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Senate Hearing Sheds Light on Agriculture Department’s Aging Equipment and Staffing Concerns

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During a recent Senate Committee hearing on Economic Development and Agriculture, the Department of Agriculture’s Commissioner Nominee, Louis Petersen, highlighted significant challenges faced by the department, including aging equipment and staffing shortages.

The department’s array of heavy machinery plays a pivotal role in aiding farmers, collaborating with other agencies, and extending emergency response support. Mr. Petersen voiced concerns about the state of this equipment, explaining that while some only needed minor tweaks, others were in desperate need of substantial repairs or outright replacement.

Particularly on St. Thomas, all three major pieces of heavy-duty equipment are undergoing repairs. In contrast, on St. Croix, two principal machines are awaiting significant overhauls that, as Mr. Petersen points out, will be costly. To better serve their needs, the department is in the market for two new tractors and accompanying tools. With this addition, Petersen emphasized the subsequent need for more heavy machinery operators.

Elaborating on the department’s existing equipment, Mr. Petersen mentioned a water truck inherited from the VI Fire Service, now in such a deteriorated state that repairs are considered unfeasible. However, there’s hope in the form of a new water truck, tailored to St. Thomas’s landscape, that’s soon to join the department’s fleet.

When questioned by Senator Angel Bolques Jr. regarding the median age of their equipment, Mr. Petersen acknowledged the vast age range, mentioning some machinery dated back to 2006. However, he noted that age didn’t necessarily equate to performance, with some older pieces still in prime condition, while newer ones might present issues.

In addition to the equipment challenges, the Department of Agriculture grapples with hiring and retaining essential staff such as equipment operators and maintenance personnel. Petersen’s future plans include enhancing compensation packages to bolster recruitment. He shared with the senators, “To attract the best, our plan is to enhance starting salaries for certain roles. In parallel, we’ll be adjusting pay scales for current staff, thanks to our budget augmentation for 2024.”

Senator Alma Francis Heyliger praised this initiative, recalling her astonishment at the existing salary scales. She emphasized the need for the territory’s government bodies to strike a balance, ensuring offered positions are appealing enough to lure the best talent, referencing anecdotes of declined job offers that hinted at more lucrative opportunities elsewhere.

With these issues now laid bare before the Senate, it remains to be seen how the Department of Agriculture will evolve to address these dual challenges, vital for its sustained success and service to the community.

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Senate Budget Committee Approves $1 Billion-Plus Budget for FY 2024

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Central government, numerous agencies, and disaster-driven projects set to benefit from funding.

In a decisive move for the fiscal year 2024, the Senate Budget Committee has greenlit a budget surpassing $1.017 billion. Of this substantial amount, the general fund will allocate $960 million, while other diverse sources, including the Tourism Advertising Revolving Fund, will contribute an additional $57.2 million. Additionally, the budget integrates an expected revenue of $61.2 million from projects related to disaster recovery and a notable $69.1 million from the American Rescue Plan Act, which remains under the stewardship of the executive branch.

Committee Chair, Senator Donna Frett-Gregory, acknowledged some challenges with revenue streams while commenting on the fiscal year’s final budget session. Senator Novelle Francis, both the Senate’s President and a member of the budget committee, lauded the committee’s diligence, noting, “Our comprehensive approach over several months involved in-depth sessions, including discussions with over 60 agencies and the core finance team of the government. We’ve ensured accountability at all levels.”

The sanctioned budget is set to finance operations across diverse sectors, including the Office of the Inspector General, Virgin Islands Hospital and Health Facilities Cooperation, Bureau of Motor Vehicles, and the Waste Management Authority. Significant appropriations have been noted by Senator Ray Fonseca for key agencies like the American Cancer Society and Catholic Charities. The Education Initiative Fund will also allocate $500,000 for the meticulous editing and printing of Virgin Islands-specific history textbooks. These funds aim to finalize the Social Studies curriculum from kindergarten to Grade 8.

However, financial prudence remained a shared concern. Senator Diane Capeheart expressed reservations about the sustainability of such expansive spending, especially given the dependency on the American Rescue Plan Act funds. Echoing this sentiment, Senator Alma Francis-Heyliger underscored the imperative of prioritizing revenue generation in subsequent fiscal strategies.

On a separate note, Senator Javan James Sr. drew attention to the Virgin Islands Taxicab Commission’s absence during budget presentations. The committee, nevertheless, sanctioned a budget for the Commission, with James hinting at possible future legislative evaluations for the agency.

With unanimous agreement, barring the absence of Senator Samuel Carrion, the funding package progressed. A subsequent review by the Committee on Rules and Judiciary awaits, where it will be deliberated and voted upon.

For more updates on USVI News & World Report, stay tuned.

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PSC Decides to Hold Electric LEAC Rates Constant Until Year’s End

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The Public Services Commission (PSC) announced its decision on Tuesday to preserve the current electric Levelized Energy Adjustment Clause (LEAC) rate at 22.22 cents per kilowatt-hour. This decision, which was nearly unanimous with Commissioner Andrew Rutnick abstaining, implies that until December 31, 2023, residents of USVI will be charged 40 cents per kilowatt-hour for the initial 250 kWh, escalating to 43 cents thereafter. In contrast, commercial users are billed at a flat rate of 43 cents per kilowatt-hour.

This ratified rate, effective from October 1, 2023, was endorsed during a standard meeting steered by Vice-Chair Pedro Williams, as Chairman David Hughes was absent. Despite the unanimous vote, Commissioner Rutnick chose not to participate.

The Georgetown Consulting Group’s Jamshed Madan presented data that played a role in the Water and Power Authority’s (WAPA) late-July preliminary filing. This filing estimated the LEAC rate at a higher 23.90 cents per kilowatt-hour. This surge was attributed to anticipated hikes in oil prices, projected to escalate from $2.44/gallon in 2021 to $3.14/gallon within the specified forecast period. Alongside, the cost for LPG deliveries has surged, exceeding the PSC-endorsed 33 cents/gallon rate. Despite these economic pressures, WAPA has opted not to advocate for a rate exceeding the current 22.22 cents at the moment.

An intriguing element shared by Madan was the non-inclusion of four Wartsila generators in WAPA’s recent documents. Procured in 2021 and commissioned in August, these generators, Madan argued, should have been integrated into the energy cost projections. Offering more clarity, WAPA’s Executive Director, Andrew Smith, indicated that the infrastructure essential to operate these units using propane wouldn’t be operational until mid-November. Madan emphasized that incorporating propane might have led to a LEAC rate even more competitive than the current 22.22 cents.

Looking Ahead: LEAC Review Recommendations

Madan proposed that the PSC retain the prevailing LEAC rate for the upcoming quarter, while also expecting an updated filing for the January-March 2024 span by October 15 of the current year. He further proposed transitioning to a biannual LEAC assessment, to be updated every April 1 and October 1, in lieu of the current quarterly revisions. Despite this, WAPA would remain legally obligated to provide quarterly updates but could request mid-term rate adjustments if required.

Chairman Hughes expressed the need for more comprehensive discussions concerning the LEAC rate review frequency—whether to continue quarterly or move to a semi-annual system—as well as other consultant inputs, to be discussed in future meetings.

In conclusion, despite pressures from anticipated oil price hikes and LPG delivery rate increases, the PSC’s decision leans towards maintaining the LEAC rate.

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V.I. Taxicab Commission Grapples with Pending Issues Amid Key Member’s Absence

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Last Friday, the V.I. Taxicab Commission convened only to find itself entangled in a web of longstanding operational and fiscal challenges. A major factor inhibiting swift resolution is the absence of the commission’s Executive Director, Vernice Gumbs, due to medical reasons. Gumbs has been instrumental to the organization’s smooth operation.

The commission took a moment to reflect on past successes, such as the recent endorsement of novel bylaws and the signing of an agreement for the training and certification of cab drivers, which was done in collaboration with the Department of Tourism and the University of the Virgin Islands Center for Excellence in Leadership and Learning (UVI-CELL). Myrna George, Board Secretary and current overseer of the St. Thomas office in Gumbs’s absence, expressed optimism about future initiatives, stating, “The expected advancements will likely manifest sooner than anticipated.”

Nonetheless, pressing matters still linger. These include the pending contract for a new enforcement officer and unsettled payments from two previous invoices. Loretta Lloyd, the Board Chair, highlighted that these unresolved matters have been a significant hurdle in planning and financial operations. The commission’s hopes lie in the Treasury Department’s forthcoming insights on the financial variances, which are causing setbacks in the FY 2024 budget planning.

Current challenges are further intensified by the lack of adequate staffing. Given her unique position, George is now responsible for financial operations in the absence of a cashier. She’s also been managing several other administrative duties until Gumbs’s anticipated return. Surprisingly, enforcement officers have shifted roles to provide administrative support, a move that underscores the commission’s adaptability in these trying times.

The scenario is further complicated by Vice Chair Elizabeth Watley’s notable absence during pivotal discussions. This, George acknowledges, has put a damper on crucial staffing decisions. An increasingly impatient Board member, Sweeney Toussaint, openly lamented the unclear timelines for addressing these primary concerns, labeling the current state as “unsatisfactory.”

Despite the challenges, George remains in constant communication with the ailing director, reiterating that Gumbs is fully committed to propelling the commission forward. However, Toussaint raised concerns about the indefinite wait for Gumbs’s return. He advised the appointment of a dedicated individual to tackle the ongoing hindrances. He emphasized that his recommendation was solution-driven, not an affront to Gumbs’s capabilities.

Lloyd fervently defended Gumbs, arguing that the stagnation is more tied to fiscal strains than any perceived inactivity. Some board members were quick to counter Toussaint’s remarks, stressing that the real issue lies in the staff shortage. George’s dual roles at the commission and her deputy commissioner duties at the Department of Licensing and Consumer Affairs were cited as a testament to the overwhelming demands.

In concluding the meeting, board members engaged with the public, guiding an individual on medallion transfer procedures and recommending they reach out to the indisposed executive director.

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