Container Tax Doubled After 22 Years as Lawmakers Push Financial Lifeline for Waste Management Authority
The new law doubles rates for 40-foot containers and introduces a fee for 45-foot flat racks, aiming to raise $4.1 million annually; lawmakers supported the changes as a long-overdue update aligned with rising port and solid waste costs.
2025-07-11 18:52:14 - VI News Staff
Lawmakers on Thursday voted in favor of legislation to increase the cost of bringing containers or flat rack containers into the Virgin Islands. Bill 36-0039 was sponsored by Senator Angel Bolques Jr., who called it a “long overdue update to the Virgin Islands Container Tax.”
According to the draft legislation, a container up to 39 feet will be charged $100 instead of $50. Containers 40 feet and more will be charged $200 instead of the previous $100. The fee, Bolques said, “has not been updated despite the rising cost of port operations, infrastructure maintenance and waste management.”
The bill also adds a “new container rate for 45-foot flat rack containers, which are the standard across the global shipping industry in the areas of heavy materials and construction.” Still, Mr. Bolques maintained that despite the increase, the USVI will remain competitive. He also dismissed concerns over the impact on consumers. “Let's be realistic, while shipping companies may threaten to pass the cost along to consumers, the actual impact per item is negligible when broken down.”
Bill 36-0039 was an easy ask for lawmakers. “I am definitely in favor…It’s been over 22 years. The container tax hasn't been modernized to reflect inflation and other increases of cost,” said Senator Ray Fonseca.
The main point of contention was with how the funds collected from the container fees will be distributed. As written, the bill allocates half of the funds to the general fund with the remaining 50% earmarked for the Anti-Litter Beautification Program. Of that 50%, half (i.e. a quarter of the collected total) is intended for solid waste collection efforts by the Waste Management Authority. The other half will fund the Anti-Litter Beautification Summer Youth Program.