private sector initiatives, will continue to drive the reinvention of this vital industry.

As a result of Government's initiatives concerning planned events and advertising, Bermuda is well positioned to respond quickly to tactical and strategic demands, in the wake of September 11. By these measures, Government has enhanced Bermuda's competitive edge, in terms of the price/value relationship of our tourism product.

Government has reviewed existing outdated legislation governing time-share operations in conjunction with its private sector partners and new legislation will be introduced in this Parliamentary session which will embrace new forms of tourism accommodation, such as interval or fractional ownership.

Mr. President and Members of the Senate,

Mr. Speaker and Members of the Honourable House of Assembly,

Important measures in the field of law, order and home affairs will also be brought before you, including a number of amendments to the Bermuda Immigration and Protection Act 1956 to give effect to the agreed provisions of the White Paper on Long-Term Residents.

Amendments to the Act will be proposed to:

cause a person deported from Bermuda to be responsible for the cost of his deportation;

cause the sponsor of a person to also be financially responsible for that person's repatriation as well as for any costs incurred as a result of prosecution for unlawful overstay and/or illegal working; and

increase the fines and imprisonment levels.

Legislation will also be introduced to allow the courts to confiscate from a person convicted of working illegally any money received as a result of that work.

The introduction of Bermuda's own Intellectual Property and related rights legislation in the forthcoming Parliamentary year, will bring Bermuda's copyright legislation in full compliance with the requirements of the Berne Convention for the Protection of Literary and Artistic Works. The introduction of copyright protection:

for computer programmes and original databases;

for moral rights such as the right to be identified and to object to derogatory treatment in respect of authors and directors;

for original designs that are not covered under the current design legislation; and

the update of protection of broadcasts, sound recordings, and cable programmes carried in various media, including the Internet.

Similarly, the Government will introduce a facility for Bermuda residents to receive wider protection for their trade marks and service marks through their registration as Community Trade Marks at the European Union's Office for Harmonisation in the Internal Market (OHIM).

In addition to the measures mentioned above, amendments to the Prisons Act 1979 and Prison Rules 1980 will be forthcoming to support the Alternatives to Incarceration Initiative by providing the legislative framework needed for the enhancement of the programmes available to inmates as part of the Government's rehabilitative programme.

In keeping with the recommendations of the report of the Serious Crimes Commission, amendments to the Police Act 1974 will be brought forward.

Government will consider the introduction of stricter controls for the issuance of marriage licenses, especially in cases where one of the spouses is non-Bermudian. A proposed review will address the issue of marriages of convenience in Bermuda.

Mr. President and Members of the Senate,

Mr. Speaker and Members of the Honourable House of Assembly,

The Government will continue its programme of reform for the public sector in its efforts to modernise Bermuda's civil service. A new Conditions of Employment and Code of Conduct (CECC), jointly agreed with the Bermuda Public Services Association, will replace the old General Orders. The CECC will provide the foundation for a rejuvenated, empowered Civil Service ready for the 21st century.

The process of constitutional reform also continues. The Boundaries Commission will be established and its report brought before you for consideration.

The Government continues to seek to strengthen the many links between Bermuda and the countries of the Caribbean and, with the agreement of the United Kingdom Government, is examining Associate Membership status in the Caribbean community. In this session, Government will produce, for debate and approval, a paper setting out its views on Associate Membership Status in CARICOM.

Mr. President and Members of the Senate,

Mr. Speaker and Members of the Honourable House of Assembly,

Legislation will be brought forward to afford greater protection to consumers. The implementation of the Consumer Protection Act 1999 and the report of the Consumer Protection Task Force highlighted the need to amend a variety of Acts. Accordingly, the following legislation will be forthcoming:

amendments to the Sale of Goods Act 1978;

a major rewrite of the Peddlers Act 1894; and

a new Unfair Terms of Contract Bill.

The Government will also propose amendments to the Architects Registration Act 1969 to bring the legislation up to date and afford better protection to the public and to local architects.

In addition to the Legislative initiatives already mentioned, you will be invited to consider a number of Bills, Discussion Papers and Regulations in the coming year, including:

The Dog Committee Report;

The City of Hamilton Plan Tribunal Report;

The Statistics Bill to make provision for the collection, compilation, analysis and publication of statistical information and for related purposes;

The Motor Car Amendment (No. 3) Bill 2001 to make the wearing of seat belts mandatory;

The Road Traffic Amendment Bill 2001 to authorise the use of speed detection cameras; and

The Traffic Offences Procedure (Amendment) Bill 2001.

Mr. President and Members of the Senate,

Mr. Speaker and Members of the Honourable House of Assembly,

Next Friday, the Government that was elected in 1998 will celebrate its third anniversary. Looking back, it is clear to see that much good has been accomplished in a short period of time as the building of the New Bermuda begins to take form. Looking forward, it is also clear to see that much more remains to be done.

No Government comes equipped with a crystal ball, nor does Government need one when equipped with the flexibility to respond to change and the competence to respond to the challenge posed by the unexpected.

The Government team stands ready to guide Bermuda through any challenge that may lie ahead; ready to show by its actions in maintaining the conditions for stability and growth that Bermuda has not succumbed to the fear which terrorist threats are meant to induce.

To quote Martin King, "The arc of the moral universe bends toward justice."

That power, that optimism, cannot be destroyed.

Mr. President and Members of the Senate

Mr. Speaker and Members of the Honourable House of Assembly

Traditionally, at this point, the Governor is allowed to add some words of his own.

As you know this is my last Speech from the Throne. My wife and I will be leaving this beautiful Island towards the end of this month. We shall take with us a host of wonderful memories of places, events and, above all, people.

We have thoroughly enjoyed living here, but we have also valued the opportunity to work for Bermuda and to get involved in some of the many activities which constantly take place here.

We wish Bermuda and her people all the very best for a safe and prosperous future.

Mr. President and Members of the Senate,

Mr. Speaker and Members of the Honourable House of Assembly,

It gives me great pleasure now, on behalf of her Majesty the Queen, to declare this session of Parliament open.

I pray that the blessing of Almighty God may rest upon your counsels and fortify you in the tasks ahead.

Mr. J. Thorold Masefield, C.M.G.

Governor and Commander-in-Chief

Hamilton

Bermuda

November 2, 2001