No 2016 Budget! NDP looks for $110M to keep Gov't open
While other governments over the years have also had Budget addresses in the following Budget year, the NDP had pride themselves on having on-time budgets presented to the people, which meant the year before the Appropriation Act was due, even if the House of Assembly’s Standing Finance Committee deliberations had ran into the next year.
It is unclear why the Draft 2016 Appropriation Act is not ready and Premier Smith will not present his Budget Address this year.
Request for $110M to keep Gov’t open
With no Budget, the Minister of Finance Dr Smith is asking the House of Assembly (HoA) for more than one hundred and ten million dollars to keep the Government running. This request will be made on Monday December 21, 2015 when the HoA meets in Road Town for its Fifth Sitting of the First Session of the Third House of Assembly of the Virgin Islands.
The Minister of Finance is requesting via a resolution that one hundred and three million, six hundred and forty-nine thousand dollars ($103,649,000) be withdrawn from the consolidated funds for Recurrent Expenditures for part of fiscal 2016.
In addition, because no Budget has been passed for 2016, the NDP administration is requesting some five million, two hundred and twenty-six thousand dollars ($5,226,000) to fund Capital Projects until they have a Budget and another one million, six hundred and sixty-six thousand, six hundred and sixty-seven dollars ($1,666,667) to be placed in the Reserve Fund.
This brings the total that the Administration is seeking to keep the government open in 2016 until a Budget is approved to one hundred and ten million, five hundred and forty one thousand, six hundred and sixty-seven dollars ($110,541,667).
The Virgin Islands Constitution gives the Minister of Finance the power, when an Administration has failed to deliver a Budget Under Section 105, to seek permission from the Legislative Branch to obtain funds up to four months in the new Budget year to keep the government running.
Bills & Reports
The Order Paper for Monday’s session of Parliament will also include the return of the controversial Legal Profession (Amendment) Act 2015, a bill intended to overhaul the Legal profession; the Education (Amendment) Act 2015 and another Financial Services Commission (Amendment) Act 2015.
The Deputy Premier and Minister for Natural Resources and Labour Honourable Kedrick D. Pickering (R7) will lay on the table of the House, the National Parks Trust annual reports for 2011 and 2012. Additionally, the Minister for Communications and Works Honourable Mark H. Vanpterpool (R4) will present the 2014 Department of Motor Vehicles annual report.
The Sitting will be televised live on CBN Channel 51 from 10:00am on Monday December 21, 2015.
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37 Responses to “No 2016 Budget! NDP looks for $110M to keep Gov't open”
Though the constitution allow up to 4 months of allocating funds to keep the government running until the current year budget can be passed, this action may be a clear sign that there may be challenges on the horizon. But the challenges should not be a secret, for all governments , especially small looked, encounter financial challenges. So why not be opened and transparent in the reason(s) for the financial problems, if any.
Agree with Political Observer, despite the apparent disagreement of many, that if indeed the government is having financial problems the fix will require some belt tightening, structural adjustments, either vertical or horizontal cutting of some services, personnel action (there may not be any more room to kick the can down the road)....etc. The population may feel that it is tax enough already but if the signs are not just a mirage some taxes,fees...etc increases will be needed, for the government is limited in revenue sources. If we want same level of services or higher, we must pay for it. For too long, governments spend recklessly, pretending that there is "no problem mon. We got this.
Well, now the chickens are coming home to roost, for successive governments have had the revenue stream to invest efrctively in the infrastructure and other things but they squandered the opportunities. As an example, Jersey was the lead locale in the financial services industry and though it is experiencing some problens due to the maturing of the lifecycle of the industry at least it invested effectively in its infrastructure. Can the BVI say the same? Let's soar like eagles and not careen off the cliff like buffaloes.
As bad as VIP was. Things were never this bad.
H