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Senator seeks to raise maximum judgment against GVI from $25,000 to $150,000; League supports increase, OMB urges analysis
Summary
Senator Alma Francis Heiliger moved April 15 to raise the maximum judgment against the Government of the Virgin Islands from $25,000 to $150,000; the committee held the bill to gather more fiscal and legal analysis.
Senator Alma Francis Heiliger presented legislation on April 15 to raise the cap on maximum judgments against the Government of the Virgin Islands from $25,000 to $150,000. The increase would change the maximum award for damages in actions against the territorial government.
Sponsor rationale: Senator Francis Heiliger said the $25,000 ceiling has stood for roughly 40 years and no longer reflects inflation or modern litigation costs. She cited comparisons with other states (examples discussed in committee included Florida, Colorado and Idaho) and said raising the cap would better compensate claimants and could create stronger incentives for careful government performance.
Witnesses and comments: The League of Women Voters told the committee it supports raising the ceiling but did not take a position on the exact cap; the League also asked questions about the funding source for awards and whether government insurance terms should be adjusted. League testimony noted it was unable to complete its own comparative survey in time for the hearing but supported the principle of increasing the ceiling.
OMB and fiscal concerns: Office of Management and Budget staff cautioned that raising the cap would materially increase the government’s contingent liabilities and that budgeted funds for judgments remain constrained. OMB noted the FY25 appropriation for large judgments (greater than $25,000) was $250,000 and said raising the ceiling could increase pressure on future appropriations or insurance arrangements.
Committee action: Senators discussed compromise options and invited further input from the Department of Justice and insurance administrators to clarify likely fiscal impacts and coverage arrangements. The committee voted to hold the bill pending additional testimony and analysis.
Ending: The League and the sponsor said they were open to continuing the discussion to identify an appropriate new cap and to understand how the government would fund increased awards. The committee requested follow‑up testimony and analysis before any final recommendation.
