ST. CROIX — The Virgin Islands Port Authority governing board voted 5-2 during a meeting today on St. Croix to approve fee adjustments to the marine tariff as recommended by VIPA staff after receiving public input during meetings held three weeks ago on all three islands.
After hearing the community’s concerns, VIPA officials lowered some of the initially proposed fee increases in addition to eliminating two newly proposed fees — parking lot rates in Cruz Bay and barge ramp fees for additional passengers in Red Hook.
Carlton Dowe, VIPA executive director, discussed how the VIPA staff considered the fees residents suggested as alternatives to those initially proposed when it finalized its recommendation to the board. He noted that board members also suggested the proposed fees needed to be adjusted.
“We listened to that,” Dowe said. “We’ve made the adjustments, and we believe this is a fair compromise that we’re coming back with to the public.”
Despite the adjustments, a group of about a dozen protesters who quietly held signs inside the boardroom during today’s meeting were not satisfied with the new fee structure, which will become effective April 6, 2026 and will be reviewed every five years.
Jed JohnHope, organizer of the protest, criticized VIPA’s financial transparency and fee increases. He said the fee structure the board approved was “ludicrous.”
“It was a completely one-sided argument,” he said.
Public Works Commissioner Derek Gabriel, a VIPA board member who chairs the Finance Committee, pointed out during the meeting that the fee structure was vetted twice when the original proposals were offered. He said several board members voiced concerns for the fee structure as it was originally proposed.
“I would just like to commend the Authority and its staff for at least listening to the public and scaling back some of those concerns and still trying to find a balance because, again, we do have to have the necessary capital to make maintenance and upgrades to our marine facilities primarily,” Gabriel said. “I know that not just St. Johnians feel the brunt of the tariff structure that we’re proposing, but I think all Virgin Islanders in some way, shape or form, regardless of island, will feel it.”
While many of the protesters live on St. John, they were also supported by residents from St. Thomas and St. Croix. They held signs with such phrases as, “No Audits, No Increase,” “Hey Dowe, Audit Now,” and “No Receipts, No Raise.”
Hadiya Sewer, a St. John resident whose online petition opposing the increase in fees received 398 signatures, discussed the impact the fees have on St. John residents. She noted all the services essential for St. Johnians are located on St. Thomas, including public high schools, the airport, the hospital, and full-service government offices.
“Everything is on St. Thomas for us, and so that commute is not a luxury, but a necessity for the people of St. John,” Sewer said. “And so, to raise the fees and to do so so dramatically would make living on St. John prohibitive for so many of the island’s people, as well as its businesses. And I should also say that I grew up in the marine industry, and so I am one of the descendants of Love City Car Ferries, and as such, I understand the perspective, also from small business owners that have been in the marine industry for generations.”
When asked her thoughts on the adjusted fees VIPA recommended after considering comments from the community, Sewer said the originally proposed fee structure was so extreme that any adjustment would appear reasonable. She said, however, the approved fees are “detrimental” to the people of St. John.
Pamela Gaffin, an accounting professional who lives on St. John, questioned why VIPA needs to increase fees to raise revenues when it had $21 million in net profit after depreciation at the end of August.
“That’s 1,344% increase in profits from last year,” she said. “That’s spectacular. You don’t need our money.”
Willard John, board chair, said he thought the fees the board approved were “reasonable,” noting they were approved following a study as well as a series of public hearings held on all three islands.
“The Port Authority have to have some sort of income coming in so that we can make improvements,” he said. “And at the same time, we don’t want to burden the St. Johnians and the rest of the community with too much fees economically.”
Leona Smith, the St. John representative on the VIPA board who serves as secretary, was one of two board members who voted against the fee increases. She said she opposed them because she does not think the timing is right considering the state of the economy.
“The reason I’m saying no increases is primarily because St. Johnians really have to go to St. Thomas to do everything, whether its shopping, whether it’s medical, government services, and I agree with the sentiment of the voices of St. John — this is not the time for increases. I’m a St. Johnian and I concur with them.”
Former Senator Celestino White Sr., of St. Thomas, is the other board member who voted against the fee increases. He said his concern was about the hardship the fees would bring to St. John residents considering they must travel to St. Thomas for basic needs, including medical and educational.
“These things they are forced to do,” he said. “And because they are forced to do, further concession I feel should have been given.”
As VIPA prepares to increase the marine fees, it is also continuously working to collect millions of dollars owed. As of July 31, VIPA’s statement of accounts receivable in four categories shows the current amount owed is about $6.66 million, including $3.46 million for aviation operations, $3.18 million for marine operations, $7,688 for Crown Bay operations, and $9,721 for nonaeronautical operations.
John said VIPA has employees who are constantly calling to make collections. After those efforts fail, he said the matter goes to court.
“We have to make every effort to get the money because we’re autonomous, we don’t get money from the government,” he said. “We have to make sure the money that’s due to us is collected as promptly as possible. And if that doesn’t happen, then we have to take the legal route.”
VIPA’s collection efforts on its top past due accounts as of September 30 have included issuing demands for payment, filing action for debt, and filing action for eviction in addition to ongoing collection efforts by the Operations Division, according to the agenda booklet for today’s board meeting.
Dowe said in a VIPA statement issued following today’s board meeting that the Authority values the perspectives of the maritime community and the public it serves.
“The revisions to the proposed marine tariff rates directly reflect our commitment to transparency, collaboration, and responsible economic stewardship,” he said in a statement. “We seek to balance the financial sustainability required to maintain and enhance VIPA’s marine infrastructure, services, and capital needs while minimizing the economic impact on maritime users. We appreciate the participation of all who contributed to this process.”
In addition to opposing the fees, JohnHope suggested that VIPA needs to be brought under oversight of the Public Services Commission.
“The governor or the Legislature needs to step in and mandate that the PSC oversees the Virgin Islands Port Authority,” he said. “We cannot have a group of administrators just one-sided raising rates on the entire community. This is going to have a ripple effect throughout our entire economy.”
VIPA spends about $80 million per year, but only collects about $50 million in annual revenues, JohnHope said, adding that VIPA’s most current available financial records from 2017 to 2021 show the $30 million deficit. He pointed out the initially proposed fees would have resulted in $5 million in annual revenue collections.
“We don’t understand the need to raise $5 million when you’re losing $30 million a year,” JohnHope said. “That’s like putting a Band-Aid on a bullet wound.”
While White and Smith voted against the fee increases, the board members who supported them were Gabriel and John, as well as Kevin Rodriquez, Attorney General Gordon Rhea, and Tourism Commissioner-nominee Jennifer Matarangas-King.
VIPA’s initially proposed fee structure was projected to raise about $5.02 million annually. The adjusted schedule the board voted to approve projects potential revenue of $2.11 million.
Fees for the Red Hook barge ramp, which have not been adjusted since 2006, were initially proposed to double to $6 from $3 for cars, small SUVs, and motorcycles, and increase 50% to $6 from $4 for pick-up trucks, vans, and large SUVs. The adjusted fee is $5 for both categories. The fees will increase to $10 from $6 for other vehicles like commercial vans, hearses, and safari taxis. The fees for heavy trucks and equipment, and containers up to 20 feet will increase to $30 from $20. The fees for containers more than 20 feet, large trucks, trucks with chassis, and fuel trucks will increase to $40 from $30.
The per passenger ship dues and wharfage fees for inter-island travel to the British Virgin Islands from St. Thomas have not increased since 2014. The ship dues were initially proposed to increase to $3 from $2, but the adjusted fee will be $4. The inbound and outbound wharfage would both increase to $4 from $3. The total increase in ship dues and wharfage would be to $12 from $8.
Docking fees, which have remained the same since 2017, were initially proposed to increase to $3 from $1 per running foot, per vessel. The adjusted increase will be to $1.50 on April 6, 2026, and to $2 on April 6, 2029.
The parking rates that have been in effect since 2020 at the Urman V. Fredericks Marine Terminal in Red Hook are set to increase for stays over four hours. The only adjustment to the initially proposed fees is for the monthly tenant/employee fee, which will now increase to $125 from $100 instead of increasing to $150. The rates will increase to $15 from $12 for four to five hours, and to $20 from $15 for five to 24 hours, and for a lost ticket. The monthly public rate will increase to $250 from $175, and the daily rate for tenants and employees will increase to $10 from $5.
No adjustments were made to the initially proposed pilotage fees. The current pilotage fee of $20 per foot will increase to $25 per foot, with a minimum of 15 feet. VIPA is eliminating the fee of 1 cent per gross ton, with a $100 minimum. Instead, the Authority has identified three groups — vessels up to 19,999 gross tons will pay a flat fee of $200, vessels between 20,000 to 59,999 gross tons will pay $400, and vessels 60,000 gross tons or more will pay $600. The fee for shifting from one berthing to another will increase to $400 from $300. The harbor use fee per entry will increase to $150 from $100. The waiting time fee for vessels that do not leave on schedule will increase to $200 from $150.
VIPA has proposed new fees for cargo staging, providing temporary cargo overflow staging areas. There was no change to the initially proposed fees. The fees include $20 per day for vehicles under 4,000 pounds on St. Thomas and St. Croix, and $50 per day for vehicles 4,000 pounds and over. The heavy equipment fee for St. Thomas, St. John, and St. Croix would be $100 per day, or $15 per hour on St. John. The fee for 20-foot containers or chassis on all three islands would be $100 per day, or $15 per hour on St. John. The daily fee for 40-foot containers or chassis on all three islands would be $150, or $25 per hour on St. John. It would cost $200 per day on all three islands for fuel tankers under 3,000 gallons, or $300 per day for fuel tankers 3,000 gallons or more.
VIPA eliminated two other newly proposed fees.
The proposed new fee of $5 for parking at the Victor Sewer Marine Facility in Cruz Bay for stays between 31 minutes and nine hours from 5 a.m. to 7 p.m. was not implemented.
Additionally, a $2 per passenger fee that was initially proposed for the Noel E. Boynes Car Ferry Dock in Red Hook will not be implemented. The fee would have applied to all passengers except the driver and one passenger over age 12. Passengers under 12 would have been exempt.
