74.9 F
Charlotte Amalie
Wednesday, February 1, 2023
HomeNewsArchivesGovernor Says No to Raises, Cites EDC Problems

Governor Says No to Raises, Cites EDC Problems

Nov. 16, 2004 – Gov. Charles W. Turnbull announced that he approved six budget bills passed by the 25th Legislature but vetoed two sections.
In a letter to Sen. President David Jones, Turnbull wrote, "Mr. President, while I wholeheartedly support the negotiated salary increases for unionized government employees, I cannot in good conscience approve this item at this time knowing full well that the money is not there."
He added that when the bill was passed, "Our Economic Development Commission program was not threatened, as it is now, with the impact of the tax law changes enacted as part of the American Jobs Creation Act of 2004. The new tax law has the potential to cause substantial damage to the EDC program and result in significant revenue losses which could threaten the fiscal stability of the government. While we do not yet know the total impact on our economy, our preliminary estimates suggest that our economy could possibly lose between 350 to 600 jobs and $42 to $63 million in tax revenue in fiscal year 2005. "
Turnbull also wrote that he was vetoing the section concerning the Legislature's budget. He wrote, "During this period of limited revenues, I could not bring myself to approve an increase in the Legislature's budget. This is particularly true in light of the fact that the executive budget that serves the vast majority of the residents of the Virgin Islands has been cut by the Legislature."
These six budget bills comprise the General Fund budget for the government of the Virgin Islands for 2005. The bills provide funding for all executive branch departments including Education, Health, Police, Human Services, Public Works, as well as for the University of the Virgin Islands, the Legislature, the Territorial Court, Territorial Public Defender's Office and WTJX Public Television system.
Back Talk

Share your reaction to this news with other Source readers. Please include headline, your name and city and state/country or island where you reside.

Print Friendly, PDF & Email
Keeping our community informed is our top priority.
If you have a news tip to share, please call or text us at 340-228-8784.

Support local + independent journalism in the U.S. Virgin Islands

Unlike many news organizations, we haven't put up a paywall – we want to keep our journalism as accessible as we can. Our independent journalism costs time, money and hard work to keep you informed, but we do it because we believe that it matters. We know that informed communities are empowered ones. If you appreciate our reporting and want to help make our future more secure, please consider donating.