WICO tells Senate committee it posted revenue gains in 2025 but faces $11.8 million PILOT liability

The West Indian Company Limited (WICO) told the Senate Committee on Economic Development and Agriculture on Jan. 14 that the company's cruise operations posted improved revenue in fiscal 2025 even as an accumulated payment-in-lieu-of-taxes liability remains a major financial challenge.

WICO President and Chief Executive Officer Joseph Bisholte said the company generated $9,400,000 in revenue in fiscal 2025, a 14% increase from the previous year, and reported operating expenses of $6,200,000, a 6% decline from FY2024. "We just reported we have revenues of $9,400,000. We have a net income loss of $2,600,000," Bisholte said in his prepared remarks.

The company disclosed an outstanding PILOT liability of $11,800,000, which Bisholte said includes amounts accrued when cruise calls were effectively halted during the COVID-19 pandemic and after the 2017 hurricanes Irma and Maria. On the mechanism for the payment, Bisholte explained it is set by statute and has changed over time, and said the current formula is "the greater of 10% of revenues or $700,000." He told senators that WICO has not had the cash flow to make the statutory $700,000 payment in recent years.

Bisholte described several avenues the board is evaluating to reduce the liability, including a valuation and potential conversion of property (referred to in testimony as Katherineburg) to the government; he said such a transaction would "put a significant dent" in the liability. He also noted that a 2017 legislative action provided one precedent for a property-based remedy, though the transcript records uncertainty about the exact bill number and details.

WICO presented operational figures underlining the port's regional role: Bisholte told the committee that WICO handled 960,147 cruise passengers in fiscal 2025 (about 58% of the territory's total 1,658,092 passengers) and berthed more than 270 cruise ships. He projected more than 360 cruise ship calls at the Havenside site in 2026 and roughly the same level for 2027, estimates he said would bring about 1.1 million cruise passengers to Saint Thomas in 2026.

The testimony also covered leadership changes implemented in late 2025: the appointment of a Department of Tourism commissioner designee to the board, Hugo Hodge Jr. as chairman, Vincent Richards as vice chair, Roosevelt David as secretary, and Charlene Turnbull returning as chief financial officer.

Committee members began a round of seven-minute questions focused on the PILOT liability and repayment options. Chair Senator Hubert L. Frederick restated Bisholte's clarification that WICO is a territorial corporation "granted the status and authority of a public corporation pursuant to its enabling statute at number 5826" and noted, for the record, that "the PFA owns 100% of WICO." Bisholte responded with historical context on the PILOT formula, the effects of extraordinary events on revenue, and the board's ongoing discussions with government leadership about possible remedies.

No formal motion or vote occurred during the portion of the hearing in the provided transcript; senators continued questioning after the conclusion of the prepared testimony.