TURNBULL ATTACKS 'MIDNIGHT RAID ON TREASURY'

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Outgoing Gov. Roy L. Schneider "willfully worsened" the territory's already-disastrous financial situation through "last-minute midnight raids on the treasury," Gov. Charles W. Turnbull charged Monday night in his first State of the Territory address.
In a no-holds-barred attack on Schneider, Turnbull said that from Nov. 3, 1998, to Jan. 4, 1999, Schneider and his staff bypassed normal procedures to give departing officials lump-sum payments ranging from $17,000 to $24,000.
Turnbull said that in the last days of the former administration, certain personnel who resigned or retired got substantial payments in a manner that circumvented payment of Social Security and income taxes.
He called these actions "without precedent" and said they were "clearly disapproved in an advisory memorandum by his own attorney general."
Turnbull said he has asked the attorney general — Julio A. Brady, a holdover from the Schneider administration now serving in an acting capacity — and the acting director of the Internal Revenue Bureau to look into the matter "with a view towards taking all necessary actions to protect and safeguard and public treasury from such abuse." He did not elaborate.
Turnbull also said that in an effort "to safeguard favored individuals" at the end of his administration, Schneider placed certain exempt employees in classified positions in direct conflict with Virgin Island law.
He said he has assigned the acting director of personnel to review this and vowed to reverse any personnel actions made since the election that violated the law.

WORD OF THE DAY AS SENATE OPENS: UNITY

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With only a few notable and predictable exceptions, the incoming members of the 23rd Legislature promoted a spirit of unity, inclusion and decorum at their opening session Monday.
The 15 senators were sworn into office, elected officers, established committees and spoke briefly about their priorities and goals.
Beginning with Sen. Roosevelt David, who challenged his colleagues to create an atmosphere of inclusion and decorum, through new Senate President Vargrave Richards, who promoted a spirit of cooperation, almost to a person the message of the day was unity.
The other theme of the day: the economic state of the territory.
Richards spoke of the need to find a balance between development and providing jobs for the people. He proposed a joint private-public hotel venture in St. Croix to stimulate that island's moribund economy.
Sen Almando "Rocky" Liburd recommended a plan to offer a separation package to displaced V.I. workers that would give them a year's salary and continued health plans to allow them to find work outside of the territory.
Sen. Alicia "Chucky" Hansen sounded the first strident note of the day by challenging her colleagues to take on businesses that she said exploit local people. She specifically named Hess, now known as Hovensa, and St. Croix Alumina.
Hansen, who is not in the 11-member majority, nevertheless offered her support to Richards, saying she was not going to
interfere with him because "our people need help. Our people need progress."
Sen. Adelbert "Bert" Bryan, who has been criticized repeatedly in earlier Legislatures for disrupting sessions and committee meetings, suggested that the majority's focus on decorum is just an attempt to avoid addressing corruption and deception in government.
Warning his colleagues that he will not change his way of conducting the public's business, Bryan also said, "This is a predominant African population. I will not allow my people to end up like the Indians and the Vietnamese."
He said some Vietnamese have it better in this country than some of the sons and daughters who lost their lives in Vietnam.
Bryan said he would not allow a "bunch of pilgrims and carpetbaggers" to destroy his homeland under the guise of progress.
Bryan also took exception to non-native senators heading committees. He said
he couldn't go to some other island and be part of the government there.
Freshman Sen. Norman Jn. Baptiste said he was born in St. Lucia but chose the Virgin Islands as his home. He also said the prime minister of St. Lucia, John Compton, was not born there.
Sen. David Jones, chairman of the Committee on Economic Development, said he was from Dominica but would live the rest of his life in St. Croix.
Jones also said we need to create an atmosphere that is conducive to attracting new investment. Jones said $4 billion a year circulates through the Virgin Islands, but much of it leaves the territory.
Jones called on the new administration to find ways to keep that money here, adding one way was by "retrofitting" the workforce.
Outgoing Senate President Lorraine Berry said that at this juncture, two paths could be followed: one of derisiveness, racial
intolerance and disrespect, or the road of progress and cooperation.
She said it is up to the 23rd Legislature to redeem the territory from political malaise and gridlock.
Sen. Adlah "Foncie" Donastorg noted that was the No. 1 vote getter — and that he had stood alone in the 22nd Legislature in
his fight to get the Public Services Commission to review the V.I. Telephone Corp.'s rate structure.
Donastorg called for a review of IDC beneficiaries as well, referring to an "individual" who had created a "government within a government" — a reference, apparently, to Vitelco owner Jeffrey Prosser, whose $34 million tax break from the IDC in 1997 continues to be an issue in terms of telephone rates.
Newcomer Donald "Ducks" Cole voted with
the majority to approve the new committee assignments, officers and rules, despite having been left out of the majority bloc. Cole suggested that the majority punished him because he is friends with Bryan.

BLOW AWAY THE BLUES DURING 'BLUES WEEK'

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It's "Blues Week" in the Virgin Islands, with four performances by the Paul Oscher Blues Band on tap Wednesday through Saturday.
The six-piece acoustic band performs classic Chicago blues from the late '40s, '50s and '60s, as well as newer compositions by band leader Paul Oscher that capture the vintage Windy City sound.
"This may well be the best real blues music group around today," says publicist Tom Radai Jr., whose company represents not only Oscher but numerous other blues artists. "People simply have to listen to the music to hear that it is not the diluted white style of blues pushed by the record companies today."
In the '60s, a teen-age Oscher replaced the great Walter Horton on harmonica in the legendary Muddy Waters Blues Band. In addition to playing harmonica — known in his circles as blues harp — Oscher is also a master of the classic Chicago blues tradition on piano and slide guitar.
The rest of the band consists of Chicago blues veterans Willy Young and Willie "George" Henderson on saxophones; plus Ted Adorino, Matt Raymond and Danny Sperduto on string bass, drums and guitar. Their collective experience includes work with the groups of Muddy Waters, Howlin Wolf, John
Lee Hooker, Johnny Copeland, Otis Spann and Otis Rush.
The group performs Wednesday night at Tillett Gardens, Thursday at the St.
John School of the Arts, Friday back at Tillett Gardens for a late night cabaret show and Saturday at the Jolly Roger on Tortola.
At a Paul Oscher concert, Raidi says, you can look forward to "some of the most authentic 1947 through mid-'60s classic-era Chicago blues music, performed masterfully by people who paid legitimate dues in the real world of blues, rather than today's pseudo blues players."
Oscher was just 14 years old when he got his first invitation from Muddy Waters to sit in with the band for a gig at Harlem's famed Apollo Theater.
Soon after, the teen-ager, who had already made his mark in the black blues clubs of Harlem and Brooklyn, got the call to become the first white member of Waters' band.
Playing in the band was the road education of a lifetime: touring 35 countries to perform in sumptuous concert halls, smoky nightclubs and "chittlin' circuit" venues.
In the '60s and '70s, Oscher made 30 recordings with Muddy Waters, as well as one each with Copeland, Johnny Young and Luther "Georgia Boy" Johnson.
After that, he took what turned out to be a 20-year hiatus from performing and recording.
The '90s find him back in the blues business with his own band and six new album releases, the most recent being "Knockin' on the Devil's Door" (Viceroots, 1996) and "The Deep Blues of Paul Oscher" (Blues Planet, 1997).
Here's when and where to catch the Paul Oscher Blues Band this week:
— Wedneday, 8 p.m., Tillett Gardens, St. Thomas. Tickets $25; three-course
pre-performance dinner with concert seating at tables $30 additional plus bar service and gratuity. Reservations required for dinner, recommended for concert seating. Call 775-1929.
— Thursday, 8 p.m., St. John School of the Arts, Cruz Bay, St. John. Tickets $30; reservations essential due to limited seating. Call 779-4322.
— Friday, 9 p.m., nightclub performance, cabaret seating, Tillett Gardens. Tickets $25; a la carte menu and bar service all evening. Call 775-1929.
— Saturday, 9 p.m.-Jolly Roger, West End, Tortola. Admission $20 in advance, $22 at the door, but $15 for those having dinner on the premises. Call (284) 495-4559.

KEY ECONOMIC INDICATORS FOR V.I.

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Here are two dozen key indicators to show the relative strengths and weaknesses in the Virgin Islands economy.
These figures document trends in labor, tourism, taxes, school enrollment and home sales, among other areas.
— V.I. Labor Force – 53,530 in 1993, falling to 45,715 in 1997 or now equal to levels of the late 1980s, a 15% drop.
— Wage & Salary Employment – peaked at 48,650 in 1993 and has fallen to 42,300 in 1997 or a level last seen in the late 1980s.
— Manufacturing Employment – 1970 = 3,190 .. 1980 = 3,190, fell to 1,750 in 1986 and grew back to 2,900 by 1994 and has fallen to 2,210 in 1997 or a level of about 10 years ago.
— V.I. Government Employment – between 12,000 and 13,000 since 1980, but certain V.I. government wage payments have grown faster than those of the private sector.
— Wage Payments – Average annual growth rate of nominal wages = 6.6% from 1979 through 1996.
— Real Wages Payments – (1983$) have grown from $500 million in 1979 to $811 million in 1993, falling to $671 million in 1997, a 17% decline. Most teachers have not had a significant raise for almost nine years. Assuming even modest inflation of 2.5% per year, their standard of living has dropped by more than 20% during this decade.
— Wages by Industry – in 1978 government = $8,537 and private = $9,093, but in 1983 government passed private and by 1996 government was $30,400 and private $25,200. In 1996, the average wage paid by IDC beneficiaries equaled $22,440.
— Air Visitor Arrivals – peaked at 740,700 in 1988 and unsteadily fell to 462,300 in 1996 and equal to 508,800 in 1997, or a level now below 1980 and 1970.
— St.Croix Cruise Arrivals – peaked at 229,800 in 1995 and fell to 178,000 in 1997. The YTD value through October 1998 is down 15.1%.
— St. Thomas Cruise Arrivals – peaked at 1,560,200 in 1997 and is down 0.8% YTD October 1998.
— Visitor Expenditure – peaked at $900 million in ‘94 and fell back to $600 million in ‘97.
— Hotel/condo Units – At 5,102 in 1980, falling below 5,000 until 1987, peaking at 5,461 in 1994, falling to 4,406 in 1997, a level last seen in the 1970s.
— Room Nights Occupied – peaked in 1994 at 1,114,400 and dropped to 711,000 in 1996. In 1997, it equaled 828,700 and is up 10.8% YTD through October 1998.
— V.I. Occupancy Rate – Average has generally declined from 80% range in late 1970s to current average of 53.3% in 1997. The YTD average through October 1998 is 52.3%.
— Direct Flight Seats Arrivals – peaked at about 23,000 seat arrivals per week in early 1995 and fell to about 6,000 per week in late 1995 to a current level of approximately 15,000 or the level of 1993.
— Direct Flight & Visitor Expenditure Correlation – for every 1,000 additional direct flight seat arrivals per week, another $50 million in visitor expenditure is generated annually.
— Individual Tax Revenue Collections – After strong annual growth from 1970 to 1993 and a peak of $213 million, it fell to $174.7 million by 1996 and has recently increased to $183.7 million in 1997.
— Value of Building Permits – peaked at $350 million in 1990 after steadily growing since 1982. Fell steadily to $150 million by 1995 and has recently increased back to about $200 million.
— Rum Excise Taxes Returned – peaked at $40.3 million in 1982, fell to about $25 million in 1987. Since then, has slowly grown to $30.0 million in 1994. Rapid growth followed to $43.0 million in 1996, falling to $34.7 million in 1997. Long-term debt service equals about $40 million per year through 2026.
— Number of WAPA Customers, St.Thomas/St.John – 25,354 in June 1995, falling to 23,488 in January 1996 and slowly growing to 25,144 in September 1998. — V.I. Bank Assets – Are flat since 1993 at about $1.7 billion.
— School Enrollment – peaked at 33,092 in 1983 and has fallen steadily to 28,303 in 1997, a 15% decline.
— V.I. Home Sales (# sold) – peak of 478 sold in 1970, only re-attained at 486 in 1986, falling to 216 in 1992 and relatively flat thereafter.
— V.I. Condo Sales (# sold) – peaked at 519 in 1988, falling since to flat level around 150 currently.

SIBILLY SCHOOL PTA TO MEET

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All parents are urged to attend. Important issues and activities will be discussed.

WELL-KNOWN DJ 'FUNKYMAN' DEAD AT 43

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St. Thomas DJ Andrew "Funkyman" Shachove died last night while undergoing surgery at the Roy L. Schneider Hospital. He was 43.
Shachove, who had recently retired from the V.I. Fire Service where he was a special assistant to the Fire Services director, was best known as "Funkyman," a popular radio personality.
Shachove had been associated with WSTA for many years, hosting "Funkyman" Speicals, according to Athneil C. "Addie" Ottley in a report to WVWI radio.
Shachove was being operated on late Sunday night to correct renal failure when he died. Ottley said Shachove's mother and sister will be returning to the Virgin Islands to plan the funeral.

CLASSMATES CONGRATULATE GOV. TURNBULL

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The Charlotte Amalie High School class of 1952 is so proud of one of its classmates that it has taken out a full-page ad to congratulate him.
The target of their public display of pride: Charles W. Turnbull, who was inaugurated last week as the territory's sixth elected governor.
The 60 names in the Daily News ad include many well-known on the local scene, including Verne A. Hodge, presiding judge of the Territorial Court; Elmo D. Roebuck, a former Senate president and gubernatorial aide; and Rudolph Krigger Sr., who managed Turnbull's campaign and is a former Finance commissioner.
The other class members offering their congratulations are:
Marion Abbott-Francis
Dorothy Abraham-Lockhart
Vern Abraham
Rosetta Baptiste-Milliner
Dorothy Brown
Janet Brunn
Roland Callender
Gloria Callwood-Peterson
Horace Callwood
David Chinnery
Olive Corbiere
Earlyn Cruse
Ina David
Joyce Dawson-Burner
Florence Debellot-Richardson
Iona Nibbs-Williams
Cleomean deGraff-Thomas
Diane de Lugo
June Downing
Simon Farrington
Alda Foy
Austin Francis
Terence Freeman
Pauline Gardener-Petersen
Ezra Gomez Jr.
Liston Gregory
Auslyn Hassel
Bericia Heyliger-Lewis
Doris Hodge
Maude Hoheb
Luella Jackson
Elroy James
Aveline Joseph-Jones
Sonia Levy
Hazel Lewis-Leophart
Mariano Lima
Liston Monsanto
Dougal Niles
Clarice Ottley-Horsford
Alvin Peterson
Unah Petrus-Turnbull
Doris Potter
Leroy Potter
Aurelia Richards-Donovan
Asta Schneider-Gibbs
Vanburn Quetel
Anna Soto
Julius Sprauve
Alvin Steele
Leona Stevens
Gwendolyn Thomas
Manuel Torres
Casilda VanBeverhoudt-Milliner
Elaine Turnbull-Peterson
Ilva Vialet-Benjamin
Cecil Wenner

GROUP FORMED TO HELP FIRE VICTIM

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When Tahra Richardson, a well-known local entertainer, lost everything in a fire at her home in December, a group of her friends opened an account to receive donations to help Richardson get her life back together.
Elaine Chong, one of the people taking the lead to help Richardson, said she was surprised to find there was no community source for aid to victims of fire.
So, she and a group of friends have started to collect money, clothes and household items to help Richardson and, ultimately, other local victims of fires, according to the V.I. Independent.
Richardson was off-island when fire destroyed her home and most of her belongings on Dec. 21.
She not only lost her home but her livelihood too. Richardson, a musician, lost guitars, amplifiers and $15,000 worth of CDs she uses in her work as a DJ.
Any donations made that cannot be used by Richardson will be held and passed on to other victims of fire, according to Chong.
For more information call Elaine Chong at 715-3147.

SENATORS PLAN ECONOMIC SUMMIT

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Sens. Lorraine Berry and David Jones are planning a summit in the early spring to deal with the territory's economic woes.
The summit will focus on two things: developing ways to stimulate the economy and tax reform measures that will aid in economic growth, according to the V.I. Independent.
A similar summit was held in 1997, but had little apparent impact on the territory's declining economy.
Berry, the outgoing Senate president, will chair the Finance Committee in the new Legislature.
Berry said that with a new administration and congressional delegate willing to work with the Legislature, she was confident a summit would make a measurable difference.
Jones, who will chair the Committee on Economic Development in the incoming Legislature, said one goal of the summit will be to find ways to diversify the economy so that the territory is not so dependent on the seasonal and sometimes "volatile" tourism industry.
Jones said they will invite anyone who has a stake in the economic development of the territory.

BLUES CABARET STYLE

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Legendary blues performer, Paul Oscher, will give a second performance on Friday night, cabaret style, at Tillett Garden.