Doing Business
HELPFUL LINKS:
Virgin Islands Economic Development Authority- The Virgin Islands Economic Development Authority (EDC) is a semi-autonomous government instrumentality responsible for the promotion and enhancement of economic development in the United States Virgin Islands. It has five major components, to wit, the Government Development Bank, The Economic Development Commission, the Industrial Park Development Corporation, the Small Business Development Agency and the Enterprise Zone program.
Virgin Islands Bureau of Economic Research
The Virgin Islands Bureau of Economic Research (BER) compiles and maintains statistics and data on the state of the economy of the U.S. Virgin Islands in support of both public-sector and private-sector decision-making. One of its most important functions is the production of periodic economic indicator and statistical reports. The Bureau also regularly conducts special research projects, in the form of briefing papers and special analyses or surveys.
Department of Licensing and Consumer Affairs - The Virgin Islands agency responsible for business licenses, taxi operators licenses and board certifications. You can apply for a business license online.
WHERE TO GO, WHERE TO STAY, WHERE TO PLAY, AND USEFUL INFO ABOUT ST. CROIX:
www.gotostcroix.com
www.stcroixtourism.com
www.visitstcroix.com
BACKGROUD OF ST. CROIX AND THE U.S. VIRGIN ISLANDS
During the 17th century, the archipelago was divided into two territorial units, one English and the other Danish. Sugarcane, produced by slave labor, drove the islands' economy during the 18th and early 19th centuries. In 1917, the US purchased the Danish portion, which had been in economic decline since the abolition of slavery in 1848.
ECONOMIC OVERVIEW
Tourism, oil refining, rum production and the local government work force form the core of St. Croix’s economic base.
Tourism accounts for approximately 80 percent of the island’s annual gross domestic product. Future growth in the tourism sector is anticipated with the recent return of regular cruise ship arrivals in Frederiksted and the development of three new resorts now on the drawing board – the Wyndham St. Croix Golf Resort and Casino, the Amalago Bay Resort and Marina, and the Seven Hills Beach Resort and Casino.
The Whim Museum, with its reconstructed buildings and library, and the St. George Village Botanical Garden, featuring 18 acres of indigenous plants, trees and flowers, are among the island’s tourist attractions. The National Park Service manages four designated sites – Fort Christiansted, the Steeple Building, the Salt River National Park and the Buck Island National Monument, which is the only underwater national park and snorkel trail and has been ranked as among the top snorkeling sites in the world. There also are two wildlife refuges managed by the National Fish and Wildlife Service – Sandy Point at the western tip of St. Croix and Green Cay Island off the east end of the island.
The HOVENSA oil refinery on the south shore is St. Croix is one of the 10 largest oil refineries in the world and the largest in the Caribbean. With about 2,500 employees, HOVENSA is the largest private employer in the U.S. Virgin Islands. HOVENSA was formed in 1998 by subsidiaries of Hess Oil Company and Petroleus de Venezula, SA.
St. Croix is recognized as the birthplace and home of world-renowned Cruzan Rum. The Cruzan Rum distillery located in Estate Diamond traces its origins back to 1760 and was operated by seven generations of the Nelthropp family. Today, it has modernized its facilities to produce some of the most popular and award-winning blends in the world.
World-famous Captain Morgan Rum also has landed on St. Croix. Diageo, the world’s leading premium drinks business, broke ground in 2009 for a $165 million distillery for its Captain Morgan Rum brand at the St. Croix Renaissance Park. When completed in 2011, it will produce 20 million proof gallons of Captain Morgan Rum annually. Captain Morgan Rum is the second largest selling rum in the United States and is among Diageo’s leading brands of spirits, which include Johnnie Walker, Smirnoff, J&B, Bailey’s Tanqueray, Crown Royal and Guinness.
COMMUNICATIONS
The Virgin Islands communication services are the most sophisticated in the Caribbean. With high-speed communication technologies in place, St. Croix is fully accessible to the U.S. and the rest of the world. Local landline telephone service is provided by Innovative Communications Corp. Cellular telephone service is available through most major carriers. Internet services are available through Broadband VI, Choice Communications and Innovative Communications. Global Crossing is a recent addition to the fiber optic network here.
The U.S. Postal Service serves St. Croix with mainland rates. Overnight Express and Priority Mail are available to and from most major mainland cities. Overnight and package delivery services are available through Federal Ex, UPS and DHL Worldwide.
The two daily newspapers, The St. Croix Avis and The Virgin Islands Daily News, as well as the on-line daily newspaper V.I. Source/St. Croix Source (www.stcroixsource.com), keep residents up-to-date on local and international happenings. The New York Times, Wall Street Journal, USA Today, Miami Herald and San Juan Star, as well as other newspapers and periodicals, are flown in daily.
Network, state-of-the-art cable and satellite television offer residents more than 200 channels or programming, along with premium channel options and digital music offerings. There are approximately 20 AM and FM radio stations, featuring formats to please a variety of listeners.
TRANSPORTATION
Air Transportation
American, Delta and US Air provide non-stop service to and from the U.S. mainland. American Eagle, Cape Air, Coastal Air, Liat and Seaborne Airlines provide commuter air service from St. Croix to Puerto Rico, St. Thomas and other Caribbean islands..
Sea Transportation
The ports on St. Croix are operated by the V.I. Port Authority. The South Shore Container Port is the island’s primary port, possessing a 30-ton gantry crane, with lift-on/lift-off capabilities and an ability to handle roll-on/roll-off cargo. Shipping to and from the U.S. mainland and other ports is available through several local shipping, cargo and maritime businesses. The Christiansted Harbor at Gallows Bay can accommodate small commercial draft and a limited amount of roll-on, roll-off cargo. The recently expanded Frederiksted Pier is designed exclusively to accommodate cruise ships.
Ground Transportation
St. Croix has several full-service trucking firms capable of handling all types of cargo. Moving, warehousing, customs brokerage, stevedoring and trailer hauling services are available. An excellent road system accommodates the easy flow of cargo from the airport and seaports to most destinations within 30 minutes Passenger service is available through a large network of taxis, taxi vans and buses. A number of major car rental agencies operate at the airport and at various sites on the island.
REAL ESTATE:
St. Croix offers commercial tenants a variety of office and retail options, ranging from landmark historical buildings in downtown Christiansted and Frederiksted to modern office and shopping centers. Office space ranges from $10 to $15 per square foot annually, while retail space leases from $10 to $30 a square foot depending upon location. Christiansted and the Sunny Isle Shopping Center generally command higher rates.
The 24-acre Industrial Park, developed by the Virgin Islands government, has limited industrial space for those who qualify for benefits granted by the Virgin Islands Economic Development Authority. Private industrial areas such as Peter’s Rest, Estate Diamond and Gallows Bay offer space ranging from $5 to $15 per square foot. Raw land in appropriate commercial or industrial areas is available in price ranges from $60,000 to $120,000 per acre.
The average residential house price was $450,000 for the years 2006/2007, while the median price was close to $320,000. The average house price paid by local buyers was over $360,000. The average sales price for a condominium in 2006/2007 was $176,000.
Residential lots, which range from a low of $25,000 to the ultra luxurious $750,000, made very strong gains in the 2006/2007 period. Despite these increases St. Croix continues to be the best buy in the Caribbean. Building costs continued to push upward, with a bare bones cost of approximately $200-$300 per square foot.
High-end luxury building costs bottom out at $350 per square foot with no ceiling in sight. .Monthly rents range from $700 to $3,500 per month
Member realtors, listed in this Chamber of Commerce Directory, offer extensive services for both local and off-island home buyers and those interested in purchasing property.
*Above statistical numbers supplied by The Settlers Handbook for the U.S. Virgin Islands.
FINANCIAL SERVICES:
St. Croix’s financial community offers a complete range of personal and corporate services. U.S. banking legislation is applicable. Banco Popular de Puerto Rico, Bank of St. Croix, First Bank of the Virgin Islands and Scotiabank all have offices and branch locations throughout the island. Financial services are available through local financial and investment management firms and specialists. In addition, a number of loan companies, insurance agencies and accounting firms all play an important role in providing financial advice and services for local residents.
GOVERNMENT:
The United States Virgin Islands is an unincorporated Territory of the United States Government under the Revised Organic Act of 1954. As a Territory, most federal laws, rules and regulations are applicable. The islands are by treaty outside the United States Customs area and therefore many rules pertaining to Customs are different. Virgin Islanders are United States citizens and every two years elect a delegate to the U.S. House of Representatives who has limited voting privileges. The Virgin Islands are not represented in the U.S. Senate. Virgin Island citizens cannot vote for the President of the United States.
Three co-equal branches of government manage the local affairs of the Territory. A Governor is elected every four years. A 15-member unicameral legislature, seven senators from the districts of St. Croix and St. Thomas/ St. John and an at-large member are elected for two-year terms. Judicial power is vested in the Virgin Islands Territorial Court and District Court under the 3rd Circuit in the Federal Court System.
POPULATION CENTERS:
St. Croix’s two main towns - Christiansted and Frederiksted - are a treat for pedestrians and lovers of distinctive, gracious architecture. The Danes adapted the 18th Century European-style to the tropical environment and due to the danger of fire in the windswept Caribbean, a strict building code was established. They built well with imported yellow bricks (used by the returning ships as ballast) or coral blocks cut from the sea. The results were stately mortar and brick colonnades over covered walkways, still standing today, that create a unique, enduring atmosphere, while offering a distinctive mix of the Victorian and the Danish styles.
St. Croix has the most complete restorations (government and plantation houses) of the 18th and 19th Century architectural style of any Caribbean island. Christiansted, situated on the north shore, is where most of the commercial and governmental activity has historically been concentrated. Frederiksted, on the western shore, charms visitors and arriving cruise ship passengers with a lovely waterfront, several blocks of arcaded sidewalks, the Old Customs House and the restored Fort Frederik, located just east of the A
BANKS:
* First Bank
* Bank of of St. Croix
* Banco Popular de Puerto Rico
* Bank of Nova Scotia
* First Federal Savings
PUBLIC HOLIDAYS:
January 1: New Year's Day
January: Three King's Day
January: Martin Luther King Day
February: President's Day
Holy Thursday
Good Friday
Easter Monday
May: Memorial Day
June 17: Organic Act Day
July 3: Emancipation Day
July 4: Independence Day
July 22: Supplication Day
September: Labor Day
October: Columbus Day
October 21: Local Thanksgiving
November 1: D Hamilton Jackson Day
November 12: Veteran's Day
November: Thanksgiving
December 25: Christmas Day
Boxing DaY
TAXES AND SERVICE CHARGES:
Resort tax: 8%. Service charge: 10%. No sales tax.
There is no sales tax in the Virgin Islands. Businesses pay a 4.5% gross receipts tax.
TIME ZONE
Eastern Standard Time +1 hour.
Greenwich Mean Time -4 hours.
No daylight savings.
CLIMATE:
Average daytime temperature 78 degrees in winter and 82 degrees in summer, low humidity.
Generally, sunrise between 5:30am and 6:30am. and sunset 6:30pm-7:00pm.