On this episode of comes with the territory.

Proposed changes to BVI law could bring steep new costs for local yacht charter operators.

Officials from the Virgin Islands professional Charter Association are here to explain what's at stake.

We're going to stay on Lindbergh Beach.

One love going to stay on Lindbergh Beach.

Business owner Wilbur Coakley says he'll continue to stand his ground as the governments attempt to evict One Love Beach rentals from Lindbergh Beach hits a setback.

We'll have the details.

Plus, an update on what's being done about the issues that shut down the Clinton Phillips racetrack on Saint Thomas, a story that's drawing national attention.

We do need to have the discussion of merging nine out of ten marriages in the Virgin Islands.

Saint Croix received the shock that others think it does in reality, talks of merging the district governing boards for the territory's hospital.

Resurfaced at recent Senate hearings.

Six years after Governor Bryant first pledged to unify local hospitals under a single board.

We'll tell you what senators are saying.

And later.

This week's panel joins the conversation to analyze these issues and more comes with the territory.

Starts now.

Welcome to comes at the territory.

I'm Marcelina Ventura and Douglas.

Members of the local marine industry are concerned about proposed law changes in the neighboring British Virgin Islands that could sharply increase fees for USVI based yacht charters operating in BVI waters, a move they say could push smaller operators out of business and hurt tourism and trade.

If enacted, the changes could take effect as soon as June 1st.

Raising overnight charter fees from $400 to $24,000 and day fees from $200 to $12,500.

The Virgin Isles Professional Charter Association recently held a town hall meeting to address the issue.

Local charter operators voiced concerns that the steep increase could push USVI businesses out of BVI waters, with the impact rippling beyond charters to hotels, restaurants and other businesses that rely on visiting boaters.

Governor Albert Bryan Junior responded by proposing a 25% tariff or more on goods imported from the BVI into the USVI, as well as new entry and exit fees for non-U.S. Virgin Islanders traveling between the territories.

Governor Bryan said in a press release for too long, we have experienced economic leakage and inconsistencies in our trade relationship with the BVI.

It is time we take decisive action to protect our local industries, generate revenue for essential services and create a more balanced regulatory framework.

Joining me now to discuss how the proposed BVI law changes could affect not just our local charter industry, but also tourism, jobs and businesses that rely on it.

Our Stacie Smith, executive director of the Virgin Islands Professional Charter Association, and Mark Eddy, chair of the Local Government Committee.

Welcome to comes with the territory.

Thank you both for joining me today.

Thank you.

Now I want to begin.

Let's start with getting a sense of the scale of what's happening.

Roughly, Mister Eddie, speak to me about how many charter boats operate here in the USVI and, you know, speak to me about right now what they do pay in the BVI.

So, you know, it's a it's nuanced question, but I think overall, you're talking about over 300 boats, depending on whether they're a day charter boat or a term charter, vessel.

And the fees, you know, really range from $205 for the annual cruising permit in order to operate in the British Virgin Islands.

Up to 4 to $500 for the larger, term charter vessels.

Okay.

And do Miss Smith, I want to ask you, do you know, what do we hear in the USVI boats coming over from the BVI into the USVI?

What is that kind of fee, if any?

Does it look like there's no actual fee just because they're coming in for the customs?

And then if they're, you know, docking here, those are docking fees, but those aren't put on by the government.

And at the town hall meeting that you held, you noted that BVI regulations are not new and that over the past three years numerous amendments have been made with no input from the USVI.

Walk us through how we got here and what you believe is driving these changes.

Okay.

I believe after Covid, there was big changes.

The a lot of the BVI boats were still over in the U.S.. VI.

And then after Covid, they moved back over to the BVI, which, started the term charter industry in the de charter industry over again.

The BVI just started making different, regulations for new work permits.

Getting more customs papers.

So it's not that those fees changed, it's all the other fees in those last three years have changed.

And, moved it to be a much difficult process and more of, you know, costly.

Now, what kinds of conversations, Mr.. Eddie?

You know, speak to me about what some of those conversations have been looking like here on the USVI side when it comes to local government officials and just, you know, on those ongoing regulatory changes and, you know, before some of these most recent, you know, hike, fees have been implemented.

So, I mean, I think the government has been but while I applaud them for making public statements and, and, you know, defending our industry, I think it's become very apparent recently that there's a huge amount of education that needs to take place for even our senators and our governor to understand the the amount of fees that we pay and the amount of, investment that these operators are putting into, into operating into the British Virgin Islands.

The demand is clearly there.

Coming from, tourism that comes that flows through the U.S. Virgin Islands.

But I think there's a big gap in understanding what exactly it costs to operate, a business like this.

You asked earlier about what are the fees for for the, the the cruising permits to go into the British Virgin Islands.

That is a fraction of what we pay.

There's fees that we have to pay for licensing in order to carry, more than six guests.

There's safety inspections.

This is thousands and thousands of dollars that boats are paying both day charters and term charter boats that we have to pay before we even get to the point of applying for a cruising permit in the British Virgin Islands.

And unfortunately, I feel like the government does not understand all of the aspects that goes into, the licensing in a vessel.

And on top of that, I think they also are unaware the disparity of how much we pay versus the the reverse of BVI vessels coming over into our waters.

So I think there's a little bit of education that still needs to take place for that.

Yes.

Now, you also warned during that meeting that, you know, fee increases could put thousands of jobs at risk, both directly and indirectly, that are tied to the marine industry.

Kind of break that down for people to understand, you know, what kind of jobs are you talking about?

Like how far could that impact really make, right?

So I think if you look at, what's been referred to as the blue economy, it's a cornerstone of the US Virgin Islands economy as a whole.

But charter vessels don't operate just by putting gas in the tank.

You need ice.

You need florists.

You need provisionals.

You need a whole host of industries that, in some cases, are very niche businesses that are you know, today, flourishing.

They're very successful.

But it's, it's a house of cards, really.

If you, if you disrupt, you know, the the flow of, of charter traffic and and don't get me wrong, I mean, the British Virgin Islands is a huge draw for tourists coming to the, the USVI.

They want to go over to yachts.

They want to go to the Virgin Gorda.

If that stops, there is a huge waterfall effect into the adjacent industries.

Anywhere from convenience stores that sell ice to our our vessels to, you know, grocery stores, to taxi drivers.

It really is is connected to all aspects of of our, our community.

Miss Smith, you know, as the executive director of the PCA, you know, you we're also been having these conversations as well to speak to me, you know, from your perspective of how some of that dialog has been going and where you would like to see it go.

Well, I think unfortunately the dialog has been going that there's just angry, angry people out there right now.

They're not sure what the marine industry is going to happen, and they're angry that they've had to pay for these fees all these years.

And now they're bringing them up so far that a lot of the boats are going to either go out of business or they're really going to struggle.

So unfortunately, the conversations are not good ones.

They're they're just they're angry that our government's not stepping in further to see what they can do to make these changes, to negotiate with the BVI.

And that's really what we want.

We want just some more communication, some open dialog, not just throwing taxes and fees both ways.

Just trying to see how we can get the waterways to be equally and fairly.

Now, during the town hall meeting, there were calls for government action on this issue.

Governor Bryan responded by proposing a 25% tariff or more on goods imported from the BVI, along with new entry and exit fees for nonresidents traveling between the territories.

He also requested an emergency meeting with the legislature.

Originally scheduled for February 26th, but that meeting was postponed after the news feed broke the story of a legal opinion from the legislature's legal counsel that was issued in response to questions from Senate Vice President Kenny Gittins.

The legal opinion stated that the USVI government does not have the authority to impose tariffs on goods or services coming into the Virgin Islands from the British Virgin Islands, and that power rests with the U.S. president, government House spokesperson Richard Mitchell.

To address the Governor Bryan's position on the issue.

And here's what he had to say.

Governor Bryan, understand the law governing the Virgin Islands governor's ability to impose tariffs and was prepared, if necessary, to make the request of the president of the United States through his administration's established channels in Washington.

The intent of the governor's announcement was to start a conversation he intended to meet with the Virgin Islands legislature first, so that we could review all of the things that are possible, and then we have a conversation with the BVI.

The governor's posture remains.

Nothing is off the table.

But what the governor wants to do for is to have a conversation on is absolutely necessary.

And so we're still pursuing that.

Now, I want to ask you both, you know, what is your take on Governor Bryan's overall approach on this situation?

I want to begin with you, Mr.. Eddie.

You know, I, I appreciate him making a public statement.

I appreciate him, you know, taking action.

That's that's key.

Right?

But I think the real concern is what we need to do as a community is really paint the picture of what can be, of, you know, the British Virgin Islands and the U.S. Virgin Islands working together as one community.

And, you know, the, the, the industry's watching there's other, cruising destinations in the Caribbean, the Bahamas, the med that are providing a, a very seamless, cohesive experience for, for travelers.

And even with your reporting and, you know, promotion of this issue on Facebook, travelers are reaching out to their charter brokers.

They're reaching out to operators like myself and asking, what's going on?

Like, should I do this?

Should I should we sign up for this charter?

We've got to be careful that we don't alienate our, our core, tourism, customer base, because right now, what we're showing to the wider stage is that it's difficult.

It's hard.

There's hoops to jump through, there's fees to pay, and we need to break that down.

I think everybody both on the USVI and the BVI side will agree that changes are needed.

But what those changes need to encompass is a reduction in the amount of bureaucracy and hoops that we have to jump through in order to transit in between the territories.

And also, I think the there's a whole side of public safety and, and border security issues that need to be addressed as well.

We already pointed out that there's really no fees and regulations for vessels coming over to the the USVI from the BVI, but there's, a very long list for any vessel wishing to transit the other way.

So what I would like to see and changes is, is really, reforms that encompass logical, rational conversations for the entire industry, including the adjacent businesses, like bars, restaurants, taxi drivers, provisionals.

It needs to be a cohesive conversation, not just, you know, one opinion from the term charters or the de charters.

It really is a complex issue that needs to be resolved.

But what we can't do is kick the can down the road another 2 or 3 years.

It's going to lead more businesses out of, more, operators to go out of business, and it will affect the wider economy.

That's a fact.

Miss Smith, I see you're shaking your head.

I want to get your input on this.

On what you think, how you know, the governor Bryan's response and you know, the subsequent cancellation of the meeting.

Speak to me about that.

I agree totally with with Marc statement of of how this should go down.

With open conversations and trying to get better reform for for both sides.

As far as Governor Bryan, I again appreciate him, responding and jumping in and, telling us that he is looking into the situation, which I think he is, and I hope that he can come up with a better plan than his first plan and, work with the community and work with the BVI to resolve this matter.

And one of the things that she noted also in the town hall was just about kind of having that seat at the table as well, too, you know, after Governor Bryan's announcement about tariffs, the BVI government responded by saying it had started a constructive dialog with the Bryan Roach administration and remained committed to strong ties and open communication.

How do you view their response, Miss Smith?

I don't I don't agree that they had open communication.

You know, they they didn't ask people in their own BVI association, the Marine Association of the BVI was against many of those policies.

And and they brought it to the attention.

And their, their ears were not heard.

So, Mr.. Roddy.

Yeah.

I mean, I think that's the easiest, the easiest signal that you see is that even stakeholders in the British Virgin Islands, are against these changes.

Majority are I think most of these proposed, changes were, were put forward by a very small number of very loud voices.

If you talk to operators in the British Virgin Islands, water taxi providers, marine service providers, some of them say that almost 80% of their business comes from USVI based vessels.

What we need to see is a, a table full of USVI and BVI stakeholders together.

Not one meeting for USVI groups and one meeting for BVI.

We all need to work as a community.

That's the only way that this will be resolved.

Yes.

Now what do you see as a fair solution?

I know we're talking about, you know, having that conversation, having everyone come to the table.

Ultimately, what do you see as the fair solution, taking into account the government's push for higher fees while also ensuring a positive outcome for USVI based charters?

So, I mean, I, I will agree that, reforms are needed and, you know, to some of the, the proponents in the BVI that state that fees haven't changed since 1992.

While I think the industry would absorb a certain percentage amount of increase to the, the, the charter permit fees, the, the scale at which they're proposing is unrealistic.

So one thing that I think all operators would agree with is that a measured increase of the charter, permit fees would be absorbed by the industry as long as it came with reforms to the process and the bureaucracy that we have to jump through just to get our guests checked in over in the British Virgin Islands.

I think it needs to be, it needs to be a give to get situation.

There's things that we could make the the travelers experience much better.

And by the way, that affects locals as well.

That affects residents here that are traveling across borders to see family and friends.

We still have to wait in those lines and check in through, you know, through the through those ports.

I think we would welcome those changes as long as it was, you know, mutual a decided and mutually discussed.

Yeah.

Yeah.

I believe to the the whole checking system over at the BVI just needs to be a little, helpful.

They, the customs, they don't have regulations that are always the same for each boat or for each company.

You can go in, you know, a couple of days at a different time and there's different regulations, and they're asking different questions, or they're asking for different paperwork.

So it makes it very difficult.

And it's not a good experience for our tourists to come in and wait sometimes hours to be able to get in, and especially for the day charters.

I mean, you just have one day that you're going over having fun, but yet you have to put in like an hour or two to get through the customs.

Now if these changes do go into effect on June 1st, how do you see the U.S. vibes charters kind of adjusting to those new fees Miss Math.

Unfortunately they're going to have to either, you know the, the large charter companies will absorb some of that, but most of those fees are going to have to be put on to the guests.

So the guests are going to have a higher cost for the same experience.

And with that, when they start hearing about those costs, they're going to be looking at other locations.

Like Mark said, they could be looking at the Bahamas or Saint Martin, you know, different places that have charter experiences, but the costs are going to be lowered.

The de charters, they're going to have to absorb and pass on to the guests in the same, same response.

Many of them might choose not to go over to the BVI, so then they're going to lose a business revenue because they're only going to be based in the USVI.

Now with the BVI fee increases and kind of the ongoing uncertainty around these issues, what do you see as the future for the USVI.

You know, and when it comes to the yacht charter industry.

Well I can, I can, I can paint two different pictures.

If they go into effect as written today, I think you will look at next busy season starting in November.

To have much fewer options, for de charters and term charters, transiting into the British Virgin Islands.

What that's going to lead to is a reduction in tourism.

Maybe this year people still come, but when they're sitting in the airport getting ready to leave, you know, the husband's going to turn to the wife and say, you know what?

Next year, let's just let's go to the Bahamas.

Or I've always wanted to check out the med.

That is going to happen.

It's going to draw down our tourism.

The other picture I would paint is if we can negotiate with the British Virgin Islands, reforms that are mutually beneficial for the industry and not just the the charter operators, but the adjacent industries, the adjacent businesses.

What I see is a much seamless, a much more seamless experience for guests, a much better experience for operators, and ultimately more revenue for everybody charter operators, business owners and the government.

Miss Smith, I want to ask you, what do you need?

You know, as far as the charter industry, what do you need from the local government right now and in the long term in order to support the U.S. Virgin Islands yard charter industry?

You know, we need we need open conversations.

We need to know what they're thinking.

You know, before they just start putting tariffs, thinking that that's going to fix this marine industry.

I don't see how that would even help the marine industry with just larger tariffs for the BVI.

So we need open conversations.

We need to sit down and have operators of all businesses, get together and make some decisions.

All right.

Any other final words for you, mister Eddie?

I mean, I think, like I mentioned, on the education side, I think there's a lot of things that they would be surprised to learn that businesses here in the US, I have to go through, that are not required on the reciprocal.

And it represents a large, revenue opportunity for the government for as far as licensing fees and things that, if they're looking for revenue for the government as well, there's opportunity there.

We can help them identify that.

All right.

Well, I want to thank you both for being here.

And we do hope that there's a resolution to be made.

Coming up, we'll hear from this week's panel.

But first, let's take a look at the issues up for discussion.

I don't know why my little business is a big problem to them.

I'm a native son of these islands.

I deserve to have what I'm have.

Flanked by supporters Wilbur Coakley spoke out at a peaceful demonstration on February 20th ahead of a court hearing aimed at evicting his business, One Love Beach Rentals LLC, from Lindbergh Bay beach, the Virgin Islands government moved to evict Coley's business after the Department of Sports, Parks and Recreation determined he was operating outside the scope of his permit.

Coakley originally had a desk permit that allowed him to rent beach equipment and sell souvenirs, but it expired in July of 2020 for.

Meanwhile, the Department of Licensing and Consumer Affairs issued him a restaurant license, along with additional business licenses valid until February 28th, but DCA later acknowledged that the restaurant license was issued in error, stating it was approved based on limited documentation and would be revoked on December 12th of 2024, DSR issued a notice to vacate, citing his operation of a restaurant without the required permit.

The notice gave him 30 days to leave the government filed an eviction petition in January, but during a February 20th hearing, the magistrate judge dismissed the case after it was revealed that the government had accepted rent payments from Coakley in January and February under Virgin Islands law, accepting rent after issuing a notice to vacate invalidates the eviction process.

The dismissal was without prejudice, meaning the government can refile the case after serving a new notice.

Coakley, who grew up on Limberg Bay beach, he says, started One Love Beach Rentals in 2017 with beach chair and umbrella rentals.

Over time, he expanded to selling souvenirs and later food and beverages.

After receiving the business licenses from LCA.

Despite the legal battle, Coakley says he remains committed to his business and doing great things for eight years.

I never had no complaint, no violence, no crime, so I just let me be.

We going to stay on Lindbergh Beach?

One love.

We're going to stay on Lindbergh Beach.

It is essential that we move to have our hospitals operate under one single hospital board.

We will be sending down legislation to finally unify our hospital system.

In his inaugural state of the territory address in 2019, Governor Albert Bryan Junior pledged to submit legislation to the 33rd legislature to consolidate the governing boards of the territory's hospitals into a single board.

Six years and three legislatures later, the idea resurfaced at a Senate Committee on Budget, Appropriations and Finance hearing.

When Management and Budget Director Julia Reimer warned that the territory should continue running two hospitals with separate procurement and accounting systems, we really need to move forward and do something different, which means that some hard decisions have to be made and you guys have to start the process by changing some legislation.

Any suggestions you have for us?

So currently we have two district boards and a territorial governing board.

You need to have one board start there.

That's the first process.

At a February 25th hearing of the Senate Committee on Hospitals, Health and Human Services Doctor Gerry Smith, the newly selected chairman of the Virgin Islands Government Health and Hospital Facilities Corporation, also advocated for a unified health care system.

This shift represents opportunities for efficiency, cost savings, and improve care for the people of the Virgin Islands.

But lawmakers had mixed reactions.

The discussion has been ongoing for quite some while, but you actually mentioned it, I guess because you're new.

It's going to open up Pandora's box.

He's make waves and I'm not going to say anything, just a rush.

I believe that there is opportunities for us to sit at the table and make sure that we're ensuring, that, you know, the priorities that need to be taken.

And certainly the equity and parity exists.

We do need to have the discussion of merging.

And I think whether it's from an economic standpoint or for the benefit, for the health of the people of this territory, I support it.

I'm willing to have the conversation.

Nine out of ten mergers, anything that becomes territorial.

Saint Croix received the short end of the stick.

We have two systems that are struggling.

None really doing good.

I wanted to take these two struggling system and make one big struggling system, assuming that debt from both entities and we haven't fix anything yet.

So we have to fix billing here.

We have a fixed procurement.

We haven't fixed anything, but now we want it to go towards a more central model.

I'm open to discussion, however it got to be well planned out.

You got this.

Go quickly blow up in our face.

The work was recently being done on the racing service at the Clinton Phipps Racetrack in preparation for races that Hausman said could happen as soon as this month, the Department of Sports, Parks and Recreation shut down the track until further notice in early February after multiple horses were injured during the festive finish races on December 22nd of 2024.

Senator Franklin Johnson later confirmed that three horses died that day, bringing the total to seven horse deaths.

In 2024, when the track hosted just three major horsing events.

I think just the more each week that they had to pretty much lose the horse, so it's always frightening to me because I really care about life and want to be a part of making sure that we protect these jockeys and origin at the same time.

The issue prompted an investigative report and Thoroughbred Daily News, a well known international publication covering horse racing.

The article raised concerns about the lack of oversight and regulation in the U.S. by horse racing industry, including the fact that races resumed at the Clinton Phipps racetrack without standard drug testing protocols, which had been suspended by the legislature.

According to the article, an unregistered thoroughbred commonly called a graded horse due to its lack of value in professional racing, was allowed to compete on December 22nd and had to be euthanized afterward.

The report also raised alarms about the track surface, which had not been professionally evaluated before racing resumed.

It further highlighted that two horses previously banned from Gulfstream Park for testing positive for illegal substances, ran at the Clinton Phipps track on December 22nd.

In a press release, Senator Johnson criticized his colleagues for rejecting a 2023 amendment he introduced to reinstate anti-doping laws for horses.

Johnson vowed to continue fighting for anti-doping laws, saying they are critical to making horse racing safer.

I urge you, my colleagues, to support this measure.

I put it back in again because I want to see professional horse racing.

People are saying, I'm trying to stop horse racing.

I'm trying to protect life.

And so I just actually hoping that my colleagues and would not take part in, doing the right thing.

In a press release addressing the horse deaths and safety concerns, the Saint Thomas Saint John Horse Racing Commission announced that no races would be scheduled or authorized at the Clinton Phipps racetrack until an expert evaluates the track surface and determines any necessary improvements.

The commission also committed to enforcing pre-race veterinary exams with full authority to scratch unfit horses, and collaborating with a US safety officer to strengthen protocols at the track.

Joining me on set to analyze these issues are attorney Adrian Dudley, founding partner of Dudley Ridge LLP and criminal defense attorney attorney Melanie Turnbull.

Joining the show from our studio is Joe Johnson, former chairman of the Virgin Islands Horse Racing Commission.

Before we explore today's topics, I'd like to hear your thoughts on the featured discussion about the BVI fee increases for USVI charter operators.

Mr. Watson, I'll start with you.

The BVI has talked about strengthening ties with the USVI, yet they've proposed changes that would dramatically raise fees for our local yacht charters.

How do you reconcile that and what message do you think that sends about the relationship between the two territories?

Well, listening to the two prior guests talk about this situation with the BVI.

Clearly there was no dialog between the British Virgin Islands and the US Virgin Islands over these proposed enormous rate increases.

Right.

Which also shows that there's some there is some issue with the relationship, they should have because the governor has told us that he he has a good relationship with the BVI.

So what happened in this instance that I don't know, the Virgin Islands don't really need Tortola.

Okay.

They import most of their goods from the Virgin Island.

So if they wanted to get into that battle, I think port Tortola would be the one that would would be harmed by the US Virgin Islands taking any, action against them.

Those fees, these are not 50% increases.

This cost thousand per cent increase.

I mean who does that.

Yes.

Now we also know put Tortola is a high intensity drug trafficking area.

Okay.

Well, I know, I know that from my job as a navigator with the Gulf.

I know I'm familiar with that.

And maybe to a toll that there's something else going on here.

We're totally is probably trying to minimize or manage parcels coming into their waters.

I think not chartering.

I acknowledge that those are allegations, Mr. Watson.

Now, Attorney Turnbull, I want to get your input.

How do you see these issues affecting the US Virgin Islands and the British Virgin Islands relationship?

You know, the overall charter industry and our relationship with the two, with the British Virgin Islands.

You know, I think because the British Virgin Islands and the U.S. Virgin Islands, they have more than just a, a demographic geographical connection.

We have a real strong familial tie.

There are a lot of, Virgin Islanders that have been here, raised here, raise their kids here from the British Virgin Islands.

And so I believe that they should have been first and foremost a conversation.

I do think that when you take an action, like doing a rate increase, I believe the purpose is exclusion and they can give lip service to strengthening ties.

But there is a reason why we have hiked our rates this much is because we want more piece of the pie, and perhaps if we increase our rates as much, then, we believe that maybe tourists perhaps would come straight to the BVI and skip the USVI and then that would therefore increase our lift.

Because I know they've been having struggles with their airlift for tourism.

And so I think this is more than just, oh, we're just doing another increase.

You don't do increases this high unless it has some other purpose, which is, exclusion.

But I don't think the answer is just let's go and ask them to reduce their rates to make it more equitable, which I think is one method, but another method is also beefing up our own marine industry.

You know, we have a BVI facing marine industry, but we have so many islands to, you know, we can have our own Cooper Beach Island.

We can have our own Peter Island, we can have our own Mosquito Island, we can have our own soggy dollar.

We can create a comparable experience for tourists that, yes, we can still have a corridor between the two islands, but then we can do our own thing.

So I that was missing from the conversation a little bit for me.

Because I do think the BVI can give lip service to strengthening ties.

But yes, you don't take that action unless it has some other purpose.

Some other purpose.

Now, Attorney Dudley, I want to get your input.

What do you think the US Virgin Islands strategy should be to address this?

Well, obviously, the two leaders of each territory need to get together.

I agree with Melanie that we should beef up our offering, but first we have to resolve whatever conflict caused the BVI to increase the rates so high.

I don't understand why they would want to do that when they're encouraging traffic, they want more traffic, they want to make more money, but they can do that with a multitude of ways.

And not just raising fees.

And the fact that that we're going to do something retaliatory legally, means that the relationship is going to be damaged.

And going forward, we have to improve this relationship or else both territories will suffer greatly.

Yes.

Now, I want to shift our focus now to the situation involving One Love Beach rentals at Lindbergh Bay beach.

The business received a permit from the Department of Sports, Parks and Recreation to rent beach equipment, but was later mistakenly issued a restaurant license by the Department of Licensing and Consumer Affairs, leading to an eviction case that was dismissed because the government continued to accept rent payment.

Now, a major issue in this dispute has been pushback.

One Love Beach Rentals is getting from Emerald Beach Resort about its operations on Lindbergh Bay beach.

Attorney Turnbull, I want to ask you, do you think the government should have stepped in to help a local small business kind of remedy the issue that they're having with their neighbors and kind of be able to obtain the correct permits, rather than just simply pursuing eviction?

Me personally, I think so.

I think after you've run a business for about eight years, while they've done, I don't think it's questionable.

They've, they've pretty much made some improper steps.

I don't think getting the restaurant bar license was an improper step, because they can't control how they get their license.

But I think this way of, using bureaucracy to, you know, kind of, decrease the input or the involvement from local small businesses.

And I can tell you, when a lot of tourists come down, the experience that they're getting from one love, that is the experience they envision before they come.

They like the mom and pop shop experience, coming and getting local drinks from the locals and local daiquiris that they have a brand of experience that I think is beneficial.

Because I do believe that it adds to the tourism experience or the customer experience.

I do think that there are ways that the government should have found creative ways that a government should have found them to find, to help them become in compliance with the rules and regulations.

You know, now, the Legislature's Committee on Homeland Security, Justice and Public Safety held a hearing in November and it focused on illegal activities and safety concerns at Lindbergh Bay beach, where Emerald Beach Resort testified about issues with vendors like One Love Beach Rentals.

But Coakley says he wasn't invited to share his side.

Attorney Dudley, do you think that this raises questions about whether the legislature was taking one side over the other?

And do you think the legislature should have ensured that all stakeholders had a chance to come in and voice what was happening?

Yes.

Obviously, I can't believe the legislature would invite Emerald Beach and not invite the Coakley business, but really, I cannot believe that Licensing and Consumer Affairs issued this gentleman a restaurant license by mistake.

That just doesn't sound right.

Once they issued that license, they put him in a position to change his position and reliance upon what that agency did.

And now to say we're going to take it away, I think is totally unfair.

It's the right thing to do for the agency, but it's the wrong thing to do for community relations.

Well, I want to I do want to give the correction because they actually didn't take it away.

They waited it out.

So February 28th, Coakley is license expire.

And Coakley did reapply for a license to renew that license on February 14th.

However, that application has not been granted because he does not have the required documents or paperwork in order for them to do so.

So I do want to put that on the record.

Now, while the government made missteps in handling this case, Coakley was operating a restaurant without proper authorization from DSR and had a permanent structure on the beach without the required permits.

Mr. Watson, do you think that Mr. Coakley bears any liability for that, or was he simply following the licenses he was issued and caught in a government mistake?

Well, I think one of the issues that I haven't heard any of my panelists speak about is we don't know what exactly the permit from the Department of Sports, Parks and Recreation, allowed him to do.

That's one.

Okay.

So I haven't seen the permit, you know, be, you know, kind of wouldn't be prudent for me to comment on it, but let's say that what is being reported is factual, right?

Clearly, these government departments did not collaborate with each other.

I have a business license, a consulting license, and I had to let them know, you know where where this license is going to be, where this business is going to be located.

And my thing is, they had to know this is on a beach, beach, beaches, a public.

Okay.

So who's responsible for the beach here?

Okay.

It's.

Well, it's parks and recreation.

Then what did Parks and Recreation to the end of this agency looked at each other?

I know I worked in deep in our for many years.

Ten years as a fourth DP and enforcement officer.

And I know CC had some kind of responsibility over the beaches.

So who's in charge here and what should have been the proper procedure?

I don't I don't agree where you violate the law, whether it was a mistake or not.

And then we we kind of do things to say, well, it's okay for the violation.

If a violation was was made and the government has to correct, then I have to correct it.

Yes.

He went against what his permit was.

We shouldn't go ahead and then try to.

Well, it's okay.

And then.

Because what happens to the next person that comes in.

Yes.

Does the same thing.

So I want to I do want to put that, you know, Department of Sports, Parks and Recreation issued that permit for rent beach equipment.

So that's what his permit was for rental of beach equipment.

Now, Attorney Dudley, I want to ask you, the judge dismissed the eviction case as a technicality, but the government can and likely will refile without making that mistake.

As far as still taking that rent money, even after issuing that eviction notice.

You know, could that clear the way for the eviction, since Coakley now will have no lease?

Or does the judge have any discretion to rule differently once the case is refiled, or is the eviction inevitable in Coley's case?

Eviction should be inevitable, and that's how the law works.

I think the problem here is that we don't enforce our laws.

We allow people to do what they want and then try to go back after the fact and intend to enforce the law.

When the individual has built a structure that wasn't under its permit, has put, equipment all over the beach that was not permitted by his permit.

I don't understand why we continue to not enforce our laws.

And this judge should issue an eviction, and that eviction should require him to dispose of all that he's that he has, which is food and beverage connected with the restaurant license.

Now I want to turn now to the long debated proposal to consolidate the governing board of the territory's hospitals from 3 to 1.

In his 2019 state of the territory address, Governor Bryan said he was sending legislation to quote, finally unify our hospital system.

But six years later, it still hasn't happened.

Now, with the new OMB director, Julio Reimer, who also serves on the Territorial Hospital board, saying a single board would create a more efficient system for procurement and accounting.

Attorney Turnbull, what do you think needs to happen to finally kind of move that forward?

You know, I was kind of surprised what a senator's saying.

You know, haste makes waste.

As if this was some new novel idea and thought pattern.

No, haste is not me.

We just, you know, we should grab the bull by the horns.

This has been in discussion in the community for some time, and it only makes sense, so I'm quite confused as to why it's taking that long.

I think any time we think about unifying anything in a Virgin Islands, it becomes island wars.

And things, we, we deflect and we look in other directions when we, we really should be unifying.

There's no reason for a month redundancy that we have in a Virgin Islands government.

And so, I am for.

Let's get the single board.

The idea that there are two completely different, three completely different procurement processes and systems does not make sense.

There are healthcare systems in the mainland that are nationwide.

They're not even regional.

They're nationwide.

And so the idea that we can't have, a unified healthcare system with one board to do to decrease, redundancy, to decrease spending, to increase efficiency, is the only thing that makes sense, in my mind, because when you're making these large scale orders, you order for for everyone.

Yes, everyone.

So, I think we have to look at the issues within the Virgin Islands, with a lens towards what is best for the whole.

For the territory?

Yes.

And we tend to look at it from what is best for me and mine instead of what is best.

What is a greater for the whole.

And if we did, this is not a Hayes mix.

This has been on the table for some time, and and I think the senators, can of themselves do it.

I don't think we need to hear a governor in a state or territory talking about sending down legislation and or or we need to have the the members of the board and the OMB director.

This is their role, right?

This has been an emergency.

And so, I think we we can get it done.

Attorney Donnelly, at a recent Senate hearing, Snyder Hospital's CEO, Tina Commission reported that the hospital's accounts payable stands at $38 million, while the CEO, Darlene Bartz, stated that the JFL owns vendors $19.9 million.

We heard Senator Lee in that ruling clip as well to kind of talking about that consolidation of debt.

But could this disparity in debt pose challenges if the hospitals were to merge under a single board?

And what specific concerns could that possibly raise for the island of Saint Croix?

Well, that's that's a question.

I think we have to break it up.

First, the idea that the procurement and financial systems and, and otherwise should merge is, is, is one that we have to adopt.

Number two, the consolidation of the debt is not unusual or different.

The fact that we're trying to bring together the systems from all three islands, and this is a first step, needs to happen.

And consolidating the debt I don't think is going to make a difference.

We have to pay vendors and the government is paying the respective hospitals and they in turn pay the vendors.

The vendors are suffering.

We're talking about Virgin Islands, small businesses that work for the hospitals on all three islands and are not being paid.

Small businesses are owed millions of dollars and they're going under or just struggling to maintain.

This is wrong.

Why can't we figure out a way to get these bills paid?

Well, one, the hospitals aren't making the revenue.

Why?

They're not billing properly.

The systems could be consolidated, made more efficient by a strong I.T.

operation.

And if that happens and they start collecting their revenues, they can begin to retire.

This debt.

No one is going to loan them money unless they have operating income with which to pay the debt.

Yes, ma'am.

Now, let's turn now to the controversy surrounding the Clinton E Phipps racetrack on Saint Thomas.

The track remains closed as officials assess whether its condition played a role in the deaths of three horses after the December 22nd races, bringing the total to seven fatalities in 2024.

The issue has gained national attention, with Thoroughbred Daily News publishing in an article highlighting the lack of oversight and regulation in the US by horse racing industry.

Mr. Watson, I'm going to go to you.

You were quoted in that article raising concerns about the way horse racing is being handled currently in the territory.

Can you expand on the concerns that you shared with the publication?

Well, the issues I've had, I've had since I was the chairman of the Territorial Racing Commission.

My my focus was to bring in our territory in compliance with not just nationally, but international standards when it comes to horse racing, anti-doping.

Certified stewards, you know, training into the new way so that somebody who's involved in horse racing in the Virgin Islands can go anywhere and participate and know, because I could, I could take a horse from one track in the United States to, to another track and move very seamlessly because all the rules and regulations that are standard throughout horse racing, what happened and what I was quoted in the article is saying had to happen.

I foretold it happening.

I predict that it would happen because of what we do here in the Virgin Islands.

I've testified many a times before the legislature, and I remember when the anti-doping legislation to put it in the balance came up.

I spoke to senators and expressed my concern and the reason why this is necessary throughout the industry that fell on deaf ears.

I sent the governor personally an email highlighting and detailing why anti-doping is necessary, and the governor, in his wisdom, still saw it fit to sign the bill, the abeyance bill into law.

Now, when you put anti-doping in abeyance, you put regulated, recognized sanction, horse racing in abeyance.

And the only reason to put the anti-doping in abeyance is to allow for doping.

Okay.

So the legislature was also conflicted with what happened at Saint Thomas racetrack that effectively.

Now the issue is not the fact that the voice is not it, because when you look at the article, it only said, oh, three horses in December.

And that came out almost three weeks after the race.

Yeah.

Well clearly they knew something that was brewing.

They didn't talk about the deaths that happened.

Carnival races almost eight months before.

6 or 8 months before.

Yes.

Okay.

You had heard two horses die.

Carnival races?

Yes.

There was no mentioned by the media.

It was no mention by the Saint Thomas Saint John Racing Commission, which, by the way, we need to know if they're even legal.

Because when they split the commission, they didn't sunset the territorial Commission.

I want to I do want to get our input from our panelists on this issue, Mr. Watson, you know, and and I appreciate the input that you've given so far.

Attorney Dudley, you know, Attorney Turnbull listening to this, you know, having read the article as well, too, the article highlighted that two horses that were banned in Gulfstream Park tested positive for illegal substances.

We heard Mr. Watson talk also about the anti-doping as well too.

You know, those those horses were allowed to compete at the Clinton Phipps track.

You know, what risk do you think you know it poses for the integrity.

What does that say to you about the integrity of horse racing here in the territory, Attorney Turnbull?

Well, right now this is a blight, on horse racing in the Virgin Islands.

A very big blight.

Because it's not, 1 or 2 horses.

It's a significant amount of horses.

And it's multiple violations.

It's, people, horses that, were found to have doped before.

It's also this graded horse where the horses is, is not, regulated correctly.

And I'm not sure if I'm saying regulated correctly.

Right.

Because I'm not a mutt.

In a horse racing commission or know about horse racing in detail.

But from the article, this is a really, black eye on the Virgin Islands.

Now on tourney Dudley officials have told us that they are aiming to have races here in the territory on March 23rd.

You know, what immediate steps do you think they need to take to restore confidence for horse racing here in the industry?

And do you think that given the concerns about track conditions, oversight and safety, do you think that racing should resume that soon?

No.

Clearly not.

First, I cannot believe that the anti-doping rules are in abeyance.

There is absolutely no reason why that should occur.

It makes the Virgin Islands look like we cheat at everything.

That is just wrong.

Number one.

Number two, I don't know enough about horse racing tracks to know if that track can be properly constituted before races.

On March 23rd.

If it cannot, then those races cannot be held.

This is not just cruelty to animals.

This is illegal racing.

We have to once again start following the rules and enforcing the law.

And a law that says anti-doping is in a band is just wrong.

I can't believe our legislators and our governor would do that.

There's no reason for that except to make it look like people can cheat.

And that is not the way we want to run our racing or anything else.

Very strong inputs from all of you, and I want to thank you all.

That's all the show we have for you today.

Be sure to tune in next Sunday at 1 p.m. for an all new episode of Comes With the Territory.

In the meantime, for your news updates, tune in to the News Feed on weekdays at 5 p.m. on 93.1 FM or by downloading the app.

I'm Marcelina Ventura.

Douglas from all of us here at TV channel 12.

Take care.