Casino commission seeks steady funding, warns of investigator backlog at gaming enforcement

The Virgin Islands Casino Control Commission told the Senate Committee on Budget, Appropriations and Finance on July 23 that it is requesting $1,723,800 in FY26 general fund support for commissioner and staff salaries and fringe benefits.

Chairman and CEO Marvin L. Pickering said the commission's request is intended to maintain a staff of 17 (15 filled and two proposed vacancies) and to support routine operations. The commission reported that for 10/01/2024 through 05/31/2025 it collected $112,750 into the Casino Control Revolving Fund (80% retained by the commission; 20% allocated to the Division of Gaming Enforcement for operating expenses). Year-to-date transfers from the casino revenue fund to the commission were $381,299, the commission said.

Pickering told senators the commission completed its second consecutive financial audit with an unmodified opinion for FY22; the lone repeat audit finding involved a formalized policy for review and approval of financial transactions, which the commission said is being addressed.

DGE backlog and licensing impacts

The commission emphasized that timely background and investigative work by the Department of Justice's Division of Gaming Enforcement (DGE) is a precondition to thoroughly vetting casino-related license applicants. At the commission's last quarterly meeting, DGE Director Oliver David reported a backlog of 385 due-diligence investigations that include new and renewal applications and registrations for gaming and non-gaming entities, casino employees and casino service vendors. Pickering said several investigations can take nearly two years to complete.

"While the commission is using temporary statements of compliance in limited cases to avoid service interruptions, the commission prefers completed due-diligence reports," Pickering told the committee. He asked the legislature to consider restoring or reallocating a portion of casino revenue taxes to support DGE staffing so background checks and investigations can proceed more quickly.

Casinos, revenue and spending

The commission reported that gross casino-revenue tax allocations are distributed to several entities; in FY24 the commission received $554,417 from the casino revenue fund compared with $564,402 in FY23. The committee was shown distributions for departments that receive allocations from the 12% gross-casino tax, including health, education and public safety agencies.

Regulation and internet gaming

Pickering said the commission continues to regulate licensed casinos, issue licenses and exemptions, and oversee compliance. For FY24 the commission issued 690 licenses and work permits across categories; through May 2025 it had issued 432. The commission said it is planning an IGIG (Internet Gaming and Internet Gambling) summit on July 31, 2025, to solicit stakeholder input and inform any recommended statutory updates to 32 V.I. Code section 601 and related rules.

Why it matters

The commission serves as the regulatory and licensing oversight body for casino operations in the territory. The DGE backlog represents an operational and legal dependency: the commission can't complete many licensing decisions without timely investigative reports. Pickering urged legislative consideration of funding options to reduce investigative delays and strengthen oversight.

Ending

The commission asked senators to support the FY26 personnel request and signaled its intention to advance proposed statutory amendments related to internet gaming after the July 31 summit. The commission said it will continue to coordinate with the Department of Justice about investigative capacity and backlogs.