Letter to the President of the Senate and to the Speaker of the House of Representatives Approving Certain Virgin Islands Corporation Activities

Sir:

In accordance with section 7 (a) of the Virgin Islands Corporation Act (48 U.S.C. 1407f(a)) I hereby report my approval of the emergency undertaking by the Virgin Islands Corporation of certain activities of a type authorized by the Act, but not included in the budget program or subsequently approved by the Congress.

The activities undertaken are in connection with the management of the Federal properties in the Virgin Islands known as the Marine Corps Air Facility and the Naval Submarine Base. These properties had been transferred by the Navy to the Department of the Interior for operation and management under a revocable permit. The Department of the Interior had in turn leased the properties to the St. Thomas Development Authority, an instrumentality of the Municipality of St. Thomas and St. John, Virgin Islands. When serious mismanagement of the properties was brought to the attention of the Secretary of the Interior in June 1954, he terminated the lease and directed the Virgin Islands Corporation to assume responsibility for operation and maintenance. Immediate action was necessary to avoid further revenue losses and deterioration of Federal property.

Revenues from the operation of the property are expected to be sufficient to pay all expenses of operation and to restore the property to good condition.

Respectfully yours,

DWIGHT D. EISENHOWER