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Ethics Office looking into Jacksonville council members, mayor who attended party on Shad Khan yacht

Kismet

JACKSONVILLE, Fla. — The office of Jacksonville Mayor Donna Deegan claims food and drinks aboard Jacksonville Jaguars owner Shad Khan’s opulent $360 million super yacht is worth $50 per person. Now, the City of Jacksonville’s ethics office will decide.

Action News Jax’s Ben Becker has learned the ethics office is looking into if there were possible violations made by various city council members and Deegan after they attended a holiday party Monday on the yacht of the Jaguars’ multi-billionaire owner.

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Action News Jax first reported Monday that the party was held aboard the Kismet, which is docked in downtown Jacksonville.

A source who attended the event tells Becker that Khan was not there, but the Jaguars were represented by team President Mark Lamping and lobbyist Paul Harden. Up to 50 of Jacksonville’s powerful elite were invited, including:

  • Donna Deegan, Mayor
  • Karen Bowling, Chief Adminstrative Officer
  • Kelli O’Leary, Deputy Chief Administrative Officer
  • Raul Arias, City Council
  • Michael Boylan, City Council
  • Kevin Carrico, City Council
  • Joe Carlucci, City Council
  • Matt Carlucci, City Council
  • Reggie Gaffney Jr., City Council
  • Reggie Gaffney Sr., Former City Council
  • Rahman Johnson, City Council
  • Ron Salem, City Council
  • Randy White, City Council

JAXUSA Invitees:

  • Vickie Cavey, JEA CEO
  • Kurt Wilson, JEA Chief of Staff
  • Aundra Wallace, JAXUSA President

Becker discovered that Harden texted and/or called partygoers rather than sending emails, which incidentally or not, would have made the invites public record. A source told Becker one text read, “5:30-7:30, bring socks, no shoes on the boat.” Harden has not responded to a request for comment.

Kirby Oberdorfer, Director of the Office of Ethics, tells Becker one unnamed council member contacted her office to say they received an invitation. Oberdorfer said her office is examining if the party is considered a gift, the value of it, and if there were any potential conflicts of interest.

The Mayor’s office said in a statement: “The Mayor’s Office did clear this before the event. Carla Miller, a Special Advisor to the Mayor and former Ethics Director for the City, confirmed with Paul Harding that the value of the event was less than $50 per person. Thus, it does not violate any ethics rules, and it does not need to be reported.”

RELATED: Jacksonville City Councilman speaks on ‘holiday event’ aboard Shad Khan’s Kismet yacht

Becker then asked for Miller’s written opinion and why the Mayor didn’t ask Oberdorfer.

A spokesperson from the Mayor’s Office sent Becker the following statement: “This was a clear-cut situation that our special advisor with decades of ethics experience was able to easily address. There was not a need to bog down the Office of Ethics with a simple question that has an obvious answer.”

The Mayor’s Office correctly maintains that the municipal code allows the mayor to designate one of their employees as an “Ethics Officer” who provides advice on ethics issues. However, that person in this case, Miller reports to the mayor whereas Oberdorfer as the Ethics Director for the city is independent.

Information from Paul Harden about Kismet dinner
Information from Paul Harden about Kismet dinner

City Council member Rory Diamond did not attend the event but is critical of Deegan.

“If the Mayor wanted an actual ethics opinion about any gift, she would have asked the ethics office. She didn’t. We all know why,” Diamond said.

According to Jacksonville’s municipal code, “No officer or employee of the City or of any independent agency, or any other person on his or her behalf, shall knowingly accept, directly or indirectly, any one gift with a value greater than $100 or an accumulation of gifts in any one calendar year that exceeds $250 from any person or business entity that the officer or employee knows is:

(1)

A lobbyist who lobbies the officer’s or employee’s agency;

(2)

Any principal or employer of a lobbyist who lobbies the officer’s or employee’s agency;

(3)

A vendor doing business with the officer’s or employee’s agency.

“For purposes of the $250 annual accumulation of gifts, gifts of food and beverage not exceeding $25 on any given day shall not be included.”

In addition, there are provisions in the Florida Statute that address formulas for allowed and prohibited gifts.

RELATED: New questions after Mayor, City Council members attend ‘holiday event’ aboard Shad Khan’s Kismet Yacht

Khan, whose football team is in the middle of a disappointing 2-10 season, is set to receive $775 million in public funding as part of a $1.4 billion stadium renovation ($1.25 billion plus deferred maintenance) that was supported by the mayor and approved by the city council in June before NFL owners signed off on it in October.

The party is raising questions because not only does Khan have prior business that was heard in front of the council related to most notably the stadium and Four Seasons Hotel, but also the possibility of future deals, including “Lot J 2.0.”

RELATED: Timeline: Development plans for Lot J at TIAA Bank Field in downtown Jacksonville

Action News Jax first reported in 2020, that Khan hosted numerous council members aboard the Kismet to give them private briefings on the more than $200 million initial Lot J proposal, which eventually fell one vote short of being passed by the City Council.

Florida’s open record laws known as “Sunshine laws” do not allow council members to privately speak with one another in an unposted meeting about city business; it also does not prevent them from discussing future legislation with the mayor’s office or lobbyists. The ethics office does not have jurisdiction over Sunshine laws; that belongs to the State Attorney’s Office and Florida Attorney General.

Action News Jax emailed all 19 city council members to ask who was attending the event and what was the purpose since Khan was receiving the opportunity to get an audience with local leaders, which may not be afforded to many others.

RELATED: NFL owners unanimously approve Jacksonville Jaguars, city’s $1.4B stadium renovation deal

City Council member Rahman Johnson, who attended the event, sent Action News Jax a lengthy statement that didn’t directly address the potential ethics issue:

“On Monday evening, I attended a holiday gathering aboard the Kismet, hosted by Jacksonville Jaguars Team Owner and philanthropist Shad Khan. The event was an elegant, understated affair, reflecting the season’s spirit of gratitude and community. I am honored to support a corporation and an individual who has contributed more to the betterment of downtown Jacksonville than anyone in our city’s history.

“While questions about the evening have arisen, I believe our focus should remain on the critical issues facing our city, such as improving access to healthy food options. In Jacksonville, it is easier to find fast food than healthy alternatives, with 34% of our population living within half a mile of a fast-food establishment compared to just 27% having similar access to healthy food. This disparity underscores the urgent need for sustainable solutions to improve the quality of life for everyone.

“From initiatives like ‘Turkey Time with the O-Line’, where the Jaguars distribute hundreds of turkeys to families in need, to the over $1 million in donations to local non-profits and the historic multi-million-dollar community benefits agreement, the Jaguars organization under Shad’s leadership exemplifies committed corporate citizenship.

“My focus remains on partnering with leaders like Shad, Jags CEO Mark Lamping and so many others, to address the pressing challenges facing Jacksonville and to move ‘Duval Forward’ in every way possible.”

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Nine other council members responded to Action News Jax via email, phone, or text on Monday.

  • Michael Boylan: “As you might well expect, we receive many holiday invitations this time of year and I personally look forward to attending those that I can. The invitation for this one came to me via text, describing it as a “holiday event” from 5:30 to 7:30. Given I have a prior commitment at 5:00 PM I likely will stop by briefly thereafter.”
  • Ken Amaro: “I am not attending, I assume it is a holiday social for community leaders in public and private sectors - and I believe it was vetted by the office of ethics, for elected officials, but not 100% certain.”
  • Nick Howland’s assistant: “Councilman Howland was unable to attend this event due to a previously scheduled family commitment.”
  • Rory Diamond: “I had family business to attend to.”
  • Ju’Coby Pittman’s assistant: ”Council Member Pittman was unable to attend due to a commitment.”

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Action News Jax spoke with Matt Carlucci by phone, who said he planned to go with his wife, because, “in all his years of being a council member, he’s never done anything like this, and they wanted to take advantage of this unique opportunity.”

In a text, Jimmy Peluso said he received an invite and wasn’t planning to attend.

Mike Gay declined the invitation. He told Action News Jax it was “not a good fit.”

Will Lahnen said he did not attend.

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