USVI 2026 Budget Highlights

St. Croix Times Staff

Overview of FY 2026 Budget

“This year’s budget is not just a set of numbers. It reflects our vision to keep moving the Virgin Islands forward with purpose and discipline,” Governor Bryan stated. “We have now submitted the budget on time for seven consecutive years, which speaks to the dedication of this administration to meet our obligations and stay focused on delivering real results for the people of this Territory.”

The proposed budget includes $936.4 million in General Fund appropriations, with a total budget across all funds reaching $1.64 billion. It builds on years of fiscal reform and economic recovery and is designed to adapt to shifting national trends while safeguarding the Territory’s financial health and public investments. 

Projected gross revenues total $1.03 billion, with growth expected in four of the five major tax categories: Gross Receipts, Excise, Real Property, and Personal Income Tax. A modest decline is anticipated in Corporate Income Tax revenues due to broader global economic conditions, though that shortfall is being offset by continued growth in tourism and ongoing reconstruction activity. 

Julio A. Rhymer Sr., Director of the Office of Management and Budget (OMB) emphasized the strategic nature of the proposal.

“This budget takes a disciplined approach to strengthen operations, increase compliance, and make sure resources are tied to results. We are positioning the Territory to stay on course, even as the federal landscape shifts,” Director Rhymer stated.

The proposal includes stronger tax enforcement, better recovery of delinquent property taxes, and expanded oversight of newer economic sectors like short-term rentals and other parts of the shared economy.

The budget also supports wage increases for government workers (recently voted by the Senate to reach $35/hr), major investments in digital systems and transportation, and improved compliance with federal grant requirements. 

“We are not here to simply manage finances. We are here to invest in our people, modernize how the government works, and build a better future,” added Governor Bryan. “This budget continues that work.”  

More Workers Needed More Grant Oversight

Other pertinent discussions that occurred during the week of Budget Hearings involved the need for an additional 7,000 more workers to meet the demands of the GVI’s $23 billion federal infrastructure agenda. 

“We would need 7,000 workforce employees outside of the existing population,” Adrienne Williams-Octalien, Director of the Office of Disaster Recovery told the Committee on Budget, Appropriations, and Finance. “There’s a lot  to be done but there’s a gap from the very beginning that is pretty much unattainable with our existing population. We’re really at an employee deficit and we will need more than what we have.” Ms. Williams-Octalien explained the problem of receiving the federal funds and not having the workforce to implement such incoming monies.

“What we really need to focus on is developing a workforce, going back to the basics such as electricians, plumbers, carpenters,” stated Julio Rhymer, OMB Director. 

At this point in time, with the Trump Administration clamping down on illegal aliens, there seems to be little opportunity to bring in enough workers to satisfy the demands of the USVI’s future infrastructure construction projects.

St. Croix Times Note: Of course no one wants to hear the solution which is perhaps right at hand, by pouring more education dollars into St. Croix Career & Technical Education Center (CTEC) and making it mandatory (not voluntary) for every high school student to take one or two classes a semester at CTEC. 

Crackdown on Federal Grant $$

For the past few Administrations, there has been millions of dollars lost to the Territory due to the inefficiency of meeting federal grant deadlines. Gov Bryan realizes this problem all too well and has instituted a number of positive changes requiring departmental finance heads to report directly to the finance commissioner as part of a more efficient manner in which to handle grant compliance.

“What we’re really doing now is forcing the issue,” said Mr. Rhymer OMB Director.”We are making the departmental chiefs of finance held more accountable for spending their money. If not, there will be consequences. The focus is now on spending federal funds in a compliant and efficient manner.”