Revitalized Loan Program Set for Launch, GERS Showcases Financial Strength and Announces Enhancements to Havensight Mall

Retirees of the Government Employees Retirement System (GERS) are on the cusp of receiving comprehensive details next month regarding the eagerly awaited revival of a loan program. At a recent assembly, GERS Board of Trustees heard from Administrator Angel Dawson Jr., who announced that specifics of the loan initiative will be disclosed in a press release scheduled for April 8. This program, resuming after a significant hiatus, already showcases a portfolio of loans exceeding $6.4 million across St. Croix, St. Thomas, and St. John. Plans are in place to extend this figure to a maximum of $10 million per district, starting with an interest rate of 8 percent.

In addition to financial solutions, Dawson shed light on the advancements in the Havensight Mall renovation effort. Recent discussions have revolved around the creative process of reimagining the mall’s identity, with a focus on naming and design concepts set to resonate within the community.

The financial health of GERS remains robust, despite challenges such as notable arrears in rental and electricity payments, with the Department of Justice highlighted for its outstanding dues. Dawson emphasized the organization’s commitment to rigorous collections, maintaining that GERS operates with financial prudence, not as a credit facility for tenants. “We exert consistent pressure on all tenants, underscoring that financial arrangements should be sought through banks,” Dawson stated, reflecting GERS’s stance on managing receivables.

Amidst these operational challenges, Dawson proudly noted the pension system’s financial status, highlighted by a cash surplus exceeding $63 million. This fiscal accomplishment is attributed to the system’s disciplined approach to managing expenditures, currently reported at only 26 percent of the yearly budget, significantly below the anticipated 42 percent.

The dedication to fiscal responsibility also extends to the management of the Havensight Mall project. Despite a minor cash shortfall due to ongoing capital investments and a temporary decrease in rental income owing to Covid-related concessions, Dawson assured stakeholders of the project’s solid financial grounding, with expectations of rental abatement expiration next year bolstering future revenues.

The board also approved an additional allocation for a new vehicle in St. Thomas, which will be partly funded through the sale of four older vehicles from the agency’s fleet, showcasing GERS’s commitment to optimizing assets for operational efficiency and sustainability.