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Financial issues highlight agenda at USVI cabinet meeting

Published on Friday, October 16, 2009Email To Friend    Print Version

ST THOMAS, USVI -- US Virgin Islands Governor John deJongh and Lt Governor Gregory Francis convened a meeting of the Cabinet this week at Government House on St Thomas to discuss various issues as the end of the Administration’s third year in office approaches.

Key items discussed included the status of the federal funding the territory has received from the American Recovery and Reinvestment Act of 2009 and the financial outlook for the government in fiscal year 2010.

USVI Governor John
deJongh, Jr. Photo:
Susan Mann
Office of Economic Opportunity Director Julito Francis spoke of recent submission of reports to the federal Recovery office at the end of last week.

“Using a comprehensive public/private approach, the Office of Economic Opportunity, in cooperation with the departments and agencies of the VI Government, continues to aggressively apply for ARRA monies available through formula and non-formula grants. In so doing, we pursue needed stimulus to uplift the Territory’s infrastructure, including increasing our broadband capabilities and implementing key projects that highlight key efforts of the Government of the Virgin Islands,” Francis said.

DeJongh encouraged the commissioners and agency heads to pursue more competitive funding under the ARRA program as the government continues to pursue as much of the federal stimulus as it available to the Territory.

“There is no doubt that Fiscal Year 2010 will be a challenging one, and it is more critical than ever that we continue to follow the guidance of President Barack Obama in applying for ARRA monies through the grants applications process to supplement funding for key Territorial projects and other expenditures," he sadi.

The governor also heard a presentation from Personnel Director Kenneth Hermon about the need to fill critical positions to fill the void of employees who have expressed their intent to retire from government service at the end of this year.

“In order to meet our 21st century needs, the Division of Personnel has implemented measures that assist the departments and agencies with their critical service needs. While the limited hiring freeze is still in effect, there are key positions that must still be filled. In order to fill these voids in a timely and efficient manner, the Division of Personnel is taking steps and making improvements to current processes so that we can ensure smoother operations overall. Toward that end, we are identifying critical gaps and streamlining agencies by enabling needed upgrades to key human resources operations, including ERP and NOPA management," Hermon said.

Hermon also provided an update on the transition from paper to an electronic filing of notices of personnel action or NOPAS. For years, the method by which NOPAS were processed has been criticized as inefficient. Hermon also updated the Cabinet on the effect of the hiring freeze on General Fund funded positions which has been in effect since May 2008.

“Overall, the Government of the Virgin Islands has hired 337 employees and separated 609 employees since the hiring freeze began. Hiring has been approved at various departments and agencies on an as-need basis only. While the limited hiring freeze affected general fund-funded positions only, it is clear that as a government we are operating more efficiently with fewer resources,” he said. 

Hermon noted that the hiring freeze did not apply to the departments of Education, Police, Justice, Human Services, Public Works or the Health Department. The Personnel Director also encouraged the cabinet members to review their hiring plans to determine the manner in which new employees will be hired to minimize any negative impact caused by end of the year retirement of employees across the government.

Office of Collective Bargaining Director Valdemar Hill provided an overview of the state of the government’s relationship with organized labor.

“I have reached out to every labor leader regarding their top issues and concerns and am in the process of developing a schedule that the agency will utilize moving forward. Our continued goal is to enable the negotiations process to highlight the complaints as forwarded to the departments and agencies of the VI Government in a fair, timely and responsive manner," Hill said.

Budget Director Debra Gottlieb and Finance Commissioner Angel Dawson, Jr provided an update on the Fiscal Year 2010 financial overview now that the Legislature and Governor have taken act and passed a budget for the government.

“With the recent Senate-passed measure, Act 7103 providing $854.8 million to the Administration for Fiscal Year 2010, departments and agencies will be increasingly challenged this fiscal year. This amount is $6.4 million less than the amount originally submitted and will require that departments and agencies identify funding gaps and continue to maintain a razor-sharp focus on spending levels and anticipated expenditures,” Gottlieb said.

Finance Commissioner Dawson commented on the precarious cash flow of the Government noting, “With revenue collection down, our comprehensive discussion of ARRA and stimulus funding becomes all the more important. The lump sum budgets that have been approved for the departments and agencies are an invitation to vigilantly manage these funds and support those amounts through stimulus grants wherever possible."

In other discussions, the governor set a December 31 deadline for all agency heads and commissioners to comply with existing law that prohibits automated telephone attendants from being the first point of contact with the public to incoming telephone calls. DeJongh said for too long the public has complained about telephone calls being answered by automated services as the first point of contact and it is time for all agencies to come into compliance with the law.
 
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