AGP Executive Report

Drought Relief for the USVI: The U.S. government declared a drought disaster for St. Thomas, St. John and St. Croix, opening the door for farmers and agricultural producers to apply for federal emergency loans as extreme dry conditions persist. USVI Budget Crunch: USVI officials say sharply lower-than-expected revenues are driving a projected $59 million deficit for the fiscal year ending Sept. 30, with lawmakers urged to consider using Epstein and Leon Black legal settlement funds to cover near-term needs. Territorial Mail Costs: CNMI Delegate Kimberlyn King-Hinds urged the USPS to pause new duty-collection requirements affecting mail from U.S. territories, arguing the system must align with territorial legal protections. USVI Senate Stalls Racetrack Plan: The 36th Legislature sent a Southland Gaming horse racing and gaming bill back to committee, leaving the St. Croix racetrack development in limbo. Meta Settlement With Territory in Scope: A landmark $17.1 billion Meta settlement over alleged youth harm and addictive design includes claims covering Puerto Rico and the U.S. Virgin Islands, with new child-safety requirements tied to court approval. Ferry Funding Boost: USDOT awarded $665 million to modernize ferry infrastructure, including projects in the U.S. Virgin Islands, aiming to improve service reliability and safety. Local Business & Tourism Watch: A proposed $130 million superyacht marina in Coral Bay, St. John, faces another legal setback after environmental groups sued the U.S. Army Corps of Engineers over permitting and impact studies.

Territorial Finance: USVI officials say sharply lower-than-expected revenues are forcing tough choices, with OMB Director Julio Rhymer Jr. projecting a $59 million deficit for the fiscal year ending Sept. 30 and pointing to limited operating cash plus a need for Senate action on legal settlement funds. Online Consumer Protection: The U.S. Virgin Islands is among the jurisdictions included in a landmark $17.1 billion multistate Meta settlement over alleged addictive design and child-safety failures on Facebook and Instagram, part of a broader push for new platform limits and safeguards. Local Governance & Gaming: The USVI Senate sent the Southland Gaming racetrack bill back to committee, putting the St. Croix racetrack plan in limbo as lawmakers seek more review of exclusivity, revenue sharing, and the live racing agreement. Climate & Agriculture: The U.S. government declared a drought disaster for the USVI, enabling farmers and agricultural producers to pursue federal emergency loans as extreme dry conditions persist on St. Thomas, St. John and St. Croix. Transportation Funding: USDOT/FTA awarded $665 million nationwide to modernize ferry infrastructure, with the package including projects in multiple states and the U.S. Virgin Islands. Tourism & Risk: A Royal Caribbean guest filed a maritime injury lawsuit after a scuba excursion in St. Thomas allegedly went wrong when equipment failed underwater.

Meta Settlement: South Dakota is set to receive a minimum of $52.6 million from a $17.1 billion multistate Meta deal over claims involving addictive design for teens on Facebook and Instagram, with payments spread over 10 years and additional amounts possible under conditions; the settlement also requires new safety features and is pending federal court approval. Territory in the Mix: The same Meta case includes the U.S. Virgin Islands among participating jurisdictions, tying local consumers and regulators to a major national online-safety and consumer-protection outcome. USVI Budget Pressure: U.S. Virgin Islands officials say sharply lower-than-expected revenues could leave the territory facing a $59 million deficit, with lawmakers weighing options to cover near-term cash needs. Drought Disaster: The U.S. government declared drought disaster conditions for the U.S. Virgin Islands, enabling farmers and agricultural producers to seek federal emergency loans as extreme dryness persists on St. Thomas, St. John and St. Croix. Ferry Funding: USDOT/FTA awarded $665 million to modernize ferry infrastructure, including projects in multiple states and the U.S. Virgin Islands. Yacht Marina Fight: A proposed St. John superyacht marina near Coral Bay is again in legal jeopardy after environmental groups sued the U.S. Army Corps of Engineers over permitting and impact studies. Cruise Safety & Tourism: A Royal Caribbean guest lawsuit alleges scuba equipment failure during a St. Thomas dive excursion, while separate regional reporting highlights ongoing debate over cruise dependence and visitor growth metrics.

Territorial Budget Crunch: USVI OMB Director Julio Rhymer Jr. told senators revenues are running 9.4% below forecast, putting the territory facing a projected $59 million deficit by Sept. 30, with about $34.5 million in operating cash as of Aug. 7 and lawmakers urged to consider using Epstein and Leon Black settlement funds to bridge the gap. Drought Relief for Farmers: The U.S. government declared an extreme drought disaster for the U.S. Virgin Islands, enabling farmers and ag producers to seek federal emergency loans as St. Thomas, St. John and St. Croix face worsening dry conditions. Ferry Modernization Funding: USDOT/FTA awarded $665 million nationwide to modernize ferry infrastructure, including projects in the U.S. Virgin Islands, as agencies push for safer, more reliable inland and island water transport. Cruise Economy & Liability: A Royal Caribbean guest sued after a scuba excursion in St. Thomas allegedly involved a diving equipment failure that left him with lasting injuries, spotlighting risk management for tourism operators. Marina Development Fight: A proposed St. John superyacht marina backed by Louisiana-linked developers is facing a new legal challenge after environmental groups sued the U.S. Army Corps of Engineers over permitting and impact studies. Business & Travel Links: Contour Airlines announced new flights between Trinidad and Dominica starting Oct. 5, with onward one-plane connections to San Juan and St. Thomas aimed at boosting tourism and business travel. Google Play Antitrust Refunds: A multistate settlement approved by a federal court could send restitution to eligible consumers in the U.S. Virgin Islands for Google Play purchases made between Aug. 16, 2016 and Sept. 30, 2023.

Territorial Budget Crunch: USVI OMB Director Julio Rhymer Jr. told senators revenues are tracking 9.4% below forecast, projecting a $59 million deficit by Sept. 30, with $34.5 million in operating cash as of Aug. 7 and lawmakers urged to tap Epstein and Leon Black settlement funds to bridge the gap. Drought Impacts Agriculture: The federal government declared a drought disaster for the US Virgin Islands, citing extreme conditions on St. Thomas, St. John and St. Croix; the move unlocks emergency loans for farmers as water stress also worsens in neighboring Puerto Rico. Ferry Modernization Funding: USDOT/FTA awarded $665 million for ferry infrastructure upgrades, with USVI included among 23 projects nationwide aimed at safer, faster, more reliable inland and island water connections. Google Play Settlement (USVI included): A federal court approved a $700 million multistate antitrust settlement over Google Play app distribution and billing; consumers who bought via Google Play between Aug. 16, 2016 and Sept. 30, 2023 may receive automatic refunds, with USVI part of the claimant pool. Marina Fight in St. John: A proposed Coral Bay superyacht marina near completion of permits is now facing a new lawsuit from local environmentalists challenging the Army Corps’ review of environmental and aesthetic impacts. Tourism & Travel Links: Contour Airlines announced new Trinidad–Dominica flights starting Oct. 5, 2026, designed to connect onward to San Juan and St. Thomas—potentially boosting regional business and visitor flows. Local Business Growth: SBA proposed simplifying small business size standards to expand access to federal programs, potentially adding 110,000+ firms to eligibility.

Territorial Finance Crunch: USVI lawmakers are bracing for a late-year cash squeeze as OMB Director Julio Rhymer Jr. warns revenues could land 9.4% below forecast, leaving a projected $59 million deficit by Sept. 30, with only $34.5 million in operating cash as of Aug. 7 and lawmakers urged to approve use of Epstein and Leon Black settlement funds. Drought Disaster: The federal government declared drought conditions an emergency in the US Virgin Islands, enabling farmers and agricultural producers to seek federal emergency loans as St. Thomas, St. John and St. Croix face extreme dryness. Maritime Funding Boost: USDOT’s FTA awarded $665 million to modernize ferry infrastructure, with USVI among the selected projects. Cruise-Linked Legal Risk: A Royal Caribbean guest alleges scuba equipment failed during a St. Thomas excursion, leading to lasting injuries and a maritime personal injury lawsuit tied to a Charlotte Amalie dive. Google Play Antitrust Refunds: A multistate antitrust settlement over Google Play app distribution and billing could send restitution to eligible consumers in the US Virgin Islands, with many payments expected to go out automatically. Local Tourism Oversight: Senators grilled Magens Bay Authority and West Indian Co. Ltd. over reserves, service shortfalls, and financial projections during budget hearings. Energy & Permitting Tension: A debate over “green” utility-scale solar and battery projects continues as environmental and safety concerns collide with local permitting expectations.

Territorial Budget Crunch: US Virgin Islands officials say sharply lower-than-expected revenues could leave the government facing a $59 million deficit by Sept. 30, with only $34.5 million in operating cash as of Aug. 7; the administration is urging lawmakers to tap balances tied to the Epstein and Leon Black legal settlements to cover near-term needs. Drought Relief for Farmers: The U.S. government declared a drought disaster for the USVI, citing extreme dry conditions on St. Thomas, St. John and St. Croix and opening the door for federal emergency loans for agricultural producers. Tourism & Travel Links: Contour Airlines plans new flights between Trinidad and Dominica starting Oct. 5, positioning Dominica as a one-stop connection point for onward travel to San Juan and St. Thomas. Cruise Safety Watch: A Royal Caribbean guest filed a maritime injury lawsuit after a scuba excursion in St. Thomas allegedly involved a diving equipment failure underwater. Local Governance Scrutiny: Senators questioned Magens Bay Authority and West Indian Co. Ltd. over reserves, service shortfalls at Smith Bay Park, and financial projections during a budget committee hearing. Small Business Policy: The SBA proposed simplifying small business size standards and raising thresholds, aiming to expand access to federal programs.

Air Travel & Tourism: Contour Airlines says it will launch twice-weekly flights between Trinidad and Dominica on Oct. 5, using a 30-seat Embraer ERJ-135 and offering one-stop connections onward to San Juan and St. Thomas. Disaster & Agriculture: The U.S. government declared a drought disaster for the U.S. Virgin Islands, citing extreme conditions on St. Thomas, St. John and St. Croix and opening the door for federal emergency loans for farmers. Consumer & Antitrust: A multistate $700 million Google Play antitrust settlement has been approved, with U.S. Virgin Islands residents among those potentially eligible for refunds tied to purchases made through Google Play between Aug. 16, 2016, and Sept. 30, 2023. Cruise Economy: British Virgin Islands officials pointed to 20 marine accidents this year as cruise and charter demand grows, while St. Kitts welcomed major cruise arrivals that should boost local taxi, tour and vendor activity. Small Business Policy: The SBA proposed simplifying small business size standards, aiming to streamline classifications and expand access to federal programs for fast-growing firms. Local Governance & Oversight: Senators grilled Magens Bay Authority and West Indian Co. Ltd. over reserves, service shortfalls and financial projections during budget hearings.

Drought Relief for Local Farmers: The U.S. government declared a drought disaster for the U.S. Virgin Islands, citing extreme conditions on St. Thomas, St. John and St. Croix, a move that lets agricultural producers seek federal emergency loans. Consumer Refunds From Google Play Antitrust Case: A federal court approved a $700 million settlement tied to Google Play’s alleged app-store monopoly; the U.S. Virgin Islands is among the jurisdictions included, and many eligible consumers are expected to receive payments automatically. Tourism and Safety Watch: A Royal Caribbean guest filed a maritime injury lawsuit after a scuba excursion in St. Thomas allegedly involved equipment failure underwater, raising fresh questions about excursion oversight and operator practices. Cruise Business Pulse: Port Zante in St. Kitts welcomed major ships including Royal Caribbean’s Star of the Seas and Celebrity Beyond, boosting activity for local taxi, tour and vendor businesses. Local Governance and Reserves: Senators grilled Magens Bay Authority and West Indian Co. Ltd. over reserves, park conditions and financial projections during budget hearings. Small Business Policy: The SBA proposed simplifying small business size standards to expand access to federal programs and contracting opportunities. Marine Industry Funding: MARAD awarded shipyard grants that include U.S. Virgin Islands participation, continuing federal support for maritime infrastructure and workforce development. Water Scarcity Perspective: A commentary piece highlights how drought and limited water access are pushing communities to rethink conservation and water resilience planning.

Drought Relief for Local Farmers: The U.S. government declared a drought disaster for the U.S. Virgin Islands, citing extreme dry conditions on St. Thomas, St. John and St. Croix, a move that lets farmers and agricultural producers apply for federal emergency loans. Consumer Refunds From Google Antitrust Case: A federal court approved a $700 million settlement tied to Google Play’s app distribution and in-app billing practices; the multistate deal includes automatic payments for eligible consumers in the U.S. Virgin Islands and other jurisdictions. Tourism and Cruise Demand Watch: While the BVI reported strong cruise growth in Q1, the territory also issued a marine safety message after 20 accidents this year—an issue that matters for regional charter and excursion operators. Local Governance and Oversight: Senators questioned Magens Bay Authority and West Indian Co. Ltd. during a budget hearing, pressing on reserves, service shortfalls at Smith Bay Park, and projected financial performance. Small Business Policy: The SBA proposed simplifying small business size standards and expanding access to federal programs, a potential boost for fast-growing firms seeking contracting and capital. Energy and Permitting Friction: A commentary on “green” solar and battery projects highlights how local permitting and safety requirements can complicate utility-scale development near communities. Maritime Industry Funding: MARAD announced $35.1 million in grants for shipyards nationwide, including support tied to the U.S. Virgin Islands.

Drought Relief for USVI Farmers: The U.S. government declared a drought disaster for the U.S. Virgin Islands as extreme dry conditions persist on St. Thomas, St. John and St. Croix, unlocking federal emergency loans for farmers and agricultural producers. Consumer Refunds from Google Play Antitrust Case: A federal court approved a $700 million settlement tied to Google Play’s app distribution and in-app billing practices; consumers in the U.S. Virgin Islands who bought through Google Play Billing between Aug. 16, 2016 and Sept. 30, 2023 may receive payments, with many handled automatically. Cruise Safety and Local Tourism Pressure: A Royal Caribbean guest filed a maritime injury lawsuit after scuba equipment allegedly failed during a St. Thomas excursion, while separate reporting highlights how cruise growth and safety messaging keep shaping the region’s tourism debate. Small Business & Federal Access Update: The SBA proposed simplifying small business size standards and raising thresholds, aiming to expand eligibility for federal programs and add more growing firms. Maritime Investment: MARAD is pushing more shipyard funding and workforce development, and the U.S. Virgin Islands appears in the broader funding footprint. Local Governance Scrutiny: Senators questioned Magens Bay Authority and WICO officials over reserves, service shortfalls and projected financial performance. Weather Watch: The NWS in San Juan is monitoring tropical moisture changes for the Puerto Rico–USVI region, with limited impacts expected early in the week.

Disaster Relief & Agriculture: The U.S. government has declared a drought disaster for the U.S. Virgin Islands, citing extreme conditions on St. Thomas, St. John and St. Croix, which will let local farmers and agricultural producers apply for federal emergency loans. Consumer & Antitrust: A federal court approved a $700 million multistate settlement tied to Google Play’s Android app distribution and in-app billing practices; U.S. Virgin Islands residents are among those potentially eligible for refunds, with many payments expected to go out automatically. Tourism & Safety: A Royal Caribbean guest filed a maritime injury lawsuit after a scuba excursion in St. Thomas allegedly involved a diving equipment failure underwater. Local Governance & Public Finance: Senators questioned Magens Bay Authority and West Indian Co. Ltd. during budget hearings, including concerns about reserves, service shortfalls at Smith Bay Park, and projected financial performance. Maritime Economy: MARAD’s Small Shipyard Grant Program included U.S. Virgin Islands-related funding alongside awards to shipyards nationwide, highlighting continued federal support for marine repair capacity and workforce training. Weather Watch: The National Weather Service in San Juan is tracking tropical moisture changes for the Puerto Rico–USVI region, with drier conditions expected behind the system.

Disaster Relief & Agriculture: The U.S. government has declared an extreme drought disaster for the U.S. Virgin Islands, covering St. Thomas, St. John and St. Croix, which should let farmers and agricultural producers apply for federal emergency loans as dry conditions persist. Regional Water Stress: The drought is also hitting Puerto Rico, where officials have rolled out water rationing in parts of seven cities, including San Juan, as El Niño-linked dry weather continues. Small Business Policy: The SBA proposed changes to how the federal government defines small businesses, aiming to simplify industry classifications and raise size thresholds—potentially expanding access to federal programs for fast-growing firms. Federal Housing Funding: The Federal Home Loan Bank of New York awarded $70.9 million through its Affordable Housing Program to 47 initiatives across the region, including Puerto Rico. Local Governance & Oversight: Senators grilled the Magens Bay Authority and WICO on budget reserves, service shortfalls and projected financial performance, spotlighting how public priorities are managed. Maritime & Infrastructure: MARAD is funding shipyard upgrades and workforce development, with the U.S. Virgin Islands included in the broader program. Tourism & Safety: While cruise activity and marine tourism remain key, a separate Caribbean safety push in the BVI highlights how charter navigation skills and preparation matter for reducing accidents.

Energy & Permitting: A new pushback piece argues that “green” utility-scale solar and battery projects still need serious hazard-mitigation scrutiny, including professional engineering sign-offs and strict local land-use conditions—an issue that can shape how quickly projects move in the U.S. Virgin Islands. Housing Finance: The Federal Home Loan Bank of New York awarded $70.9 million in Affordable Housing Program grants to 47 initiatives across the region, including Puerto Rico, targeting 2,440 units and spurring up to $850 million in related housing investment. Local Governance & Public Works: Senators grilled the Magens Bay Authority and WICO over reserves, electricity and food service gaps, and budget shortfalls—highlighting how oversight can directly affect visitor-facing services and small-business costs. Tourism & Travel: Southwest announced new Caribbean route growth, including St. Thomas (STT), while separate cruise-growth reporting shows the BVI posting strong Q1 gains—fueling ongoing debate over cruise dependence. Banking & Business: Coverage of Q2 regional bank performance highlights mixed results and ongoing pressure from fintech, deposit shifts, and credit risk. Consumer/Shipping Costs: USPS duty-collection changes are raising mail costs for insular residents, with local businesses adjusting shipping prices accordingly.

Affordable Housing Funding: The Federal Home Loan Bank of New York awarded $70.9 million via its Affordable Housing Program to 47 affordable housing initiatives, targeting 2,440 units across multiple states and Puerto Rico—an $850 million ripple expected in broader housing investment. Local Governance & Accountability: Massachusetts A.G. Andrea Campbell is facing scrutiny over travel expenses charged to taxpayer-funded procurement cards, with watchdogs calling for more transparency and tighter spending controls. USVI Public Finance Oversight: The Senate committee grilled the Magens Bay Authority and West Indian Co. Ltd., pressing questions on Magens Bay’s reserves versus service gaps at Smith Bay Park, and challenging WICO’s projected net loss and payments to the territory. Tourism Policy Watch: The Marianas Visitors Authority is monitoring a Trump executive order aimed at birth tourism, weighing how enforcement could affect visitor markets while stressing safeguards for legitimate travel. Maritime & Workforce Investment: U.S. Transportation Secretary Sean Duffy announced $35.1 million for infrastructure and workforce development at 45 shipyards, including support tied to the U.S. Virgin Islands. Electricity Costs Debate: In the BVI, opposition member Ronnie Skelton warned proposed electricity rate changes could raise costs for small businesses, arguing power is the “lifeblood” of the economy. Retail Logistics: Home Depot rolled out nationwide express delivery using 2,000+ stores as fulfillment hubs, offering three-hour-or-less delivery for a flat fee.

Tourism & Travel: The BVI posted the third-fastest cruise growth in the Caribbean in Q1, welcoming 493,397 cruise passengers (+29.3%) and 113,318 stayover visitors (+6.2%), even as critics question whether cruise-heavy growth is the best measure of success for the territory. Local Governance & Public Finance: A Senate committee session put Magens Bay Authority and WICO under pressure over reserves, service gaps, and projected financial performance, including concerns that higher electricity costs could hit smaller businesses. Maritime & Economic Development: The U.S. Transportation Department’s Maritime Administration is pushing a major small-shipyard push, awarding $35.1 million to 45 shipyards across 24 states and the U.S. Virgin Islands, with workforce and equipment upgrades highlighted. Retail & Supply Chains: Home Depot rolled out nationwide express delivery using its stores as fulfillment hubs, offering three-hour-or-less service across U.S. markets including the U.S. Virgin Islands. Weather Watch: The NHC says no new Atlantic tropical development is expected, but local forecasts for the Puerto Rico–USVI region point to a passing tropical wave with limited impacts and breezy conditions. Health Tech: ELEHEAR launched ElePro Plus, a live tele-audiology service for OTC hearing device owners, aiming to close the gap between buying devices and getting professional fitting support.