The ISC La Gonâve Master Plan An Environmental, Economic and Financial Development Plan
By I S L A N D S O U R C E
C ONSORTIUM Ltd. (ISC)
December 2012
Respect for Haiti’s Sovereignty
Under the ISC Master Plan for La Gonâve Island, the Government of Haiti will continue to own 100% of La Gonâve Island.
Consistent with “Haiti’s Action Plan for National Recovery”
• Use a targeted regional development strategy
• Increase Haiti’s resilience through decentralization of commerce, industry and infrastructure
• Create hundreds of thousands of new jobs for Haitians
• Create world-class educational opportunities for Haitians
Goals of ISC Plan
• Create a new engine for economic growth and prosperity for the people of Haiti
• Create a thriving new environment for commerce, industry and tourism
• Create a new eco City of La Gonâve
• Generate hundreds of thousands of jobs and put Haiti on a new path to recovery
• Create a La Gonâve revenues plan with funds going to reinvestment in La Gonâve and to GoH
• Create a template for development in other parts of Haiti
Unique Attributes of La Gonâve Island
1. Capability for deep water port.
2. Proximity to the Windward Passage, the world’s busiest sea lane
3. The current widening of the Panama Canal by 2014 makes the Island an ideal location for a global trans-shipment port.
4. Excellent location for international airport hub for the Americas.
5. Effective natural protection provided by the mainland mountains functions as a hurricane screen.
Size of La Gonâve Island vs. Other Islands
0
200
400
600
800
1000
1200
Martinique St. Lucia Grenada St. Kitts and Nevis La Gonave Sinagpore Hong Kong
KM2
Singapore
GNP (billions)
0
50
100
150
200
250
300
350
Martinique St. Lucia Grenada St. Kitts and Nevis La Gonave Sinagpore Hong Kong
(6.1) (0.81) (0.31) (?.??)
(0.79)
?
Singapore
Why a Master Plan?
With
• Ad-hoc development
• Unknowns for developers limit investment
• No land rights for local population
• Unbalanced irregular growth
• Lacks protection for natural resources
Without
• Integrated development
• Developers know the context of their environment
• Land rights established for local population
• Balanced planned growth
• Natural resource protection planned from the beginning
Principles of the Master Plan
• Port and Infrastructure District (PID)
• Green Energy Technologies
• World Class eco City of La Gonâve
• Balance between development and ecological restoration
Principles of Master Plan (cont)
• Comprehensive transportation system – Island-wide tram system
– New island ferry network
• Respect and support for the cultural and artistic heritage of the Haitian people (Artist Town)
• An inclusive planning process that encompasses all stakeholders
Port Infrastructure District (PID)
• A wholly owned Unit of the Haitian Government
• Has its own Charter approved by GoH
• Responsible for finance, management, operations and land tenure
• Revenue bond issuing authority through International Community (i.e. Diaspora bonds)
Structure of PID
Government of Haiti
Port Infrastructure District (PID)
Owns
Manages
Finance Management Land
Tenure Operations
Finance: BOT example
Infrastructure company develops port
PID grants development rights
Builds
$$$
Port fully operational with steady client
base
Transfers to
PID $$$
Rights
Operates
PID Bonds $$
GoH
Build Operate Transfer (BOT)
Master Plan Development: Phase I
• Level I landuse suitability analysis
• Generate slope map –Source 10 meter Digital Elevation Model
• Map out developable land
–<= 10% slope
Master Plan Development: Phase I
• Locate anchor landuses based on physiographic of land and access to deep water – Trans-shipment port
– Cruise port
– Airport
• Designate other land-use districts based on relative location, physiography and proximity to water
Master Plan Development: Phase I
Overlay Landuse map to get developable land for each class
Use No. Description Total Area
Hectares Total Area
Acres Useable Area
Acres Useable
Pct.
1 Industrial Zone 2,968 19,208 17,060 87.3%
2 International Airport 1,277 3,129 2,940 93.2%
3 Cruise Port & Harbor Village 1910 4711 4,576 97.1%
4 Resort 9,702 23,137 18,708 82.4%
5 Town Center 7,542 18,638 14,926 83.1%
6 Residential Resort 3,511 8,675 6,731 77.6%
7 Village Towns 1214 3000 1,805 60.1%
8 Village Residential 8,318 20,552 16,574 80.7%
9 Open Space 25,850 63,877 6,908 10.8%
Totals 67,229 166,128 90,229 54.3%
Distribution of PID Revenues
Entity Percent GoH Central Government 33
GoH PID (for La Gonâve reinvestment) 53
GoH Education fund 04
GoH Workforce Development 04
GoH Support for the Arts 02 Ecological Restoration 02 Farming & Fisheries Support 02 Total 100%
ISC revenues as Master Developer ISC Task ISC Revenue Investment By PID
Reimburseable
Remarks
1. La Gonave Master
Plan
PM fee + third party
costs & exp.
ISC investor Infrastructure &
restoration plan
Reimbursement out of first bond
sale
1. PID Master
Infrastructure &
Financial Plan
PM fee + third party
costs & exp.
ISC investor 100% Reimbursement out of first bond
sale
1. LG Financial
Development Plan
PM fee + third partycosts
& exp.
ISC investor Infrastructure &
restoration plan
Reimbursement out of first bond
sale
1. PID Operating Plan PM fee + third party
costs & exp.
ISC investor 100% Reimbursement out of first bond
sale
Master Developer – Phase I - Development Fee
- Participation
- Sublease Fee
- users
-users investors
- ISC investors
By project at
project
stabilization
Define development phases so
users inv. & ISC inv. Is near 50– 50.
Infrastructure –
Phase I
- Development Fee
- Participation
- Sublease Fee
- users
- users investors
- ISC investors
100% Same as above
Land Development – Phase I - Development Fee
- Participation
- Sublease Fee
- users
- users investors
- ISC investors
No Same as above
Utilities & restoration - Development Fee - users
- users investors
- ISC investors
Partial Charges based on Capital Recovery
assessment.
Vertical Development Joint
Venture
- Development Fee
- Asset Mgmt. Fee
- Participation
- users
- users investors
- ISC investors
No Defined exit plan for JV.
PID Operating Phase - Management Fee
- Asset Mgmt. Fee.
- Sublease Fee
- Participation
- users
- third party
developers.
- PID bond issues
Varies When majority of Phase I stabilized,
PID becomes self sufficient.
New development Management Fee
- Asset Manage Fee.
- Sublease Fee
- Participation
- users
- third party
developers.
- PID bond issues
varies Same as above
Infrastructure & restoration Management Fee
- Asset Management Fee.
- PID Excess
revenue
- PID bond issues
From capital
recovery &
assessment fees.
Could include BOT for infrastructure
expansion
Master Plan Development: Phase I
• Develop an island-wide transportation system concept plan
• Create a system with multimodel transportation.
Master Plan Components
• An industrial trans-shipment container port
• A world class City of La Gonâve
• A cruise port with a retail resort center • A central power plant, including a renewable energy park • A manufacturing and distribution center
Master Plan Components (cont)
• An international business and city center
• General and specialty hospitals
• Resort housing, hotels, golf and marinas • Housing in multiple villages for local and mainland workers who want
to live on the Island
Master Plan Components (cont)
• An international airport with
maintenance and jet fuel facilities
• Ecological restoration
• Transportation: island-wide light rail & ferry system
• Schools and community churches
ISC Management Plan GoH Advisory
Committee
ISC Executive Committee Sean Ahearn, Edmond Heraux, Frantz Reid, Richard Boncy &
Doug Suisman
Project Director Sean Ahearn
Planning Team
Real Estate
Mike Robbins Charles Fombrun
Planning Doug Suisman, (Master Planner)
Marc Andre Joaquin Quinonero
Finance Edmond Heraux
Alan Hembel
General Counsel Frantz Reid
iuu
Supporting Studies
La Gonave Liason
Louis Elneus
Housing Marc Andre
Antonio Rodrigez Jose Del Rio
Gerard Fombrun
Ecological Restoration Steven Apfelbaum , AES
Teresa Vilarino
PID Gene Schiller
Edmond Heraux
Other Studies
Fishery & Ag Eric Heraux
Labor &Commerce Herve Denis
ISC Team
Gene Schiller Eric Heraux Teresa Vilarino
Richard Boncy Edmond Heraux Sean Ahearn Herve Denis Mike Robbins
Charles Fombrun Doug Suisman Marc Andre Gerard Fombrun
Alan Hembel
Next Steps
• Government of Haiti (GoH)
– MOU with ISC for path forward for La Gonâve Plan – Establish the La Gonâve Working Group (LGWG) with goal of creating an
island-wide Port-infrastructure district (PID) – Designate ISC as the Master Developer
• Island Source Consortium (ISC)
– Manage the LGWG and guide toward legislation for La Gonave PID – Establish Land Tenure for the Island – Identify anchor shipping line for trans-shipment port (ISC)
• MOU between ISC and Shipping Line
– Capitalize ISC with first $2M • Investment Group
– Obtain funding/support from International agencies (i.e. IDB, OPIC etc.)