May 22, 2001 – Some occupants of the emergency housing complex in Estate Ross-Taarneberg next door to Charlotte Amalie High School could be charged with attempting to defraud the government — by subletting units and by continuing to live in units while renting out their own homes.
The modular units were built in 1996 with Federal Emergency Management Agency money to provide temporary housing for eligible St. Thomas residents in the aftermath of Hurricane Marilyn. Constructed as a V.I. Housing Authority project, the small apartments were intended to accommodate 18 families with elderly or disabled members, then be dismantled as residents were relocated to rebuilt or replaced permanent housing.
Ira Hobson, Housing, Parks and Recreation commissioner, said Tuesday that one former tenant apparently has been renting out the unit he once occupied. "There's a gentleman that is paying rent to a tenant who lived there," Hobson said. "He is subleasing the apartment."
Hobson also said there is further evidence of individuals continuing to live in units there rent free despite having repaired or rebuilt their private homes, which they appear to be renting out. "There are at least two persons there that have received FEMA funds to repair their homes and are now renting their homes while they occupy the units," the commissioner said.
The man who apparently is collecting rent for his government rent-free unit is said to be living now on St. Croix. Sen. Celestino White, who chairs the Senate Housing, Parks and Recreation Committee and has a record of advocacy for those in need of housing, said the situation is unacceptable and that he so informed the current unit resident.
White said he met with the individual in the Fort Christian parking lot on Monday, "and he told me of his actions, and I told him it is unacceptable." White said the government should move to recover any money paid to the illegal landlord as rent on the unit.
Further, White said, "There is another man who has since received insurance monies, completed repairs to his home and is renting it out while he lives in the emergency housing unit."
Hobson said the cases will be reviewed to determine whether tenants involved in questionable housing arrangements will be prosecuted or made to repay money received from subletting. "We have talked to the attorney general and requested that the sub-lessors repay every cent they have received as rent on the units," he said.
The allegations of tenant wrongdoing surfaced recently as the V.I. government sought to ascertain the financial status of the remaining tenants. All must vacate the units by June 18 under a final deadline imposed by FEMA. Officials of the federal agency have said that it will not pay for demolition if it is not completed by July 31.
According to Hobson, there are 16 families living in the Ross Taarneberg units, but only a handful of them are the original tenants. Authorities have found that many current occupants simply moved into vacated units. Hobson said the government has tried for years to get tenants to agree to be relocated and now must act decisively. "We have tried over and over to move them out, to no avail," he said Tuesday. "It's become a constant effort to move the occupants out."
White said he has no reason to oppose the government's deadline but he will insist that qualifying tenants be provided publicly subsidized housing elsewhere.
