U.S. Virgin Islands: America's Business Paradise
Title | Date | Publication | Summary |
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EDA Reports Millions Earned Through Tax Incentive Program | 07/25/2019 | St. Thomas Source |
EDA Reports Millions Earned Through Tax Incentive Program July 24, 2019 Kamal Latham, chief executive officer of the Economic Development Authority, held a news conference at Government House on St. Croix. (Source photo by Susan Ellis) Between the years 2013 and 2015, Economic Development Commission beneficiaries paid an average of about $103 million per year in taxes and $3.3 million per year in contractually obligated donations to charitable organizations and educational programs, according to a new report from the Economic Development Authority. That is a slight increase in total dollars from the $91 million per year average for the years 1999 to 2009. If you controlling for inflation from 2009 to 2015, the receipts neither went up nor down. For all three years combined, that comes to more than $309 million in taxes and $9.7 million in required donations, Kamal Latham, chief executive officer of the Economic Development Authority, said Tuesday at Government House on St. Croix. Additionally, the 71 client companies directly hired between 2,939 and 4,305 employees in each of the three years. Other EDC data show that about half of those jobs are direct hiring by hotels that get tax breaks. Just three St. Thomas hotels: Frenchman’s Reef, Sugar Bay and the Ritz Carlton account for more than 1,000 of the direct employment by EDC beneficiaries. EDC hotels combined show about 1,795 direct jobs. Spending by those companies generated more jobs. The report speaks of 19,308 “person-years of employment” created over the three year period. One person employed full-time for three years would be three “person-years of employment,” so that number reflects an estimate of about 6,500 direct and indirect jobs attributable to EDC companies. Those jobs paid more than $1 billion in wages over the three years- or about $333 million per year. Those figures are from the Economic Impact Analysis Report published in June and based on data compiled by the University of the Virgin Islands Institute for Leadership and Organizational Effectiveness, and Appleseed Inc. Appleseed is a New York firm that provides economic impact analyses and economic development studies. Latham said his goal is to add another 50 new businesses to the tax benefit program. The areas of focus are new hotels and resorts, new financial services companies and manufacturers. Staff will attend trade shows and conferences to recruit businesses and there is a new website that advertises commercial properties for sale or lease. During his press conference, Latham introduced Gov. Albert Bryan Jr. and said he was the “main reason” for the success at the commission. Bryan served as chairman of the Economic Development Authority during his eight-year term as Labor commissioner under Gov. John deJongh, Jr. Gov. Albert Bryan addresses a news conference Tuesday. (Source photo by Susan Ellis) The governor talked about the tax report from 2017 and outlined some of the planned uses for the funds. He talked about improving education with safe environments, strong curriculums and less money spent on maintenance. There are internships available for students, provided by commission clients, and high school graduates can attend UVI free of charge. The government is helping clients by “gutting” the licensing and permitting processes, Bryan said, to make it easier to do business in the Virgin Islands. In the meantime, poverty statistics have to be lowered, he said, mentioning the costs of building low income housing and caring for prisoners. The V.I. poverty levels are “lopsided” and “killing us,” the governor said. Bryan pointed out that there were almost 35,000 individual and household tax filers in 2017 and 89 of them paid 66 percent of the taxes. Corporate taxpayers paid another $60 million. The Economic Development Authority was started in 2001 as a semi-autonomous government agency to create “an environment for business retention, expansion and growth for the economic stability.” The entities within the authority are the Economic Development Commission, the Economic Development Park Corporation, the Enterprise Zone Commission and the Economic Development Bank. There are strict rules and regulations for beneficiaries to receive tax benefits. Eighty percent of all those employed by clients of the commission are required to be V.I. residents and after the third year of operation, at least 20 percent of management, supervisory and/or technical positions must be filled by residents. Companies must pay employees at least the minimum wage and include health insurance, paid leave, a pension as well as professional development and tuition remission. During the three-year period of the study, the number of employees reported by beneficiaries declined by almost 2,000 people. The report speculated that the loss may have been due to increased competition from other areas, including Puerto Rico, difficult economic times in the territory, and an amendment to legislation that allows a reduced number of employees for financial services companies. The Economic Development Commission’s clients receive substantial tax breaks to operate in the territory: 90 percent reduction in corporate and personal income tax; 100 percent exemption on excise, property and gross receipt taxes. The clients are required also to reside in the territory at least 183 days a year and file their worldwide income taxes in the territory. |
V.I. receives $2M disaster relief grant to aid businesses | 09/13/2013 | St. Croix Avis | |
Made in the USVI shop reopens | 12/17/2021 | St. Croix Avis | |
Companies for bottled water, health services seek EDC tax breaks | 08/08/2018 | St. Croix Avis | |
EDA board OKs partnerships with Puerto Rico group;SBA | 11/09/2018 | St. Croix Avis | |
Attracting companies high on Bryan's agenda | 07/24/2019 | St. Croix Avis | |
Gov., EDA officials meet with site selection consultants in Atlanta | 05/29/2014 | St. Croix Avis | |
Economic Enterprise Zone spotlights pampering products | 01/24/2019 | St. Croix Avis | |
Visitors Slowly Returning To Virgin Islands After Hurricanes' Destruction | 02/02/2018 | NPR |
The U.S. Virgin Islands were hit hard by Hurricanes Irma and Maria. Tourism — a large part of the economy — declined as a result, but people are starting to return. |
Neither states nor nations, Puerto Rico and Virgin Islands face rocky storm recovery | 10/27/2017 | Miami Herald | |
Elite Traveler Hosts Yacht Party in Fort Lauderdale | 11/02/2017 | Elite Traveler | |
Energy leaders, partners gather in USVI for Caribbean clean energy technology symposium | 04/06/2015 | Caribbean News Now! | |
Economic Development Bank launches loan amnesty program in USVI | 03/14/2016 | Caribbean News Now! | |
In the United States Virgin Islands, a Boost For Small Business | 08/15/2014 | Carib Journal | |
With Eyes Wide Open | 10/27/2014 | Barberbiz -- Blog by Dean Barber (Barber Business Advisors, LLC) | |
Tourism defends Festivals Division plan, budget request | 07/25/2019 | ||
Ritz-Carlton, Set For October Reopening, Announces Hiring Opportunities | 07/30/2019 | ||
USVI Ready For The Limelight | 09/12/2019 |
It was no coincidence that representatives from the U.S. Virgin Islands were in Toronto yesterday (Sept. 5) to promote the perks of filming in the Caribbean destination during the Toronto International Film Festival. Made up of St. Croix, St. John, and St. Thomas, the multi-island destination was featured in feature films like The Shawshank Redemption, Twilight Saga: Breaking Dawn and The Curious Case of Benjamin Button and its backdrops and scenery have doubled for other locations from Mexico to the Greek islands... |
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U.S. Virgin Islands is back in business | 09/12/2019 |
Back in 2017, the United States Virgin Islands experienced two major hurricanes. Both Category 5 storms, Hurricane Irma and Hurricane Maria blew through the islands just weeks apart, causing widespread damage and destruction to St. Croix, St. John, and St. Thomas, with extensive damage to St. Croix and its cruise port... |
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TOURISM LEADERS TO BE RECOGNIZED AT LEADERSHIP AWARDS IN MIAMI | 11/14/2019 |
For Immediate Release Source: Caribbean Media Exchange, Inc. Contact:
TOURISM LEADERS TO BE RECOGNIZED AT LEADERSHIP AWARDS IN MIAMI MIAMI (November 3, 2019) - Three respected Caribbean tourism leaders will be recognized for their leadership achievements at the 2019 Caribbean Media Exchange (CMEx) Leadership Awards slated for December 14 in Miami. Muriel Wiltord, Director of The Americas for the Martinique Promotion Bureau; Commissioner of Tourism of the U.S. Virgin Islands (USVI) Joseph Boschulte; and Frank Comito, Director General and CEO of the Caribbean Hotel and Tourism Association (CHTA) are among the list of honorees for the year-end fundraiser, which will raise resources for Caribbean education. Born in Senegal, Muriel Wiltord's parents were originally from Martinique. She pursued her graduate studies in Paris and taught tourism at University of La Sorbonne for five years. After moving to New York in 1987, she became Director of the Martinique Promotion Bureau in New York where she establishes and maintains cultural and tourism ties between the United States and Martinique. Named one of the "100 most influential women of the tourism industry in the United States" by Travel Agent magazine, Wiltord was invested as a Knight of the National Order of Merit and as an ambassador of Martinique tourism.
Commissioner Joseph Boschulte, appointed to USVI Governor Albert Bryan Jr.'s cabinet to lead the tourism department, has vast experience in business and in government as well as a notable record of improving organizational performance and growth. He formerly served as President and CEO of The West Indian Company Limited (WICO), where he currently serves as Chairman of the Board of Directors. The Commissioner, who earned an MBA from Darden School of Business at the University of Virginia, held high-level positions in transportation, utilities, telecommunications, finance, government development and investment banking. A former Vice President of Institutional Advancement at the University of the Virgin Islands, Commissioner Boschulte previously served as Senior Vice President, Corporate Finance with Wachovia Securities in Atlanta, and Vice President of Banc of America Securities in Charlotte and New York City.
Frank Comito has more than 35 years of experience in economic development, organization management, government affairs, project management, workforce development, research, and in providing business and investor support in The Bahamas, the United States, the U.S. Virgin Islands and the Caribbean. He served as Executive Vice President for the Bahamas Hotel and Tourism Association for more than 10 years. Comito has held executive positions with the Nassau Tourism and Development Board, the National Alliance of Business in Washington, DC, and earlier with the St. Croix and St. Thomas-St. John Chambers of Commerce. Regionally, he was President of the Caribbean Society of Hotel Association Executives, a long-serving member of CHTA's Board of Directors, and has extensive experience in crisis planning and recovery. He was also Deputy Chairman of the Nassau Airport Development Company where he helped guide a $410 million investment in upgrading the airport. This year's CMEx honorees include leading Caribbean journalist and entrepreneur Janet Silvera; veteran airline executive Christine Kennedy of Delta Air Lines; Chef José Andrés of World Central Kitchen; attorney and philanthropist Marlon Hill; and Caribbean-American television anchor/reporter Neki Mohan of WPLG, ABC TV's local affiliate in Miami. The event, which will feature the musical talents of Trinidad and Tobago's Lord Relator and Virgin Islands steel pan player Stan Brown, will help support Bahamian scholars who have been impacted by the devastating Category 5 storm which lashed The Abacos and Grand Bahama in September. Providing a neutral platform for the industry's movers and shakers to address pressing tourism concerns, CMEx, which is partnering with the Caribbean Hotel and Tourism Association Education Foundation (CHTAEF) and the Errol and Nita Barrow Educational Trust in Miami, also lends a helping hand to Caribbean and American communities by sharing expertise, financial and in-kind assistance. The 2019 CMEx Leadership Awards is supported by Bahamas Ministry of Tourism and Aviation, International Career and Business Alliance (ICABA), Island Syndicate, Marketplace Excellence, Tropical Attractions, Inc., and the U.S. Virgin Islands Department of Tourism.
For tickets, visit www.tinyurl.com/CMEx-Awards-2019. About Caribbean Media Exchange, Inc. (CMEx) CMEx's mission is to support and develop the ability of the media, government, the travel and tourism industry and communities to consider the importance of tourism in sustainable development, while lending a hand to the communities involved by sharing relevant expertise, financial and in-kind assistance.
For further information, visit www.cmexmedia.org. |