A Major Win for the Virgin Islands: Teri Helenese Secures Long-Term Stability Through Bipartisan Leadership
This year marks a watershed moment for the U.S. Virgin Islands, thanks to the steadfast leadership and bipartisan approach of Teri Helenese, the Territory’s Director of State-Federal Relations and Washington Representative. After years of temporary extensions and repeated uncertainty, Helenese played a central role in securing a permanent rum cover-over rate of $13.25 per proof gallon through H.R. 1, the “One Big Beautiful Bill Act,” signed into law on July 4, 2025.
This outcome was far from guaranteed. For decades, the rum cover-over provisions required Congress to renew the rate periodically — a cycle that created fiscal instability for the Territory, especially after the last extension expired at the end of 2021. Helenese’s strategy focused on sustained engagement, coalition-building, and working with lawmakers on both sides of the aisle. Her ability to build trust, present clear data, and maintain constructive dialogue proved essential in shaping bipartisan support for a permanent solution.
The new provision, which takes effect December 31, 2025, is projected to deliver more than $1 billion to the U.S. Virgin Islands and Puerto Rico over the next decade. For the Virgin Islands — where rum cover-over revenues account for nearly one-quarter of the annual budget — the financial impact cannot be overstated. The permanent rate strengthens the Territory’s ability to plan responsibly, protect the Government Employees’ Retirement System, and invest in critical public services such as healthcare, education, public safety, infrastructure and economic diversification.
By eliminating the need for annual lobbying efforts and removing the uncertainty of temporary measures, this achievement creates a stable foundation for long-term fiscal planning. It also signals confidence to investors, partners and federal agencies that the Territory has a reliable revenue stream underpinning its economic future.
Above all, Helenese’s success underscores what bipartisan collaboration can accomplish. In an era often defined by division, she demonstrated that meaningful results are still possible when leaders remain focused on shared priorities and the wellbeing of the people they serve. Her work on the rum cover-over provision reflects a deep commitment to the Virgin Islands and a clear understanding of how to navigate Washington with both determination and diplomacy.
Teri Helenese’s role in securing the permanent rum cover-over rate is more than a policy victory — it is a major step forward in strengthening the economic future of the U.S. Virgin Islands and a testament to the power of principled, bipartisan leadership.
Advocating for the Rum Cover-Over Legislation
The Rum Cover-Over provision has been in limbo since the expiration of federal tax extenders on December 31, 2021. This essential funding mechanism supports the Virgin Islands’ economy and ensures the well-being of our pensioners. Yet, since its lapse, Congress has not reinstated this critical measure.
Teri Helenese, alongside officials from the Virgin Islands and Puerto Rico, continues to work relentlessly with lawmakers on the House Ways and Means and Senate Finance Committees to stress the importance of this provision and push for legislative action. Teri’s deep expertise in legislative processes and her commitment to advancing the Virgin Islands’ priorities make her a trusted voice in these policy conversations. The Rum Cover-Over remains the lifeblood of the Virgin Islands, and the fight for a permanent solution remains steadfast.
Teri has been at the forefront of efforts to educate vital congressional committees on the critical importance of the Rum Cover-Over legislation. Through her leadership, significant strides have been made toward securing a favorable outcome for this tax extender, potentially yielding $93 million in annual funding. This crucial funding aims to support retirees’ pensions in the USVI via the GERS pension system, finance infrastructure projects, and contribute to Puerto Rico’s Conservation Trust. Teri’s bipartisan approach and extensive engagement with the House Ways and Means Committee, Senate Finance Committee members, and industry professionals have laid a solid foundation for the legislation’s future success. Despite the current gridlock in Washington impeding immediate progress, Teri’s persistent advocacy ensures that the negative financial impacts on the economies of the Virgin Islands and Puerto Rico remain at the forefront of congressional awareness. With unwavering dedication, Teri continues to push for Congress to move past its paralysis, championing a cause that promises substantial benefits for American communities in both territories.
