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	<title>Crucians In Focus &#187; Economy &amp; Taxes</title>
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	<link>http://cruciansinfocus.com</link>
	<description>&#34;We knew the job was dangerous when we took it.&#34;</description>
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		<title>Why Sen. Donastorg Keeps Pushing Repeal Of Tax Lien Law &#8211; And Why You Should Care</title>
		<link>http://cruciansinfocus.com/2010/07/30/why-donastorg-keeps-pushing-repeal-of-tax-lien-law-and-why-you-should-care/</link>
		<comments>http://cruciansinfocus.com/2010/07/30/why-donastorg-keeps-pushing-repeal-of-tax-lien-law-and-why-you-should-care/#comments</comments>
		<pubDate>Fri, 30 Jul 2010 16:24:20 +0000</pubDate>
		<dc:creator>Website Administrator</dc:creator>
				<category><![CDATA[Economy & Taxes]]></category>

		<guid isPermaLink="false">http://cruciansinfocus.com/?p=7193</guid>
		<description><![CDATA[There are two good reasons that Sen. Adlah “Foncie” Donastorg continues the fight to repeal a section of the VI Code that allows the government to sell property tax liens to third parties for collection.  The first reason is because as long as that law is on the books, property is at risk.  The second reason is a company called Chilmark, registered to and operated by one Gov. John P. deJongh, Jr.  Donastorg has repeatedly advocated for the repeal of legislation passed in 1999 that allows property tax liens to be sold by the Government and during Tuesday’s Senate Session he made another attempt to protect local property owners from this law. The eight members of the Senate Majority refused to support Donastorg’s effort to get the tax lien sale repeal on the agenda.  Bill 28-0239, authored by Donastorg, takes away all authority for the Government to sell property tax liens to an outside bank or collection agency.  The bill is now set to be heard in Committee on August 31. (attached)   “Residents are now in the uncomfortable position of owing several years of taxes through no fault of their own,” Donastorg said. “Given the chaotic situation created by the [...]]]></description>
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		<slash:comments>59</slash:comments>
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		<item>
		<title>Before You Buy Another Lottery Ticket, Read This Report!</title>
		<link>http://cruciansinfocus.com/2010/03/11/damaged-car-may-be-the-least-of-the-lotterys-problems/</link>
		<comments>http://cruciansinfocus.com/2010/03/11/damaged-car-may-be-the-least-of-the-lotterys-problems/#comments</comments>
		<pubDate>Thu, 11 Mar 2010 14:34:50 +0000</pubDate>
		<dc:creator>Website Administrator</dc:creator>
				<category><![CDATA[Economy & Taxes]]></category>
		<category><![CDATA[Lottery]]></category>

		<guid isPermaLink="false">http://cruciansinfocus.com/?p=4495</guid>
		<description><![CDATA[(Update: Apparently the weekend fire was in a satellite office of the Lottery on St. Thomas. An large number of documents were reportedly destroyed. Anyone with verified information on this event is encouraged to contact us at admin@cruciansinfocus.com.) Unreconciled accounts, unaccounted for tickets, duplicate winning tickets being paid, over $1.5 million in funds not transferred into the Educational Initiative Fund, overpayments into the General Fund, tickets with non-winning numbers being paid and $9 million in unreconciled bank accounts headline this external audit report on the Virgin Islands Lottery. We are reviewing but are posting for your immediate review. Our analysis will follow. The findings start on page 20. Meanwhile, who wrecked this car? Maybe some Lottery official who already got a look at this report!  LOTTERY REPORT Share on Facebook]]></description>
		<wfw:commentRss>http://cruciansinfocus.com/2010/03/11/damaged-car-may-be-the-least-of-the-lotterys-problems/feed/</wfw:commentRss>
		<slash:comments>47</slash:comments>
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		<item>
		<title>Strongarm Tactics Again Evident In Property Tax Proposal</title>
		<link>http://cruciansinfocus.com/2010/03/08/strongarm-tactics-again-evident-in-property-tax-proposal/</link>
		<comments>http://cruciansinfocus.com/2010/03/08/strongarm-tactics-again-evident-in-property-tax-proposal/#comments</comments>
		<pubDate>Mon, 08 Mar 2010 04:54:30 +0000</pubDate>
		<dc:creator>Website Administrator</dc:creator>
				<category><![CDATA[Economy & Taxes]]></category>

		<guid isPermaLink="false">http://cruciansinfocus.com/?p=4417</guid>
		<description><![CDATA[They haven’t collected property taxes in four years – and now they want you to pay. And if you don’t, or you can’t in the time they determine is adequate, that property may belong to the bank. And there won’t be a thing you can do about it. Or you can sign on to the Lt. Governor’s “installment” plan, and pay 106% of the value of the back taxes. That’s right – they’ll charge you interest on taxes they never bothered to collect. And now we are told that without these tax revenues, and additional borrowing, we’re facing government shutdown by the end of June. Last week, the Legislature received a bill proposal from Lt. Governor Gregory Francis. The bill, if approved, would allow the government to send out 2006 and 2007 tax bills using 1998 rates and values. This would provide an estimated $30 million from 2006 and about $50 million from 2007, and would be used to decrease the now estimated $170 million budget deficit for FY 2010. The proposed legislation would also allow the government to sell 2007 tax receivables (bills) to a bank or other financial institution, which would then loan the government the $50 million [...]]]></description>
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		<slash:comments>15</slash:comments>
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		<title>&#8220;Borrow and Spend&#8221; Results In Drop In VI Bond Credit Rating</title>
		<link>http://cruciansinfocus.com/2010/02/13/borrow-and-spend-results-in-drop-in-vi-bond-credit-rating/</link>
		<comments>http://cruciansinfocus.com/2010/02/13/borrow-and-spend-results-in-drop-in-vi-bond-credit-rating/#comments</comments>
		<pubDate>Sun, 14 Feb 2010 02:00:16 +0000</pubDate>
		<dc:creator>Website Administrator</dc:creator>
				<category><![CDATA[deJongh]]></category>
		<category><![CDATA[Economy & Taxes]]></category>
		<category><![CDATA[Fiscal Management]]></category>
		<category><![CDATA[Uncategorized]]></category>

		<guid isPermaLink="false">http://cruciansinfocus.com/?p=3999</guid>
		<description><![CDATA[Maybe the Governor will finally get the message that “borrow and spend” is not the answer to the fiscal crisis in the Virgin Islands. The USVI’s Government Obligation (GO) bond rating has been downgraded by Fitch, one of three major national credit rating agencies for corporate and municipal bonds (the other two are Moody’s and Standard &#38; Poor’s.). The new rating places these bonds, some $600,000, at the “BB” level, classifying them in the “junk” bond category. But even more revealing and troubling is that,  according to this report, some $556.2 million in bonds issued by the VI Public Finance Authority are rated as “BBB-,” just one level above “junk bond” status. (Bond Rating Chart Attached) The report specifically cites the “severe erosion of the territory’s finances in fiscal years (FY) 2009 and 2010,” and points to the recent borrowing of $250 million for operating gaps as another blow to the Territory’s fiscal health. (the full BusinessWire news release is attached) “The borrowing adds further to the burden of the USVI’s liabilities, including outstanding debt and unaddressed employee and retiree obligations,” the report says. And he wants to borrow another $100 million? The Legislature shouldn&#8217;t even consider it. “The borrowing adds further [...]]]></description>
		<wfw:commentRss>http://cruciansinfocus.com/2010/02/13/borrow-and-spend-results-in-drop-in-vi-bond-credit-rating/feed/</wfw:commentRss>
		<slash:comments>30</slash:comments>
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		<item>
		<title>Report: VI Use Of Rum Cover Over Permitted By Current Law</title>
		<link>http://cruciansinfocus.com/2010/02/08/report-vi-use-of-rum-cover-over-permitted-by-current-law/</link>
		<comments>http://cruciansinfocus.com/2010/02/08/report-vi-use-of-rum-cover-over-permitted-by-current-law/#comments</comments>
		<pubDate>Mon, 08 Feb 2010 13:06:10 +0000</pubDate>
		<dc:creator>Website Administrator</dc:creator>
				<category><![CDATA[Diageo]]></category>
		<category><![CDATA[Economy & Taxes]]></category>

		<guid isPermaLink="false">http://cruciansinfocus.com/?p=3891</guid>
		<description><![CDATA[(Editor’s Note: CIF would like to thank Delegate to Congress Donna Christensen for providing us with a copy of this report.) The government that receives the rum cover-over has the discretion to spend it as it pleases, and legislation brought forth by Puerto Rico limiting its use would violate the Congressional intent of the rum rebate program. That is the conclusion of a report issued by the Congressional Research Service on January 20, 2010. The report and its conclusion have been publicized recently by the Administration to support the financial arrangements regarding the use of the cover over revenues in the Diageo and Cruzan rum deals. The report, attached here, provides a summary of the rebate program and is a balanced review of the issues raised by the recent VI rum deals. But equally interesting is the information contained in this report regarding the current and future costs of some of the provisions in both of those deals for the Virgin Islands. The report directly addresses the impact of Bill HR 2122, legislation proposed last year by the government of Puerto Rico that would limit the use of the rum rebate for economic development to 10% of the amount received [...]]]></description>
		<wfw:commentRss>http://cruciansinfocus.com/2010/02/08/report-vi-use-of-rum-cover-over-permitted-by-current-law/feed/</wfw:commentRss>
		<slash:comments>41</slash:comments>
		</item>
		<item>
		<title>Cover-Over Battle Threatens VI Revenues</title>
		<link>http://cruciansinfocus.com/2009/11/22/cover-over-battle-threatens-vi-revenues/</link>
		<comments>http://cruciansinfocus.com/2009/11/22/cover-over-battle-threatens-vi-revenues/#comments</comments>
		<pubDate>Sun, 22 Nov 2009 14:43:46 +0000</pubDate>
		<dc:creator>Website Administrator</dc:creator>
				<category><![CDATA[Diageo]]></category>
		<category><![CDATA[Economy & Taxes]]></category>

		<guid isPermaLink="false">http://cruciansinfocus.com/?p=2531</guid>
		<description><![CDATA[In recent months, Gov. John P. deJongh Jr. has described Puerto Rico’s objections to the Diageo rum deal as those of a sore loser who lost the rum producer’s business to the Virgin Islands. But a bill on being considered in the US House of Representatives (HR 2122) that would modify the use of the revenues, as well as the spike in global attention resulting from provisions in the Diageo and Cruzan Rum deals, may diminish the Puerto Rico factor to the least of the problems. Recent developments in this issue were highlighted on the Mario Moorehead radio program on Saturday and the recent spike in attention to this situation is worth another look. The larger controversy revolves around use of the “rum cover over” a program  that began in 1917, when the U.S. government decided to tax Puerto Rican rum-makers on rum sold within the United States. After the money was collected, most of it was passed along to Puerto Rico for economic development and infrastructure needs. In 1954, the same benefit was extended to the Virgin Islands. The Diageo deal will return 45% of the cover over revenues to the rum producer; the recent Cruzan deal will return 46% of [...]]]></description>
		<wfw:commentRss>http://cruciansinfocus.com/2009/11/22/cover-over-battle-threatens-vi-revenues/feed/</wfw:commentRss>
		<slash:comments>36</slash:comments>
		</item>
		<item>
		<title>Keep Talking, Part 1: Property Tax Misrepresentation</title>
		<link>http://cruciansinfocus.com/2009/07/27/keep-talking-part-1-property-tax-misrepresentation/</link>
		<comments>http://cruciansinfocus.com/2009/07/27/keep-talking-part-1-property-tax-misrepresentation/#comments</comments>
		<pubDate>Mon, 27 Jul 2009 18:25:45 +0000</pubDate>
		<dc:creator>Website Administrator</dc:creator>
				<category><![CDATA[Economy & Taxes]]></category>
		<category><![CDATA[Government Ops]]></category>
		<category><![CDATA[Leadership]]></category>

		<guid isPermaLink="false">http://cruciansinfocus.com/?p=780</guid>
		<description><![CDATA[We have been studying the best way to address the property tax issue due to its voluminous nature and we finally have our answer. It appears the District Court’s opinion (9/15/08 District Court Memorandum Opinion) was so comprehensive that the Administration has had difficulty understanding what they read. However, in light of what appears to be the continuing misrepresentation of the District Court’s order by members of this Administration, we now have an avenue by which to present the stinging ruling issued by the court. We have reviewed the court’s opinions and, while we cannot have a direct conversation with the judge, we will be presenting the court’s findings to you in a conversational form. The comments in parentheses refer to the attachments at the end of this article for those who would like to review the Court order in its entirety. We start with comments from members of the Administration’s financial team (OMB Director Debra Gottlieb, Finance Commissioner Angel Dawson, PFA Director Julito Francis) on a recent talk show. Our conversation will reveal that there is either a blatant attempt to mislead the public or a lack of understanding by those sworn to execute the law. financial team on property taxes Your [...]]]></description>
		<wfw:commentRss>http://cruciansinfocus.com/2009/07/27/keep-talking-part-1-property-tax-misrepresentation/feed/</wfw:commentRss>
		<slash:comments>17</slash:comments>
<enclosure url="http://cruciansinfocus.com/wp-content/uploads/2009/07/property_tax___mario_vs_financial_team.mp3" length="1054092" type="audio/mpeg" />
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		<title>Guest Opinion: Diageo Partnership</title>
		<link>http://cruciansinfocus.com/2009/07/09/guest-opinion-diageo-partnership/</link>
		<comments>http://cruciansinfocus.com/2009/07/09/guest-opinion-diageo-partnership/#comments</comments>
		<pubDate>Thu, 09 Jul 2009 22:54:46 +0000</pubDate>
		<dc:creator>Website Administrator</dc:creator>
				<category><![CDATA[Diageo]]></category>
		<category><![CDATA[Economy & Taxes]]></category>
		<category><![CDATA[Leadership]]></category>

		<guid isPermaLink="false">http://cruciansinfocus.com/?p=601</guid>
		<description><![CDATA[Guest Opinion by Dwane A. Callwood I am amazed at how quickly we seem to forget here in the Virgin Islands. I am very concerned that the Governor is calling the Senate into Special Session to consider more borrowing to keep the territory afloat. I concede we are in tough economic times. However, I believe that borrowing should be our last resort. As such, other avenues should be pursued before we turn to more debt. Wasn’t it just a year ago that the current governor presented the Diageo catastrophe? Hasn’t the Governor consistently refer to the contractual agreement between Diageo, Plc and the Government of the US Virgin Islands as a “partnership”? Didn’t he aggressively take to the airwaves and talk shows to promote this “partnership” and all that our new “partners” would bring to the territory? Didn’t administration continually toss about the figure of $3 Billion in the form of “an average of $100 Million per year for 30 years into the VI treasury” thanks to the new “partnership”? On June 26, 2009 Ryan Donmyer reported on Bloomberg.com that as a result of the contractual agreement between the VI Government and Diageo, our new partner an additional $2.7 Billion [...]]]></description>
		<wfw:commentRss>http://cruciansinfocus.com/2009/07/09/guest-opinion-diageo-partnership/feed/</wfw:commentRss>
		<slash:comments>26</slash:comments>
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		<item>
		<title>Community Pulse: Belt Tightening</title>
		<link>http://cruciansinfocus.com/2009/06/30/community-pulse-belt-tightening/</link>
		<comments>http://cruciansinfocus.com/2009/06/30/community-pulse-belt-tightening/#comments</comments>
		<pubDate>Wed, 01 Jul 2009 02:44:46 +0000</pubDate>
		<dc:creator>Website Administrator</dc:creator>
				<category><![CDATA[Economy & Taxes]]></category>
		<category><![CDATA[Fiscal Management]]></category>
		<category><![CDATA[Leadership]]></category>

		<guid isPermaLink="false">http://cruciansinfocus.com/?p=517</guid>
		<description><![CDATA[The economic situation has forced Governor John deJongh, Jr. to tighten the financial belt of government spending for 2010. To that end, he has submitted a proposed fiscal 2010 budget that includes eight unpaid holidays for government employees but contains no salary or benefit cuts for members of the executive or legislative branches of the government or other exempt government employees. Share on Facebook]]></description>
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		<slash:comments>8</slash:comments>
		</item>
		<item>
		<title>3rd Circuit Rules Against VI Gov&#8217;t In Property Tax Case</title>
		<link>http://cruciansinfocus.com/2009/06/17/3rd-circuit-rules-against-vi-govt-in-property-tax-case/</link>
		<comments>http://cruciansinfocus.com/2009/06/17/3rd-circuit-rules-against-vi-govt-in-property-tax-case/#comments</comments>
		<pubDate>Thu, 18 Jun 2009 02:47:38 +0000</pubDate>
		<dc:creator>Website Administrator</dc:creator>
				<category><![CDATA[Economy & Taxes]]></category>
		<category><![CDATA[Government Ops]]></category>

		<guid isPermaLink="false">http://cruciansinfocus.com/?p=415</guid>
		<description><![CDATA[We are currently reviewing the decision of the 3rd Circuit Court of Appeals regarding case # 08-3897, Berne vs Government of the Virgin Islands. We will post our comments in the near future. Property Tax Ruling &#8211; 3rd Circuit Court of Appeals &#8211; Case #08-3897 Share on Facebook]]></description>
		<wfw:commentRss>http://cruciansinfocus.com/2009/06/17/3rd-circuit-rules-against-vi-govt-in-property-tax-case/feed/</wfw:commentRss>
		<slash:comments>9</slash:comments>
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