Gov’t owes millions to vendors; Delays unacceptable- Hon Penn
The discussion was triggered by figures presented in the House revealing that the Government’s total expenditure—when including approximately $21.9 million in open purchase orders—could push the real spend to nearly $146 million, far above the stated $102 million in revenue. The shortfall of over $40 million for the current fiscal quarter prompted urgent questions from Hon Penn who insisted such a position was at best untenable.
“If it's $10 million or $1 million, it's too much money to go to vendors and struggling small businesses and individuals; You cannot be at this stage in May and owing $22 million to businesses, to persons who are struggling and need this money. Some of those persons are rated workers who are coming every day.”
Too Long to Pay
The Opposition legislator, as such, pressed the Premier for clarity and assurances, asking pointedly whether these outstanding sums—some of which date back months—would be paid by the end of June.
“Can you with any assurance assure the businesses of this territory that those outstanding vouchers, some $21 million, $22 million, as said by you, will be settled before the end of this month? Can you assure the people of the Virgin Islands who are owed this money that their payments will be settled?”
‘We do take too long to pay vendors’- Premier admits
In response, Premier Wheatley acknowledged the concerns while urging context, noting that not all open vouchers necessarily represent completed or payable work.
“Some of those open vouchers represent contracts where work is going to be completed. So it shouldn’t be assumed that persons are owed money for all those, I get complaints from numerous vendors who are owed by the government. We do take too long to pay vendors in many instances, and it's something that I would like to see change.”
He explained, “Some vouchers may have been opened and the contract never completed, and therefore accounting officers never closed them. So there has to be a reconciliation exercise to see which ones truly need to be paid.”
Delays Unacceptable
According to Dr Wheatley, the Treasury and accounting units are “making great efforts” to improve payment timelines, but Hon Penn was adamant, “The difference between revenue and expenditure is $40-something million. That’s huge in any quarter, despite when the revenues come in; We have to deeply look at the trajectory.”
To this end, Premier Wheatley sought to inform the members of the House, “Generally the trend is that you run at a deficit all year until you get to May, June; You would expend about $30 million a month, and in those early months only be collecting about $20 million.”
Despite the responses, Hon Penn insisted that the core issue remains the same, “Those outstanding vouchers, those businesses, those rated workers—they are depending on that money to survive. These delays are unacceptable.”
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12 Responses to “Gov’t owes millions to vendors; Delays unacceptable- Hon Penn”
If what Hon. Marlon Penn said is true, wouldn't it be a far greater empact on vendors, that are still waiting to be paid to pay that they owed, and help them pay for present needed good?
No wonder things are twisted so bad in the B.V.I, to much bias comments are being written by bias-minded persons, daily, in regards to issues affecting our well-being in every area of need.
This is some deliberate shit here. Pay the dam people it is your power to do this.
Contracts?