How the system “Really” works This column presents a conservative viewpoint about items of interest in our community and our lives. Focus is on items impacting your pocket book, your personal freedoms, and your rights. I hope you will read the column regularly and it occasionally influences your opinions and actions. Now, on to the subject of the week:
“How a corrupt oversight process for Florida’s utilities through the P.S.C. has caused us to be faced with unreasonable costs for our electricity.”
A revealing column was written last Sunday by a columnist for the St. Pete Times, Howard Troxler. In his column he revealed some of the corrupt processes which are related to the operation and control of the PSC. As you read excerpts from his writing, remember that the utilities are huge contributors to virtually every legislator in Tallahassee.
His column was titled:
“Legislature goes after PSC members who sided with consumers over electric companies”
Troxler pointed out that the Public Service Commission recently made a historic ruling by denying a huge rate increase for Florida’s two biggest electric companies. (These did not include Gulf Power, which supplies much of the power to Jackson County.)
The columnist then pointed out the fact that the Florida Legislature has reacted to that action by the PSC by exerting legislative pressures to get the PSC back into line, approving requests for increases instead of representing the consumers. They began by threatening the job of Public Counsel, J.R. Kelly, who is the staff lawyer on the PSC who is supposed to represent the customers in opposition to the lawyers from the utilities when hearings are conducted as part of their decision making processes.
Troxler then notes that this action which was designed to exert pressure on the PSC by the legislature caused a public outcry which then gained the support of the Governor. The move by the Legislature to remove Kelly for doing a good job of representing the customers is still pending. We should watch to see the outcome of this tactic.
The article also pointed out that the Legislature is also putting pressure on the two new appointees to the PSC, since they voted to deny the increased rates. These two new appointees are Ben Stevens and David Klement, and they still have to be confirmed by the Florida Senate. Thus, the threat to deny the conformation unless they show they will vote the way the legislators want them to vote in the future.
The column identified a Senate leader, Mike Haridopolos, for publically making disparaging remarks about these two new appointees.
“All I know is what I read in the newspaper,” Haridopolos said, “that one guy was a columnist and another guy was a bar owner.”
The “columnist” is David Klement, the editorial page editor of the Bradenton Herald for 30 years and then becoming the Director of the Institute for Public Policy and Leadership at the University of South Florida’s Sarasota campus.
The “bar owner” is Ben Stevens, who has invested in a bar in Pensacola. However, he is the former President of the Florida Institute of Certified Public Accountants and former Finance Director of the Escambia County Sheriff’s Office. Both would appear to be solid citizens of our fair state.
The article then pointed out other “pressure tactics” being used by the legislature as a means of exerting pressure on the PSC members.
The Senate also is “concerned” that members of the PSC do not have the proper “qualifications.” So there’s a proposal to change the law to require a college degree — which the PSC chairman, Nancy Argenziano, lacks. Her term expires next year, along with that a fourth commissioner, Nathan Skop. Troxler pointed out that the utilities who had their increases denied, Florida Power & Light and Progress Energy Florida, will file new requests for rate increases — hoping for a more friendly PSC to grant their wishes after being worked over by the Florida legislators.
Troxler stated “The current President of the Senate is Jeff Atwater, a Republican from North Palm Beach. He is running to become Florida’s chief financial officer. Atwater’s people were not happy when I said he was ultimately responsible for the attack on the public counsel. But as President of the Senate, he is.”
Will he also be known as the Senate President whose chamber fired the Public Service Commission — for siding with consumers?”
One of the primary problems is that the PSC is currently under the control of the Legislature, part of the legislative branch. This includes the Office of Public Counsel. This situation thus allows the Legislature to put this kind of political pressure on the Commission. Remember the fact that the utilities are huge donators to the campaigns of most of these elected officials. They are thus obligated to the utilities.
Troxler feels the Public Counsel should be moved to the control of the State Attorney General. The PSC itself should be constitutionally independent. I personally feel the PSC members should again be elected on a district basis, and their real supervisors should be the voting public.
I agree with Troxler when he stated that for now, the public should hold the entire Legislature accountable, in this election year, for whatever happens.
Troxler ended his revealing column with the statement “Not a single legislator will be able to say, ‘It wasn’t me who did this.’ They all are responsible, every one.”
It is interesting to note that in 2008 Florida Power and Light donated $1,327,383 to the Political Parties in the State and $72,000 to legislators, Teco Energy donated $943,000 to parties, and $121,500 to candidates as do all of the utilities. They either donate directly or through their state associations and Political action committees. Through this flow on money they exert influence on our elected officials. All of our local legislators take donations from their respective parties, so part of that money is money donated by the utilities.
This article did not deal with the series of rate increases which were previously granted to our local Florida Public Utilities, but you can rest assured the same tactics were in play. Too many Florida legislators have received too much money from the utilities. These legislators then pull the strings of power to be sure the PSC votes to favor the utilities when the time comes. It is a dirty, corrupt system…..and we are all suffering from the results. (P.S. My FPU electric bill was $1142.00 this month, what was yours?)
This is representative of the many blogs which followed the article in the St. Pete Times-
Chuckwillswidow wrote:
“I am beginning to wonder if government of, by and for the people really exists anymore. It certainly does not appear to exist in the Florida legislature. These actions by the Florida Legislature to squelch good government and support big business tells us much about the greed, lack of character and dishonesty of those who deceptively claim to represent the best interests of the people.”
Rudiments: Odds and Ends Worth Mentioning
• Perhaps all struggling businesses in the area should begin to add a new charge on their bills to customers. After we have added the sales taxes, the bed tax (if you are an inn), then we should sub-total those amounts and then multiply by an additional 10% and label it “Electrical surcharge and municipal franchise add-on”
• As you drive around the county and the state, take note of all of the empty, closed, and abandoned junior store-filling station businesses. All of those lost jobs, all of that lost investment, and all of that worthless real estate, is a testimonial to the unfettered power of our state Department of Environmental Protection.
• New Years Resolution (Always include something nice) – I worked in a factory in the Dominican Republic all of last week, doing some management consulting/engineering work. I saw hundreds of people working very hard to earn $56.00 per week….and being very happy to be employed. Even though our standard of living may be starting to decline at this time….it still has a long way to fall before we reach the bottom.
Note: The opinions stated in this column are solely those of the author and do not necessarily represent those of Hatcher Publications.
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