SFC considers Housing Finance Budget for FY 2009, Governor’s staff faces tough questions

~~Adz:Left~~St. Thomas USVI- Members of the Senate Finance Committee (SFC) continue to mull over several Fiscal Year 2009 budget requests made by various departments and organizations within the territory.

After officials from the V.I. Housing Finance Authority requested almost 2.5 million dollars for their 2009 FY budget, senators vowed to support a move to acquire more money for the authority.

SFC Chairman Terrence Nelson made the announcement following Housing Finance Authority Executive Director Clifford Graham’s budget request for $2,473,825 on Monday, opining on the reality of USVI residents’ owning homes.

It was said that compared to last year’s FY budget, the HFA stands to receive a significantly larger funding increase; a supposition Graham disputed.

Graham’s presentation to the Committee included plans to assist residents in accessing federal funds in their quest towards homeownership. It was also noted that Senate passed a bill last year that charged the Housing Authority with the added responsibilities of the day-to-day management of the homestead and home loan program, emergency housing functions, the veterans’ loan and land sale program, and the affordable land sale program.

Of the proposed $2,473,825 being requested by the HFA, approximately half of the funds will go towards salaries of the planned 44 employees for the authority and utility expenses for emergency rental units it manages.

Nelson and the other member senators indicated that they were impressed with the Housing Finance Authority's money management adding that the HFC officials had proven themselves ‘quite prudent’.

Top members of staff from the Governor's Office did not fare as well before the Senators when they faced severe inquisition regarding their budget request for close to 14 million dollars.

Their FY 2009 budget of $13,755,110 is almost double that of the current budget approved last September.

The Governor’s staff defended their request saying the funds were necessary, however certain items listed had been removed from their purview including the Bureau of Economic Research, operations for Governor John deJongh Jr.'s office, and the V.I. Energy Office.

Government House Director of Business and Administration Nellie Varlack said that much of the additional money will go toward furniture, equipment, and staffing for the new Frederiksted Government House complex, scheduled to open this fall and salary adjustments for Bureau of Economic Research employees, the V.I. Energy Office and the renovation of the Simmonds Building - where the public relations, legal counsel and accounting offices are located.

Senator Liston Davis challenged the renovation of Simmonds Building, calling it an unnecessary expense since every administration had put a lot of money into maintenance of the government's buildings and that particular building “was a basically new structure”.

Despite the intense questioning, Nelson said that he will support giving the Governor's Office a lump sum budget as “an executive courtesy”.