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Bryan Declares Local State of Emergency to Restore Energy Security in USVI
Gov. Albert Bryan Jr. has declared a local State of Emergency to tackle the territory’s energy crisis and prevent further rotational power outages from crippling the U.S. Virgin Islands.
The immediate concern, he explained during a press conference Monday, is securing critical funds for the Virgin Islands Water and Power Authority (WAPA) – specifically, approximately $11 million in past-due bills owed by the territory’s hospitals and the V.I. Waste Management Authority, that has left WAPA financially strapped.
WAPA officials later confirmed that the overall debt owed by all agencies, both central government and semi-autonomous, is currently in the neighborhood of $25 million.
There are, Bryan said Monday, underlying financial issues contributing to the crisis. The government historically funds services until its coffers are depleted, and the the resulting gaps are then filled reactively, leaving essential agencies like the Waste Management Authority chronically underfunded. In a phone call with the Source after the presser, Bryan used trash collection as an example: residents receive daily service, even though the Authority may not have the budget to cover it.
Still, he stressed that overdue payments must be settled to avoid a complete breakdown of the power grid.
“We cannot afford delays any longer,” Bryan declared during the press conference Monday. “The time for talk is over.”
The State of Emergency empowers the governor to bypass Senate approval and tap directly into the territory’s “Rainy Day Fund” to cover WAPA’s immediate obligations. These funds will also address by Tuesday a $2.3 million debt owed to Aggreko, a company leasing generators to WAPA crucial for generating power. Bryan said candidly that it was the lack of payment to Aggreko that forced rotations last week on St. Croix, as the company turned off its generators, which are needed for the authority to maintain full capacity.
“I want to take immediate steps to ensure that the [financial] obligations of the Schneider Regional Hospital, the JFL Hospital, and Waste Management Authority [are fulfilled] and are once again paid in full, thereby providing WAPA with much-needed cash liquidity and, going forward, keeping the entire government current on its utility bills owed to WAPA,” Bryan continued. “This isn’t a subsidy. This is now about paying our bills in a timely fashion.”
Bryan praised recent attempts by the Senate to address the issue, but emphasized the urgency of the situation. Beyond immediate relief, he outlined a multi-pronged approach to achieve long-term energy security. Interestingly, it was almost exactly a year ago when the Senate passed a bill establishing a $100 million line of credit that would be used to support the purchase of WAPA’s propane infrastructure.
Included in the bill is a provision for WAPA to hire a turnaround management company, among other things, but Bryan said in a call Monday with the Source that he would also be tapping the Rainy Day fund for $3 million to cover the expense, which wasn’t provided for in the bill itself.
Meanwhile, Bryan said he would be formalizing, through the Public Finance Authority, the task force he said that has been working for the past year to spearhead efforts to improve WAPA’s fiscal and operational efficiency. This includes the long-delayed installation of the fuel-efficient Wartsila generators and the expedited adoption of renewable energy solutions across the islands. Most immediately though, the task force – which includes PFA legal counsel Squire Patton Boggs and the government’s financial team members, among others – will focus on finalizing the purchase of WAPA’s propane infrastructure, currently owned by supplier Vitol.
Bryan concluded his address by reiterating his administration’s commitment to a financially sound WAPA. He pledged to ensure timely payments to bondholders and creditors, and expressed a firm resolve to fix the territory’s troubled utility provider.
“My administration and I have pledged to fix WAPA, and I remain firmly committed to taking action to do so,” he said.
In a statement Monday, Delegate Stacey Plaskett affirmed her support of Bryan and the administration’s efforts, adding that she has continued to advocate for the award of federal funds to the V.I. Energy Office through President Biden’s Solar for All program.
Plaskett Releases Statement On WAPA State Of Emergency Declaration
In response to Gov. Albert Bryan Jr.’s declaration of a state of emergency for the Virgin Islands utility system, Congresswoman Stacey Plaskett reaffirms her willingness to work with Bryan, his administration and the 35th Legislature of the Virgin Islands as they contend with the continued struggle to operate an efficient Water and Power Authority, according to a press release.
Plaskett urges all parties to work together to create a stable utility system that supports the people and businesses of the Virgin Islands, the release stated.
“Today, Governor Bryan declared a state of emergency regarding the Virgin Islands Water and Power Authority and the recent rationing of power across our territory necessitated by the Authority’s inability to meet its financial obligations,” stated Plaskett. “Transparency is important, and I recognize that such a declaration is difficult to make, but I appreciate the Governor addressing the real time concerns of Virgin Islanders as it pertains to WAPA. From 2019, I indicated that a state of emergency was a real option, and since then my team and I have made ourselves available to the local government to address our utility needs. This year alone, I have met repeatedly with WAPA’s CEO, Andy Smith and WAPA management to monitor WAPA’s financial situation and effectively direct federal support to the authority.”
“Additionally, I have directly advocated on the Virgin Islands Energy Office’s application for the Biden Administration’s Solar for All program, a competitive grant that my office was happy to support the VIEO in pursuing – not only writing letters of support but calling on the EPA Administrator Regan and the Biden administration to support,” Plaskett stated.
“Since the 2017 hurricanes, my office has worked on WAPA’s behalf to secure funding for the territory in the Bipartisan Budget Act of 2018, in the Inflation Reduction Act to include WAPA and other Virgin Islands government agencies as eligible for ‘Direct Pay’ incentives to fund clean energy production and delivery. I have also advocated and assisted to secure improved FEMA cost share waivers on major projects, which is resulting in hundreds of millions of dollars in additional federal funding immediately flowing to finance the rebuilding of our water and power infrastructure,” she stated.
“In February, that cost share improvement meant WAPA received an additional $26,957,481 in federal funding for hazard mitigation on permanent repairs of the electrical distribution system as well as a further $17,724,516 for other needs; a month later WAPA received an additional $10,097,679.69 for permanent repairs to the St. John electrical distribution systems and infrastructure, and an additional $1,053,776.86 for the replacement of the Richmond Power Plant Historic Warehouse due to cost share adjustments. Nonetheless, we know these additional sources of funding are for long term projects and do not solve the immediate cash flow problems facing WAPA if its largest users, our government agencies, are unable to pay their bills,” Plaskett said.
“As I stated in my letter to Governor Bryan and then Senate President Francis in 2019 (see letter here), declaring a state of emergency for WAPA and energy within our territory was appropriate then. It is even more so now. The people of the Virgin Islands deserve affordable, reliable power. My team and I have consistently advocated for WAPA and are demonstrably dedicated to supporting the authority in becoming solvent, as well as working with the Virgin Islands Energy Office to help the authority to meet the energy needs of our territory,” she said.
“I also look forward to the successful closing of the $140 million payment transaction to VITOL with the funds provided by the U.S. Department of Housing and Urban Development (HUD). WAPA’s relationship with VITOL over the past 10 years has been an unbalanced, problematic one, with VITOL’s continued efforts to extract what appear to be usury rates on a past debt. I am hopeful that the closure of WAPA’s chapter with VITOL will enable the authority to go back to the open market in order to consider cheaper fuel options for its operations,” according to Plaskett.
“My office stands ready to work at the federal level with Governor Bryan, the Legislature of the Virgin Islands and the Virgin Islands Energy Office to provide support in resolving the crisis at WAPA,” Plaskett concluded.
EPA Approves $62 Million For USVI Solar Power
The U.S. Environmental Protection Agency will send $62.45 million to the territory for residential community solar and power storage projects, federal officials announced Monday.
Awarded through the Solar for All grant program, the funding is meant to allow the Virgin Islands Energy Office to develop long-lasting solar programs that enable low-income and disadvantaged communities to benefit from solar power.
With this funding, the Energy Office could build on its former Solar+ Financing Pilot and further expand the accessibility of solar by providing residential and residential-serving community solar for its most underserved residents, according to a statement from the EPA.
In its application for the grant, the Energy Office said the funding has the power to transform the USVI’s residential energy landscape, addressing residents’ high electricity costs while creating new opportunities for energy resilience and reliable, affordable, clean power for communities most in need. The grant was a big step up from a $2.6 million grant in April 2023 for similar purposes.
The grant was part of the President Joe Biden’s $27 billion Greenhouse Gas Reduction Fund, which, under the Inflation Reduction Act, aims to lower energy costs, create quality jobs in communities that have been left behind, advance environmental justice, and tackle the climate crisis, according to the EPA.
“This grant will help communities across the U.S. Virgin Islands access solar power and reduce greenhouse gas emissions while benefiting from programs that will provide good paying jobs,” said EPA Administrator Michael S. Regan. “Today we’re delivering on President Biden’s promise that no community is left behind by investing $7 billion in solar energy projects for over 900,000 households in low-income and disadvantaged communities.”
Also on Monday, the Puerto Rico Office of Management and Budget was selected to receive $156.1 million from the Solar for All grant program. Given the vulnerability and instability of Puerto Rico’s power grid, solar power is essential to increasing the ability to deliver power during grid outages, EPA officials said.
EPA officials estimated the funds would be allocated in autumn and winter 2024.
The EPA plans informational webinars on the Solar for All program as part of the program’s commitment to public transparency. The half-hour April 29 webinar starts at 4 p.m. Those interested can register for the meeting at this link
Bryan Nominates Rhea as New Attorney General
Gov. Albert Bryan Jr. announced Monday at the weekly Government House press briefing, his nomination of Gordon Rhea to serve as the next V.I. Attorney General.
“Gordon Rhea’s impressive track record of legal accomplishments and managerial expertise will greatly benefit the Virgin Islands as we continue to strengthen our justice system. His lifelong dedication to public service and legal excellence is exactly what we need in an attorney general,” Bryan said. “His work in the Virgin Islands was transformative.”
Originally from Tennessee, Rhea earned bachelor’s and master’s degrees in history and has written more than a dozen books. He is recognized as an authority on the Civil War era.
Rhea graduated from Stanford University Law School in 1974. He then worked in Washington, D.C as a special assistant to the chief counsel of the U.S. Senate where he participated in national investigations involving the CIA and FBI.
Upon leaving the U.S. Senate, Rhea served as an assistant U.S. attorney and an executive assistant U.S. attorney.
In 1981, Rhea relocated to the Virgin Islands where he prosecuted major criminal cases as an assistant U.S. attorney and later started the law firm, Alkon and Rhea, on St. Croix.
Rhea is a 40-year member of the Virgin Islands Bar, where he was awarded this year’s Winston Hodge award for his contributions to the community.
On Monday, Bryan introduced Rhea, who said a few words. He said he first visited the Virgin Islands in 1967 to train for the Peace Corps.
“I’m almost made for the job,” he said. “I hope to make it (the V.I. Justice Department) a department that the Virgin Islands wants and needs.”
Some of Rhea’s previous cases include:
Rhea’s nomination will be considered and voted on by the V.I. Legislature.
Photo Focus: Annual Earth Day Fair Reminder to Protect Planet
The Friends of Virgin Islands National Park held its annual Earth Day fair in Cruz Bay, St. John Monday.
The day’s events included the annual Litter Stomp Parade, presentations by students from different schools, festive music and all things on theme with protecting the planet, especially the Virgin Islands.
Attendees were particularly thankful to Mother Nature for holding off on her torrential rain until the afternoon.
Quarrel Turns Deadly in Thomasville; Female Motorist Killed
Police say a heated argument between a toddler’s parents led to the apparent shooting death of the child’s mother. According to court records, the incident was reported to 911 just after dawn on Friday.
The accused gunman was arrested after authorities found him hiding in a bushy area near the shooting scene in Thomasville. Authorities identified the victim as 33-year-old Mardette Ward.
Ward was found unresponsive by first responders behind the wheel of a Nissan sedan. The initial cause of death was a gunshot wound to the upper body, said a report filed by the Virgin Islands Police Department Investigations Bureau.
Accused gunman Simon Rawlins Jr., 37, appeared Monday at an advice of rights hearing in Superior Court Magistrates Division. Magistrate Simone Van Holten-Turnbull recounted details of the fatal encounter given to police by witnesses on the scene.
One of the witnesses said she was the victim’s domestic partner. She identified Rawlins as the gunman, adding that he and the victim had a 2-year-old child together. The first witness said words were exchanged between Ward and Rawlins, and between Rawlins and herself.
The magistrate described a portion of the investigators’ report and the witness statement saying that as she and Ward started to drive away, she heard a “pop.” The victim stopped moving after that, Holten-Turnbull said.
At the hearing the public defender representing Rawlins asked the court to reduce the $1 million bail set at the time of Friday’s arrest. The magistrate refused.
“The fact that they had to go search for him says he’s a flight risk,” Van Holten-Turnbull said. “There were witnesses who said the victim never left the vehicle and never had more than a verbal altercation, and yet she got shot and was killed.”
Rawlins attended Monday’s hearing by way of live stream video from the Criminal Justice Complex. He is scheduled for arraignment on May 10 at 10 a.m.Op-Ed: VIPA’s Airport Transformations for the Economic Future of the USVI
On March 26th, the Virgin Islands Port Authority Board of Governors took a transformational step in the direction of prosperity when they selected VIports Partners, as the preferred proposer of the public-private partnership (P3) to spearhead the modernization of the Cyril E. King and Henry E. Rohlsen Airports in the U.S. Virgin Islands. VIports Partners is a consortium of several international companies with extensive experience in the redevelopment and management of airports and construction. The major consortium partners are Aecon Group, Inc., Tikehau Star Infra, AVPorts, LLC, Corgan Associates, Inc., Consigli Construction, and J. Benton Construction.
This bold and forward-thinking decision has VIports Partners assuming the financial and operational mantle for the redevelopment of the airport’s terminals, as well as the operations, and maintenance of these crucial facilities. The culmination of this selection process signifies a watershed moment in the territory’s pursuit of new and improved airports in St. Thomas and St. Croix. The selection of VIports Partners concluded 18 months of the P3 procurement process, which saw the submission of two strong proposals in February of this year in response to the VIPAs P3 Request for Proposals. Following a meticulous evaluation process by the Authority’s Evaluation Committee, the VIPA Board endorsed my recommendation of VIports Partners.
The twin airport projects could not come at a more critical time in Virgin Islands history. Our residents deserve airports that are safe and attractive with modern amenities. As a premier tourist destination, our guests deserve the same. These new facilities will stimulate economic growth in the Territory while providing all travelers with a safe, comfortable, and pleasant experience. The Caribbean’s tourist industry is highly competitive. We must invest and plan to maintain our status as a premier destination.
With this development, our airports are poised to embrace terminal designs characterized by sustainability, resilience, innovation, and efficiency, catering to the needs of both our residents and the ever-increasing influx of tourists. These enhancements will introduce additional passenger amenities, retail opportunities, enhanced customer service, reduced wait times, and the critically needed passenger jet bridges, all while integrating the cultural essence of the U.S. Virgin Islands into the process, design, and aesthetics of the final product.
Beyond enhancing the passenger experience, these transformations are anticipated to stimulate increased cargo activity, open new airline routes, boost non-aeronautical revenue at both airports and consequently drive economic growth through job creation and commercial opportunities across the territory. Environmentally, the airport redevelopment will adhere to minimum and in some instances exceed LEED Silver standards and building code requirements for resiliency.
VIports’ commitment to the U.S. Virgin Islands extends to its commitment to retaining VIPA airport employees and engaging all stakeholders in constructive dialogues to ensure that the economic benefits are harnessed while preserving the cultural heritage of our people and land. The redevelopment timeline for this complex project is estimated to span approximately four years with the commencement of construction expected by mid-2025. VIPA will continue to be transparent and keep the public aware of all major developments and transactions that we are making throughout the transition process.
I thank the 34th and 35th VI Legislatures for their participation, and the Bryan/Roach Administration for their unwavering support for the project. I also thank the public for their attendance and feedback during the four town hall meetings we hosted throughout the territory.
This is a grand and ambitious endeavor befitting a premier destination. More profoundly, this project represents the collective aspirations of the people of the US Virgin Islands. As we all embark on this transformative journey, let us not shy away from dreaming boldly and committing ourselves wholeheartedly to executing this bold vision with unparalleled dedication and innovation. We deserve no less. We see the steady pace of investment amongst our Caribbean competitors. We must innovate and change to maintain and grow the industry that accounts for more than 70% of our gross territorial product. I will say here what I have said many times – the Caribbean and the rest of the world are not going to wait for us!
Carlton Dowe is the executive director of the V.I. Port Authority.Education Department St. Croix District Implements Remote Instruction for Three Schools April 22
The Virgin Islands Department of Education St. Croix District announced that Pearl B. Larsen PreK-8, John H. Woodson Jr. High School, and St. Croix Central High School will transition to remote instruction April 22 due to inclement weather.
While recognizing the importance of in-person learning, the VIDE prioritizes the ability of campuses to safely accommodate students, faculty, and staff. Teachers will post and share assignments with students through various platforms, including Schoology, Microsoft Teams, or email. The VIDE will continue to closely monitor the weather and its impact on the campuses, providing updates to the community as necessary, including the resumption of in-person learning, a press release stated.
In light of this shift to remote instruction, all principals, assistant principals, custodians, paraprofessionals, office staff, monitors, and maintenance personnel are to report to the three campuses as scheduled. Your dedication and support are invaluable as we navigate this transition together efficiently, stated the release.
We appreciate the understanding and cooperation of students, parents, and staff during this time. Together, we will ensure that learning continues uninterrupted while prioritizing the well-being of our school communities, according to the release.
Majestik Freedom Estrada-Petersen Crowned St. Thomas Carnival Queen
