Responding to Sen. Adlah "Foncie" Donastorg’s early June request to investigate the use of depleted uranium weapons on Vieques by the U.S. Marines, the director of the Nuclear Regulatory Agency said there was no immediate safety concern for people on the island or the surrounding environment.
According to NRC Director Shirley Ann Jackson, because depleted uranium is comparable to naturally occurring uranium, the contamination doesn’t pose a threat.
"Because the radioactivity is relatively low, occasional direct exposure to DU does not pose a significant radiological hazard," Jackson said. "The NRC staff believes that the public health is not endangered by the DU remaining on the firing range…"
She did add, however, that the NRC will conduct an independent inspection of the Navy’s ongoing efforts to recover ammunition containing depleted uranium. The Navy is scheduled to complete its own report in September, and following the NRC’s review, she said her agency will provide Donastorg with both sets of results.
Donastorg, chairman of the Senate’s Committee on Planning and Environmental Protection, asked the NRC to investigate the March 19 incident where two Marine aircraft fired 263 rounds of depleted uranium ammunition at the island firing range just off the coast of Puerto Rico. St. Croix is less than 40 miles from Vieques and is home to many people who have relatives on the island of 9,000 people.
In his letter to Jackson, Donastorg not only expressed concern for the residents of Vieques, but he said he was worried that the depleted uranium could contaminate the area’s fishery, thus affecting the Virgin Islands.
Jackson’s response, dated June 29, said that depleted uranium ammunition is to be used only during combat or approved tests and not for training. She said that in March, the Navy removed 57 expended rounds of the ammunition and an undetermined amount of contaminated soil.
Jackson said that the Navy plans to resume recovery efforts in August, or sooner, depending on whether or not Puerto Rican protesters occupying the firing range leave.
"Although the investigation is ongoing, the Navy has taken several corrective actions to prevent reoccurrence and has planned additional action," Jackson wrote. "The NRC has been evaluating the safety and environmental significance of the event and is continuing to review the effectiveness of corrective actions."
The depleted uranium issue isn’t the only problem the U.S. military is having on Vieques. There is a growing chorus in Puerto Rico for the ouster of the Navy, which has used the island as a firing range since 1941. In April a Puerto Rican security guard at the range was killed by an errant bomb.
Following the two incidents, and at the behest of Puerto Rico’s governor, Pedro Rossello, President Bill Clinton ordered a study by the Navy to assess the need for Vieques. The report is scheduled to be finished in August.

Ten of the cabinet members responsible for instituting Gov. Charles Turnbull's 15 percent budget cut over the next few weeks were sworn into office Tuesday at a ceremony at Government House.
"If there was ever a time that the Virgin Islands needed good leaders it is now," Senate Vice President Judy Gomez said. "I commend you for rising to this enormous challenge because in times like these many cringe from the seat of leadership because they're intimidated by the complexity of the hour and the seriousness of the moment."
The cabinet members will be the main policy makers in revamping the government, Turnbull said.
"We rejoice in the individuals we have called to service during these difficult and challenging years in our history," Turnbull said. "We must act as instruments of the mandate to rethink and refocus government in the most efficient and effective ways. I believe we can achieve a better balance of government and the private sector if we find innovative ways so to make government less costly."
The following commissioners took their oath of office: Wilbur Callender, Health; Sedonie Halbert, Human Services; Ira Hobson, Housing Parks and Recreation; Andrew Rutnik, Licensing and Consumer Affairs; Ruby Simmonds, Education; and Bernice Turnbull, Finance.
Also sworn in were Attorney General Iver Stridiron, Office of Management and Budget Director Ira Mills, Bureau of Internal Revenue Director Claudette Farrington, and Office of Collective Bargaining Chief Negotiator Karen Andrews.
The new cabinet members were pleased to shed the acting and designee titles that have accompanied their names for the last several months.
"Although the title acting has been appended to our name, we have not been acting. We have been working and performing for the last five to six months," Simmonds said.
Lt. Gov. Gerard Luz James II said the administration had chosen the "most competent, committed and skilled individuals."
"I challenge all of you who are in positions of responsibility to think of new ways to deliver service to the people at a lower cost," James said. "In every program under your division you should ask 'Does it work the way it's supposed to? Does it provide quality service at the least expense? Does it encourage innovation and reward hard work?' If the answer to these questions is no . . . we should change it or either get rid of it."
Many of the cabinet members spoke of the territory's fiscal problems.
"My part as director of OMB is not going to be easy so please don't expect every answer to be a yes and remember if the answer is a no, it's for your good, it's for my good, as well as the community's good," Mills said. "We've all contributed to the problems we have today, whether we did it actively or did it passively . . . and so I would like to call on all of us to contribute again to making this Virgin Islands the best Virgin Islands."
Many talked confidently of overcoming the financial crisis.
"This Virgin Islands is going to be the most prosperous islands of the Caribbean," Bernice Turnbull said. "I know this government is going to turn around, we just ask you to be patient. As the old people say, 'Let us all suck the salt together, for we are going to be sucking sugar in a little while.'"
Halbert and Simmonds, however, both said there are more dire problems facing the territory than its sagging finances.
"The greatest challenge facing us is the pervasive erosion of the family structure and the increasing disregard for moral values," Halbert said. "Even if we revive financially, we have absolutely no future unless we can sit down and make a plan for the recovery of our family and our children."
The success of the territory also hinges on motivating its students, Simmonds said.
"We believe that one of the problems we face is that our children have lost their way because they don't feel good about themselves," she said. "We have to fix their hearts and their heads before we fix anything else in the community."
Rutnik said the government needs a cabinet of compassionate and firm leaders.
"We need leaders who will know when it's somebody's birthday, but we also need leaders who will make sure people punch their time cards on time," he said. "I know we hear about cuts, about saving money, but we have to learn how to make money, how to collect revenues."
Senate President Vargrave Richards told the cabinet members not to be swayed by their own critics.
"We're in troubled times and we have to bite the bullet and oftentimes when you have to make those hard, cold decisions, you become a subject of discourse in our community . . . but you have to stand firm. I think in the past we've some leaders that backed off," Richards said
"We don't need any control board from any place else . . . Our control board is in place under the grander vision and I believe this grander vision is going to bail us out," he said.
Turning political, Turnbull defended his administration against its emerging critics.
"This administration is not concerned so much about what today's headlines might say and even tomorrow's. We are more concerned with what history will say 20 and 30 years from now, " Turnbull said. "We would like the books to say that this was the administration that stopped the bleeding, this was the administration that made it easier for other administrations to succeed.
"We are not for the moment, this historian governor is not for the moment, we are for the ages," Turnbull said.
Gomez told the new cabinet members their actions over the next few years will affect future generations.
"Consider that the children are watching, they are watching your words and deeds, they are watching how well you are maintaining and managing their inheritance, which is now entrusted to you," Gomez said. "For the sake of the children of the Virgin Islands put the egotistical, petty, political gesturing aside, put away self interest, and form a positive agenda that will empower our children and us."
(f)

A comprehensive recovery plan is needed to fix the VI's problems. The piecemeal approach, which has been taken to date, will not be accepted. We all have to share in the burden and we have to see the whole package. Floating one aspect at a time is a certain recipe for failure as each piece alone cannot withstand public criticism.
An Answer: A VI Economic Recovery Action Plan
Goal: To eliminate the operating deficit and accumulated deficit of the VI Government by reducing government spending by 15% and holding at such levels and by growing revenues by 10% annually.
Goal: To enhance the Virgin Islands for Virgin Islanders such that others will want to visit. (Meet the needs of the local population and everything else will fall in place i.e. create parks for locals and tourist too will enjoy them.)
Assumptions:
a. "Profit" and the "Private Sector" are not bad words. Virgin Islanders should be actively encouraged to get into business as a first alternative, not a second alternative when they cannot get a government job. The private sector is the key to economic growth, not the public sectors and Virgin Islanders have to participate in its success.
b. The government of the VI is too large.
c. We live on islands; our solutions need to be tailored to our unique characteristics and we have to acknowledge there are limitations and advantages given our geological make-up
d. We cannot absorb all the graduates in the private sector and the government. We therefore have to prepare our youth for a life in the world outside their neighborhoods.
e. The poor quality of our education system is the root cause of our problems. Creating a viable education system has to be priority number one and it is not a function of money; it is a function of management.
f. We are in a global society, our competitors are not next door but around the world. What happens around the world affects us directly and/or indirectly.
g. We have to live with less from government.
h. We have an expense problem not a revenue problem.
i. There is no one fix, but a lengthy list of adjustments in the way we operate.
Strategy:
Tourism is the engine of these islands. We must invest in the tourist industry to allow the remainder of the economy and society to improve. Tourism should have five sectors:
1. History/Culture: The Government historic sites should be renovated and marketed by a private sector/Gov't joint venture group(s). Private historic properties need to be renovated with the assistance of tax incentives and subsidized financing. A historic redevelopment revolving fund should be created to renovate house by house by house. The downtown areas need to be re-paved in brick and cobble stone, utility lines buried and historic lighting installed. Specific sights i.e. forts, churches, and government offices, should be marketed as historic tour items to generate revenue.
2. Marine: Water activities and facilities need to be developed and promoted. Dive sights created, moorings operated efficiently, marinas renovated and built, sewage facilities made functional, water taxis promoted, etc.
3. Beautification: Anti-Litter laws enforced, garbage bins placed and operated efficiently, trees and plants planted, painting of private and public facilities in Caribbean colors encouraged, roadsides kept clean etc.
4. Shopping: Encourage a diversity of retail businesses to locate in the VI, provide tax incentives to insure low prices, discourage landlord gouging, and promote excellent service
5. Attractions/Activities. Encourage development of "things to do" beyond the beaches and shopping, such as the historic items, the Coral World type attractions, Carifest, Atlantis, etc.
Tourism Policy and initiatives should be evaluated within the context of those five areas. Marketing of our product should cater to overnight guests from the US, Europe and South America. Advertising dollars need to be spent on advertising, not special projects. Tourism development should encourage quality rather than quantity. St. Thomas needs to enhance its tourism product more so than enlarge it. St. Croix needs to grow it as well as enhance it. St. John needs to preserve its beauty.
Immediate Programs:
1. Governor and Lieutenant Governor reduce salaries by 10%
2. Senators reduce salary by 10%
3. Paid holidays reduced by 10. If they are so important, celebrate them on weekends
4. Terminate 15% of the government workforce over the next 12 months, to achieve approximately $70 million savings annually. Unclassified political employees should be the first to be terminated; yet, lay-offs can not be merely across the board. Individual talent needs to be considered and specific duties evaluated. The government needs to retain talent. Before termination, they can be retrained for the private sector. During the training program, they will be paid so long as they dedicate themselves to the training, if not they will be terminated immediately without further transition time. Such a program would upgrade the work force talent pool as well as provide an orderly transition process. Some may opt to relocate to other islands, the US mainland or elsewhere. If properly carried out this will not be a step-backwards for employees, but rather a step forward.
5. Remaining government employees must also be retrained in proper work skills.
6. The remaining work force would be placed on current fiscal year salary levels and frozen for four years.
7. The Federal Government should be approached to fund the retraining program. Alternative financing options can be developed.
8. Renegotiate the retroactive-pay packages. In exchange for a current salary and job one would get 75% of the amount owed over a three-year period.
9. Our government retirement system is one of the best in the country; we cannot afford it. The system has to be restructured. Many solutions are available to be instituted over time. Early retirement programs are going to devastate the system. We are living longer not shorter. The trend is toward later retirement, not earlier. Benefits and contributions have to be cut. Alternative: defined-contribution systems should be made available instead of the present defined-benefit system.
10. The whole tax system has to be restructured and the IRB overhauled. Taxation needs to be simplified and—most important—enforced.
11. Eliminate the excise tax and customs duties. Both taxes net very little money, approsimately $20 million annually, relative to the cost of collection. The reduced cost to businesses will increase profit and help stimulate the private sector allowing them to hire more people, and increase profits that will show up in increased income taxes. The elimination of excise and customs taxes would also make us more competitive relative to our global competition. All residents will benefit from the reduced cost. The reduced cost will not just be the tax itself but the cost associated with paying and tracking the taxes on both sides, private sector and government. Income tax revenue will be positively impacted by such a move, thus mitigating the revenue loss. By reducing the above taxes, we will lower the cost of goods, thus reducing the incentive for people to buy off-island. With more purchases made on island, government revenue will increase.
12. Increase the gasoline tax from 14 cents to 50 cents per gallon collected at the source, Hess, Texaco, Esso. This will be easy to collect, provide instant cash flow and be passed along to residents in small increments and everyone, from drug dealers to taxis to business owners, will pay. In addition, this will encourage car pooling and other transportation efficiencies. Presently 42 million gallons are sold annually plus an additional 50 million gallons in diesel. Taxing all gas sales and 25% of the diesel sales (non-marine sales) would generate approximately $20 million.
13. The gross receipts tax should be reduced from 4% to 2.5%. This will reduce collections by $32 million. (Macro economic effect of excise tax redu
ction, gross receipts reduction and cash infusion of vendor payments, tax refunds and wages will stimulate economy and thus tax receipts)
14. Impose import tax of 2.l5% on items brought into the islands (by mail, boat, and plane) by non-businesses to level the playing field for business relative to the gross receipt tax. The government would then be collecting a 2.5% tax on all sales transactions in the territory.
15. Impose a communication access tax on cable, phone, internet and satellite lines
16. Institute the cruise ship $2.50 head tax and direct the revenue to the tourism advertising fund. Cruise ships should also be enticed into investing in the infrastructure of the islands.
17. Renegotiate vendor payments. In exchange for payment within the next 120 days, amounts would be reduced 20%.
18. Given the implementation of the above, FEMA should then be requested to waive our debt.
19. A capital infusion will be needed to stimulate the economy. Financing can be obtained to meet the vendor and retro-pay obligations and tax refunds if the above cost savings are implemented. Once you pay these obligations, the infusion of cash will be a great economic stimulus to further multiply the recovery effort. The infusion should be over three years.
20. Streamline government operations and privatize services such as the dumps, garbage collection, the prisons, printing, parking, transportation, healthcare, utilities, collections, roads, social services etc.
21. Establish open, above board bidding process to obtain vendors. Preferential status should be given unionized bidders and those companies offering ownership to employees. This will create long-term economic opportunity for Virgin Islanders. Such would be one of the means by which government can reduce payroll cost.
22. Use frequent flier miles to pay for government travel.
23. Maximize the use of government properties for operations, thereby reducing rent expense.
Initiatives to stimulate the economy:
1. Education, Education, Education. Raise standards do not lower them, improve administration system.
2. Restructure IDC benefits to encourage new business. Require IDC beneficiaries to buy local and to invest locally. Enforce agreements. Limit right to transfer benefits.
3. Establish Homeporting in St. Croix
4. Finalize a BVI water usage agreement
5. Develop an aquafarming industry
6. Develop a historic renovation program, renovate our three principal towns
7. Create an independent tourism company
8. Develop marine assets
9. Create a retirement industry with a first rate healthcare system and tax incentives to encourage retirees to move to the VI.
10. Develop a communications hub and increase competition in telecommunication industry
11. Renovate our waterfronts to enhance the beauty and attractiveness of our islands
12. Expand the airline industry
13. Transform the Port Authority into an economic development entity
14. Encourage the development of the financial service industry
Public Relations Campaign:
1. Promote the private sector; encourage people to open businesses and to become business owners, not just employees.
2. Promote-Pride in the islands
3. Promote-Smile, it does not hurt
4. Promote-Hire local
5. Promote-Plant a tree
In Summary:
Borrowing more money without eliminating the operating and structural deficit is not solving the problem. It is merely making the problem bigger. Expenses have to be cut and a new perspective of the private sector is needed to improve the quality of our lives. Yes, the private sector has to meet the challenge and improve benefits to employees but, more so, we have to encourage Virgin Islanders to become entrepreneurs and owners of business. Maintaining the image that government is the almighty solution to all problems as well as the key to prosperity, is wrong, antiquated and contrary to reality.
There are many more good programs to be implemented and many of the above items can be modified, yet a plan needs to be implemented yesterday. If the above is implemented, the operating deficit will be eliminated in one year and the accumulated deficit in eight years.
More importantly, prospects for a brighter future will replace the present path of destruction we are on.
While the VI burns, the US is experiencing unprecedented economic prosperity. If we do not solve our problems now, economic prosperity for these islands will be a thing of the past. We are in crisis; we must act now.
Editors' note: Michael Bornn is an investment advisor and a principal of Seslia Securities, an investment brokerage with offices in the Virgin Islands and Philadelphia.

In communicating with the St. Croix Environmental Association and reading the articles by Ken Jones in the St. Croix Source's Home and Garden section, there is a misunderstanding as to the definition of native trees on St. Croix.
My father helped set up a tree farm for the federal government in 1954 at Estate Thomas. He subsequently bought additional acreage and started a tree farming operation of his own at neighboring Estate Bellevue in 1956. The objective was to produce mahogany for soil conservation.
Caribbean Mahogany (Swietenia Mahogani Jacquensis) is a very special tree species which is rare as fully mature trees in every part of its range. It is considered to be one of the finest lumber species and revered by woodworkers. This is why such woodworkers as Queen Elizabeth's nephew David Lord Linley have signed on as advisors to the Caribbean Mahogany Project at Estate Thomas and Bellevue. It is no longer regarded as available for commercial use, however, and certainly not as dimensional 2x4s.
The fact that it is so wide spread here, as small trees can lead to it's being taken for granted. The winged nature of mahogany seeds and ability to grow under adverse conditions make it ideal for soil conservation. Most reforestation is done by driving to the target area with seedlings and planting by digging a hole. This is not always feasible and there are planting systems which use devices to drop seeds or seedlings in areas that are not so easily reached. Being winged, mahogany seeds need no devices and can be dropped from a plane as was done on St. Croix in the 1950s.
Haiti is currently facing a crisis as a result the use of charcoal as a primary fuel. Conditions over much of the country are close to lunar. The percentage of the country which remains in its original varied state is down to about 2 to 4 percent and much of this is in parks in the most remote areas of a mostly roadless country.
There are plans to create buffer areas surrounding these parks which will be seeded with trees that will be under a lesser level of protection. Charcoal burners using donkeys have created the current conditions and threaten the national parks. The charcoal burners will be discouraged from the buffers but will likely cut there instead of in the parks.
http://www.psu.edu/faculty/hedges/pub56.html
Caribbean Mahogany was apparently introduced in the 1600s from Haiti by the French. The list that has been put together by Ken Jones creates an erroneous and artificial distinction between trees introduced by the Arawaks and Caribs on one hand and the Europeans on the other. This is an artificial distinction when dealing with species found no further than a few days canoe ride away.
Of those trees described as native, many are from either South America or Central America rather than being truly indigenous. There seems to be a connection with utilization of certain species by the Indians as food sources and introduction by those who settled St Croix before the colonial Europeans. If a species could be eaten it was used as a trade good and made its way by longboat across the Caribbean. Pineapples originally from Guatemala are an example.
Mahogany appears to have been introduced but to have been present as close as Puerto Rico. The particular problem is that it is being classed as an exotic species by Jones as though like Flamboyant it had come from Madagascar.
I hope that we don't continue to deify the Indians for being first. If the Indians on St Croix had gone north to south rather than south to north or had mahogany been edible and in trade, it would have been here before Columbus.

Sen. Gregory A. Bennerson has announced a Government Operations hearing for Friday, July 23, 1999. This hearing will address the present power and water situations that have affected the island of St. Croix.
Bennerson will also request the status of the territory’s Y2K readiness, along with other immediate concerns facing the authority.
The hearing will be held in the Legislature conference room in Frederiksted and will start promptly at 6 p.m.

The lights are repaired at Canegata Ballpark and three games were played Monday night after a week break in the Bob Owens Slowpitch Softball Summer League.
Most High broke a 3-3 tie in the top of the third inning to go on to crush Xtreme Danger Too 22-5. Gregory Francis got Most High's first win of the season. Roman Cruz suffered the loss as Xtreme Danger Too is still looking for its first win.
Most High got a home run apiece from Eddie Ogarro and Brian Hodge. Carlos Aloyo had a homer for Xtreme Danger Too. All three drove in 3 runs a piece.
In the second game, Stealers, down one after 2 innings to 40 Caliber, scored three in the top of the third to go on to win easily 15-6. Jerry Vialet was the winning pitcher. Tony Perez got the loss. Ruben Molloy blasted two home runs and Valentine Bridgewater had one in the win. Luis Cintron and Franklyn Schuster each had dingers for 40 Caliber.
In the final game of the night, Champagnes scored six runs in the top of the seventh to come from behind, defeating Anchor Dive 21-17. Allan Woods got Champagnes' third straight win with no losses. Steve Nisky suffered Anchor Dive's second straight loss.
Jose Berrios blasted two home runs. Julian Tema and Jeff Elvins each had a homer for Champagnes. It was Elvins' first homer of the league. Joe Merchant and Danny Rodriguez each homered in the loss.
Rodriguez homer was at his first at bat. After that he was intentionally walked for his remaining at bat.
This Wednesday starts with a battle of the undefeated. At 6:15 p.m. the Stealers (4-0) host Champagnes (3-0). At 7:30 p.m. it's 40 Caliber (2-2) vs Most High (1-3). At 8:45 p.m. Guidance (1-1) vs Xtreme Danger Too (0-4) at the Canegata softball field.

This weekend at Sugar Bay, the VI Marine Advisory Service (VIMAS), a part of the University of the Virgin Island’s Eastern Caribbean Center, will be assisting the St. Croix Environmental Association (SEA) and numerous volunteers in the restoration of the mangrove forest at Sugar Bay, within Salt River bay.
July 24 and 25 will be the first of two planting weekends this year. SEA plans to plant 18,000 red mangroves and 3,000 black mangroves in Sugar Bay, a sub-watershed of the Salt River watershed, over the next three years.
Salt River Bay is a Category 1 watershed consisting of 3,510 acres, making it the second largest watershed on St. Croix. Salt River Bay is recognized as highly significant by both the territorial and federal governments. Established as Salt River Bay National Historical Park and Ecological Preserve in 1992, the area is also a territorial marine reserve and wildlife sanctuary.
The old growth mangrove forest within Sugar Bay was almost completely wiped out by Hurricane Hugo in 1989. When the mangroves were destroyed, valuable habitat, storm buffers and mitigators of general pollution were also lost.
By planting the new mangroves, SEA will begin the process of restoring this vital ecosystem, thereby protecting one of the most important watersheds on St. Croix.
This process will bring together SEA, VIMAS, St. Croix Alumina, Ferdi’s Forest and M.P. Walker and Associates as project partners in the management of this watershed. This project will also benefit students from nearly every elementary and middle school on St. Croix, who will learn about mangroves and their important role in controlling pollution.
Those interested in learning about the restoration project should call Paige
Rothenberger of VIMAS at (340) 779-3141, or Carol Burke of SEA at (340) 773-1989.
This project is being funded by the VI Government’s Department of Planning and Natural Resources and the Royal Caribbean Ocean Fund.
(f)

The Tim Fish Man Duncan Fan Forum is an online meeting place for fans of St. Croix's NBA champ.
With the message board, fans can view discussion folders quickly in the left-hand column and read up to 20 messages at a time. Fans can even attach files (such as pictures and programs) directly to messages — just like e-mail. It's fast, easy, and efficient.
The Forum "host" controls the specific features of the Forum. The other options include real-time chat, announcements, and custom web pages. The host has chosen to make this Forum public so anyone on Delphi can participate.
The best way into the Forum is at the following URL: http://www.delphi.com/tim_fish_duncan
There are thousands of Forums on Delphi. Users can choose the personalized "My Delphi" feature at http://my.delphi.com to keep track of new messages in this Forum and any others.
In order to provide personalized services and access control, users will need to go through a quick registration. It only takes a minute and it's free.
Let's get the conversation started.
An additional purpose of the site is the unofficial promotion of the redevelopment of the St. Dunstans Educational Campus.

Instead of bickering over how much St. Croix and St. Thomas are receiving in Community Development Block Grants for next year, senators instead turned their sights Monday night on local government agencies that still haven't spent past grants.
According to Lawrence Joshua, director of the U.S. Department of Housing and Urban Development's CDBG program, which is administered locally by the Department of Planning and Natural Resources, since 1990 some $20 million has been granted to government and non-governmental agencies. Of that, approximately $4.2 million is unspent.
It was the unspent balance that angered most of the senators present at a Committee of the Whole meeting Monday in Frederiksted as they reviewed fiscal year 1999 CDBG applicants approved by Gov. Charles Turnbull.
Senators pointed out that of the $4.2 million balance, most of that federal money is left in the coffers of local government agencies. They asked Joshua why the "free" money wasn't being used in a time of financial problems.
"I've seen government agencies come in and get (grants)," said Sen. Gregory Bennerson, "and private agencies break their necks."
Joshua agreed, saying that 50 percent of the balance is held by the government.
"Once government agencies get their funds, they tend to sit on them," he said, adding that private organizations will use their money quickly, unlike government agencies.
"If we had the ability to spend these monies willy-nilly," said Sen. Roosevelt David, "this block grant would be in the negative."
One reason for the balance is that in some cases, contracts that once took five days to process now can take six months. Joshua said the problem, which existed prior to the Turnbull administration, is that a contract must be reviewed by the Department of Justice, Property and Procurement and the Finance Department before it can be approved.
Joshua said an action plan should be devised so the process can be accelerated.
"In a month and a half, you'll have a plan of action and by the end of the year the money will be substantially reduced," he told senators.
Meanwhile, 104 proposals worth $16.5 million have been reduced to match this year's $2.19 million community block grant, which funds community organizations, programs for the disabled, and youth services.
The split in Turnbull's proposal is about $837,600 for St. Thomas, $877,610 for St. Croix and $40,000 for St. John.
The candidates on St. Croix are:
Public service projects include $25,000 to the V.I. Resource Center for the Disabled's after-school program at Ricardo Richards Elementary, $22,710 and $25,000 to house recovering male substance abusers in Estate Diamond Ruby and Herman Hill House, $50,000 for Camp Arawak's job-training program, and $21,840 to Little Buddies Development Center's summer camp.
Other projects include $25,000 to upgrade the Horace Clark ballpark, $20,000 to upgrade the D.C. Canegata ballpark, $10,000 each to upgrade the Estate Princess, Estate Glynn and Renholt Jackson ballparks, $133,160 to repair and renovate the Estate Whim Great House, $30,000 to install sewer lines at the Police Pavilion, $50,000 to construct a police community service building, $8,000 to renovate the Estate Whim recreation area, $2,655 to build an outdoor shower facility for the homeless, $25,000 to install historic marker signs, $60,000 to restore a baseball field in Estate Castle Coakley, and $120,000 to rehabilitate #22-23 Market St., and $125,135 in grants and low-interest loans to rehabilitate homes in Frederiksted.
Three projects for the Women's Coalition of St. Croix include $2,100 to renovate a thrift shop, $80,000 to buy and repair #7 East St., and $22,000 to expand #39 Queen St. to provide an office and a private counseling room for abuse victims.
Hearings for the St. Thomas and St. John applications will be held before the request is sent to HUD.
(f)

The Virgin Islands' $50 million share of a national tobacco settlement has, in a sense, already been spent. A bill passed last year by the 22nd Legislature, and signed by former Gov. Roy Schneider, splits the territory's proceeds between government employees' retroactive wages and health care.
This, and further terms of the $206 billion settlement reached last year between a coalition of U.S. attorneys general and the tobacco industry, was the subject of a speech given Monday by Assistant Attorney General Alva Swan before the League of Women Voters of the Virgin Islands.
"As matters now stand, the Virgin Islands recovery from tobacco litigation . . . excluding the interest, will be $49,510,102.11," Swan said. "But with interest over the intervening years, the territory will receive far in excess of $50 million."
The $206 million will be paid out to the states and territories over 25 years. Thus, beginning in April 2000, the Virgin Islands' will receive a total of $34 million over 25 years. The territory will receive an additional $15 million over 10 years from a secondary agreement of the settlement.
Overall, the territory should receive about $2.8 million a year.
"The question I am going to anticipate is whether we can shorten the time from 25 years to five years, where that $50 million can have a greater impact. The answer is still no, it can't be done," Swan said. "The payment structure may be a blessing in disguise in that we will not be able to spend all $50 million at one time, as we would if the funds were available to us in a lump sum payment."
Act 6220, however, severely limits what current and future administrations can use the tobacco money for. Under Act 6220, passed by the V.I. Legislature in 1998, 50 percent of the money from any tobacco settlement must be deposited into the Union Arbitration Award and Government Employees Increment Fund — the source used to pay employees' salary increases and retroactive wages.
The other 50 percent goes into the Health Care Revolving Fund.
"And that folks, will exhaust the entire settlement proceeds, and exhaust it to the exclusion of any other worthy cause or program, health care or otherwise," Swan said. "My suggestion is to encourage you to lobby your senators to amend the act to make the distribution of the tobacco settlement fund more equitable.
"By so doing the Legislature may be convinced that there are other pressing issues of concern to all of us. So much so that the act can be amended to pay for health care costs and for programs that will discourage youth smoking. That is the entire basis of the settlement," he said.
Depositing funds into the Health Care Revolving Fund does not guarantee money will be used for health care, Swan said.
"I am aware that many residents would prefer that a portion of the tobacco settlement be earmarked for improving long term health care. On a personal note, so would I and so would Gov. Turnbull," Swan said. "A further problem with the provision of the Act is that, at various times, the Health Care Revolving fund has been used for salaries.
"The prospect therefore is that the entire proceeds from the Virgin Islands' share of the tobacco fund, all $50 million, could conceivably used to pay retroactive wages, as well as current wages, over the 25 year-life of the settlement."
Swan said Attorney General Stridiron is also interested in putting some of the proceeds into a "Rainy Day Fund," that would assist residents in recovering from natural disasters such as hurricanes. The fund was created in the late 80s, but money has never been deposited into it, Swan said.
After the meeting, LWV President Erva Denham said that, while the organization has not formed an official position on the settlement, it supports using the funds to pay for health care costs.
The LWV will most likely begin lobbying senators to amend Act 6220, she said.
"We still need one of two pieces of information. We still need to know if there are any strings attached to the funds," she said.
The territory is receiving a smaller share not only because it has a smaller population but also because it has a lower percentage of smokers than most states, Swan said.
"The average percentage of smokers in the Virgin Islands is 9 percent. The national average is 22 percent of the population," he said. "Much of the recovery was geared to the number of percentage of smokers in the population."
Several states and territories sued the tobacco industry over the cost of treating smokers and nonsmokers for smoking related illnesses.
Under the settlement, the tobacco industry must also fund, at $25 million per year for ten years, a foundation to study and develop programs to reduce youth smoking.
The settlement also restricted the tobacco industry's ability to advertise; they can no longer use billboards, sponsor sporting events, or target teens with promotions such as the now infamous and discontinued Joe Camel.
The territory is not responsible for any more litigation costs, Swan said.