COMMENTARY

Demonstrating supreme ignorance of the complexities of the deal, Goforth could offer his readers nothing more than a recitation of Silagy’s talking points. Quoting Silagy, Goforth did make one insightful and relevant observation.  “Sometimes, he said, the best deal is the one you walk away from.”

MARK SCHUMANN

The Press Journal published a story today reporting Florida Power & Light’s latest proposal to move forward the sale of Vero Electric.  The newspaper’s story, which was first posted on TCPalm.com yesterday, is based on an announcement FPL President Eric Silagy made at the offices of Scripps Treasure Coast Newspaper yesterday.  Reporters and members of the Scripps editorial board were summoned from across the Treasure Coast to meet with Silagy at Scripps’ offices in Stuart.  (Amy Brunjes, external affairs manager for FPL, is the wife of Scripps Treasure Coast Newspapers Publisher, Bob Brunjes.)

FPL’s offer includes a $26 million price tag for the 34,000 customers of Vero Electric, which will be paid in the form of a surcharge, likely over several years.  The deal must still be approved by voters in a referendum, with the preceding campaign likely to be dominated by FPL.

Along with the $26 million to be paid by the customers of Vero Electric, FPL will spend $26 million to resolve Vero Beach’s contractual obligations with the Florida Municipal Power Agency.  The “additional” $26 million Silagy said FPL is willing to kick into the deal is actually $4 million less than the $30 million the company had previously estimated it would spend buying Vero Beach’s power entitlements from the Orlando Utilities Commission for three years.

Accounting for the FPL proposed surcharge, the deal as it stands today is $182.5 million off from the numbers utility activists Glenn Heran and Dr. Stephen Faherty presented in 2009, when they first built community-wide support for the sale.  (See related story…)

The fact that Silagy made his announcement before the Scripps editorial board, while it was still assumed by the other parties to the negotiations, including the FMPA, that discussions were not to be carried on in the press, suggests FPL’s strategy now is to create an unrealistic expectation in the minds of the public, and to then blame someone other than themselves when January 1, 2015 comes around and the deal has still not closed.

If yesterday “news” had resulted of a joint announcement by FPL and the FMPA, that would have been something very different. As it is, all that can accurately be reported is the FPL pulled off a public relations stunt right there in the offices of Scripps Treasure Coast Newspapers. This is watchdog journalism?

Silagy was quoted as saying he doesn’t see any hurdles that cannot be overcome by January 1.  In stark contrast to Silagy’s optimism, FMPA spokesman, Mark McCain, said closing by the end of year will be “difficult.”  McCain offered a long list of issues still to be resolved and approvals still to be secured before the deal can be concluded.

This is not the first time FPL has created unrealistic expectations about a closing date. Parroting public statements made by FPL representatives, Scripps columnist Russ Lemmon wrote in advance of the March, 2012 referendum, “If all goes according to plan, the 34,000 customers of Vero Electric will be enjoying FPL rates by early 2014.”

By creating the false expectation that the deal can close by the end of the year, FPL strategists may be trying to make a case for an August, rather than a November referendum. It would certainly cost the company less to control the results of the primary election in August, as compared to the general election in November.  Unfortunately, the earlier date would also exclude the largest number of voters.

Included in the Press Journal’s story was an announcement promoting, and clearly giving credence to, a so-called town hall meeting being orchestrated by utility activist Charlie Wilson’s new rogue “chamber of commerce.”  By presenting Wilson’s list of invitees, without confirming which ones have actually agreed to attend, Scripps’ announcement on Wilson’s behalf is more than a little misleading.  For example, if anyone attends the meeting expecting that representatives from the Florida Municipal Power Agency would stoop so low as to participate in a Wilson-orchestrated side show, they will surely be disappointed.

Wilson, himself, sent out a email blast yesterday stating, “The announcement today by FPL of a path to complete the sale of Vero Electric makes the Vero Beach Chamber of Commerce Town Hall meeting scheduled for Wednesday, March 5^th from 6 to 8pm at the Vero Beach Elks Lodge even more important.”

What Wilson is billing as a “town hall meeting” will likely turn into an FPL-orchestrated pep rally, with the usual suspects doing the cheering, including the Scripps team of reporters and columnists.  In fact, these deep thinkers are already waving their pom-poms and kicking their legs.  (Let’s hope they are all wearing knickers.) Yesterday, Scripps columnist Michael Goforth wrote a piece suggesting this bad deal is better than no deal.

Demonstrating supreme ignorance of the complexities of the deal, Goforth could offer his readers nothing more than a recitation of Silagy’s talking points. Quoting Silagy, Goforth did make one insightful and relevant observation.  “Sometimes, he said, the best deal is the one you walk away from.”

Read also: Is sale over Vero Electric back on track?