JACKSONVILLE, Fla. — Jacksonville City Council President Kevin Carrico (R-District 4) announced he is launching a special investigatory committee that will dig into several issues at JEA Wednesday, but already some city leaders are questioning the story justifying the committee’s existence.
The bipartisan committee will be comprised of three city council members, Councilmember Ju’Coby (D-District 10), Councilmember Rory Diamond (R-District 13) and Councilmember Ron Salem (R-Group 2 At-Large).
The committee is tasked with investigating JEA’s failure to charge several large commercial customers as much as $100 million over at least three decades for additional capacity fees.
Action News Jax revealed Monday, Mayo Clinic is one of the large customers which may owe $18.9 million JEA failed to charge the hospital as its campus expanded over the years.
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An opinion Action News Jax obtained from JEA’s bond counsel also alluded to a plan that would have involved foregoing those past charges for the hospital.
“This is your utility and when the Inspector General says there’s something here, we need to look at it, I need your help, I’m gonna act on that,” Carrico said.
The special committee will also investigate allegations made by JEA employees related to a toxic workplace environment and racial discrimination in hiring and firing.
Carrico was the first to bring to light issues about the work environment at JEA and said a dozen employees have come forward as of Wednesday.
Mayor Donna Deegan later described Carrico’s accusations against JEA CEO Vickie Cavey a “vile smear campaign”.
The following week, we also heard former JEA General Counsel Kurt Wilson articulate similar concerns, as did JEA Board of Directors Vice Board Chair Rick Morales.
Wilson claimed he was fired after bringing his concerns to leadership.
Morales’ concerns were described as “hearsay” by his fellow board members, who declined to bring in an external firm to survey employees during the board meeting on February 24th.
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In the following board meeting, Morales’ designation to become the next JEA Board Chair was vacated and a new slate of designated leaders was chosen by the board.
While announcing the launch of the new special investigatory committee, Carrico said he did so at the request of the city’s Inspector General.
On Tuesday, Action News Jax reported on the letter sent by the Inspector General to Carrico.
In that letter, the IG asked for council auditor’s help on a “limited-scope project” relating to the allegations JEA failed to collect capacity fees from several commercial customers.
But the IG’s letter makes no mention of workplace complaints, nor does it mention the formation of a committee.
When Action News Jax asked about the discrepancy, Carrico claimed he and the IG agreed in private conversations that the formation of a special committee would be the best path forward.
“Being that there’s a multitude of issues, we had conversations one on one, then agreed that a special investigative committee would be the best way to get that, to get that resource so we could look into it independently. This body will have subpoena power. They can call witnesses forward. They can ask tough questions and people have to go under oath to appear in front of this body,” Carrico said. “So, that is really the reason we formed the committee, his charge and the reason that we need to get to the bottom of this because the ratepayers deserve it.”
But Councilmember Matt Carlucci (R-Group 4 At-Large) cried foul after he spoke with the IG, who told him he did not ask for the committee to be formed.
“And if we’re trying to get to the truth, then it’s usually best to start out on an honest foot, and we haven’t done that,” Carlucci said.
Mayor Deegan also weighed in on the issue, highlighting the fact Carrico himself is under investigation as a result of his personal dealings with JEA.
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“The Inspector General asked for a ‘limited-scope project,’ not the spectacle of a politically charged council committee weaponized against our JEA. That this effort is being driven by the Council President, who is himself the focus of a State Attorney investigation around his own JEA board appointment, further calls into question its legitimacy,” Mayor Deegan said in an emailed statement. “This is just more of the same power play that traces back to the people who tried to sell off our publicly owned utility the first time. JEA has a professional board, the majority of whom are appointed by the City Council. It is the board’s job to provide oversight. This new committee is an overreach that will only waste taxpayer dollars for personal political gain.”
Action News Jax was first to reveal Carrico’s now infamous text in which he told JEA Board Member Arthur Adams he planned to replace him on the board because he owed a “big favor to a friend”.
Carrico’s pick was his own boss at the Boys & Girls Club, Paul Martinez, who later pulled his own nomination after Action News Jax’s reporting.
Carrico has since announced a new nominee to replace Adams.
On the issues at the heart of the new special investigator committee, Carlucci said he agrees the fee issue is real and is supportive of the IG’s request for auditors to get to the bottom of it.
But he argued the other allegations are best left for JEA to deal with internally.
“And I think we are stepping into uncharted waters that are especially turbulent because of the elections coming up,” Carlucci said.
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