A dispute between the Virgin Islands Board of Education and the Virgin Islands Economic Development Authority has exposed gaps in information-sharing that may be hindering enforcement of EDC mandatory scholarship donations.

During a July 24 budget hearing before the Legislature’s Budget, Appropriations, and Finance Committee, Board of Education Chair Kyza Callwood told senators that 41 of 99 companies benefiting from Economic Development Commission tax breaks were delinquent in their contributions to the Territorial Scholarship Fund. Callwood said the responsibility for ensuring those payments are made falls on the Virgin Islands Economic Development Authority, which administers the EDC program.

In a formal response issued Tuesday, VIEDA CEO Wayne Biggs Jr. challenged that claim, stating that VIEDA had not received the board’s 2024 report. “VIEDA strongly supports its beneficiaries’ commitment to the Board of Education. However, the statutory responsibility for collecting and tracking these payments rests squarely with the Virgin Islands Board of Education, and the law stipulates that VIBE must submit an annual report to VIEDA, within 60 days after the close of each calendar year … This report is essential for VIEDA to perform its oversight role and follow up with beneficiaries as necessary.”

According to VIEDA, the board’s report for calendar year 2022 was received in August 2024, and the 2023 report was received in March 2024. As of July 24, the 2024 report had not yet been received by VIEDA.

Callwood confirmed with the Source Wednesday that the calendar year 2024 report is in its final stage of review and is expected to be submitted to VIEDA by the end of the day. “We prioritize accuracy and completeness in all submissions,” said Callwood. “As such, we do not release reports until all required information has been thoroughly verified.”

Callwood emphasized that the board is not responsible for enforcing compliance, noting that VIBE lacks both the legal authority and access to the necessary data, such as beneficiary certificates, to track whether contributions have been made.

He said the board’s role is limited to receiving, acknowledging, and reporting contributions made to the Territorial Scholarship Fund. It does not track compliance, he added, because it is not privy to the compliance certificates or other documentation needed to verify payment requirements.

Callwood said the relevant statutes — 29 V.I.C. §§ 707 and 708 — make clear that the Economic Development Authority, not the board, is responsible for oversight. “Monitoring and enforcement duties fall squarely under the Virgin Islands Economic Development Authority — not the Board,” he said. “The law directs VIBE to report only the contributions actually received, not to track delinquencies.”

In an interview with the Source Wednesday, Celina D. Morris, director of Marketing for VIEDA, confirmed that enforcement does fall under the agency’s Compliance Division, but only after the board’s annual report is submitted.

“Because they receive the payments — we don’t — they would then send us the report,” Morris said. “Once we receive it, we can track and see who may be missing, and the compliance unit will follow up to ensure they get into compliance.”

However, according to Callwood, VIEDA has not provided updated beneficiary data or compliance certificates, despite repeated requests since July 2024. “A key challenge we’ve encountered is the inconsistent or delayed transmission of updated beneficiary data and certificate information from EDC to VIBE,” he said. “This impacts our ability to reconcile disbursements and provide accurate reporting.”

Morris said that VIEDA did respond to a request for updated beneficiary information sent from the board on July 10, 2024. “We compiled the information and responded on July 31, 2024, with a complete listing of beneficiaries and their obligations to the Territorial Scholarship Fund at that time,” she said. Morris added that the Board of Education acknowledged receipt of the information but did not provide any further follow-up.

She also noted that the beneficiary list is a “living document,” with updates posted regularly on VIEDA’s website. “The live listing is available on the website with all the beneficiaries at any given time,” Morris said, referencing. She added that members of agencies impacted by the EDC program, including the Board of Education, serve on a task force and are directed to where they can find the most current beneficiary listing online.

While both agencies agree on the importance of the scholarship fund, the public back-and-forth has highlighted issues in sharing information to ensure enforcement of EDC beneficiaries making their minimum required donations.

Biggs called for continued dialogue with the board and reaffirming the commitment of VIEDA to “accountability, partnership, and the continued success of the Virgin Islands Economic Development Commission program.”

 “The Territorial Scholarship Fund is very important. Through the Economic Development Commission, it helps prepare the next generation of Virgin Islanders for the workforce,” said Morris. “It has supported many students — myself included — in pursuing their higher education goals. The program enriches the local talent pool, and we hope many recipients return home to become members of the community again and be a part of the USVI workforce. As our statements have indicated, we are fully in support of the fund and look forward to continuing our collaboration with the Board of Education to ensure all required contributions from EDC beneficiaries are made.”

“While tracking and enforcement responsibilities fall under the purview of VIEDA, we recognize the importance of collaboration and transparency,” Callwood said. “We welcome the opportunity to work more closely with VIEDA to improve data sharing, clarify roles, and strengthen the effectiveness of the scholarship fund.”

Callwood also highlighted the importance of these funds: “These funds help bridge access to higher education and create pathways to economic mobility. We strongly support the original intent of this initiative and are committed to doing our part to ensure the funds are used equitably, efficiently, and with accountability.”