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GASOLINE SOON TO TOP $2 A GALLON ON ST. JOHN

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As gasoline prices take a dramatic swing upward across the United States, those at St. John pumps, already among the most expensive in the nation, are also on the rise.
For several months, the price at local filling stations hovered around $1.89 for premium and $1.81 for regular unleaded. In recent days, of the three service stations on the island, O'Connor's Texaco posted the highest rates — $1.99 per gallon for premium gasoline and $1.95 a gallon for regular. All three stations offer only full-service pricing.
At the wholesale end, "It went up again Tuesday, about six cents from Texaco, but we didn't put the price up yet," said Civilla Williams, office manager at St. John Development Corp., which operates the service station. So, she said, for the time being, owner Robert O'Conner Jr. "is operating at a loss."
When they do add the increase, gas will top $2 a gallon for the first time in the territory.
At the Contant and Enighed Gas station, premium is selling for $1.94, while regular gas is $1.87. An attendant there said new prices were posted about a week ago.
The cheapest gas on St. John can be found at the most remote location — the Domino station in Coral Bay. Premium gas is selling there for $1.89 a gallon, and regular costs $1.84.
Licensing and Consumer Affairs Commissioner Andrew Rutnik, a St. John resident, had his department make an extensive study of gasoline prices in the territory late last year. He said he will keep an eye on the pumps but expects that prices on St. John and St. Thomas will continue to climb as long as gasoline imports arrive in limited supply. St. Croix traditionally has had significantly lower fuel prices because it is supplied by the Hess Oil/Hovensa refinery on that island.
The most recent round of price rises on the mainland began about two weeks ago, and in some parts of the United States consumers are now paying an unprecedented $2.05 a gallon.
Does that mean St. John prices, long a leader across the country, will continue to rise to record highs? "It's possible, but we won't know until new gas shipments come in," the commissioner said.

RETAILERS EXPRESS CUSTOMS AND OTHER CONCERNS

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St. Thomas merchants expressed grave concerns about the state of their businesses to Delegate Donna Christian-Christensen at a meeting Friday night.
Christensen called the meeting to update retailers about the status of selling tobacco "for export only," but she ended up hearing about more than concerns over tobacco sales.
The business people, made up of Main Street merchants and liquor and cigarette wholesalers, said they felt they were under attack on various issues because U.S. Customs was selective in enforcing laws.
The advantage the U.S. Virgin Islands has over other Caribbean destinations is that U.S. visitors can take home up to a gallon of liquor and five cartons of cigarettes duty free. From other destinations in the region — St. Maarten, for example — U.S. tourists can take home only one liter (a little less than a quart) of liquor and one carton of cigarettes without paying duty. But the group said the law is not being enforced.
Businessman Vinnie Mohanani pointed out that local merchants pay 6 percent duty to import foreign-made liquor plus gross receipts tax — and therefore cannot sell the goods as cheaply as St. Maarten and other non-U.S. islands. He said a bottle of Absolut vodka that sells for $8.95 in St. Thomas can go for $6.95 on St. Maarten.
Mohanani said when customers see the higher price on liquor in the territory, they don't buy it. And because they think other merchandise is priced higher in the Virgin Islands than elsewhere, they don't buy it either.
Plus, he said, cruise passengers can buy duty-free merchandise onboard the ships.
If U.S. Customs "can turn its head the other way on so many other things, why not a six-month moratorium" on enforcement of the tobacco "for export only" law, he asked.
The confiscation of tourists' cigarettes came to light earlier this week when the Source learned that officials in Miami were making cruise ship passengers turn over all cigarettes they had purchased that were marked "for export only." The action was the result of a law that took effect earlier this year that officials say was never intended to apply to tobacco purchased for personal use, but that nonetheless is being enforced on personal use purchases outside the U.S. mainland.
This latest controversy is only part of the picture. With trends in smoking and drinking changing, Mohanani said, sales aren't like the "old days."
"In the old days, we could sell 500 boxes of cigarettes a day to the Norway alone," he said. "Now on a ship with 3,000 people it's a miracle if we sell 200.
"We're talking about losing our livelihoods. It seems like we have a noose around our necks, and it's getting tighter and tighter."
Another issue of current concern not directly affecting the retailers came up at the meeting too. Foreign sales corporations, which bring millions of dollars into the territory and provide some jobs locally, have come under attack by the World Trade Organization and could be phased out.
Christensen agreed that it did seem as if the Virgin Islands was being assaulted on all sides.
Editor's note: See earlier stories "Delegate: Bad News, Good News on Tobacco" and "Blow to Foreign Sales Corps. May Be Fatal."

DELEGATE: BAD NEWS, GOOD NEWS ON TOBACCO

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Delegate Donna Christian-Christensen will ask U.S. Customs to stop confiscating cigarettes purchased in the Virgin Islands by U.S. residents until an amendment to a 1997 law can be drafted and passed.
Christensen met with a group of St. Thomas retailers and wholesalers Friday evening to give them the "bad news": The Bureau of Alcohol, Tobacco, and Firearms said Thursday it would not budge on the law, which says that tobacco produced in the United States for "export only" and sold abroad cannot be brought back into the United States.
The Source learned earlier this week that cruise passengers were being told aboard their ships that they would not be allowed to take U.S. tobacco products purchased in the Virgin Islands back home. The loss of revenues to the V.I. government from tobacco sales has been estimated at up to $20 million per year.
Dominick Codispot of West Indies Corp. said WICorp. pays the V.I. government $1 million a year in excise and gross receipts taxes on tobacco. And the government's gross receipts tax revenues are doubled for tobacco: The wholesalers pay it and the retailers pay it again.
U.S. Customs allows U.S. tourists to take up to five cartons of cigarettes purchased in the Virgin Islands home duty free.
There is a conflict with two overlapping statutes, according to a lawyer for the V.I. government.
What has happened in the last week is "an overly broad interpretation" of a law that was intended to prevent the commercial re-importation of duty-free cigarettes to be sold back in the United States, according to V.I. lobbyist Peter Hiebert of the Washington, D.C., law firm of Winston and Strawn.
Christensen said the officials she met with Thursday from the Bureau of Alcohol, Tobacco and Firearms and Customs agreed the law was not directed at tobacco purchased for personal use. But since the law is not clear on that point, enforcement must continue, the officials told the delegate.
She said the law cannot be changed administratively. "Even the White House" can't help, she said; it will take an act of Congress to amend the law.
The "good news" is that corrective legislation has already been drafted. "They are awaiting a vehicle to which it can be attached," Christensen said.
Meantime, she has asked high-ranking members of Congress to send letters to Treasury Secretary Lawrence Sommers asking that the legislation be retroactive to the enforcement implementation date. If that happens, she said, the confiscation would stop.
One of those high-ranking officials is Charles Rangel, ranking member of the House Ways and Means Committee. Christensen said she had not received a response from Rangel, but he was on his way to the Virgin Islands Friday night to attend a fund-raising event Saturday night.
All parties involved seem to agree that the way the law was written far exceeds what it was intended to accomplish, Christensen said.

GOVERNOR POSTPONES โ€˜LABOR SUMMIT'

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The "Labor Summit" called for by Gov. Charles Turnbull in his State of the Territory address in January has been postponed indefinitely.
The meeting was scheduled for March 6 and 7 and was to focus on ways to pay the more than $200 million owed unionized government workers in retroactive wages.
Turnbull returned to the territory late Thursday from a 10-day trip to Washington, where he met with high-ranking federal officials. Upon his return, according to a release from Government House, he met with his financial advisors to discuss unspecified economic information that could have some bearing on the meeting with labor.
The release stated that the governor wanted to attend the meeting with up-to-date information, but wished to meet with his advisors beforehand.
News of the postponement, however, didn’t sit well with Cecil Benjamin, president of the St. Croix chapter of the American Federation of Teachers. Benjamin said that when Turnbull first announced a labor summit, most union leaders were against the idea because of failed attempts in the past.
But after a meeting late last month to discuss the ground rules, he said labor leaders warmed to the idea.
"Originally the AFT had not planned to go. We thought it would be a waste of time," Benjamin said. But the ground rules meeting "was very encouraging and we were prepared to do it."
"They were the ones who called this summit . . . to reach some sort of compromise. Apparently they don’t have any proposal. They could have handled it better."
The Government House release said Turnbull "regretted the late notice of the postponement but he felt it necessary to prevent the government from appearing at the summit with outdated financial information and projections."
That explanation didn’t satisfy Benjamin, who said he will try to organize a government-wide strike in the near future. He said the postponement was a "slap in the face of all government workers."
"We are going to advocate to have government employees come together and shut this government down," he said.
In the meantime, the administration’s chief negotiator, Karen Andrews, will work with the unions to develop a mutually agreeable date to reschedule the summit. Central Labor Council President Luis "Tito" Morales couldn’t be reached for comment Friday evening.

GOVERNOR POSTPONES NEXT WEEK'S โ€˜LABOR SUMMIT'

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The "Labor Summit" called for by Gov. Charles Turnbull in his State of the Territory address in January has been postponed indefinitely.
The meeting was scheduled for March 6 and 7 and was to focus on ways to pay the more than $200 million that is owed to unionized government workers in retroactive wages.
Turnbull returned to the territory late Thursday from a 10-day trip to Washington, where he met with high-ranking federal officials. Upon his return, according to a release from Government House, he met with his financial advisers to discuss unspecified economic information that could have some bearing on the summit.
The release stated that the governor wanted to attend the meeting with up-to-date information, but wished to meet with his advisers beforehand. He did not suggest a new date for the summit.
News of the postponement didn’t sit well with Cecil Benjamin, president of the St. Croix chapter of the American Federation of Teachers. Benjamin said that when Turnbull first announced a labor summit, most union leaders were against the idea because of failed attempts in the past.
But after a meeting late last month to discuss the ground rules, he said labor leaders warmed to the idea.
"Originally the AFT had not planned to go. We thought it would be a waste of time," Benjamin said. But the ground rules meeting "was very encouraging and we were prepared to do it."
"They were the ones who called this summit . . . to reach some sort of compromise. Apparently they don’t have any proposal. They could have handled it better."
The Government House release said Turnbull "regretted the late notice of the postponement but he felt it necessary to prevent the government from appearing at the summit with outdated financial information and projections."
Benjamin said he will try to organize a government-wide strike in the near future. He said the postponement was a "slap in the face of all government workers."
"We are going to advocate to have government employees come together and shut this government down," he said.
In the meantime, the administration’s chief negotiator, Karen Andrews, will work with the unions to develop a mutually agreeable date to reschedule the summit. Central Labor Council President Luis "Tito" Morales couldn’t be reached for comment Friday evening.

ENDANGERED SEA TURTLE FOUND DEAD

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An endangered leatherback sea turtle was found dead Friday morning in Christiansted Harbor, an apparent victim of a boat strike.
Zandy Hillis-Starr, a natural-resource manager with the National Park Service, said the female sea turtle, which weighed between 600 to 700 pounds and was about six feet long, was found floating just off the northern tip of Hotel on the Cay at about 11 a.m. Friday.
An inspection of the body showed a head wound and scratches on the shell, evidence that the reptile was struck by a vessel.
"It could be a prop, it could be the bottom of a boat," Hillis-Starr said. "She was probably hit outside Christiansted Harbor and then washed into it."
The dead leatherback, a member of a species that is very endangered in the Eastern Caribbean, was the first of the season on St. Croix, Hillis-Starr said. Leatherbacks nest between March and August at Sandy Point Beach, one of the largest of only 12 leatherback rookeries in the world. The rookery is part of a wildlife refuge managed by the U.S. Fish and Wildlife Service.
While the female was tagged, Hillis-Starr said scientists wouldn’t be able to tell if she was a Sandy Point turtle until contact is made with FWS staff, who were off island Friday.
Leatherbacks spend the majority of their time in the North Atlantic, Hillis-Starr said. After about 15 years, females return to the beach where they were hatched to lay their eggs. After that, they return every two to three years to nest.
During a season, females lay eight to 10 clutches of about 80 to 100 eggs, Hillis-Starr said, of which about 50 percent to 60 percent actually hatch. But of that number, only about 1 percent actually survive.
Because of the daunting statistics, the discovery of the dead female on Friday was not good news for scientists.
"This animal has died after a migration of 5,000 to 8,000 miles," Hillis-Starr said. "Her only purpose here in St. Croix was to lay eggs."
Still, the success of the Sandy Point leatherback program is encouraging. The fruits of protecting the beach in the 1970s are just now being harvested. Hillis-Starr said that in 1997 and 1998, the number of females nesting jumped to 100.
"It’s a result of protecting the beach 15 to 20 years ago," she said.

WEB'S BANANA BUG RUMOR HURTS V.I. IMPORTER

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What started out a few weeks ago as an urban rumor about bananas on the Internet has grown into a major problem for some U.S. banana importers, including at least one in the Virgin Islands.
A e-mail message began showing up warning consumers of a "flesh-eating parasite" supposedly found in shipments of Central American bananas reaching the U.S. mainland. The message claimed that the effects were so horrible that people should avoid eating the major brands.
For Vincent Richards, an owner of Sam's, a food distributor which brings Central American bananas into the Virgin Islands, it's the message that is causing damage: It's killing his business. "I'm getting constant calls from wholesalers and the supermarkets with concerns based on what they hear from consumers about this parasite," he said.
He added that some wholesalers have grown leery about buying or selling bananas because of the rumor.
According to the e-mail warning, U.S. public health officials know about the "flesh-eating parasite" but have issued no warnings, so as not to cause a public panic.
Richards said there is nothing harmful about the bananas he imports. "There is absolutely no truth to the rumor," he said, adding that he, his family and his friends all continue to eat bananas, with no adverse effects. "I would not allow a questionable product to go on the market in any way, shape or form," he said.
According to Richards, the large banana exporters have their suspicions about why such an industry-threatening rumor might have been started: the international trade war over preferential import treatment for bananas produced by countries affiliated with the European Union over those grown elsewhere.
"I have spoken to my suppliers in Central America, and they have their suspicions," he said, "but nothing is definitive in terms of who and why the rumor was started."
Even the big fruit marketers are being affected, Richards said. "The communications director at Dole also confirmed for me that they are feeling the effects of the rumor, both nationally and internationally," he said, adding that the rumor "has been passed on like a plague, as far as I'm concerned."
There have been no reported cases of any adverse effects caused by banana consumption, regardless of the origin of the product.
To connect to Urban Legends, a web site dedicated to confirming or dispelling all such rumors and "news" circulating on the World Wide Web, click here.
According to the web site information, the parasite story is false.

URBAN LEGEND HURTS LOCAL IMPORTER

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What started out a few weeks ago as a rumor on the Internet about bananas has grown into a major problem for some U. S. and Virgin Islands businesses that import bananas from Central America.
In the last few weeks, e-mail has begun showing up warning banana consumers of a flesh-eating parasite found in shipments of Central American bananas reaching the U.S. According to the message, the effects are so horrible that people should refrain from eating the major brands.
For Vincent Richards, an owner of Sam's food distributors, which brings Central American bananas into the Virgin Islands, the effect has been killing
his business. "I'm getting constant calls from wholesalers and the supermarkets with concerns based on what they hear from consumers about this parasite," he said, adding that some wholesalers themselves have grown leery about bananas because of the Internet rumor.
The e-mail warning about Central American bananas claims that U.S. public health officials know about the flesh-eating parasite but have issued no warnings so as not to cause a public panic.
Richards, however, said there is absolutely nothing harmful about the popular fruit which he has continued to eat. "There is absolutely no truth to the rumor." He said he, his family and friends all eat bananas with no adverse effects. "I would not allow a questionable product to go on the market in any way, shape or form."
According to Richards, the large exporters of bananas have their suspicions about why such an industry-threatening rumor may have been started, given the international trade war over preference for bananas produced by countries affiliated with the European Union and those produced outside the E.U.
"I have spoken to my suppliers in Central America and they have their suspicions but nothing is definitive in terms of who and why the rumor was started," Richards said.
The local businessman said it is not just his company being adversely affected by the parasite rumor. "The communications director at Dole also confirmed for me that they are feeling the effects of the rumor both nationally and internationally." Richards added that the "rumor has been passed on like a plague, as far as I'm concerned."
There have been no reported cases of any adverse effects caused by banana consumption, regardless of the origin of the product.
To connect to Urban Legends, a website dedicated to confirming or dispelling all of the rumors and "news" circulating on the World Wide Web:
click here.
According to them, the story is false.

URBAN LEGEND HURTS LOCAL IMPORTER

0

What started out a few weeks ago as a rumor on the internet about bananas has grown into a major problem for some U. S. and Virgin Islands businesses that import bananas from Central America.
In the last few weeks, an e-mail began showing up warning banana consumers of a flesh-eating parasite found in shipments of Central American bananas reaching the U.S. According to the message, the effects are so horrible that people should refrain from eating the major brands.
For Vincent Richards, an owner of Sam's food distributors, which brings Central American bananas into the Virgin Islands, the effect has been killing his business.
"I'm getting constant calls from wholesalers and the supermarkets with concerns based on what they hear from consumers about this parasite," he said, adding that some wholesalers themselves have grown leery about the bananas because of the internet rumor.
The e-mail warning about Central American bananas claims that U.S. public health officials know about the flesh-eating parasite but have issued no warnings so as not to cause a public panic. But Richards said there is absolutely nothing harmful about the popular fruit which he has continued to eat.
"There is absolutely no truth to the rumor," he said.
Richards said he, his family and friends all eat bananas and have seen no adverse effects. "I would not allow a questionable product to go on the market in any way, shape or form," he added.
According to Richards, the large exporters of bananas have their suspicions about why such an industry-threatening rumor may have been started, given the international trade war over preference for bananas produced by countries affiliated with the European Union and those produced outside the E.U.
"I have spoken to my suppliers in Central America and they have their suspicions but nothing is definitive in terms of who and why the rumor was started," Richards said.
The local businessman said it is not just his company being adversely affected by the public doubts raised by the parasite rumor. "The communications director at Dole also confirmed for me that they are feeling the effects of the rumor both nationally and internationally." Richards added that the "rumor has been passed on like a plague as far as I'm concerned."
To date, there have been no reported cases of any adverse effects caused by banana consumption, regardless of the origin of the product.
To connect to Urban Legends, a website dedicated to confirming or dispelling all of the rumors and "news" circulating on the World Wide Web, click here.
According to them, the story is false.

SENATE CALLS FOR CRISIS MEETING WITH GOVERNOR

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Senators passed a motion Thursday demanding a meeting with Gov. Charles W. Turnbull to discuss the various crises — not just the fiscal one — facing the territory. They asked Senate president Vargrave Richards to set up the meeting by next week.
The motion, introduced by Sen. Almando "Rocky" Liburd, was in response to recent reports of Government House criticism of the Senate and by a letter from the governor stating that the senators had "inadvertently" omitted positions in the Personnel Division in the fiscal year 2000 budget. That was in the later part of a full day.
In a session which ran until 8:30 p.m. and had one senator speaking Spanish and another singing, the Senate moved through an ambitious agenda continued over from Wednesday.
It conferred the Virgin Islands Medal of Honor on Julian "The Hawk" Jackson, posthumously honored Andrew "Funkyman" Shacove, and honored and commended two island educators, George Newton and Mario Alfredo Thomas — all before 5 p.m.
The lawmakers rejected a bill to ban the use of incineration to dispose of solid waste.
They approved an amendment to the V.I. Code pertaining to the licensing of podiatrists.
And, after much debate, they sent back to committee a bill introduced by Sen. Gregory Bennerson which would make it a felony to furnish false information to peace officers during the investigation of a felony.
Virgin Islanders honored for contributions
Jackson, a native Virgin Islander who has always maintained a V.I. residence, won four boxing championships and held several World Boxing Association titles. At one point in his career, Jackson had a 93.1 knock-out percentage, the highest of any active champion at the time. Now retired from boxing, he is employed by the Housing, Parks and Recreation Department.
All the senators hailed Jackson as an ambassador for the territory. "He should be given a pension," Sen. Adelbert "Bert" Bryan said, citing the way Sammy Sosa is treated in the Dominican Republic and the stadium erected to the memory of Roberto Clemente in Puerto Rico. "He should be given land and a villa, and tax breaks like they give to Hovensa."
Andrew Kevin "Funkyman" Shacove, a popular WSTA radio personality, master of ceremonies and firefighter, was posthumously honored and commended. He died in January 1999.
George Newton was honored on his retirement after 26 years as an educator. He started his career teaching Spanish at the Lockhart Elementary School and retired as principal of the Joseph Gomez Elementary School. An active tennis player, he has represented the Virgin Islands in many tournaments.
The senators recognized Mario Alfredo Thomas for 33 years of service in physical education at the Charlotte Amalie High School — and approved the naming of the new Mario Thomas Track and Field Complex at CAHS in his honor.
Separately, Sen. Lorraine Berry introduced a resolution to honor and commend Faye Dorothy Moon for her 30 years of service in the Cathedral of Sts. Peter and Paul choir and for her community service and dedication. The proposal inspired a contribution in song from Hansen and was approved by all but Bryan.
Amendments address many issues
Senators tacked two amendments onto a Government House proposal to appropriate $92,742 for two positions in the Personnel Division before passing the measure.
Sen. Alicia "Chucky" Hansen successfully proposed a $4 million appropriation from the Indirect Cost Fund to repair St. Croix's sewage systems and $1 million for the Port Authority to repair the Ann Abramson Pier in Fredericksted.
Sen. Adlah "Foncie" Donastorg succeeded in attaching an amendment calling for a referendum in the November general election on whether to reduce the Senate size to 11 members from the current 15. The amendment requires the Legislature, if the public approves the reduction, to petition Congress to amend the Organic Act in order for the change to take effect.
Donastorg attempted, with Hansen's support, to add one requiring the Public Services Commission to investigate Vitelco's rates; the proposal, for which he has sought support repeatedly, again failed.
Bill on IDC makeup, quorum passes
The Senate approved Sen. Violet Anne Golden's bill to change the governor's powers of appointment to the Industrial Development Commission. The measure would repeal a law that allows two members to constitute a quorum. Golden's bill would reinstate prior legal requirements that the commission comprise seven members, five of them appointive, and that a quorum consist of four, of which no more than three can be from the same district.
Her measure also allows appointed members to continue to serve after their terms expire until their successors are appointed and confirmed.
The senators also approved the appropriation of $2.3 million for construction of a long-term mental health facility next to the Eldra Schulterbrandt facility in the Tutu area on St. Thomas.
And they approved without dissenting debate a lease on St. Croix for Junie's BBQ Chicken.
Trouble on the line
At one point, Bryan asked why he couldn't get long distance on his office telephone. He said he only got a recording in Spanish. Other senators said they were having the same problem, but had thought they were dialing wrong. Wrong.
They learned that the government's bill from the service provider, Telefonica Larga Distancia de Puerto Rico, had not been paid. Richards pledged that payment would be made on Friday and that service would resume.
Zoning request approvals
Rezoning was approved for:
– The V.I. Housing Authority to develop home sites for low- and moderate-income housing.
– Willis Todman to allow wholesale trade warehouse uses in Estates Bovoni and Frenchman's Bay on St. Thomas.
– Development of a beauty supplies shop and barber shop on Kronprindsens Gade near Percy's Bus Stop on St. Thomas.
– Relocation of the Taste of Margarita's restaurant, owned by Emile Heywood, in Fredericksted.
– The George family to develop six single-family lots in Frenchman's Bay.
– Paul Horsford to subdivide his one-acre parcel in Estate Constitution Hill on St. Croix.
– Construction of a supermarket by Das Corp. in Estate Fredenhoj on St. Thomas.
– Tommie and Paula Broadnax to expand an inn in Estates Golden Grove and Orange Grove on St. Croix.
Zoning variances were approved for:
– The Baptist General Conference to build a school, conference center and bookstore in Estate Caldwell on St. Croix.
– Leo Sibilly, to allow retail trade, personal, professional, business and government services in Estate Elizabeth near Sib's Bar and Restaurant on St. Thomas.
– Estate Richmond to legalize a non-conforming use as a commercial warehouse on St. Croix.
– Marciano and Vilma Danois to operate a beauty shop in their home in La Grande Princesse on St. Croix.

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