
A final Public Services Commission hearing scheduled for Thursday could shape the future of ferry oversight between St. Thomas and St. John, as hearing examiner Jed JohnHope defends a months-long investigation he says uncovered millions in unwarranted earnings and significant transparency concerns within the territory’s ferry system.
The 2 p.m. closing conference comes days after a contentious PSC meeting in which attorneys for ferry operators challenged nearly $190,000 in hearing examiner assessments tied to the ongoing rate investigation. The broader regulatory fight, however, centers on ferry finances, fuel costs, vessel compensation, and how rates are calculated for one of the territory’s most heavily relied-upon transportation systems.
Ferry operators and their attorneys have argued that portions of the investigation became unnecessarily expensive and overly broad. During Tuesday’s PSC meeting, attorney Maria Tankenson Hodge accused JohnHope of charging excessive fees tied to the proceeding, including high travel and lodging costs associated with February’s public hearing on St. John. The companies also questioned billing totals connected to the investigation and raised concerns about the overall scope of the hearing examiner’s work.
In filings submitted to the PSC this month, JohnHope argued that the current investigation extends far beyond prior ferry rate cases, involving independent financial analysis, public engagement tools, interim reporting, hearing coordination, and comprehensive review of ferry operations and revenue structures.
“The Commission’s last ferry rate investigation occurred about eleven years ago,” JohnHope wrote in a May 4 response to objections raised by ferry operators. “When spread over that period, the total cost of this proceeding amounts to less than $10,000 per ferry company per year.”
According to the filing, the ferry companies collectively generate approximately $7 million annually in revenue. JohnHope further argued that the investigation identified roughly $7 million in what he described as “unwarranted earnings” under the existing regulatory framework — findings he said underscore the importance of stronger financial scrutiny and public oversight.
The hearing examiner has already recommended denying the ferry operators’ proposed rate increases and called for deeper audits tied to fuel consumption, staffing, payroll, vessel disposition, and ticketing operations.
During Tuesday’s PSC meeting, JohnHope questioned whether ferry companies were continuing to receive compensation tied to vessels no longer operating within the territory.
“There are boats that have been outside of the territory for almost 10 years that are being compensated for,” he told commissioners. “There are boats that have been retired — they’re being compensated for.”
JohnHope also criticized the structure of the current ticketing system, arguing that the ferry companies’ joint ownership of the ticketing apparatus makes it difficult to independently verify ridership and revenue figures.
“The numbers were not very transparent,” he said Tuesday while recommending further audits and operational review.
Among his broader recommendations is separating the Charlotte Amalie-to-Cruz Bay route from the Red Hook ferry route for future rate analysis, arguing that the downtown route accounts for only a small percentage of overall ferry traffic and should be evaluated independently.
JohnHope also pushed back against criticism surrounding travel and accommodation expenses tied to the investigation, stating in filings to the PSC that certain travel arrangements had been discussed in advance with PSC administration and represented the lowest available option at the time. He argued that remaining overnight on St. John after February’s public hearing ultimately reduced additional billable travel time that would have been incurred returning to St. Thomas.
Thursday’s closing conference is expected to continue discussions surrounding the proposed rate increases, fuel surcharge requests, hearing examiner assessments, and the broader structure of ferry oversight moving forward.
The St. John Ferry Rate Investigation Closing Conference is scheduled for Thursday at 2 p.m. and will be accessible virtually through Zoom.












