Jan. 22, 2007 — "Management. Communication. Accountability. Leadership. These are the problems that we must face, that we must address and that we must overcome together," said Gov. John deJongh Jr. in his first State of the Territory address, delivered Monday evening to an enthusiastic, cheering audience on St. Thomas.
The governor also made some surprise announcements during his speech, appointing Vincent Frazer the territory's new attorney general, Jessica Gallivan the next chief negotiator for the Office of Collective Bargaining and Albert Bryan Jr. head of the Department of Labor.
The new governor's words frequently aroused the crowd, packed tightly into the Earle B. Ottley Legislative Chambers. DeJongh used clear, concise language to describe the needs of the territory.
"Across departments, and across agencies, we need to get back to basics," he said. "We must focus on fundamental tasks. And we must pay attention to our customers."
The territory's financial position remains "precarious," with government expenditures commonly exceeding General Fund revenues, deJongh said. "Our budget is structurally in deficit … and year after year, the deficit exceeds $50 million," he explained. "And our debt per capita is now more than twice that of any state, and 30 percent more than Puerto Rico."
Millions of dollars in retroactive wages owed to government employees also adds to the government's financial burden, deJongh said. The government's bonded indebtedness, which increases whenever new bonds are issued by entities such as the Public Finance Authority, places an additional "weight and shackle on our children and grandchildren."
Consequently, deJongh said, he cannot support the issuance of another $600 million in pension-obligation bonds, which would have been used to pay down a portion of the unfunded liability currently plaguing the Government Employees' Retirement System. Late last month the legislature passed a bill calling for the issuance of the bonds, and former Gov. Charles W. Turnbull signed it into law.
DeJongh said he would not spend too much time "pointing fingers" or laying blame for the government's previous failures, but would work hand in hand with local and federal officials, as well as the entire community, to correct some languishing societal ills.
Community members must also share the responsibility of building a stronger territory, he said, offering a list of issues, including the need for departments and agencies to provide proper training and workforce development; the need for health care professionals to promote preventative, prenatal and early-childhood care; and the need for residents to become more energy conscious.
In addressing the territory's energy crisis, deJongh said he would soon send legislation that would sever the local Energy Office from the Department of Planning and Natural Resources and place it under the auspices of the governor's office. The move would allow the administration to focus better on energy-related efforts, he said.
DeJongh also underscored the need for better employee training by making an example of the new Enterprise Resource Planning System (ERP), a government-wide network designed to replace the former Financial Management System.
"New thinking and new communication was not encouraged," deJongh told the crowd. "The government failed to invest in employee training and to encourage employees to offer ideas to improve the implementation process. One predictable and totally unacceptable result of this has been the delay in the timely payment of vendors who have provided goods and services to the government."
On the administrative side, deJongh said he would stand up "against the growing federal takeover of our government." In particular, deJongh addressed the U.S. Treasury Department's regulation of the local Economic Development Commission's tax-benefits program, which he said is "impairing our ability to stimulate economic development through tax relief."
"We must turn back the rising tide of inappropriate federal interest in our affairs," he said. "This is a matter of territorial self-interest, home rule and pride."
DeJongh repeatedly returned to the theme of the territory looking after itself — in particular, making sure that federal grant money awarded to V.I. departments, agencies and organizations gets spent in a timely manner and in accordance with national guidelines.
While understated, deJongh's speech also contained a few surprises, touching on some hot-button issues such as the nomination of individuals to various government boards and commissions. Specifically, deJongh said he would soon send down new nominees for both the V.I. Port Authority Governing Board and the West Indian Co. Ltd. Board — two government entities recently involved in a feud over the docking of cruise ships in Charlotte Amalie.
While meetings were held locally to address the conflict, he said, representatives from the two agencies took the issue to another level, asking the federal government to step in and resolve the dispute.
"Two agencies that are owned and controlled by the government of the Virgin Islands, and whose operations are critical to our future, were sitting before federal officials because, back home in the Virgin Islands, we were not taking care of business," he said. Reports conducted by the administration's transition team indicated a need for open channels of communication and new leadership, deJongh added.
DeJongh's speech also focused on the need to restructure various government departments and agencies, such as the lieutenant governor's office, the Division of Personnel and the Department of Education, and hire qualified and trained employees.
In addressing the needs of the various islands, deJongh also laid out specific plans for the economic development of St. Croix, along with solutions to parking issues on St. John.
To see a draft of the governor's speech, click here. This draft is very close to the final speech, but not a verbatim copy.
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