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JEA

From Alfawiki
JEA
Company typeMunicipal utility
IndustryUtilities
FoundedAugust 8, 1967; 59 years ago (1967-08-08) (as Jacksonville Electric Authority)
Headquarters
Jacksonville, Florida
,
United States
Area served
Jacksonville (Duval County), Clay, Nassau, and St. Johns counties, Florida
Key people
Vickie Cavey (CEO)
ProductsElectric, water, sewer, reclaimed water, methane gas distribution, dark fiber connectivity
Websitejea.com

JEA, headquartered in Jacksonville, Florida, ranks as the eighth-largest municipally owned electric utility in the United States and is the biggest of its kind in Florida. As of 2022, JEA provides electric, water, sewer, and reclaimed water services to more than one million residents throughout Northeast Florida. Additionally, the organization distributes methane gas and offers dark fiber connectivity. In collaboration with the City of Jacksonville, JEA oversees the local streetlight infrastructure. Its service territory encompasses Jacksonville (Duval County) and extends into Clay, Nassau, and St. Johns counties.

History

Jacksonville has been responsible for managing its water and sewer utilities since 1880.

City of Jacksonville Electric Department

The city's initial electric power facility, known as the Main Street Power Plant, commenced operations in 1895, bringing nighttime illumination to the downtown area.

In 1943, the Baldwin Interconnector was constructed to supply backup electricity to Naval Air Station Jacksonville and Camp Blanding.

The Southside Generating Station was launched in 1950, becoming an integral part of the municipal electric grid.

On September 9, 1964, Hurricane Dora caused extensive destruction to approximately 95% of Jacksonville’s electrical infrastructure.

JEA History

Following the governmental consolidation of Jacksonville and Duval County on August 8, 1967, the City of Jacksonville Electric Department transformed into the independent Jacksonville Electric Authority (JEA), governed under Article 21 of the Jacksonville Code of Ordinance.

Per Article 21 of the Jacksonville City Charter:

"JEA is empowered to own, operate, and manage utility systems both within and outside Jacksonville. It holds full authority to acquire, develop, finance, operate, and control electric, water, sewer, natural gas, and other utility systems under its jurisdiction."

During the 1970s, JEA’s electricity rates were among the nation’s highest. In 1979, Royce Lyles took over as Managing Director and broadened the fuel sources utilized by JEA. His leadership led to a significant reduction in rates, positioning them among the lowest in Florida and across the Southeast region. Walt Bussells succeeded Lyles in 1995.

On June 1, 1997, JEA expanded its portfolio by merging with Jacksonville’s Department of Public Utilities, thereby incorporating water and sewer services alongside electricity. Under Bussells’s direction, technological advancements were introduced: online bill payment and network-based meter reading debuted in 2002; in 2003, JEA launched its inaugural chilled water plant to supply downtown air conditioning. Subsequently, four additional chilled water facilities were established with contracts covering sixteen sites including major entities such as VyStar Veterans Arena and UF Health Hospital Campus.

Despite these expansions and investments during Bussells’s leadership period, electric rates remained artificially suppressed throughout the 1990s and early 2000s due largely to financing through debt issuance.

Jim Dickenson assumed the CEO role in 2004. To counter rising expenses, he implemented three temporary fuel surcharges. By 2007, JEA offered Florida’s second-lowest electricity prices but announced a phased four-year base rate increase intended to elevate average monthly bills from $112 to over $140 by 2010 to address outstanding debt.

By 2010, JEA carried $6 billion in liabilities against assets valued at $7.5 billion—reflecting a debt load per customer approximately 60% higher than comparable municipal utilities—which posed potential challenges for credit ratings and borrowing costs.

Dickenson retired in February 2013; Paul McElroy was appointed CEO effective October 2012 with an initial three-year contract later extended through September 2018.

Aaron Zahn served as CEO from April 2018 until his dismissal in January 2020. Melissa Dykes stepped in as interim CEO until McElroy resumed leadership in May 2020. Upon his return, McElroy placed much of Zahn’s executive team on paid leave and installed interim management.

Jay Stowe became CEO in November 2020 and had assembled a seven-member executive team by September 2021. Due to escalating maintenance expenses and insufficient parking at JEA’s original downtown headquarters (constructed in 1963), operations were consolidated into a leased seven-story office building at 225 N. Pearl Street in April 2023. Customer parking vouchers are provided for use at the nearby Duval County Courthouse Garage.

After Stowe resigned in April 2024, long-time JEA executive Vickie Cavey was appointed Interim Managing Director & CEO before being elevated to permanent CEO status in September 2024—marking her as the first female leader of the organization. Following a successful initial year in this role, her annual salary increased from $560,000 to $700,000.

In February 2025, JEA announced it was seeking redevelopment proposals for its former headquarters property.

Attempted sale and subsequent developments

At the beginning of 2018, JEA's board considered the possibility of divesting the publicly owned utility. By late 2019, concerns regarding this potential transaction prompted a state inquiry into JEA's CEO and board members. The State Attorney's Office subsequently handed the matter over to the U.S. Attorney and FBI, resulting in a federal grand jury charging former CEO Aaron Zahn and ex-CFO Ryan Wannemacher with conspiracy and wire fraud in 2022. In March 2024, Zahn was found guilty and received a four-year prison sentence, whereas Wannemacher was found not guilty.

Services

  • Electricity: JEA operates four power generation facilities and maintains all related transmission and distribution networks. It formerly held joint ownership stakes in two additional plants alongside Florida Power & Light—the St. Johns River Power Park and Plant Scherer Unit 4—both of which were decommissioned by 2022.
  • Water: The utility sources water from 134 artesian wells accessing the Floridan Aquifer, delivering it through 35 treatment plants and an extensive pipeline network.
  • Sewer: Oversees a vast collection system comprising numerous miles of sewer lines, supported by seven regional and eight non-regional wastewater treatment plants.
  • Chilled water: Maintains a chiller plant located in downtown Jacksonville that supplies heating and cooling services to adjacent commercial properties.

See also

External links