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HomeNewsArchivesPort Authority Finishes First Phase of Crown Bay Dredging

Port Authority Finishes First Phase of Crown Bay Dredging

V.I. Port Authority board members were told this week that the first phase of the most recent Crown Bay dredging project is complete, while the second half, which involves dredging the East Gregorie Channel, is still waiting for a federal permit.

During a special session in July, the Senate approved a Coastal Zone Management permit to dredge off St. Thomas for cruise ships. The permit allowed VIPA to dredge the East Gregorie Channel in Crown Bay and a section of the area along the northern portion of the pier at the Austin "Babe" Monsanto Marine Terminal.

During the board’s August meeting on St. Thomas, VIPA Executive Director Carlton “Ital” Dowe said the authority is moving ahead with negotiations on a contract for half the project, dredging the Crown Bay Marina, which already cleared the Army Corps of Engineers. Dowe said VIPA was in negotiations with the one contractor that responded when the project was put out to bid, and is currently waiting for the second half of the project – dredging the East Gregorie Channel – to get approval from one more agency before moving on to the Army Corps of Engineers.

At the VIPA board’s Tuesday meeting on St. Thomas, Port Authority staff said that permit is still pending, waiting for approval from the National Marine Fisheries Service before it can get to the Army Corps. Dowe has said if the entire project is not complete by November, the start of tourist season, 13 ships will cancel, costing the territory millions of dollars in revenue.

During the Tuesday meeting, VIPA staff added that the first phase – the dredging of the marina – should be finished by end of the week.

In other news, board members were also told Tuesday that the authority will soon close on bond package of as much as $60 million that would allow the authority to pay off approximately $25 million in outstanding marine revenue bonds and issue $29 million in new bonds for capital projects.

A resolution granting authorization for both the refinancing and new bond issue was approved by the VIPA board during a special meeting earlier this month on St. Thomas. During the meeting, Port Authority chief financial officer Valdamier Collens said the refinancing of two sets of outstanding 2003 bonds would save the agency more than $1 million. He further proposed using $1.9 million in available marine division funds to finish paying off a third set that the port was set to make final payments on in 2015.

The authority is going to the market for $29 million in new bonds needed to cover various capital improvement projects, including: $7.1 million for the proposed Crown Bay cargo and cruise ship port dredging and facility upgrades; $11 million for the construction of a new U.S. Customs building and parking lot at the Red Hook ferry dock; $1.6 million for improvements to the Cruz Bay ferry and barge facilities on St. John; $2.6 million for the development of the Gallows Bay port on St. Croix; $5.2 million for improvements to the Wilfred Allick Port and transshipment center on St. Croix; and $1.4 million for improvements to Frederiksted’s Abramson Marine facility.

During Tuesday’s meeting, the VIPA board also approved:

– Leasing an additional two acres of land (along with 15 acres already approved) to Tibbar Energy USVI to allow for changes recommended by the Federal Aviation Administration for the construction of an anaerobic digestion electrical production facility (bio-energy) near the Henry E. Rohlsen Airport on St. Croix;

– A lease for Bay Isles Associates, doing business as Grand Bay Resort, for space at the Red Hook marine terminal for one year with a one-year option to renew. The lease is for $7,794.96 per year.

– Issuing a request for proposals for public taxi service at the Ann E. Abramson Marine Facility on St. Croix;

– Terminating its standardized automated time and attendance system project contract with ExecuTime;

– Approved a $3.3 million contract between VIPA and Better Roads Corp. to rehabilitate a portion of the Henry E. Rohlsen Airport’s apron. A Federal Aviation Administration grant will fund 90 percent of cost;

– OK’d preferential berthing for Carnival Cruise Line and Royal Caribbean Cruise Line at the Austin “Babe” Monsanto Marine Terminal dock on St. Thomas; and
a $500,000 increase to the authority’s fiscal year 2015 personnel budget.

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