CHARLOTTE AMALIE — Office of Management and Budget Director Jenifer O’Neal unveiled the proposed executive budget for Fiscal Year 2025 with the theme “Fulfilling the Promise of Fiscal Solvency.” She said the budget reflects the Bryan Administration’s “ongoing commitment to responsible governance and financial stability.”
Director O’Neal reports that the Proposed Executive Budget Book for Fiscal Year 2025 was delivered on time to the Legislature for the sixth consecutive year on Thursday, May 30, 2024. This timely submission, which comes ahead of funding the government for the upcoming year, coincides with the launch of an interactive website that allows the community to examine each government agency’s financial plan in real-time.
The proposed budget of $896,962,875 for the General Fund, compared to FY 2024’s $974,062,924, adopts a conservative strategy that decreases spending by about $77 million, mainly due to the elimination of several one-time non-recurring government obligations. This cautious approach ensures the budget is balanced and aligned with estimated revenues, thereby ensuring financial resilience in the face of potential economic uncertainties.
“This year’s proposed budget expects General Fund revenues to reach $897 million in support of appropriations of $896.8 million, ensuring that each agency and department can effectively maintain essential services to the community,” said OMB Director O’Neal. “Despite the reduction in budget ceilings from FY 2024 to FY 2025, we remain committed to prioritizing fiscal responsibility and mitigating risks associated with unforeseen challenges.”
Highlights of the FY 2025 budget include:
- Continued support with $1 million each to the Gov. Juan F Luis Hospital and Schneider Regional
Medical Center and $1.4 million to the Virgin Islands Waste Management Authority. - An allocation of $5 million for territory-wide road repairs and $5 million to the Budget Stabilization Fund, reinforcing the territory’s infrastructure and financial preparedness.
- Strategic investments in public safety and recreational infrastructure, including operations for the Clinton E. Phipps Racetrack and the Virgin Islands Police Department’s Executive Security Unit.
The budget also introduces an Outcome-Based Budget framework, focusing on six priority outcomes developed during the Performance Management Conference. These include quality education, a high-performing government through advanced technology, safe and sustainable infrastructure, healthy citizens, economic growth, and a clean and energy-efficient territory. This approach aligns budget allocations with tangible service outcomes, emphasizing accountability and effective use of funds.
An expected corporate and residential construction boom, along with strong growth in the tourism sector driven by territory-wide cruise ship activity, a flourishing room-sharing ecosystem, and hotel construction on St. Thomas, are key factors underpinning the government’s robust Gross Revenue collections, which are projected to hit $1.1 billion in FY 2025.
Governor Bryan has emphasized that the administration’s vision for the future involves a conservative approach to budgeting, realistic management of expenses, and creating a better quality of life for all Virgin Islanders.
“We really have a vision for the future that’s about a conservative look at budgeting, a realistic look at expenses, and managing all of that together to create a better quality of life for all Virgin Islanders,” Bryan said.
Access the fiscal year 2025 budget online at omb.vi.gov.