Government Employees Retirement System board reports April cash deficit and $484.3M portfolio value

The Government Employees Retirement System of the Virgin Islands board of trustees on May 28 received financial and operational updates showing a cash shortfall for April, continued portfolio recovery and progress on the Havenside development.

Treasurer’s figures showed a net cash deficit for April of $10,392,731 and a year‑to‑date net cash deficit of $32,718,524, and the treasurer said the system has withdrawn $100 million from the investment portfolio so far in the fiscal year. The treasurer presented monthly collections and disbursement schedules and told trustees that April collections covered about 59% of that month’s disbursements.

The investment officer reported that the total plan returned about 5% for April and that the portfolio was up about 6.1% fiscal year‑to‑date, with strong domestic and international equity performance and mixed fixed‑income returns. “Total plan returned 5% month to date and and we're up about 6.1% fiscal year to date,” the investment officer said. The officer reported an ending market value for the portfolio of approximately $484.3 million and described a month in which staff did not need to request liquidations from managers even while the fund recorded net cash outflows to pay benefits.

Administrator Dawson and operations staff updated the board on program and facilities items. Dawson said the system has about 8,790 retirees on payroll as of the May 15 run and that 202 retirees were added to payroll year‑to‑date. The administrator reported a loans portfolio of roughly $16.88 million and said a second tranche of limited active loans is scheduled to launch the following week.

The chief operating officer told trustees that FEMA revised reimbursements for hurricane‑related permanent projects to 95%, producing an additional approximately $29,000 for projects on St. Thomas and St. Croix; staff said checks arrived the day before the meeting. The administrator and staff also reported Havenside visitor‑center work about 47% complete and a sculpture that is 90% complete and bound for casting, and they said the security building permit has been issued and bids are being sought. Administrator Dawson noted two staffing vacancies (a Havensite security supervisor and an assistant administrative specialist) and said rental‑collection work had yielded a roughly $121,000 payment from the Department of Justice toward past sums due.

In routine procedure, trustees voted to accept the minutes from the April 23 meeting, accepted the treasurer’s report and accepted the investment officer’s report by roll call votes in which all present voted yes with one trustee recorded as absent. The board then voted to move into executive session to discuss matters described by the chair as trade secrets or other information whose premature disclosure would frustrate agency action.

Why it matters: The retirement system's monthly cash deficit and the need to withdraw from investments are routine items for pension funds that pay monthly annuities; trustees and staff will continue to monitor cash management, contribution collections and portfolio liquidity while advancing capital and operational projects tied to Havenside. The investment officer’s positive returns so far this fiscal year partially offset the drawdown required to meet benefit payments.

Votes at a glance
- Accept minutes (April 23, 2026): Moved by Trustee Andre Dorsey; seconded by Trustee Leona Smith; outcome: approved (roll call: Dorsey yes; Leger yes; Smith yes; Cowwood yes; one absent).
- Accept treasurer’s report (April 2026): Moved by Trustee Andre Dorsey; seconded by Trustee Vincent Leger; outcome: approved (roll call: Dorsey yes; Leger yes; Smith yes; Cowwood yes; one absent).
- Accept investment officer’s report (April 2026): Moved by Trustee Andre Dorsey; seconded by Trustee Vincent Leger; outcome: approved (roll call: Dorsey yes; Leger yes; Smith yes; Cowwood yes; one absent).
- Move to executive session: Moved and seconded (transcript records mover as Trustee Andre Dorsey); outcome: approved (roll call: majority yes; one absent).

What’s next: Trustees recessed into executive session at the end of the public agenda to consider matters the board characterized as confidential; no formal action from the executive session was recorded in the public portion of the transcript.