The Prime Minister met with his Cabinet today to try and devise a strategy to safely dismantle the Universal Health Services debt bomb. For starters, the Cabinet did not revolt; the Prime Minister won't resign; and he won't call elections in the next three months.
But he will make an address to the nation, presumably by noon tomorrow. There will also be a statement from Cabinet, basically supporting the Prime Minister's position. More consequentially, sources tell us that the government will likely agree to convene the House meeting on Friday the 18th May, as called for by the Leader of the Opposition.
At that meeting, the Opposition hopes to use a motion to force PUP representatives to declare their position on the loan note and settlement deed that were secretly signed on March 23rd by the Prime Minister. But by then, the government hopes its own strategy will have slightly changed the direction of things, so much so that a motion by government may supersede the Opposition's motion.
But before we get there, back to today's meeting. As we understand it, the Prime Minister's strategy was to consolidate support within Cabinet, then somewhat appease the Opposition, and then figure out how to reconcile it all with voters.
While that's the overall strategy as it has been explained to us by senior government sources, at the Cabinet meeting, first those in the Prime Minister's camp resolved that they would work towards a re-negotiation of the $33 million debt. By doing that they hope to offer some middle ground to those PUP Representatives and Senators who have publicly opposed the unlimited guarantee. The hope is that those opposing could lend support in the House to something less than the $33 million.
It is considered critical for the perception of the Prime Minister's continued political viability that Cabinet members give complete support in the House for any re-negotiation package. And according to our sources some within Cabinet have indicated that they need to be convinced that the re-negotiation is substantial and not just cosmetic.
But is that re-negotiation with Michael Ashcroft doable - considering the bank has a guarantee, a settlement deed and a loan note all signed by the head of government? Well, that's the question, but Musa's close supporters believe that they can pull it off.
It is imperative that they know by Friday because by law, notice for the House meetings must be given 7 days in advance. And the Opposition's threat to take it to the street, is particularly pressing because a CARICOM/SICA heads of state summit is being held on Saturday and Presidents and Prime Ministers will be in the country over the weekend.
Of course this strategy being pursued by the Prime Minister and his loyal "Saidistas" gives some appearance of unity in the Cabinet and quells rumors of a Cabinet revolt but a politically devastating new SPEAR opinion poll suggests that it won't much help their fortunes at the political polls.
