Contractors form alliance to oppose what they say
is Florida Power and Light's "predatory" expansion
Florida Construction News staff writer
A state-wide small business alliance called the MEP
Coalition for Fair Competition has been launched to op-
pose what it says are Florida Power & Light’s (FPL)
predatory practices.
Specifically, the coalition asserts in a news release
that the company is using its public resources for pri-
vate gain in the home services market including air con-
ditioning, heating, plumbing and electrical services.
Video: MEP Coalition's YouTube message
MEP is an acronym for mechanical, electrical and
plumbing contractors. Coalition organizers include the
South Florida Air Conditioning Contractors Association
(SFACA), the Southwest Florida Air Conditioning Con-
tractors Association (SWACCA), the Manasota Air Con-
ditioning Contractors Association (MACCA) and the
Florida Refrigeration and Air Conditioning Contractors
Association (FRACCA).
The group says that FPL is leveraging assets from
their regulated ratepayer funded utility monopoly to ex-
pand into new for-profit businesses.
The news release asserts that FPL entered the air
conditioning, electrical and plumbing services and con-
tracting business using a subsidiary called FPL Energy
Services. Jupiter- Tequesta Air Conditioning, Plumbing &
Heating is now promoting itself as an FPL Energy Serv-
ices Company. In addition, their website features a
photo of a Jupiter-Tequesta co-branded truck and FPL
Energy Services Home Solutions branded truck. The
company claims to now serve 30,000 customers from
Lucie to Broward County.
The coalition says it has asked Florida Attorney Gen-
eral Pam Bondi to investigate the FPL's business prac-
tices in, it asserts, misappropriating regulated public
assets to enter private for-profit markets.
“FPL is using utility ratepayer funds and assets to
buy their way into HVAC, electrical, plumbing and other
industries and their goal is to put small local companies
out of business and control these markets,” said Jaime
DiDomenico, president of Cool Today, an HVAC, plumb-
ing and electrical company based in Sarasota, and a
member of the MEP coalition. “We hope the attorney
general will intervene to protect local businesses, jobs
and consumers.”
FRACCA originally filed a complaint with the state’s
Public Service Commission (PSC) on April 18 to prevent
FPL from subsidizing Jupiter-Tequesta A/C through FPL
Energy Services.
NextEra Energy, FPL, FPL Energy Services and
Jupiter-Tequesta A/C all share officers and directors. In
4 – FALL 2018 — Florida Construction News
addition, FPL has admitted to collecting pricing data
and customer information from independent contrac-
tors participating in rebate programs, the coalition as-
serts. Tray Batcher, a Partner with Cotney Construction Law
which represents FRACCA, said in a statement: “FPL is
illegally subsidizing a for-profit affiliate using regulated
ratepayer funds.”
“It is outrageous, unfair and extraordinarily damaging
to local small businesses and FPL ratepayers.”
The coalition contends that FPL will continue its ex-
pansion into home services "improperly using extensive
customer data, infrastructure and market power to deci-
mate local businesses and dominate their markets."
The contractors’ group says FPL is unfairly using
ratepayer funded resources from their regulated utility
to force their way into new revenue streams and higher
profits. "They argue that the company's goal is to lever-
age its market power, aggressively recruit their employ-
ees, use predatory pricing to steal their customers and
put them out of business," the news release says.
As evidence of this unfair competition, the coalition
points to a precedent that recently occurred when Balti-
more Gas & Electric (BGE) entered the HVAC market as
BGE Home. In that case, about 30 percent of locally
owned and operated heating, air conditioning, plumbing
and electrical service companies were forced out of
business due to BGE’s unfair business practices.
SFACA president Doug Lindstrom said in a state-
ment: “The Public Service Commission and legislature
need to intervene to protect local family owned busi-
nesses from unfair predatory practices. These small
businesses and the jobs they provide are the backbone
of our communities.”
“They will not stop with HVAC,” said Keith Martin, co-
owner of Badger Bob’s Services, a Sarasota-based
HVAC company. “If they are allowed to get away with it,
they will continue their expansion into electrical, plumb-
ing and additional industries.”
FPL has not yet responded to a request for comment
from Florida Construction News.
Florida construction
employment growth
continues, at slower pace
Florida Construction News staff writer
Florida’s construction employment numbers con-
tinue to increase, but not quite at the levels seen earlier
in the year, according to US Department of Labor data
gathered by the Associated General Contractors of
America (AGCA).
There were 548,600 people working in the construc-
tion industry in August, compared to 545,000 in July, an
increase of 3,600 or .07%. This put the state in seven-
teenth place overall in the nation.
Over the 12 previous months, the state’s construc-
tion grew by 7.7% or 39,300, ranking Florida tenth in
the nation.
Nationally, 45 states and the District of Columbia
added construction jobs between August 2017 and Au-
gust 2018, while 33 states added construction jobs be-
tween July and August.
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Florida Construction News — FALL 2018 – 5