Connect with us

Disaster Recovery

USVI’s Workforce Dilemma: Governor Bryan Addresses Worker Shortage Impacting Disaster Recovery

Published

on

The concept of full employment is frequently mentioned in economic discourse. The Brookings Institute defines it as the point where an economy is so saturated with jobs that adding any more would potentially cause undesired inflation. Generally, it’s a state where all who are willing to work have found jobs. Economically speaking, when a nation or region has a jobless rate of around 5% or less, it’s typically seen as having reached its employment capacity.

Recent statistics show that St. Croix has an unemployment rate of 4%, while St. Thomas/St. John district’s rate is an even tighter 3.5%. Such figures are a testament to an extremely competitive labor market. Governor Albert Bryan Jr. emphasized the severity of this shortage during a town hall meeting on St. Croix last Wednesday, noting that employers are struggling to find enough suitable staff to fulfill job openings.

This worker shortage has been on Governor Bryan’s radar for quite a while. Earlier in the year, he even suggested that he would be open to unauthorized immigrant workers entering the territory to leverage the construction boom, expressing a relaxed approach towards their immigration status.

Linking this shortage to the sluggish progress of numerous infrastructure projects, Governor Bryan praised the efforts made in housing developments. Yet, he emphasized the vast amount of work still pending. He expressed, “We’ve made progress, but when you look at the grand scheme of things – with three or four developments, 200 hurricane repairs, and another 200 houses planned for St. Croix alone – we simply lack the manpower. We’re in dire need of more hands on deck.”

Highlighting the gravity of the situation, Governor Bryan shared that the labor shortage has reached a point where, despite 20 housing projects ready for bidding in the upcoming three months, contractors are hesitant to take on new contracts. In his words, “They’re advising us not to announce more jobs.”

This topic arose from a query during the town hall meeting. An attendee inquired if the Housing and Urban Development (HUD) Community Development Block Grant (CDBG) and Disaster Mitigation (MIT) funds would be utilized before the 2026 cut-off. Post this deadline, any unutilized funds would have to be relinquished.

In response, the governor hinted at the potential need to request a waiver to extend the deadline for utilizing these funds. He shared insights from the Office of Management and Budget, which observed that projects aren’t progressing swiftly, predominantly due to the labor scarcity.

While some have proposed increased investments in workforce development, Governor Bryan highlighted that $10 million had already been allocated for such initiatives, covering free training across various trades. He reiterates the core of the territory’s challenge: “We need more people.”

Continue Reading
Click to comment

Leave a Reply

Your email address will not be published. Required fields are marked *

Disaster Recovery

USVI on the Brink of a Recovery Breakthrough with Unprecedented Federal Support

Published

on

The Virgin Islands stands at a pivotal moment as President Joe Biden’s approval of an additional $1.1 billion in disaster assistance funding heralds a new era of opportunity for the territory’s recovery efforts. Adrienne Williams-Octalien, the Office of Disaster Recovery’s director, and Governor Albert Bryan celebrated this development during a press conference, marking it as a turning point for the islands.

Governor Bryan, buoyed by the announcement from FEMA Administrator Deanne Criswell, sees this as a “tremendous opportunity” to overcome the significant financial hurdle of matching federal disaster recovery funds. Traditionally, the territory faced the daunting task of funding a 10% match of federal dollars, which would have required the local government to find approximately $1.5 billion to access the full scope of available disaster recovery grant funding.

After persistent lobbying efforts, which initially seemed to bear no fruit, the tide turned with FEMA’s recent declaration. This breakthrough comes from discussions held in September, as recounted by Governor Bryan, leading to a more favorable cost-sharing arrangement. The Virgin Islands now need to provide only 2% in matching funds for 428 fixed cap projects and 5% for other disaster recovery projects, a significant reduction from the previous 10%.

However, this financial windfall comes with its conditions. To benefit from the adjusted cost share, the territory must obligate all projects by September 2024 and complete them within an 11-year deadline, including critical infrastructure such as schools and hospitals. Failure to meet these timelines would see the matching funds requirement revert to the original 10%.

Governor Bryan remains optimistic about meeting these conditions, emphasizing the importance of collaboration and unity in achieving the collective goal of rebuilding the USVI. The strategy involves bundling recovery projects into billion-dollar packages to ensure timely completion and to attract large contracting firms with the necessary resources.

The reduction in required matching funds—from needing $800 million for an $8 billion project scope to now only needing $160 million—represents a significant easing of the financial strain on the territory. This has been made possible by the approval to use Community Development Block Grant (CDBG) funds for federal match requirements, although these funds also have their designated disaster recovery purposes.

Addressing the critical need for skilled labor to support the ambitious rebuilding plans, Governor Bryan highlighted efforts to attract international contractors and pursue “visa waivers” and other initiatives to bolster the local workforce. Despite challenges, including political hurdles in implementing a visa waiver program, the governor’s administration remains focused on innovative solutions to meet labor demands.

With the financial and logistical framework in place for a revitalized recovery process, the Virgin Islands now looks forward to redirecting resources to meet a wide array of unmet needs within the community. Both Williams-Octalien and Governor Bryan are confident in the territory’s path forward, seeing this as an unparalleled chance to rebuild stronger and more resiliently in the wake of hurricanes Irma and Maria, alongside other ongoing construction projects that promise to transform the islands’ infrastructure for the better.

Continue Reading

Disaster Recovery

Biden Endorses $1.1 Billion Funding Boost for U.S. Virgin Islands, Enhancing Hurricane Recovery Efforts

Published

on

In a transformative initiative aimed at bolstering the U.S. Virgin Islands’ recovery from the destructive impacts of hurricanes Irma and Maria in 2017, FEMA Administrator Deanne Criswell has announced President Joe Biden’s approval of an additional $1.1 billion in federal funding for disaster assistance within the territory. This decision represents a pivotal enhancement in the federal cost share for eligible disaster recovery efforts, now underwritten at a remarkable 95 percent rate. For projects facilitated under Section 428 Alternative Procedures, the federal cost share has been further increased to 98 percent for a certain period, underscoring the administration’s commitment to the repair and renewal of critical infrastructure and services across the islands.

Prior to this landmark decision, the U.S. Virgin Islands faced the daunting prospect of funding 10 percent of the federally-supported recovery projects, a sum that could have escalated to $1.5 billion against an estimated total of $15 billion in federal funds. Governor Albert Bryan has openly addressed these concerns, highlighting the financial hurdles that threatened the completion of crucial recovery initiatives.

Congresswoman Stacey Plaskett has expressed profound gratitude towards the Biden administration for this significant financial relief, which reduces the cost sharing to as low as 2 percent for key rebuilding projects over the next six months, with a completion window extending over two years, and 5 percent for other projects. This revised financial strategy is poised to empower the Virgin Islands with enhanced federal assistance, thereby facilitating the territory’s comprehensive and timely recovery from hurricane damage.

The adjustment follows productive discussions between Plaskett and Criswell, focusing on the Insular Areas Act’s provisions for federal cost share waivers, the Bryan administration’s analysis of the per capita impact of recent disasters on the Virgin Islands, and persistent advocacy from both Plaskett and Bryan’s office. Their collective efforts have culminated in this favorable amendment to the FEMA disaster declaration, significantly benefitting the Virgin Islands.

By alleviating the financial burden on the territory through increased federal funding proportions, the path to restoring the Virgin Islands’ infrastructure with federal resources post-hurricanes Irma and Maria is now more viable than ever.

This enhancement in federal support, as articulated by Administrator Criswell, aligns with ongoing efforts by President Biden and FEMA to aid the U.S. Virgin Islands in its recovery journey, reinforcing the territory’s resilience against future natural disasters. The initiative resonates with the principles of the Insular Area Act, acknowledging the unique challenges faced by the territory and promoting flexible rebuilding strategies.

Moreover, this increase in federal funding is poised to accelerate the territory’s recovery efforts, enabling the effective allocation of existing Community Development Block Grant Disaster Recovery funds towards resilient housing, economic revitalization, and other critical projects aimed at securing a prosperous future for the U.S. Virgin Islands. With President Biden’s authorization, the additional $1.1 billion in funding is a testament to the federal government’s commitment to facilitating a swift, sustainable recovery across the territory.Biden Endorses $1.1 Billion Funding Boost for U.S. Virgin Islands, Enhancing Hurricane Recovery Efforts

Continue Reading

Disaster Recovery

Plaskett Praises Bryan’s Leadership in Utilizing Federal Funds Following His 6th State of the Territory Address

Published

on

Following Governor Albert Bryan Jr.’s impactful State of the Territory address on Monday, Congresswoman Stacey Plaskett shared her insights with Consortium journalists, commending the Governor’s determination and vision.

“Governor Bryan’s resolve and ability to identify and seize opportunities were evident in his address,” Ms. Plaskett remarked, highlighting his forward-thinking approach.

She also recognized her team’s pivotal role in securing substantial federal funds for the USVI’s recovery. Through their efforts, modifications in legislation have accelerated the availability of these funds.

However, like Governor Bryan, Ms. Plaskett expressed concerns over the swift expenditure of the approximately $8.5 billion in allocated funds. She noted, “Out of this, $3.1 billion has been utilized, leaving over $5 billion yet to be employed.”

Regarding the additional, unallocated $15 billion in federal funds, Ms. Plaskett pointed out the necessity of the territory’s significant contribution, estimated at around $1.5 billion, to meet the matching fund requirements. She is advocating for waivers on these requirements for key infrastructure projects, including schools, hospitals, and police stations. She emphasized the importance of responsible fiscal management, as mandated by Washington, to prevent cost overruns.

Ms. Plaskett lauded Governor Bryan’s commitment to devising a comprehensive financial strategy. “It’s a brilliant initiative,” she stated, while also seeking more details on the implementation. She raised critical questions about the deployment of these funds, especially in light of recent reports about unclaimed federal grants by government agencies.

The congresswoman expressed enthusiasm for the collaborative efforts between the executive branch and the Legislature in realizing these plans. She emphasized the importance of checks and balances, transparency, and sound governance in fulfilling Governor Bryan’s development agenda.

Continue Reading

Trending