wp content uploads 2024 06 PSC Order No. 62 2018 Docket 640 STJ Ferry Rate Investigation SUSPEND.e72c30f9
GOVERNMENT OF THE VIRGIN ISLANDS OF THE UNITED STATES Public Services Commission Inre TRANSPORTATION SERVICES OF ST. JOHN, INC. AND VARLACK VENTURES, INC. RATE INVESTIGATION Docket No. 640 Order No. 62/2018 eee ee ORDER WHEREAS, on September 6, 2017, the Virgin Islands suffered a direct impact from Hurricane Irma, which directly struck the St. Thomas-St. John District as a Category 5 storm; and on September 19, 2017, Hurricane Maria directly struck the St. Croix District as a Category 5 storm and cause further damage to the St. Thomas-St. John District; and WHEREAS, as a direct result of these storms, Transportation Services of St. John, Inc. and Varlack Ventures, Inc. (collectively “Ferry Franchisees”) were required to suspend service until the United States Coast Guard (hereinafter “USCG”) inspected and cleared the route(s) between St. Thomas and St. John; and WHEREAS, after the USCG inspected and cleared the route(s) between St. Thomas and St. …
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GOVERNMENT OF THE VIRGIN ISLANDS OF THE UNITED STATES Public Services Commission Inre TRANSPORTATION SERVICES OF ST. JOHN, INC. AND VARLACK VENTURES, INC. RATE INVESTIGATION Docket No. 640 Order No. 62/2018 eee ee ORDER WHEREAS, on September 6, 2017, the Virgin Islands suffered a direct impact from Hurricane Irma, which directly struck the St. Thomas-St. John District as a Category 5 storm; and on September 19, 2017, Hurricane Maria directly struck the St. Croix District as a Category 5 storm and cause further damage to the St. Thomas-St. John District; and WHEREAS, as a direct result of these storms, Transportation Services of St. John, Inc. and Varlack Ventures, Inc. (collectively “Ferry Franchisees”) were required to suspend service until the United States Coast Guard (hereinafter “USCG”) inspected and cleared the route(s) between St. Thomas and St. John; and WHEREAS, after the USCG inspected and cleared the route(s) between St. Thomas and St. John, ferry service was partially restored; and WHEREAS, the Ferry Franchisees suffered losses due to various factors including damage to vessels, the imposition of a curfew, loss of employees, guidelines by the USCG and the Department of Homeland Security, lack of navigational lighting at docking facilities and the availability of fuel and water; and WHEREAS, on December 5 and 6, 2016, Hearing Examiner Jennifer Jones scheduled public hearings regarding the request for a fare increase and Hearing Examiner Jones and PSC consultant Avery Williams testified on the rate investigation conducted and recommended a 9% rate of return and a non-resident rate of $8.15; and WHEREAS, the Commission did not accept the recommendations of the Hearing Examiner and did wish to grant a permanent rate due to the uncertainties surrounding the Franchisees’ revenues; WHEREAS, on December 19, 2017, the Virgin Island Public Services Commission (hereinafter the “Commission” or “PSC”) held a regular meeting at the Henry E. Rohlsen Airport on St. Croix, where the Ferry Franchisees testified on the status of their operations since the hurricanes; and