VI Economic Development Authority’s Enterprise Zone Commission
April 1, 2008 Volume 1, Issue 1
In the Zone In the Zone EZ holds Savanne Church Leadership Meeting
Inside this issue: EZ Applies for CDBG
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Strategic Plan: Aesthetics
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Habitat for Humanities 4 Our Town Frederiksted 4 Liquor License Moratorium
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Inside the EDA: Small Business Loans
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Calendar of Events
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The Enterprise Zone Com‐ mission held its second Sa‐ vanne Church Leadership meeting on Thursday, Febru‐ ary 21, 2008. In attendance were Major Federico Craig of the Salva‐ tion Army; Bishop Whit‐ bourne Hutchinson of the Church of God of Prophecy; David Blyden, President of the VI Heritage Museum Foundation, an EZ desig‐ nated stakeholder; Andrea Shillingford of Catholic Chari‐ ties; Percival Clouden, CEO of the Economic Develop‐ ment Authority and EZ staff members Raheem Smith and
on liquor licenses (see story on page 5) enforced and why are more bars opening their doors?
Kizzy Moscoso. EZ Director Nadine Marchena Kean in‐ troduced the Assistant Com‐ missioner of the Department of Licensing & Consumer Affairs, Grace Fahie, and Sergeant Dwayne Degraff of the VI Police Department. The meeting covered two topics: 1. Is the moratorium
Church leadership requested that DLCA strengthen its enforcement efforts with regard to what time these bars are supposed to close and the capacity that the bars allow. 2. Is there a reason why the police substation in Savanne is not being utilized and can there be a stronger police presence in the community? The EZ will follow up with the Commissioner of DLCA (continue on page 6)
Special points of interest: • EZ has applied for a grant for the paint & scrape program. Find out how you can help us help you on page 3. • Habitat for Humanities is looking for homes to rehab. If you know some‐ one that needs their assis‐ tance , check out page 4.
Upcoming Cultural Walk in Christiansted & Frederiksted In collaboration with our stake‐ holders, the Frederiksted Eco‐ nomic Development Association (FEDA), Our Town Frederiksted (OTF) and the St. Croix Founda‐ tion (SCF), the Enterprise Zone Commission is planning a cul‐ tural and economic develop‐ ment walk through the towns of Christiansted and Frederiksted.
The first cultural walk, sched‐ uled for April 9th, will be led by Gerville Larsen through Christiansted. Mr. Larsen hopes to highlight not only the historic and architectural significance but also the his‐ tory of some of the people that live in the town and the challenges they face today.
Mr. Larsen is a trained archi‐ tect and a member of the St. Croix Historic Preserva‐ tion Committee and the VI Historic Trust. Frederiksted’s cultural walk is not yet scheduled but will also seek to highlight the issues for the EZ and the (continue on page 6)
April 1, 2008
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From the Desk of the Editor Message: Chairman Albert Bryan, Jr.,
In the inaugural issue of In the Zone, I wanted the opportunity to briefly introduce the Enterprise Zone (EZ) program, its mandates and its staff. The pro‐ gram is charged with facilitating the revitalization of once vibrant areas of our community that are cur‐ rently distressed/blighted. Having grown up in the VI, the staff of the Enterprise Zone sees this challenge as an awesome responsibility… one that we will take on with vigor. This quarter has been an exciting one. We have been involved in establishing several partnerships. Each quarter In the Zone will have two columns on Page 4 that will feature these partnerships. In Our Commu‐ nity will highlight an individual or group that is work‐ ing with EZ to accomplish our joint goals. Habitat for Humanity is an international organization that is working towards Neighborhood Development one home at a time. Read to find out what’s going on with the organization in the VI. Stakeholders will feature an organization that has been designated as an EZ partner in the Zones. This issue highlights Our Town Frederiksted. The Governing Board of Directors of the Economic Development Authority carefully reviewed and then adopted the Enterprise Zone 5‐year Strategic Plan. Within it, there are seven goals: Community Aesthet‐ ics; Public Safety & Crime Prevention; Education, Job Training & Entrepreneurship; Funding; Infrastructure, Housing & Neighborhood Development; Business Development and Federal Designation. Each quarter, one of these goals will be featured. In this issue, on page 2, the featured goal is Community Aesthetics. The EDA Board in concert with CEO Percival Clouden and the EDA team is working on other economic development initiatives. Read about them on page 6. One of my favorites of In the Zone is our Picture Reel. These pictures are selected by the EZ staff as the photos that have left a significant impact on them. The staff members include EZ Facilitator Kizzy Moscoso and EZ Specialists Cusa Holloway (St. Croix) and Raheem Smith (St. Thomas). View our Picture Reel on Page 4 ‐5 and our thoughts on page 6. I hope you enjoy this newsletter as we strive to con‐ tinue our communication with you always with our mantra: Reflecting Our Past…Envisioning Our Fu‐ ture.
N. Marchena Kean
VI Economic Development Authority
In 1999 the Enterprise Zone Pro‐ gram was designed to help revital‐ ize the physical attractiveness of certain sections of St. Croix and St. Thomas, allowing Virgin Islands’ residents to become more directly involved in the economic develop‐ ment of the Territory. In reviewing the Program it was noticed that businesses have been taking a snail’s approach towards becoming involved. In light of this and to speed things up and gain momentum, as part of our aggres‐ sive new strategic plan and mar‐ keting campaign, we have launched the program’s very own newsletter titled “In the Zone.” It
is intended that the newsletter will keep the public and businesses informed and involved in the cur‐ rent status, future plans and pro‐ gress of the program. As Chairman of the VIEDA, I plan to exercise my oversight responsi‐ bility to ensure that by working in collaboration with all stakeholders that the Enterprise Zone Program will succeed in the revitalization of the local economy by improving the attractiveness of designated areas and by creating jobs to bene‐ fit the residents. By working to‐ gether, we will succeed.
Albert Bryan, Jr.
Message: Chairman Jose A. Penn Enterprise Zone Committee The VI Economic Development Au‐ thority (EDA) is charged with the promotion and enhancement of economic development in the US Virgin Islands. The EDA which has five components: the Economic Development Commission, the In‐ dustrial Park Development Corpora‐ tion, the Government Development Bank, the Small Business Develop‐ ment Agency and the Enterprise Zone (EZ), has as its mandate to develop comprehensive programs for our economic development.
creating and/or retaining jobs that facilitate growth and provide a stable tax base.” The mission of the EZ is consistent and harmonious with the IEDC’s definition, as it aims to improve the quality of life in the historic towns of Frederiksted, Christian‐ sted and Savanne. This is done through the granting of incentives for businesses and property own‐ ers. “To catch the reader's attention, place an interesting sentence or quote from the story here.”
Working with the other compo‐ nents of the EDA and all stake‐ By definition, economic develop‐ holders, the EZ is prepared to help ment, according to the Interna‐ revitalize the historic towns of the tional Economic Development Virgin Islands and return them to Council (IEDC), refers to “a pro‐ the socially and economically vi‐ gram, policies, or activity to im‐ brant communities that they once prove the economic well being and were. quality of life for a community, by
Jose A. Penn
In The Zone
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Benefits to You: Community Development Block Grant Program One million, fifty thousand dollars!!!!! The Enterprise Zone Commission is asking the Housing Fi‐ nance Authority’s Community Development Block Grant Program to fund two innovative yet proven programs, “Reshape our Streetscape” and “Scrape, Paint and Rejuvenate.” The Reshape our Streetscape Program is similar to a program successfully done by the National Main Street Programs. It seeks to serve as the impetus to eradicating blight in the towns of Frederiksted, Christiansted and Savanne. EZ’s grant request focuses on Market Street, Prince Street and General Gade. These particular areas are major corridors in our historic towns. They speak of the Virgin Islands rich, vibrant history and culture that is still present today and has great economic potential in the future. The funding will enable sidewalks to be raised, historic lighting to be installed, signage to be placed and landscaping to be done. Additionally, an entrepreneurial opportunity will be created for the youth of the community to complete the streetscape. The Scrape, Paint and Rejuvenate Program has been successfully operated here in the VI as Scrape and Paint. However, it was noted that in order to increase the success rate of the program, it would require the ability to repair rotten wood planks, plastering, shingles, spouting and roofing of these homes. As a result, the program became the Scrape, Paint and Rejuvenate Program. The requested funds will enable the program to uplift the community house by house by working with home owners in these economically distressed neighborhoods to scrape and paint these buildings. Public hearings will be on April 8th in St. Thomas and April 9th on St. Croix.
Strategic Plan: Community Aesthetics Across the nation Empowerment Zones/ Enterprise Communities have been created to uplift communities that are distressed and blighted. The federal government provides various incentives for businesses to settle and for affordable housing to be constructed. Here in the Virgin Islands, the VI Enterprise Zone Commission, though not Federally desig‐ nated, seeks to identify programs, grants and initiatives that are needed to help revitalize and rejuvenate our historic towns. Our historic towns have become severely neglected and distressed. Due to the lack of attention, these towns have become a haven for crime and ille‐ gal activities. With the combined efforts of the community and EZ, we are committed to improving these areas to aid in their redevelopment and also to regain our communities.
The EZ 5 year strategic plan requires that the Commission enhances the general appearance of the Enterprise Zones. To accomplish this, the EZ will work with island administrators, the De‐ partment Public Works (DPW) and Waste Man‐ agement Authority (WMA) to facilitate the cleaning and maintenance of streets, gutters, sidewalks and stairways and improve the ap‐ pearance of government owned properties within the Enterprise Zones. EZ will also work with community stakeholders to improve the zones through proactive private property main‐ tenance. EZ has already met with the DPW and WMA to discuss the Aesthetics of the historic towns. If you have any ideas about how we can accom‐ plish this goal, please call our offices .
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Volume 1, Issue 1
In Our Community: Habitat for Humanity Habitat for Humanity Inter‐ national (HFHI) is a non‐ profit, Christian housing ministry founded in 1976 by Millard and Linda Fuller. HFHI seeks to eliminate poverty housing and home‐ lessness from the world. To date Habitat has built more than 200,000 houses around the world. Through volunteer labor and donations of money and materi‐ als, Habitat builds and rehabilitates simple, decent houses. The homeowner family contributes sweat equity. Habitat houses are sold to partner families at no profit, financed with afford‐ able loans.
Stakeholder: Our Town Frederiksted Our Town Frederiksted is a non profit organization founded in 1988 which strives to “revitalize Frederiksted’s people, busi‐ nesses, and infrastructure to provide a safe, beautiful, and prosperous town to live in for its residents.” It’s membership numbers in the 50’s with the officers being Dr. Paul Simmonds, President of the Board, Al Franklin, Vice President of the Board and organization historian, and Chris Swainson, the organization’s Direc‐ tor.
In the USVI, the first Habitat for Humanity home is currently under construction at #4 Adele Gade. The home is owned by Mrs. C. Hernandez, a single mother of seven children ages 10‐26 of which four of them currently reside with her. The home is slated for completion by May 2008.
As one of the five organizations selected as Enterprise Zone Stakeholders, OTF has been instrumental in assist‐ ing EZ with creating a model for other zones to follow with regard to community planning.
The future of Habitat VI? The organization has agreed to work with EZ to repair homes within Savanne. There are also cur‐ rently plans in place to bring habitat to the island of St.
OTF provides Frederiksted Housing Rehabilitation ser‐ vices, an OTF/UVI Cell Community Learning Center, Op‐ eration Clean Sweep‐Crime Prevention Initiative, The Glory Days of Frederiksted’s Book Project and a Frederik‐ sted Town plan that proposes critical renovation and
PIC
EL E R E TUR
In the Zone
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Issues Corner: 5‐year Moratorium on Liquor Licenses On May 17, 2006 former Governor Charles Turnbull signed into law Act 6831. The intent was to stop the issuance of tavern keepers business licenses for a period of five years within the town districts of Christiansted, Frederiksted and Savanne. These were the same towns previously named Enterprise Zones by former Governor Roy & Restaurant Schneider. The legislation states that the reason for this Act was to “ensure that the number of taverns within these areas does not negatively compromise the public’s safety or welfare.” It also states, however, that “this does not prevent restaurateurs from acquiring business licenses for bars housed within their restaurants.”
Bar
While it may seem that in the last two years more taverns (read bars) have opened in these neighborhoods, the moratorium has been enforced by the Department of Licensing and Con‐ sumer Affairs (DLCA). The problem may lie in the fact that these establishments that appear to be just bars are actually applying for licenses as restaurants that house bars . What is the difference between a bar and a restaurant with a bar? What are the guidelines to differentiate the two? And who is responsible for enforcing the activities of these bars and restaurants? DLCA Commissioner Ken Robertson states that during his watch no new licenses have been issued by the DLCA to Tavern keepers within the Zones. They have, however, is‐ sued licenses to restaurants with liquor licenses as is allowable by law. The guidelines that govern what is required to be licensed as a restaurant is the same as what is required for a bar. They include the Department of Health for health code compliance, VI Fire Department for fire code compliance, Tax Clearance letter and VI Police Department records check. The Commissioner also states that he will be strengthening his enforcement of these types of businesses by rotating his officers to work during evening hours.
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April 1, 2008
Continued from Page 1 Church Leadership Meeting
Picture Reel Thoughts
and Sergeant Degraff of the VI Police De‐ partment on these issues and concerns and In the Zone will report on them in future newsletters.
1. Past super productivity now unseen and un‐ known. 2. An old wise couple that has survived life’s ups and downs.
Continued from Page 1 Cultural Walk
3. An invitation to move back to our old stomping grounds in a new way.
potential for revitalization of this once vi‐ brant town.
4. A narrow way to go.
It is the EZ’s hope to provide a better un‐ derstanding of the historic and economic significance of the towns.
5. A home that has survived a hurricane or two. 6. Commercial space available in under utilized historic location
Continued from Page 4 In Our Community If you need Habitat’s assistance or would like to volunteer to assist Habitat, please call Ms. Diane Wells at 714‐5678.
If you have any interesting photos that you would like to have included in the picture reel, please submit them with your Picture Reel Thoughts . We can not return photos but we will try to publish them.
Inside the EDA: Small Business Loans at EDA The Economic Development Authority has two lending entities, the Govern‐ ment Development Bank and the Small Business Development Authority. These entities provide financial and technical assistance to the local business commu‐ nity. Through various loan programs the GDB & SBDA provide capital to businesses to be used for financing; start‐up busi‐ nesses, business expansion, the pur‐ chase of an existing business, the pur‐ chase of inventory, materials & supplies, the purchase of furniture and fixtures and working capital. In addition, the entities provide manage‐ rial and administrative assistance to their clients through counseling and counsel‐ ing referrals. The Lending Unit provides both secured and unsecured loans from $1,000.00 to $100,000.00 to qualified
businesses – farmers and fishermen, wholesale and retail businesses, service businesses, e‐commerce businesses. During this fiscal year the Lending Unit ex‐ pects to meet its goals and objectives, some of which are increasing collections by 20% ($1,000,000.00), reducing the out‐ standing delinquency portfolio principal balance by 25% improving the loan portfolio currency ratio by 10%; converting fully to our web‐based underwriting system; imple‐ menting “new” loan repayment options (e‐ payments), automatic account debit, credit/debit/ATM payments; and consoli‐ dating both lending entities into one all encompassing entity. In addition, the Lending Unit is trying to develop a Small Contractor’s Bonding Pro‐ gram and establish a Certified Develop‐ ment Company (CDC) this fiscal year.
In The Zone
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Calendar of Events April 2008 8 CDBG Public Hearing (STT ‐ 6pm) 9 Christiansted Cultural Walk (STX ‐ 10am)
May 2008
June 2008
1 School Poster Contest begins
3 EZ Decision making meeting (STT ‐ 8:30)
6 EZ Decision making meeting (STT ‐ 8:30)
16 Christiansted Open house (STX ‐ 9 ‐ 1pm)
13 Christiansted Church Leader‐ ship meeting (STX ‐ 10am)
20 Sunset Jazz
15 Savanne Community Meeting (STT ‐ 6pm)
24 Deadline for EZ application submission
16 Frederiksted Open house (STX ‐ 9– 1pm)
30 New In the Zone available
18 Sunset Jazz (STX ‐ 5pm) 21 Deadline for EZ application sub‐ mission
20 Deadline for EZ application sub‐ mission
22 EZ St. Thomas Open House
21 Frederiksted Church Meeting
10 CDBG Public Hearing (STX ‐ 6pm) 15 EZ Decision making meeting (STT ‐ 8:30)
Calendar is subject to change.
EZ Appreciates: Stennett Dariah of the St. Croix Foundation In the last quarter whenever an application was submitted to the Enterprise Zone Com‐ mission, the applicant would usually start the conversation by saying, “Stennett told me to apply.” Of the four applicants that applied Stennett was in contact with three of them.
Stennett was born and raised on St. Croix, attended Central High School and City Uni‐ versity, where she acquired a Bachelors of Science degree in Business with a concen‐ tration on Human Resource Management. She has worked with the St. Croix Founda‐ tion for the last 6 years.
Ms. Dariah is the Program Coordinator for the St. Croix Foundation, an EZ Stake‐ holder, but she is also an ambassador for St. Croix and door to door she can tell you everything you would need to know about Christiansted.
Her direct supervisor Deanna James said this about Ms. Dariah ‘ “Stennett demon‐ strates commitment to being a team player and has firmly established her as an invaluable asset to the foundation”.
She is involved in programs such as the Paint, Scrape and Rejuvenate, Sunday Market Square revi‐ talization and the Taste of St. Croix and is a member of the Citizens Integration Team, an advisory body of the Police Department.
Her willingness to always help her col‐ leagues, others that need a helping hand and generally the people of St. Croix earns her the EZA award for this quarter.
We appreciate you Stennett!!!!!!
Economic Development Authority Enterprise Zone Commission
EDA Governing Board: Chairman Albert Bryan, Jr., Vice Chairman Nathan Simmonds, Secretary Lynn Millin‐Maduro, Members Randolph Allen, John Lewis, Jose A. Penn and Henry Smith, PhD.
1050 Norre Gade # 5, St. Thomas, VI 00802 Phone: 340‐774‐8104 Fax: 340‐774‐8106
EZ Committee: Chairman Jose A. Penn, Vice Chairman Henry Smith, PhD., Secretary Lynn Millin‐Maduro, Members Randolph Allen and Albert Bryan, Jr.
We’re on the Web: www.USVIEDA.ORG
Staff: Percival E. Clouden, Chief Executive Officer, EDA, Nadine T. Marchena Kean, Director, EZ and Members Cusa Holloway, Kizzy Moscoso and Raheem Smith.
Mandate Title 29 VIC Chapter 19 section 1002 states that the intent of this agency is “to provide the necessary means to assist local communities, their residents, and the private sector in creating the proper economic and social environment to induce the investment of private resources in productive business enterprises located in severely distressed Enterprise Zone areas and to provide jobs for the residents of such areas. In achieving this objective, the territory will seek to provide appropri‐ ate investments, tax benefits, and regulatory relief of sufficient importance to encourage the business community to com‐ mit its financial participation.” The laws additionally states that the intent is to accomplish these goals by “removing un‐ necessary governmental regulatory barriers to economic growth, and to provide tax incentives and economic develop‐ ment program benefits.”