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Thursday, December 8, 2022
HomeNewsLocal governmentPlaskett Applauds House Passage of Federal Disaster and Tax Relief Bill

Plaskett Applauds House Passage of Federal Disaster and Tax Relief Bill

Stacey Plaskett (File photo)
Delegate to Congress Stacey Plaskett (File photo)

Delegate to Congress Stacey Plaskett released the following statement regarding H.R. 5687 – the emergency supplemental appropriations bill passed in the House by a vote of 237 – 161, which will provide support to the Virgin Islands and Puerto Rico following a series of recent earthquakes in the Caribbean region:

“Americans in the Virgin Islands and Puerto Rico have urgent needs following recent disasters. While President Trump has finally released some of the aid that Congress has appropriated for our recovery, more support is clearly needed, especially in the wake of more disasters over the past several months. House Democrats’ emergency funding and tax relief package would provide targeted assistance to help put families and communities on a better path to long-term recovery.

“This legislation contains a number of provisions that I have long championed for the economic recovery of U.S. territories.  Among its provisions for the Virgin Islands, the bill includes:

“Revenue measures: The bill creates equality in the child tax credit for the Virgin Islands, and it expands the earned income tax credit by reimbursing the islands for costs related to providing the credit and educating preparers to encourage more workers to elect the credit. This will be important to raise wages and improve the economic standing of low-income people in the territories. The bill would also repeal the cap on the rebate of federal tax revenue collected on distilled spirits produced in the territory, commonly known as the ‘rum cover over.’

“Infrastructure and community development: The bill imposes deadlines for disbursement of hundreds of millions of dollars in community development funding owed to the Virgin Islands and other territories from the Bipartisan Budget Act of two years ago; which has been stalled by the Trump administration.

“Highway funding: The bill contains $1.25 billion for emergency highway relief projects nationwide. This is intended to fill a backlog of projects resulting from recent disasters, including $73 million in Virgin Islands projects.

“Energy assistance: The bill contains $18 million in funding for Department of Energy technical assistance with the recovery of electric grids in U.S. territories. Congresswoman Plaskett had this amount increased by $3 million, from $15 million, through an amendment that passed the House of Representatives unanimously.

“Education recovery: The bill contains higher education relief for the University of the Virgin Islands. It allows UVI to continue to use pre-disaster enrollment figures for post-disaster Historically Black Colleges and Universities [HBCU] formula grants for at least another three fiscal years. In addition, to speed up K-12 school recovery in the Virgin Islands, it allows the territory more flexibility to shift education-related disaster relief funds to the most in-demand programs.

“Overall this crucial legislation provides $4.67 billion for educational needs, transportation infrastructure repairs and disaster relief activities for the Virgin Islands and Puerto Rico.”

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