Nov. 17, 2008 — Customer service and the cost of a ferry trip were concerns of several people who testified Monday at a Public Services Commission rate-investigation hearing on the cost of ferry tickets.
"The rising cost of transportation has been a hit to my pocketbook," said St. John resident Sherry Ann Francis.
About 30 people attended the hearing held at the Legislature building on St. John.
Francis and many other St. John residents commute daily to St. Thomas. Others also commute from St. Thomas to St. John. Francis said her yearly commuting costs increased by $1,968 when the PSC in July allowed Transportation Services and Varlack Ventures, the two companies that ply the routes between St. John and St. Thomas, to add a $1.10-per-ticket fuel surcharge.
"Gas prices are decreasing," she said. "There is no need for a fuel surcharge."
Seniors and students have been hit hard by the surcharge, said St. John resident Jerry Runyon. However, he gave kudos to the two companies for their generosity in providing transportation for American Legion activities. Runyon is commander of St. John's Viggo E. Sewer Post 131.
"Free transportation is illegal," observed PSC Attorney Tanisha Bailey-Roka.
Runyon responded that the law ought to be changed.
On the customer-service front, Assistant Tourism Commissioner Monique Sibilly Hodge said the department receives feedback that indicates a lack of "consistent customer care." Improved customer service is necessary to keep the territory competitive with other destinations, Hodge said.
Within two weeks trained greeters will be stationed on the Cruz Bay ferry dock to welcome visitors. The Tourism Department has offered to hold free workshops for ferry crews to bring them up to the level of those greeters when it comes to customer service, Hodge said. The workshops would include lessons in courtesy, professionalism and history and culture, Hodge said.
Licensing Commissioner Kenrick Robertson also complained about the lack of courtesy from ferry crews. Noting that the ferry service is subsidized with public funds, he said the public is not getting a good enough return on its investment.
His point about the subsidy prompted Claudette Ferron, attorney for the two ferry companies that operate between St. Thomas and St. John, to note that Transportation Services and Varlack Ventures only received local funding during the past two years. The amount was $765,000 from local funds.
Because the ferry service is designated mass transit, the local government receives federal funding that it should pass on to the ferry companies, Ferron argued.
Later in Monday's hearing Varlack Ventures Vice President Delrise Varlack said the previous Public Works commissioner, George Phillips, promised that the ferry companies would get federal funding. However, she said the current commissioner, Darryl Smalls, told her no money was available.
By law the local government is supposed to provide vessels for the companies to operate, Ferron claimed.
The two ferry companies received an exclusive franchise in 1986 to operate between St. Thomas and St. John.
Ferron, in an impassioned speech, said the companies have spent "tens of millions of dollars" running the service.
"The fares you were paying never covered the cost of your ride," Ferron said.
Under questioning by PSC Attorney Tanisha Bailey-Roka, Varlack said the ferry companies didn't ask for a rate increase for 17 years.
Later she told Hearing Examiner Natalie Nelson-Tang How that the ferry companies continued to operate despite their losses because the companies were committed to providing service.
Before the hearing started, Bailey-Roka said the ferry companies have provided audited financial reports, but during the hearing said that there was a "significant" amount of money unaccounted for in Transportation Services' revenue stream.
Nelson-Tang How said the public would have a chance to testify on ferry rates when the PSC meets on the matter in January.
The rate investigation will continue with a public hearing at 6:30 p.m. Tuesday at the PSC office in Barbel Plaza, St. Thomas.
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