One of the V.I. government's success stories appeared before the Senate Finance Committee Thursday morning, as Inspector General Steven van Beverhoudt touted his office's achievements on "meager resources" and asking for a "slight increase" in its Fiscal Year 2001 budget.
But in afternoon testimony, the V.I.'s public television station warned that its successes, and the station itself, will be a thing of the past without proper funding.
Van Beverhoudt faced friendly questioning from senators, who lauded his office's efforts to root out "malfeasance, inefficiency and corruption in government," in committee Chairman Lorraine Berry's words.
Appearing with Deputy Inspector General Susan Andrews, van Beverhoudt asked the committee to approve his budget request of $716,290, an increase of 7 percent over FY 2000, as part of a five-year plan to gradually expand the office in accordance with the original legislation creating the agency.
Van Beverhoudt said that "we have shown that in 1999, for every dollar spent on the operations of the VIIG's Office, the potential economic savings amounted to $127." He said his office had identified more than $300 million in outstanding accounts receivable.
In addition, he listed as achievements the nine audits that have led to criminal charges being filed against some former government employees.
Sen. Anne Golden agreed strongly on that point. "You have saved this government millions by your actions, your efficiency and your productivity," she said. "People need to know that you cannot steal from the government."
The IG's office, van Beverhoudt said, has also held discussions with the Office of Management and Budget to develop a follow-up system for audit recommendations, "using OMB as a hammer to force agencies to implement recommendations."
The inspector general acknowledged that his office has been delving into ticklish government practices, and said the future holds more of the same. "Our long-term plan is to look at personal services throughout the government, which accounts for some 70 to 80 percent of the government's budget, and examine closely the whole issue of classified and unclassified positions," he said, calling it "a monumental task."
Sen. Gregory Bennerson asked van Beverhoudt to provide the committee with a dollar figure to hire an attorney to aid the office in criminal and other legal matters, part of the inspector general's five-year expansion plan.
"We want to give you some more teeth to deal with this situation," Bennerson said. "If we don't, what we're doing is academic and fruitless."
Berry summed up the general tenor of committee members when she concluded the hearing, saying, "This committee will look very kindly on your budget request, to make government more efficient and effective and auditing questionable practices within government."
After a midday recess, the committee heard from Lori Elskoe, general manager of V.I. Public Television System, which operates WTJX-TV Channel 12. Elskoe said that "with the advent of the mandated digital television, and the new technological advancements that face us, the challenges are tremendous."
The digital transition, she said, is a federal mandate and not a choice and will require at least $4 million over the next three years to undertake, monies that are separate from the general operating budget.
"WTJX-TV Channel 12 has been here for you, and I reiterate that without the necessary funding for the digital conversion, we will not be here for anyone," she said.
Elskoe said the public TV system is requesting $2.9 million for capital projects, including $350,000 for a new 240-foot tower that will help to generate revenue through rentals. Berry expressed her commitment to providing at least enough money for the new tower, but no promises were forthcoming for the remainder of the budget request.
Also appearing at the Thursday afternoon session were representatives of the V.I. Council on the Arts. Executive Director John Jowers noted that the council's more than $200,000 annual grant from the National Endowment for the Arts requires a dollar-for-dollar match from the Virgin Islands, but said the territory had yet to pay its share.
Jowers cautioned that his organization was threatened with a cutoff in federal funding if matching funds are not provided by the V.I. government.
