S. Rept. 110-19 - Repeal Certain Sections of the Act of May 26, 1936 Pertaining to the Virgin Islands, 2007-02-15

• Date: 15 February 2007
• Type of Document: House Report
• Issuer: Committee on Energy and Natural Resources

59–010

Calendar No. 44

110

TH

C

ONGRESS

R

EPORT

" !

SENATE

1st Session 110–19

REPEAL CERTAIN SECTIONS OF THE ACT OF MAY 26,

1936 PERTAINING TO THE VIRGIN ISLANDS

F

EBRUARY

15, 2007.—Ordered to be printed

Mr. B

INGAMAN

, from the Committee on Energy and Natural

Resources, submitted the following

R E P O R T

[To accompany H.R. 57]

The Committee on Energy and Natural Resources, to which was

referred the Act (H.R. 57) to repeal certain sections of the Act of

May 26, 1936, pertaining to the Virgin Islands, having considered

the same, reports favorably thereon without amendment and rec-

ommends that the Act do pass.

P

URPOSE OF THE

M

EASURE

The purpose of H.R. 57 is to repeal certain sections of the Act

of May 26, 1936 (sections 1401–1401e of title 48, of the United

States Code), to provide the Government of the United States Vir-

gin Islands the ability to fully regulate real property tax matters

in the territory.

B

ACKGROUND AND

N

EED

H.R. 57 would repeal an outdated 1936 Federal statute which

limits the authority of the Virgin Islands Government to assess and

collect real property taxes in the Territory. The 1936 statute was

enacted to address the tax policies of the Danish-era municipal

councils in the Virgin Islands. The 1936 statute was generally

thought to have been repealed by the enactment of the Revised Or-

ganic Act of 1954, as amended, which abolished the municipal

councils and created a comprehensive system of local government

with sufficient legislative powers to resolve local property tax

issues without the need for Federal intervention.

A 2004 Third Circuit Court of Appeals Federal court decision,

however, has revived the 1936 statute, which requires that all real

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