Government
Public Expresses Concern Over Possible Land Misappropriation in Meeting on Derelict Building Policy
In a recent gathering at Charlotte Amalie High School’s auditorium, Governor Albert Bryan Jr. and his executive team met with the public to discuss the strategy concerning abandoned and dilapidated buildings in the territory.
Government House Chief of Staff, Karl Knight, highlighted the pivotal role the courts would have in this policy. Property owners, unable to finance renovations or demolitions, could opt for a conservatorship agreement. In instances where property ownership is ambiguous or when owners neglect their property conditions, third parties may approach the court for a conservatorship.
Conservators, Knight elaborated, would need to provide a detailed plan, outlining the scope and financial details. After obtaining court approval, they’d have a set period to act. “The conservatorship ends when its goals are achieved, and the property goes back to its original owners,” Knight said. However, it can be terminated earlier if the owner can make the necessary repairs or if the conservator fails in their duty.
Conservators, ideally nonprofits focused on community development and related areas, will be compensated from federal grants. Addressing public concerns, Governor Bryan suggested a possible five-year operational requirement for organizations to be eligible as conservators. He envisions nonprofits initiating housing projects that not only revamp buildings but also employ local youth. “The idea is to create employment, add to the tax collection, and provide housing. A triple win situation,” said Bryan, referencing an ongoing prototype project in St. Croix.
All monetary matters, including fees and profits, will be supervised by the court, ensuring transparency and benefit to the property owner.
A point of contention arose when a resident questioned the inclusion of government properties, particularly in downtown Charlotte Amalie, in the initiative. Bryan agreed, admitting to the government’s role in the derelict situation and promising action. He also mentioned the challenges in acquiring funds for non-housing projects and the hurdles in demolition approvals due to historic preservation regulations.
Detailing the strategy for government properties, Knight talked about a phased approach. “The aim is to first revamp specific regions, then inspire the private sector to pitch in, and gradually move on to other priority areas,” Knight stated.
On the topic of the Michelle Motel in St. Thomas, Governor Bryan revealed active efforts to collaborate with developers for its demolition. However, its location in a floodplain prevents it from accessing federal funds. The governor emphasized the need to overhaul historic preservation norms. “We need to decide what to preserve and what to give up,” he noted, acknowledging the ballooning home prices and suggesting a balanced approach to historic development.
Governor Bryan and Lieutenant Governor Tregenza Roach dismissed the potential use of eminent domain, terming it a long and community-antagonizing process. Addressing the concerns of native Virgin Islanders potentially losing their lands to wealthy mainland investors, Roach affirmed that coerced sales aren’t a part of this initiative.
The meeting, the first of two planned discussions, concluded with Bryan urging the public to actively participate in the policy dialogue. He emphasized the rigorous vetting process the proposal would undergo, reassuring the community. “It’s a matter of trust in your elected representatives,” he said, ensuring that their interests would be at the forefront.
Government
Medicaid Funds Depleted, Major Road Repairs Planned: Bryan Provides Wide-Ranging Update
Governor Albert Bryan Jr. addressed several critical issues during Monday’s press briefing, focusing on infrastructure, housing, community welfare, and healthcare in the Virgin Islands.
Road Conditions and Repairs
Governor Bryan discussed the impact of recent weather on road conditions, particularly on St. Croix. “The rain, we’re grateful for it but it wreaks havoc on the roads,” he said. The wet weather has also accelerated vegetation growth, complicating roadside maintenance efforts. Additionally, some road projects have been delayed due to ongoing underground utility work. The North Shore Road will undergo significant work to install underground electrical and water services, while Mahogany Road and the main roadways in Frederiksted – Queen and King streets – are slated for extensive resurfacing. “We should be starting within the next 90 days or so to do that,” Bryan estimated.
Housing and Legislation
The governor emphasized the need for affordable housing and the aesthetic improvement of downtown areas, highlighting legislation on abandoned and derelict buildings. “We need to move this along and increase our affordable housing in our downtown spaces,” he stated. Bryan also addressed proposed sentencing reforms to give judges more discretion based on crime severity, saying, “We want to make sure that we have the appropriate amount of punishment for the crimes.”
Additionally, bills regarding gender changes on official documents, procurement requirements, and the combination of workers’ compensation with unemployment insurance are under legislative consideration.
Healthcare Funding and Medicaid
Healthcare funding was a key topic, with Bryan disclosing a recent bill requesting $3 million for Medicaid matching funds. “We ran out of Medicaid match money,” he said, noting the expansion of services during the Covid-19 pandemic led to increased demand and the subsequent depletion of funds. He emphasized the importance of maintaining access to affordable healthcare, highlighting the recent health fair that serviced over 2,400 residents.
Labor Shortage and Immigration
Addressing the territory’s chronic labor shortage, Bryan noted political challenges around immigration and visa waivers. He mentioned efforts to create work visa nexuses with the Dominican Republic and referenced an agreement allowing Trinidadian investors to settle in Miami as a potential model. He expressed confidence in meeting labor demands for upcoming projects under the Rebuild USVI initiative, stating that the four qualified bidders are already preparing to bring in workers.
Governor Bryan’s briefing provided a comprehensive overview of the challenges and initiatives aimed at improving the Virgin Islands’ infrastructure, housing, healthcare, and labor markets.
Government
Governor Bryan Urges Immediate Ceasefire in Gaza Strip; Proclaims USVI-Palestine Friendship Day
Governor Albert Bryan Jr. joined a global chorus calling for an immediate ceasefire in the Gaza Strip during Monday’s Government House press briefing.
The governor took this occasion to introduce Siri Hamad, a new public liaison for the Middle Eastern community. Hamad, a former member of the Public Services Commission, has collaborated with nearly every governor over the years, according to Governor Bryan.
Governor Bryan highlighted the significant contributions of the Palestinian community to the Virgin Islands’ development. “We are on the fourth generation of Palestinian descendants,” he said. “They are a critical cog in our business sector and part of the fabric of our community.”
Reflecting on the history of Palestinian entrepreneurs in the Virgin Islands, Bryan reminisced about the iconic traveling salesmen, who were pioneers in extending credit to their customers long before credit cards or bureaus existed. These businessmen were instrumental in shaping the local economy. Today, their descendants are recognized as Virgin Islanders of Palestinian descent, fully integrated into the community.
In a gesture of solidarity, Governor Bryan announced that November 29, recognized globally as the International Day of Solidarity with the Palestinian People, will also be celebrated as Palestinian Virgin Islands Friendship Day in the U.S. Virgin Islands.
Governor Bryan emphasized the universal desire for peace amidst global turmoil, stating, “As individuals, regardless of our skin color, origin, or religions, we should all want peace in this very tumultuous world.”
Government
USVI’s New Budget Strategy Aims to Address Revenue Shortfalls
The FY 2025 budget cycle commenced on Thursday as Senator Donna Frett-Gregory convened a hearing of the Senate Committee on Budget, Appropriations and Finance. Officials from the Office of Management and Budget presented an overview of the proposed executive budget for the upcoming fiscal year, themed “Fulfilling the Promise of Fiscal Solvency.” The proposed $1.44 billion budget includes a general fund allocation of nearly $897 million.
“Within the proposed general fund fiscal year 2025 budget of $896,803,010, you will find a continuation of the prudent and conservative approach we have employed since 2019,” stated OMB Director Jenifer O’Neal. This figure represents a $77 million decrease from the current general fund appropriation, resulting from the elimination of several one-time obligations and a reduction in the wage adjustment line item, O’Neal informed lawmakers.
The total budget of $1.44 billion also includes appropriated funds of $97,949,177, federal funds of $416,839,994, and other “non-appropriated funds” totaling $28,970,041.
According to O’Neal, the OMB has adopted a “cautious strategy” to produce a balanced budget that aligns with the estimated revenues for FY2025, aiming to ensure financial stability and resilience amid potential uncertainties. “Our commitment to conservative budgeting reflects our dedication to enhancing financial management and sustainable growth for the territory,” she said.
Despite current revenue shortfalls as of the third quarter of FY2024, the OMB’s projections anticipate growth in several categories. Personal income tax is expected to increase by 9% to $502.3 million, while corporate income is projected to rise by 23%. “With the launching of billion-dollar bid packages and the expected increase in construction activity, we project a significant increase of $19 million,” O’Neal explained.
Gross receipts are also expected to increase by 9% to $214 million, largely due to increased project bundles and construction activity. Excise taxes are projected to rise by 6%, from $42 million to $44.3 million. Notable revenue increases are also projected for hotel taxes.
The digital budget book indicates that the bulk of the FY2025 budget—$728,297,626—will be allocated to the general government. Public housing and welfare will receive $274,372,090, and education expenses are slated to receive $215,026,922. Health and Human Services will be allocated $65,010,796.
In her testimony, O’Neal highlighted several proposals from the FY2025 budget, including additional funds for the territory’s hospitals and the V.I. Waste Management Authority. These increased appropriations will ensure that “vital utilities are adequately budgeted for and can continue to meet the needs of our residents without falling behind again on their utility bills,” she said.
The $5 million budgeted for territory-wide road repairs underscores the commitment to enhancing transportation infrastructure and promoting economic development. An additional $5 million will be allocated to the Budget Stabilization Fund to maintain a prudent fiscal reserve, ensuring stability amid unforeseen challenges. New in the upcoming budget is extra funding for the Department of Sports, Parks, and Recreation for the operation of the recently recommissioned Clinton E. Phipps Racetrack.
Responding to Senator Novelle Francis, O’Neal announced that approximately $400,000 is allocated for the racetrack. “It’s been out of commission for quite a long time and had never been included in Sports and Parks budget,” she explained. The funds will cover utilities and personnel until a promoter takes over the management of the track.
For the Office of Management and Budget, the new budget represents a milestone in their commitment to transparency, accountability, and the prosperity of the territory.
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