Administrator reports $194.4 million in retiree payroll, loan activity and delinquent DOJ rent collections

The administrator of the Retirement System reported that as of the June 15, 2026 payroll there were 8,791 retirees on the payroll totaling $194,428,739 from Oct. 1, 2025 through June 15, 2026, and that refunds of contributions totalling $447,321.95 had been processed through May 2026, the administrator said.

Why it matters: The size of the payroll and the system’s lending and rent-collection operations affect the agency’s cash flow and the local economy; the administrator warned that prolonged collection delays from large tenants could force escalated legal action.

At the meeting, held later than planned to allow the administrator to present to an outside securitization corporation, the administrator provided a progress report on benefits processing and lending activity. The administrator said 89% of 301 retirement applications through fiscal 2025 had been processed and that 2026 processing stood at about 25%.

On lending, the administrator said an active personal-loan campaign has produced 1,827 active loans as of May 31, 2026 — 880 in St. Thomas and John district and 947 in St. Croix. The administrator also reported 638 outstanding retiree loans (285 in St. Thomas and John; 353 in St. Croix).

Mortgage activity was described as legacy only; the administrator said the mortgage portfolio is “some 16.9 million” and later mentioned district figures that are inconsistent in the transcript. The record notes a discrepancy in the numbers reported for the mortgage portfolio that the minutes do not clarify.

The administrator described several facilities projects: a planned renovation of the St. Thomas lobby and restrooms to meet ADA compliance and plumbing needs, work on the Haven-site green space that is about 64% complete with a memorial sculpture planned for the courtyard, and the procurement of bids for a security building to be funded by Haven Development as part of a development agreement.

On rent collections the administrator said the Department of Justice has been the system’s largest delinquent payer and that, after exhausting other remedies, staff have drafted a demand letter to the attorney general that could lead to court action if the matter is not resolved. “Of course, this isn't a step that we take lightly because we have no desire to embarrass the chief law enforcement arm of the government of the Virgin Islands,” the administrator said, adding that staff would prefer to resolve the matter without litigation.

A committee member asked whether a suit against the attorney general would be filed in local or federal court; speakers clarified that federal courts lack jurisdiction over typical tenant-collection matters and that local courts would handle such cases.

The meeting also included brief committee reporting (the investment committee met June 17 to discuss an auditor agreement and a loan item addressed in executive session). No formal policy votes or contract awards were recorded at this meeting. The board moved to adjourn; the adjournment motion was made by Trusty Dorsy, seconded by Trusty Clark and approved by roll call vote.