GUEST COMMENTARY
LYNNE LARKIN
Why did the Vero Beach City Council sneak away to Lake Worth for their first utility dog and pony show? Wasn’t it Ms. Turner who demanded that the entire sale process be out in the open, available to everyone under the Sunshine of Florida.
There was no mention on the COVB website or in any publication, including the Press Journal, that Vero Beach was presenting their position to the joint meeting of the Lake Worth City Commission and their Electric Utility Advisory Board back on August 6. No news story appeared about it afterwards, either. We checked with the City Clerk’s office and found that there was merely one email from Jim O’Connor to the council mentioning he’d been invited to speak on August 6. No follow-up of any kind from O’Connor’s office. I guess Ms. “Sunshine” Turner wanted this to remain in the shade.
According to Lake Worth files, that city was seeking somebody to provide “objective information” about the COVB’s efforts to sell its utility and an “independent view” of the sale. With three of his bosses bearing down on O’Connor to sell at any cost, it would be interesting to determine just why Lake Worth would think O’Connor could be in any way independent or objective about this subject. But then, just in case he let some of that objectivity slip out, Ms. Sunshine was there to put a lid on it.
A tape of that meeting reveals a few interesting items. A favorite: “A sale is not your only option,” states O’Connor. “There are many variations” to consider, “keep an open mind to all,” he says. But he adds that Vero Beach is “fixed only on getting the plant off the river.” Hmmm.
The main reason O’Connor cites for the sale is that “the community doesn’t like the location of the plant,” that it isn’t “picturesque.” That’s the main reason. Then he states that, while the plant itself is run and maintained under very high standards and has good reliability, since it is “over 50 years old” it is “outdated.” Even when quizzed by Lake Worth officials about why Vero Beach would allow no upgrades for 50 years, both he and Turner pretend that this is accurate.
In fact, the plant has been upgraded many times or it would have no value at all and would be unable to provide any power. The fact that they left this bogus impression on an incredulous audience says a great deal about how “objective” this presentation actually was.
Even more enlightening was O’Connor’s reasoning as he explained why, after a respected company evaluated the financial worth of the plant and business at close to $200 million, Vero Beach was settling for what looked to be less than $8 million in net proceeds. [O‘Connor had failed to explain that the real number far less]. He used the example of selling a home: If you need to move, if you have to sell, the price or value you will place on that house is one number. If you can take your time, wait for the best offer, the number is higher. He says the parameters of what you want and the limitations you face define what price you are willing to accept.
This is a remarkable admission. The City, in the hands of the Troika, has been acting as if they’ve been transferred to another state and are under the gun to sell. Now we see why they refused to get other offers, refused to consider other ways to reduce rates. Indeed, they’ve kept rates artificially high in order to make sure the fires to sell keep burning! The rush?? Their desire, nothing more. Lake Worth says they are crunching the numbers so that financial reasons are their bottom line. O’Connor says, well, every city is different.
O’Connor also admitted that the only study on which the City has relied for determining what loss of services will mean is the spreadsheet Feheranty have put out. The City has not done any calculations in this regard. They wouldn’t have to calculate any losses if they are planning on not having any services in the future, of course. Why else would a city run madly toward the exit doors without a thought to what our future will be unless there really is no future? In other words, if you want to keep our Vero like it is, you had better take a stand on getting out in a financially sane manner. This is not a priority, as described by both O’Connor and Ms. Sunshine. And taxes, yes, O’Connor admits that taxes will rise well beyond the 2 mils now being assessed.
Pilar Turner can’t help put in her remarkable additions, of course, and she is adamant that the basis for everything she does is the outrage of the 60 percent of customers outside the city limits. Yes, her priority is protecting the majority of customers, not her constituents. She even laughs that the city taxpayers have been happy with the situation, of course, but says it’s time for change, and she repeats that trope that Feheranty made famous: By paying for utilities the county is being taxed [which would mean that they city taxpayers are being taxed twice, since there is no difference in rates]. She asserts it’s time that the customers take precedence, not the city residents. Paying for your local parks, streets, fireworks, that’s a crime while paying the FPL board of directors millions in bonuses, that’s better.
Is there still any mystery why they didn’t want Vero Beach citizens to attend their sales pitch?
There is a great deal more that could have been reported, including another favorite where O‘Connor points out the only way to have people conserve energy is to let rates rise. The lower the rates, the more people use. There is no push to have people conserve in our City, so that their bills would go down, just a push to sell. And when he admits COVB will have no control over FPL rates, you really do want get that repeated again and again. Although Lake Worth has committed itself to meeting or beating FPL rates within five years, we are one only one track. If we hadn’t been concentrating solely on selling, and spending millions to do it, if we’d been taking a financially sound look at what this will mean, we might still be on the road to better rates. And of course, if the Troika weren’t demanding that rates be kept high when they could be lowered, that would help, too.
To summarize: The sale is about “liberating” the waterfront land. The 60 percent of customers outside the city are more important than the residents who will foot the entire cost of this sale. Taxes will rise dramatically. And the most important advice O’Connor gave to Lake Worth is what he has refused to do here, look at all options, be patient and be flexible.
Indian River Guardian 
Thank you Lynne. I guess the sheer joy of providing misleading and outright wrong information compels these two to share their revelations beyond those they claim to represent. I’m sure that the Lake Worth folks gave Turner and O’Connor the respectful consideration they deserved while asking themselves; “Who are these people and why are they here?”.
I’m sure our taxpayers picked up the cab fare for this little field trip. Can we expect reimbursement?
I have read with interest your quest columns in the Press Journal and articles in InsideVero and was wondering if you would consider running for a seat on the city council this Fall where your thoughts might be more effective. Property records show you have two homesteaded addresses, one on Silver Palm (city limits) and a condo in Victoria (county limits) but I would think your city residence would allow you to qualify for the election (unless you live in Victoria).
I saw the article by Lisa Zahner in the 8/15 issue of “32963” about Mr. O’Connor and Mrs. Turner being invited by Lake Worth City Manager Michael Bornstein “to appear before a joint meeting of the Lake Worth Council and utility advisory board.” Also, the article said “The presentation was no secret, but it took place during a several-week summer break from Vero Beach City Council meetings.” Like, how convenient was that? And there were reps from FPL and (drumroll), Mr. Glenn Heran! And there was a large crowd for the small meeting room. So, it WAS kept secret from US…..which angers the heck out of me, and I hope with all my heart those who enjoy going behind our backs so well end up with warts. As far as the “ugly” power plant, it looked beautiful with those smokestack lights on last Saturday when we returned from the Recreation Dept’s Circus de Colores at St. Ed’s. When we have hurricanes, seeing those smokestacks and lights are a comfort. When Vero employees are able to turn each grid back on after a storm, we know our government, hospital, and other most needed facilities will get priority.
Great column, Lynne. Very interesting info. I don’t fault Jim O’Connor because he is working at the behest of the city council people. If he crosses them, they will likely send him packing. It almost sounds like he was leaking some important information for us back in the City of Vero Beach. He is between a rock and a hard place. Personally, I like him.
Two homesteaded addresses? Bill, Lynne was previously a city councilperson, did you know that?
According to the City Clerk’s office, the Council NEVER voted to make it the policy of the City to “liberate” the waterfront. For whom are they liberating the waterfront? Answer: Developers
The debate about whether to locate FPL’s new mega substation and staging area on the southwest corner of Indian River Boulevard and 17th Street, or adjacent to a neighborhood would be a moot point, if the troika were not determined to clear all 17 acres of the current power plant site for some “public use.” There will be no public use. The land will we sold or leased long-term for commercial development, likely a marina resort.
O’Connor insists his marching orders were to negotiate a deal that left all 17 acres of the power plant site available for some other use. But again, there is no record of the Council ever voting to establish this policy. If this priority became City policy, it happened behind closed doors.
The great majority of the City’s 33,000 electric customers couldn’t care less about “liberating” the waterfront. What they want are lower rates.
Finally, thank you, Lynne, for a thorough, well-researched and as always well-written column. If the importance of the points you have made are lost on Anthony, he’s not reading the lines, much between the lines.
I’m pretty sure that we all knew Mrs. Turner planned to visit all the FMPA cities. I’m not sure where the problem lies here. Mr. O’connor is on the up and up and to cast suspicion on him is wrong. And Mrs. Turner was probably in the Palm Beaches shopping, anyway.
the hospital and city government have back generators. they have had them for years.
The truth of this horrible sale to FP&L is finally coming into the sunlight. It seems Mr O’connor and Mrs Turner are more truthful when outside Indian River County . There is no reason why city residents must bear the cost and financial burden while county residents reap the lower electric costs. What is the real reason MR Heran is pushing the sale? If it is just lower electric rates he is after he could have moved into the city years ago. What are his true motives? We shall see in due time, I suppose..
Hey guys, yes, my father just passed away, so his homestead on the Victoria condo is good for this year, then next year Mr. Nolte will get a bonus as I lose that deduction! 😉
No, Anthony, I wasn’t aware of Bill Moran’s prior service, sorry to say I am not aware of everyone’s civic deeds. Good for you, Bill! It used to be such an honorable pursuit to serve. And thank you, Bill, for such a nice comment, too. It wasn’t easy working full time AND serving on the council, believe me. It isn’t a feasible option for me, but I hope that won’t discourage others from braving storms and getting back to representing the people of the City.
So I’m doing what I can, along with many others, and am so grateful to Mark Schumann for providing real news for the residents. Bless your hearts, we will all do what we can.
You are correct, Vicky, I tried to make it clear that it was at the very least Turner, if not others of the troika, who had control of letting the public know about the meeting. O’Connor’s role is greatly constrained if he wants to keep his job. Father Fletcher has stated more than once if employees aren’t on board with his dictates about selling, he’ll send them packing. And the troika has done that repeatedly, kicking good employees in the pants on the way out, too.
The only problem, Anthony, may be that even the Clerk didn’t know what the schedule was or that O’Connor had accepted the invite. Then Turner asked only her buddies at FPL to come, and it’s a PUBLIC meeting. Not against the law, but wouldn’t you like to know what the council is up to? Their official schedules are supposed to be public. Heran supposedly expressed his delight, after the meeting, that none of us who have concerns were there. Mission accomplished.
I’ll be interested to see, since they managed to get an invite from Lake Worth, whether or not the taxpayers are footing the bill for this, too. BTW, according to O’Connor, there is another HUGE bill coming from the attorneys.
Just as a note, those generators are limited and expensive to run and not always reliable for full needs even for a few days, and the essential services like the hospital are always given first priority from the City in getting back online. If there are delays in getting service back up, it is still very very bad.
Every electric rate payer is in favor of lower rates.
Were the CC, COVB voters and public activists virtually unanimous in support of the transaction, one would have no issue with any CC member or activist representing the financials, impacts and consequences of the sale to FPL.
In the interest of transparency, full disclosure and candor the COVB should publicize these meetings with other FMPA members so that an alternative perspective could be provided.
The ripple effects of this council’s relying upon the non-sale of the utility and using that illusion to cut City staff and resources have just begun. The very people who want responsive government have cut it so to the bone that there will be horrific delays in every aspect of all the citizens’ lives. Wait for it. Implosion.