Two JEA Board Committees Discuss Key Initiatives

2020-05-18

Committees review major budget assumptions and headquarters recommendations

Jacksonville, FL (May 18, 2020) - Today JEA board members serving on the Finance and Audit Committee discussed key strategic initiatives and major budget assumptions for the fiscal year (FY) 2021 operating and capital budgets. Board committee members include board chairman John Baker, Bobby Stein, and Marti Lanahan. Board member Joe DiSalvo was also in attendance.

The proposed budgets include the following:

• Energy System - There are no planned rate increases in FY2021. The FY2021 operating budget includes a $2.4 million decrease from FY2020. Budget assumptions include a $15.9 million decrease in Operating and Maintenance along with stable Non-Fuel Purchased Power
• Water and Wastewater System - There are no planned rate increases in FY2021. The FY2021 operating budget includes a $17.9 million increase from FY2020. Operating revenues and expenses have increased due to an estimated higher volume of sales for the Water, Wastewater, and Reclaimed Water Systems

Additionally, the committee discussed the importance of JEA’s diversified fuel mix, COVID-19 impacts, and JEA’s compensation and pay for performance plan. These subjects will be discussed in more detail in upcoming workshops and the board will continue their strong engagement on these important issues.

On Friday, May 15, JEA board members met with JEA staff and project representatives from Ryan Companies, and CBRE to discuss recommendations about moving forward with the new JEA headquarters in a noticed WebEx committee workshop. The board discussed the importance of solutions that will allow JEA to move forward and:

• Lower costs
• Provide a safe, modern and efficient workplace
• Significantly increase operating resiliency and business continuity
• Preserve JEA culture

The board committee discussed the following changes to the standards that were adopted and approved in January 2020 for the headquarters building project with Ryan Companies:

• Reducing two floors from nine to seven in the headquarters building
• Reducing square footage from 196,900 to approximately 152,000

Further changes will likely include:

• Reducing parking garage by one or two levels.

The committee discussion addressed housing critical functions in a separate hardened facility of approximately 40,000 square feet that would be a separate project.

The changes discussed to the headquarters project require an approval by the City’s Downtown Development Review Board (DDRB). The building design will be generally the same in appearance with the exception of the height reductions resulting from fewer floors and minor changes at the upper levels.

The headquarters committee includes board members Bobby Stein, Tom VanOsdol and Joe DiSalvo. Other members present included Board Chair John Baker, Dr. Leon Haley, Jr. and Marty Lanahan. The full board will consider the recommendations at a special meeting to be held via WebEx on Thursday, May 21, tentatively scheduled at 3:30 p.m. View the public notice

JEA plans to move to the new building, located at the northeast corner of Pearl and Adams Streets in the late spring of 2022.

Read more about the new Corporate Headquarters

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