The governing board of the Virgin Islands Water and Power Authority voted Friday to authorize Acting Executive Director Clinton T. Hedrington Jr. to extend various lines of credits that will fund operating and maintenance expenditures as well as secure working capital. The lines of credit are with First Bank.
The unanimous board votes came at a special meeting made necessary by the Dec. 31, 2017, expiration of the existing lines of credit. The extensions are for a 90-day period.
The lines of credit include:
- Working capital in the amount of $10 million for the electric system and $1.125 million for the water system;
- Capital projects totaling $4.8 million for the electric system and $2 million for the potable water system.
The working capital provides continued funding that allows WAPA to fund key operating and maintenance projects. The three-month extension allows the Authority to continue to access the credit lines while it negotiates with First Bank for a longer term.
- $15 million overdraft line of credit;
The overdraft line of credit is for WAPA’s working capital needs, including particular fuel invoices and accounts payable. The 90-day extension also allows the continued use of the financial instrument, while a longer line of credit is negotiated with First Bank.
Board members present included: Chairwoman Elizabeth Armstrong, Vice Chair Noel Loftus, Secretary Juanita Young, Commissioners Devin Carrington and Nelson Petty, Director Marvin Pickering, Cheryl Boynes Jackson, Hubert Turnbull and Gerald T. Groner Esq.