MAJORITY BLOC PASSES STEP INCREASE BILL

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June 15, 2001 – In a special session on Friday called by Gov. Charles W. Turnbull, the Senate majority approved his bill to appropriate $100 million to pay salary step increases to government workers and eligible retirees.
Over the objections of the non-majority senators, the vote came without a hearing on the bill or any other public opportunity for legislators to put questions to administration officials concerning any aspect of it.
Turnbull had met with majority senators prior to calling a press conference on Monday to announce a $100 million tax windfall and his plans to spend it for step increases. Minority and independent lawmakers, however, got no opportunity to ask questions, let alone get answers to them, about the distribution of the step money or any other aspect of the governor's plan.
Sen. Lorraine L. Berry, who has the longest tenure of any current legislator, said afterward that never before in her experience had the Senate passed a bill in a special session without having taken any testimony concerning it.
After starting about 45 minutes late Friday, Senate President Almando "Rocky" Liburd called a recess shortly into the session. During the recess, most of the majority senators left the chamber.
Several administration financial officers who had been in the chamber also exited during the recess. Some stated afterward that they had been told they were not needed to testify and could leave. No one could say later who gave out that information, and no one in the Senate would take responsibility for having done so.
As Senate staff were carrying out the stack of chairs for the witnesses which they had brought in moments earlier, Sen. Emmett Hansen II demanded of Sen. Carlton Dowe across the room, "Where's the governor's people, dem?" Dowe held up his hands indicating he didn't know. Sen. Roosevelt David called the action "very disrespectful."
When the session resumed about 15 minutes later with all senators back on the floor, Sen. David Jones made a motion to go into Committee of the Whole so the body could take testimony from witnesses. The motion failed along majority/minority lines.
Hansen than told Liburd: "This is the height of irresponsibility without the governor's financial people here to answer questions. They were here; this is totally and completely irresponsible." Hansen and the other minority senators then walked out.
The sole non-aligned senator, Adlah "Foncie" Donastorg, then accused the majority of running a kangaroo court. But, in a moment of levity, he added, "I'm happy to see you're supporting my bill. You're running the Legislature with not even nine — with eight." After that reference to his far-from popular bill to reduce the size of the Senate from 15 to nine members, Donastorg, too, walked out.
Liburd told his remaining majority colleagues: "Too often propaganda is spread, and that's what you just heard. Motions fail and motions pass. They just picked up their marbles and left. We are here on behalf of the people's business, not self-interest."
At his press conference Monday, Turnbull announced a financial windfall of money from the Internal Revenue Bureau. He said the money had been collected from taxpayers in the top personal income bracket who had been attracted to the territory by the Economic Development Commission (formerly the Industrial Development Commission).
While the governor met with the majority bloc before the press conference, minority senators protested that they had no chance to study the measure. Some said on Friday that they still had not even seen the bill before the special session, and they had questions for the governor's financial team. As soon as the session was over, the minority senators announced they would hold a press conference later in the afternoon.
Along with putting government employees on step beginning Oct. 1, the bill passed Friday provides incentives to unions to waive any retroactive money owed and/or certain rights.
It also calls for allocating:
– $2.3 million to the Public Works Department for a summer school repair and maintenance program.
– $390,000 to Public Works for V.I. Carnival cleanup.
– $13.6 million for increased health insurance premiums and a deficit in the pharmaceutical plan.
– $350,000 for a court-mandated master and special master to review property tax bills, and to fund the Foreign Sales Corporation Task Force.
– $400,000 for books and supplies for the summer enrichment program and the coming school year.
The bill also provides money for "other purposes." Those undefined "purposes" grew steadily throughout the afternoon as senators piled one amendment atop another.
Sen. Adelbert Bryan once again made one appropriating an extra $1.5 million for the Legislature, and topped it with another for $500,000 to repair the District Court building which houses the Senate post audit division. The governor had vetoed the budget increase earlier this year, telling the senators they already had "sufficient" funds.
Sen. Donald "Ducks" Cole offered an amendment to an amendment requiring the IRB to provide the Legislature an itemized accounting after the expenditure of every $2.5 million.
The flurry of amendments also would:
– Authorize the governor to reopen negotiations with the American Federation of Teachers locals to increase entry-level salaries of public school teachers.
– Appropriate $500,000 to the Education Department for teacher training and recruitment.
– Appropriate $9 million to the IRB for revenue collection improvement, staff training and contracted work to improve processing.
– Appropriate $1.2 million for parking facilities in Cruz Bay, St. John.
– Appropriate $50,000 to Public Works for St. John Festival cleanup.
– Provide $210,591 from the Homestead and Home Loan Fund as a 10 percent match to the $2.1 million from the Federal Emergency Management Agency to the Department of Housing, Parks and Recreation for infrastructure of the Castle Burke development on St. Croix.
– Require the Health Insurance Board to submit at least three bids to the governor with recommendations no later than 180 days before an existing contract expires.
– Require government salary increases to be paid no later than Oct. 18, and retirees' annuities to be paid no later than Aug. 31.
Voting for the bill and amendments were the majority bloc — Sens. Liburd, Dowe, Bryan, Cole, Alicia "Chucky" Hansen, Norman Jn. Baptiste, Norma Pickard-Samuel and Celestino White.
According to Sen. Douglas Canton, who cited an opinion from the Legislature legal counsel, the V.I. Code mandates that only germane amendments applying specifically to the legislation at hand may be made in a special session of the Legislature.

PROPERTY TAX OFFICE CHANGES OPERATION SCHEDULE

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June 15 — The St. John Property Tax Office has temporarily changed it's operating schedule due to staffing problems in St. Thomas. The tax office will discontinue its normal five day work week and be closed on Tuesdays, Thursdays, and Fridays until further notice.
A press release from the Lt. Governor's office stated the St. John office will close three days a week to allow the one St. John employee to work in the St. Thomas tax office.
Normal operating hours in St. John will be 8 a.m to 5 p.m. Monday and Wednesday.

PITTS SAYS NEWS MEDIA 'PUT FACES ON FEARS'

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June 15, 2001 – No matter what your race, physical appearance, sexual orientation or other characteristics may be, you have stories that define you as an individual. But they may or may not be heard by the mainstream media.
That was part of the message syndicated newspaper columnist Leonard Pitts brought to about 20 news media professionals at Chickie's Place on St. Thomas Friday as he talked about creating a more diverse environment in the media. His appearance also was telecast live to journalists gathered at WSVI/Channel 8 on St. Croix.
Pitts said the media are "gatekeepers" who in part determine which stories are heard and what aspects of a community are covered.
The media need to improve diversity by opening their doors to people of all shapes and sizes in an effort to reflect the communities they represent and tell the stories of all who live there, he said.
"We are the ones who put skin on stereotypes and faces on fears," Pitts said. "Our job is to introduce America to itself."
Lack of minority news media personnel has long been an issue. Pitts said the way to change that is by reaching out to minorities — advertising in publications they read, recruiting at colleges and schools they attend, encouraging them to pursue careers in journalism.
"If you want folks, you have to go where they are," Pitts said.
Additionally, he said, editors and upper-management executives need a better understanding of how to utilize the minority journalists they have already hired.
Editors too often restrict minority reporters to covering minority issues, he said, despite interests and expertise the writers may have in other areas.
As an example, Pitts pointed to his interest at The Miami Herald in covering stories about the Titanic after the hit movie about the ship's sinking came out in 1999.
He said he told his editors: "I know there were no black people on the Titanic, but think of me when you assign those stories"
Pitts said the news media can play a role in dispelling people's stereotypes about cultures or individuals they know little about, or they can be a force in creating them.
Even "if the stereotype is meant to be a compliment, it is still a stereotype," he said. "It is still a noose around the neck of someone's individuality."
Locally, he suggested, the news media could encourage young people to pursue journalism careers by going into the schools and talking to them about the field. Recalling that he had known young writers who wanted to be poets, he said he told them:
"The only poet making money" is Maya Angelou, "and she's a professor."
Pitts was visiting the Virgin Islands to speak about fatherhood as part of the Community Foundation of the Virgin Islands Fatherhood Collaborative and to talk about his book "Becoming Dad: Black Men and the Journey to Fatherhood."
The luncheon event was sponsored by the Virgin Islands News Association, a recently formed group of professionals in the print and electronic news media and related fields.
The goals of the association are to encourage ethical standards among journalists and media organizations in the territory, ensure freedom of information from public officials and oppose all actions that infringe on such freedom. The association also is committed to encouraging young Virgin Islanders to pursue careers in the news media.

FULL FESTIVAL SCHEDULE IS ONLY A CLICK AWAY

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June 15, 2001 – St. John Festival kicks into high gear this weekend, with nightly events to get residents and visitors into the spirit of "Heritage, Culture and Fun for Festival 2001."
Winston Wells Ball Park is the place to be for all three attractions — Salsa Night at 8 p.m. Friday, the annual Calypso Show at 8 p.m. Saturday and the Princess Show at 7:30 p.m. Sunday.
And the pace picks up after that, with more and more to see and do as the full-to-overflowing festival schedule moves toward the Fourth of July finale.
To help St. John Source readers keep track of what's happening when and where (and whether it's paid admission or free), we've posted the complete Festival 2001 schedule on our Things to do page. We'll be updating the article as new information becomes available, so you can refer back to it as often as you like.
If you have further festival details, or updates to what we've posted there, please e-mail them to source@viaccess.net, or fax them to 777-8136.

NAVY SAILS AWAY WITH MIGHTY GOOD MEMORIES

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To the Source:
On behalf of the officers and crew of USS Theodore Roosevelt I would like to say that our recent visit to St. Thomas was exceptional. The friendliness of the population and the great support of all government agencies made this visit a most enjoyable one.
As you can imagine, the logistics and security needs of bringing 5,000 sailors to the island can be immense. The local government, business owners and police were supportive from day one, and with advance coordination with members of our crew it paved the way for a smooth, trouble-free visit.
I would hope that future crews of USS Theodore Roosevelt and other ships of the U.S. Navy have the opportunity to experience the hospitality that we did. I cannot speculate on this ship's schedule beyond a few months; however, we would enjoy another visit if we get the opportunity.
The U.S. Virgin Islands is a special place to those who visit and get to know the people. The three days that we were in this American paradise were filled with good times, learning and fellowship.
Our crew members also had the opportunity to repay some of the hospitality and show their goodwill through a number of community relations programs that we were able to take part in. This outreach by our young men and women is an important part of our training our sailors to be good citizens and neighbors.
The crew had a wonderful time. I would like to thank all the people of St. Thomas for their wonderful support of our sailors. Your friendliness did not go unnoticed. Our young men and women really appreciated the way they were treated, and it means a lot to every one of us to see your support.
Capt. Richard J. O'Hanlon, U.S. Navy
Commanding Officer
USS Theodore Roosevelt

FEDERAL FUNDS MAKE SUMMER SCHOOL A GO

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June 15, 2001 — With the end of the school year at hand, the Education Department announced Thursday that there will be summer school to make up instruction lost during the three-week teachers' strike last fall.
Education Commissioner Ruby Simmonds said that U.S. Department of Education officials approved her request to use $860,00 in federal funds for summer school. Without the funding, she had said, no summer instruction would have taken place.
Summer classes will start on July 2, with a four-week session for elementary students and a five-week session for secondary students, Simmonds said. The department expects about 1,500 students in each district to enroll in the sessions, which will cover language arts, math, science and social studies.
Classes will be held at one high school, one junior high school and several elementary schools in each district, Simmonds said. The department will provide lunches but not bus service.
Concern about the fate of a summer session was compounded because classes started two weeks late territorywide last fall and as much as a month late at some schools because of construction and renovation work that had not been completed by the Aug. 28 scheduled startup.
The summer session will be funded by $500,000 from the federal Goals 2000 program and $360,000 from Title VI funds. Simmonds said there was a delay in securing the funding because of special conditions placed on the Education Department by the U.S. government.
"It’s all part of what has happened with federal funding in the Virgin Islands," she said. "We are now having to account very, very carefully for every penny."

IRS FILES $1.5 MILLION TAX LIEN AGAINST VITELCO

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June 14, 2001 – The Internal Revenue Service has filed a tax lien against V.I. Telephone Corp., now Innovative Telephone, seeking $1,587,930.57 in past-due federal Social Security and unemployment taxes.
Officials of Innovative Communication Corp., parent company of the former Vitelco, contest the claim. They are meeting with IRS officials over a "fundamental disagreement" as to the amount owed, Innovative spokesman Holland Redfield told the Source on Thursday.
The lien was filed June 7 at the V.I. Recorder of Deeds office. It states that Vitelco owes Social Security taxes in the amount of $1,586,537.70 from three separate tax periods totaling nine months in 2000, as well as $1,392.87 in federal unemployment taxes from the tax period ending Dec. 31, 1998.
The figures cited in the lien include penalties and interest on the actual payroll taxes owed.
"We are giving a notice that taxes (including interest and penalties) have been assessed" against Vitelco, the lien states. "We have made a demand for payment of this liability, but it remains unpaid."
According to the lien, if the taxes aren't paid, the IRS could seize property belonging to Vitelco in compensation for the full amount of taxes owed.
"There is a lien in favor of the United States on all property and rights to property belonging to this taxpayer for the amount of these taxes, and additional penalties, interest and costs that may accrue," the lien states.
Redfield said Innovative and the former Vitelco are aware of the lien "at a high management level." He said private taxpayers and businesses often have disagreements with the IRS over the amount of taxes owed.
"Tax liens like this are not uncommon," Redfield said. "The company is sitting down with the IRS and working this issue out."
Although the telephone company is contesting the amount owed in both Social Security and federal unemployment taxes, Redfield would not elaborate on what specifically is in dispute.
"All I know is that there is obviously a fundamental disagreement on what is owed, and there has to be a meeting," he said. "There has to be a process that takes place" to address the discrepancy, "and I don't think it's appropriate for me to discuss that."
The phone company's non-payment of the taxes has nothing to do with recent layoffs at Innovative St. Thomas-St. John Cable TV's Channel Two and rumors of financial difficulties among other Innovative holdings, Redfield said.
The non-payment "doesn't reflect the company's ability to pay these taxes; it reflects a fundamental disagreement on them," he said. "It should in no way be interpreted that the company does not have the money to pay the taxes."
Johnny Perez, an IRS revenue officer in San Juan, filed the lien, but he said he could not disclose any information about it. He referred all questions to a "disclosure officer" for the IRS in Washington, D.C.
A list of questions was faxed by the Source to Michelle Lamishaw, a media liaison at IRS headquarters in Washington, D.C. She had not responded as of Thursday evening.
Social Security taxes are broken down into FICA and Medicare payments. Both employers and employees are required to contribute to these taxes, which for the 2000 tax year amounted to 15.3 percent of wages.
Half is paid by the employee and half by the employer, who is responsible for transmitting both halves to the IRS. Social Security taxes are taken out of an employee's check every pay period.
According to a local financial expert, the taxes and penalties the IRS is seeking to collect from the former Vitelco represent roughly $9.8 million in taxable wages paid to phone company employees during the nine months in 2000.
Innovative Communication Corp. is owned by Jeffrey Prosser. Its holdings include the V.I. Daily News, Innovative St. Thomas-St. John Cable and St. Croix Cable, and Innovative Telephone. Separate from Innovative, Prosser also owns the Virgin Islands Community Bank.

TOWN MEETING FOCUSES ON FUTURE OF ST. JOHN

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June 14, 2001 – St. John Administrator Julien Harley had a full slate of issues and a host of officials to discuss them at a packed town meeting Wednesday night in the Marketplace third-floor meeting hall. Most of the topics fall under the purview of the recently formed Gateway Planning Council, on which Harley serves.
V.I. National Park Supt. John King, also a member, provided background on the council and its mission. Four years ago, he said, the National Park Service received authority from Congress to establish the Gateway Community Initiative, a program to assist towns that serve as "gateways" to national parks in coping with the impact of park visitors on their communities.
"We can provide professional planning assistance, as we have in the past, and we can provide financial resources," King said. As far as the progress to date in developing a Gateway concept for Cruz Bay, "I'm excited about the level of support, degree of interest and active involvement of the community," he said.
Following King's presentation, Harley reviewed recent St. John developments:
– On May 25, the Coastal Zone Management permit for a Pond Bay resort development was withdrawn, effectively killing the proposal as it stands. "The whole process must start from scratch if the developers are interested in pursuing it," Harley said.
– Forms for all business having to do with the Lieutenant Governor's Office are now available at The Battery in Cruz Bay, so that island residents no longer need to go to St. Thomas to pick them up. And all government operations having to do with financial matters are to be consolidated at a single locale.
– The Tourism office will be moved to the site of the former health clinic in order to free up space for the post office expansion.
– Efforts are under way to establish a fish market in Cruz Bay with at least three bays.
– The Property and Procurement Department is in the process of forcing Innovative Telephone (formerly V.I. Telephone Corp.) out of the government-owned office space in Cruz Bay for which the phone company pays $1 a year in rent.
– There are proposals to construct a paid-parking garage in downtown Cruz Bay. Harley said he would like to see a not-for-profit organization operate it.
Another Gateway Planning Council member, Chris Angel, a professional planner, presented an overview of proposals to upgrade Cruz Bay Park. They include constructing "island stone" seating walls, removing low curbs surrounding the dirt area, relocating certain plantings and the "Freedom" sculpture, and installing benches made from recycled wood and cast metal.
The cost is projected to be $75,000 to $100,000. One idea to raise funds for the project, Angel said, is to sell bricks that would be engraved with sponsors' names and laid in the park.
"Our goal is to make the park a lot more attractive and use friendly," Angel said.
Although the government owns the park space, Angel said, talks are under way with St. John hotel officials about contributing to its upkeep.
Darlin Brin, Port Authority senior planner, reported on the status of the $16 million Enighed marine terminal project. He said all required local and federal permits are in hand. "The problem," he said, "is we have no funds. The administration either has to float bonds or request that the federal government provide the funding."
The terminal is intended to relieve marine traffic in Cruz Bay harbor by diverting cargo vessels and barges to Enighed Pond. Brin said the project calls for a 600-foot bulkhead, a turn-around area, marine support facilites and office space for federal inspectors and Port Authority personnel.

CHAMBER TO PURSUE SENATE-SIZE LAWSUIT

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June 15, 2001 — Despite calls for it to drop its lawsuit against the Legislature, the St. Croix Chamber of Commerce board of directors voted Thursday to press on with its effort to see the number of senators reduced.
"The board is stronger and even more vigorously behind the lawsuit," Carmelo Rivera, chamber president, said. "We will stand behind it."
The chamber board met Thursday to reconsider its June 1 decision to sue in an effort to force the Legislature to act in accordance with a referendum last November on reducing the number of senators from 15 to either 11 or nine. Out of more than 33,000 voters, some 15,000 expressed the desire for a nine-member Senate.
Legislators, except for Sen. Adlah "Foncie" Donastorg, have been reluctant to acknowledge the mandate, pointing to opinions by the V.I. attorney general and supervisor of elections that a referendum is not binding.
Nonetheless, Rivera said, the sheer number of votes made it "very clear that they wanted some reform here."
Rivera said the chamber board voted to form a committee to look at election reform options, including districting and numbered seats. He said committee members will consider the viability of beginning the ballot initiative process aimed at reducing the number of senators.
"We will certainly be considering that," Rivera said. "It’s very simple: Government accountability is crucial to economic development. This is not self-serving. Good government is good for everyone."
The chamber decision to move ahead with its lawsuit came after the presidents of the St. Thomas-St. John Chamber of Commerce, St. Thomas-St. John Hotel and Tourism Association, and St. Croix Hotel and Tourism Association wrote to Rivera last week saying the lawsuit would make it difficult for the groups to accomplish future goals that involve working with the Senate. Those goals include establishment of a private-public partnership tourism authority, tax reform and implementation of portions of the administration’s five-year economic plan.

ST. CROIX CHAMBER TO PURSUE SENATE LAWSUIT

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June 15, 2001 — Despite calls for it to drop its lawsuit against the Legislature, the St. Croix Chamber of Commerce board of directors voted Thursday to press on with its effort to see the number of senators reduced.
"The board is stronger and even more vigorously behind the lawsuit," Carmelo Rivera, chamber president, said. "We will stand behind it."
The chamber board met Thursday to reconsider its June 1 decision to sue in an effort to force the Legislature to act in accordance with a referendum last November on reducing the number of senators from 15 to either 11 or nine. Out of more than 33,000 voters, some 15,000 expressed the desire for a nine-member Senate.
Legislators, except for Sen. Adlah "Foncie" Donastorg, have been reluctant to acknowledge the mandate, pointing to opinions by the V.I. attorney general and supervisor of elections that a referendum is not binding.
Nonetheless, Rivera said, the sheer number of votes made it "very clear that they wanted some reform here."
Rivera said the chamber board voted to form a committee to look at election reform options, including districting and numbered seats. He said committee members will consider the viability of beginning the ballot initiative process aimed at reducing the number of senators.
"We will certainly be considering that," Rivera said. "It’s very simple: Government accountability is crucial to economic development. This is not self-serving. Good government is good for everyone."
The chamber decision to move ahead with its lawsuit came after the presidents of the St. Thomas-St. John Chamber of Commerce, St. Thomas-St. John Hotel and Tourism Association, and St. Croix Hotel and Tourism Association wrote to Rivera last week saying the lawsuit would make it difficult for the groups to accomplish future goals that involve working with the Senate. Those goals include establishment of a private-public partnership tourism authority, tax reform and implementation of portions of the administration’s five-year economic plan.