Committee approves increase in Port Authority bonding cap from $100M to $500M; forwards bill to full Senate

The Committee on Rules and Judiciary voted March 27 to forward Bill No. 36-0038, which would amend Title 29 of the Virgin Islands Code to increase the Virgin Islands Port Authority’s bonding limit from $100,000,000 to $500,000,000.

Senate President Milton E. Potter, sponsor by request of the governor, told the committee the existing cap dates to 1988 and constrains the authority’s ability to fund capital maintenance and predevelopment projects for seaports across the three islands. Potter said the increase would provide “financial flexibility” and stressed that the authority would not automatically issue bonds to the new maximum and “only issues debt it can afford to repay.”

Supporters cited growth in cruise and passenger traffic — Potter referenced a projection of 595 cruise visits in fiscal year 2025 and rising passengers — and argued larger bonding capacity would allow the Port Authority to undertake needed infrastructure work. Several senators expressed caution about a fourfold increase in the cap; Senator Clifford A. Joseph said he would propose an amendment to reduce the increase to a lower figure and Senator Alma Francis Heiliger said she could not support the bill in its present form without an amendment identifying the specific projects and financial justification.

Motion and committee action: Senator Milton E. Potter moved the committee to vote favorably; the motion was seconded and passed by roll call. The committee recorded five yeas and two nays. The bill will be forwarded to the full Senate for further consideration.

Ending: Senators who supported the measure said the Port Authority has historically managed debt responsibly; others urged incremental approaches and additional project-level detail before approving a substantial increase.