JACKSONVILLE, Fla. — Action News Jax investigates: Audio recordings that may show a top JEA official deliberately misleading the utility’s board.
It had to do with the controversial bonus plan that could have cost taxpayers hundreds of millions of dollars and led to then-CEO Aaron Zahn’s demise.
It has to do with a JEA board meeting from July. Then board chair Alan Howard asks the utility’s vice-president and chief legal officer, Lynne Rhode, about the legality of the Performance Unit Plan, or PUP.
“I assume that this has been passed by [the Office of General Counsel],” Howard said. “I know we’ve got some legal constraints over statutory plans.”
“Yes, sir,” Rhode said.
“Yes, no issues,” Howard said.
That PUP that could’ve cost taxpayers $300 million.
On Dec. 16, new audio obtained by Action News Jax reveals City Council members Rory Diamond and Ron Salem grilling JEA top brass about the PUP.
This is Salem speaking directly to Rhode.
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“That comment, ‘Yes sir.’ You said [the Office of General Counsel] had approved the plan and the $3.4 Million, so that comment caused multiple board members that I spoke to- to vote in favor of the plan,” Salem said.
Now, the board is saying it was misled, and the city’s OGC contends it never told JEA the PUP was legal.
Rhode has since resigned.
JEA customers like Tim Wing call it another example of deception with the utility.
“They have been hiding something the whole time, and they’re spending our money hiding it,” Wing said.
Tuesday, City Council President Scott Wilson released the official charge of the council committee investigating JEA. He said they’re looking into the PUP and the failed attempt to sell JEA, among other things.
Wilson wants a final report by June 1.
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