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Department of Citrus manager arrested on grand theft related to virtual currency activity

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Agents with the Florida Department of Law Enforcement arrested Matthew McDermott, 51, of Davenport today on a grand theft charge stemming from a virtual currency operation. Virtual currency types include Bitcoin and Litecoin.

McDermott is also facing a charge of official misconduct. He is the Information Technology manager for the Florida Department of Citrus, which is charged with regulation of the state’s citrus industry. It is based in Bartow.

The investigation was launched after FDLE agents received a complaint from the Citrus agency’s Office of Inspector General. The complaint followed an audit of P-Card (purchasing card) activity that found McDermott had made more than $22,000 in purchases between July 2017 and December 2017. Among those purchases were 24 computer graphics cards known as Graphic Processing Units (GPUs).

In addition, the IG noted that utility bills for the agency had increased by 41% between October 2017 and January 2017. The increase amounted to nearly $825.00.

FDLE agents learned that McDermott was accessing a virtual currency exchange from multiple computers at the Department of Citrus and was part of a mining pool. A mining pool, or team, is used to solve mathematical equations in an effort to mine the virtual currency and win a reward. The pool combines its resources to help offset costs.

“Through the diligence of the executive management team at the Florida Department of Citrus, our agency was able to minimize losses to the state,” said FDLE Commissioner Rick Swearingen. “Thanks to the Citrus agency’s quick and appropriate action, we were able to investigate and arrest Matthew McDermott.”

Shannon Shepp, Executive Director of the Department of Citrus, said: “We are grateful for the swift and professional actions of the Florida Department of Law Enforcement. This is a breach of ethics that is far outside the character of the Florida Department of Citrus and the industry we serve. Fortunately, our agency has internal controls that detected suspicious activity, and our Inspector General immediately notified the proper channels. We will continue to work with FDLE and the court system through this process.”

The Inspector General’s Office of the Florida Department of Citrus assisted with this investigation. McDermott will be booked into the Polk County Jail on a $5,000 bond. The State Attorney’s Office, 10th Judicial Circuit, will prosecute.

Senate Bill Will Hit Florida’s Manufactured Home Owners Hard

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Vote This Week Could Exempt Manufactured-Homeowners
from Protections that Apply to Other Mortgage Borrowers

The U.S. Senate is poised to pass legislation that will harm some of the most vulnerable of Florida’s homebuyer population by exempting employees of manufactured housing retailers from having to comply with consumer protection laws for home loans.

The Economic Growth, Regulatory Relief and Consumer Protection Act (S. 2155), expected to come up for a vote in the U.S. Senate this week, contains a harmful provision – Section 107, “Protecting Access to Manufactured Homes” — that jeopardizes the financial security of manufactured homeowners, who are often low-income, elderly, and people with disabilities. More than 800,000 Florida families, more than in any other state, and approximately 18 million people nationwide, live in manufactured homes.  These residents live in the most persistently poor communities in the country, where manufactured homes provide the main source of affordable housing. The bill is touted as help for small banks, but it promotes abuses by large corporations that own both manufactured housing dealers and lenders.

“In the name of promoting ‘economic growth,’ this bill would undo important steps taken by the Consumer Financial Protection Bureau to give manufactured homeowners the same basic loan safeguards as other homeowners,” said Alice Vickers, director of the Florida Alliance for Consumer Protection. “As a result, more Florida families will be pushed into dangerously expensive mortgages at double-digit interest rates.”

The manufactured housing market is dominated by a handful of national manufacturers and lenders and it is rife with conflicts of interest. It is common for lenders and sellers of manufactured homes to be owned by the same entity or closely affiliated with one another. This creates an incentive for sellers to promote affiliated high-cost loan products rather than marketing a competitor’s more affordable product.

For example, two of the biggest lenders, 21st Mortgage and Vanderbilt, are tied to Berkshire Hathaway, which owns Clayton Homes, the nation’s largest manufactured-home builder and retailer. Such hidden connections encourage sellers to steer buyers toward high-cost loan products from allied companies–and away from more affordable loans offered by competitors. Affiliations like these have led to reports of systematic predatory loan steering throughout the industry.

“This bill will help manufactured home sellers to steer people away from affordable loans and into expensive ones,” said Alys Cohen, staff attorney at the National Consumer Law Center’s Washington office.

The bill would perpetuate the conflicts of interest and steering of consumers to more expensive loans that plague this industry and allow lenders to pass additional costs on to homebuyers. Section 107 would also discourage new lenders from entering the market and undo important steps taken by the Consumer Financial Protection Bureau to give manufactured homeowners the same basic loan protections as other homeowners. This bill would allow sellers of manufactured homes to steer buyers to overpriced loans with onerous terms. While homeowners also would receive other referrals and written disclosures about corporate relationships, those measures can be sidelined by savvy marketing.

“If passed, this bill will do a terrible disservice to the low-and- moderate-income and elderly Americans and people with disabilities who make up a disproportionate share of the manufactured-home population. It would make homeownership more costly for those who can least afford it,” added Cohen.

“Senators Nelson and Rubio should reject this bill and continue to work to find better solutions to address affordability and competition in the manufactured housing market,” said Vickers.

Sec. Zinke admits “Florida is still in the process” for offshore oil drilling

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At a Senate Energy and Natural Resources Committee hearing today, Interior Secretary Ryan Zinke, admitted “Florida is still in the process,” when asked about the agency’s five-year offshore drilling program, contradicting his announcement earlier this year that Florida was “off the table” for offshore drilling.

In response to the latest from Zinke, Sen. Bill Nelson said, “The Secretary of the Interior, Ryan Zinke, in front of the Senate Energy Committee today, has just said very confusingly – but bottom line – Florida is still on the table for drilling off of the coast of Florida. This is exactly the opposite of what the people of Florida want.”

Asked by Sen. Angus King (I-ME) to explain his decision to take Florida off the table, Zinke listed several reasons but, further confusing the issue, he assured the committee, “… but, Florida is still in the process.”

Zinke’s statement today, once again, confirms what Florida lawmakers, including Sen. Nelson, have been saying since January – the announcement Zinke made following a brief meeting with Gov. Scott was a “political stunt,” not an official announcement of policy.

Following Zinke’s announcement in January, Nelson sent the secretary a letter requesting specific details on any changes to the agency’s five-year plan. Two months later, Nelson has not yet received a response. Today’s comments beg more questions than answers, further confusing the Interior’s plans for offshore drilling off the coast of Florida.

Attorney General Bondi Files Complaint to Save the Ritz Theatre

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Attorney General Pam Bondi yesterday filed a complaint against the Ritz Theatre 100, Inc., a non-profit corporation tasked with renovating and operating The Ritz Theatre in downtown Winter Haven, and Stella C. Heath, Executive Director and consultant for the corporation. The complaint alleges that misconduct and mismanagement by the defendants have placed the future of the Ritz Theatre in jeopardy. Despite substantial grants, gifts, and funding from the State of Florida, the City of Winter Haven, and others to pay for needed renovations and operating costs, the Ritz Theatre remains underutilized, strapped for cash and in peril of closure.

Efforts by several community members to obtain seats on the Board of Directors to help redress management and financial problems have been rejected by the board, which instead improperly filed an unsubstantiated $250,000 lien against the Ritz Theatre property in favor of Heath.

Attorney General Bondi’s Office is seeking the appointment of a receiver to take possession of and preserve all assets of The Ritz Theatre 100, Inc., to manage the corporation and the theatre, to determine all outstanding indebtedness, and to report to the Attorney General’s Office and the court all steps needed to enable the theatre to fulfill its longstanding mission of serving the interests of the Winter Haven community.

The Attorney General’s Office also is seeking an accounting, as well as temporary and permanent injunctive relief, including relief from the improperly-filed lien, to ensure that the theatre’s mission is and will continue to be met.  

To view the complaint, click here.

Florida Municipal Electric Association Announces Annual “Restoring Communities Award” Winners

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On Saturday, March 10, the Florida Municipal Electric Association (FMEA) bestowed its annual “Restoring Communities Awards” on Florida’s public power utilities who were recognized for their efforts to quickly and safely restore power to communities in Florida, Puerto Rico and the U.S. Virgin Islands following Hurricanes Irma and Maria. All of FMEA’s member utilities received recognition this year as all were impacted by Hurricane Irma.

The awards were presented during the 18th Annual Florida Lineman Competition, March 9 – 10 in Kissimmee. For a complete list of winners, click here.

“After 11 relatively quiet years, Florida has now experienced two very active back-to-back hurricane seasons. This past season’s Hurricane Irma was a powerful and massive Category 4 hurricane when it made landfall in the Keys. The second strongest Atlantic hurricane ever recorded, Irma was wider than the Florida peninsula leaving few parts of the Sunshine State spared,” said Chip Merriam, FMEA President and vice president of legislative, regulatory & compliance for the Orlando Utilities Commission (OUC). “All 34 of Florida’s public power utilities were affected. Despite the widespread impact of this storm, public power utilities responded quickly and safely, working through many challenges to restore power to all our customers as fast as possible.”

Statewide, nearly 7 million electric utility customers were without power following Hurricane Irma, including more than 827,000 public power customers. Public power utilities were able to restore power to more than half of their customers within 24 hours and 80 percent of all customers within 48 hours. More than 98 percent of public power customers were up within a week.

Hurricane Irma resulted in the largest pre-planned power restoration effort in U.S. history. Prior to the storm making landfall, FMEA activated mutual aid agreements across the country, lining up nearly 2,000 additional public power lineworkers to support the 1,000 public power lineworkers in our communities. Crews and equipment from 200 municipal electric utilities in 26 states and Canada were stationed inside and outside the state so they were ready to move into affected areas as soon as conditions were safe.

Following our own restoration efforts, Florida public power sent crews and equipment to Puerto Rico and the U.S. Virgin Islands, also battered by Hurricane Irma and then hit hard by Hurricane Maria. More than 190 personnel from nine different public power communities responded to calls for assistance in both Puerto Rico and the U.S. Virgin Islands. Power was only fully restored to the U.S. Virgin Islands just one week ago.

“We are incredibly grateful to all of the out-of-state and even out-of-country utility crews who came to our aid after Hurricane Irma. We’re also incredibly proud of our members who sent their crews to other communities in Florida to help out the areas most affected by Irma, as well as the linemen who left Florida to help our neighbors in Puerto Rico and the U.S. Virgin Islands, many of whom left their families and homes during Thanksgiving and Christmas,” said Amy Zubaly, FMEA Executive Director. “Our members are more than hometown heroes and these awards recognize their dedication to not just their own communities, but to communities everywhere.”

Public power utilities can call on each other for emergency workers and supplies through mutual aid agreements. Florida’s public power utilities benefit from this strong network of partners within Florida and across the country through the American Public Power Association. These dependable connections have created a reliable system where member utilities both request and offer assistance. Mutual aid agreements are also in place with electric cooperatives and Florida’s investor-owned utilities in order to draw upon additional resources.

Municipal electric utilities provide affordable, reliable electric service, and have been doing so for more than a century. As community-owned and locally managed organizations, these utilities are able to focus on the unique needs and interests of their customers and have nimble and quick response times all while investing back into their communities.

For more information on FMEA and Florida’s public power communities, please visit publicpower.com.

Enterprise Florida Board of Directors Meeting in West Palm Beach

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MEDIA ADVISORY

Wednesday and Thursday, March 14-15, the Enterprise Florida Board of Directors will hold its first board meeting of 2018 in West Palm Beach at the Embassy Suites Hotel.

What: Board Committee Meetings and Full Board of Directors Meeting

When: Wednesday, March 14, 2018 @ 1:45 PM – Thursday, March 15, 2018 @ 9:00 AM

Where: Embassy Suites
1601 Belvedere Road
West Palm Beach, FL, 33406

TWO DAY AGENDA

Governor Rick Scott Joins State Leaders and Victims’ Rights Advocates in Support of Marsy’s Law for Florida

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Governor Rick Scott today announced his support of Marsy’s Law for Florida – a measure which would provide crime victims and their families with rights and protections equal to those already afforded the accused and convicted. Currently under consideration by the Florida Constitution Revision Commission as Proposal 96, Marsy’s Law for Florida would embed a Crime Victims’ Bill of Rights into the Florida Constitution.

Governor Rick Scott said, “Today, I am proud to announce my support of Marsy’s Law, which will amend the state constitution to ensure crime victims and their families are treated fairly in Florida. Florida stands with victims – we have taken important steps in our state to protect those who need it most, and we must continue to do that in the future.”

Criminals and those accused of crimes have 20 distinct rights outlined in the U.S. Constitution. Victims and their families are provided no rights under the U.S. Constitution. Most states have addressed this disparity by adding victims’ rights and protections into their state constitutions. Florida is one of only 15 states that does not provide clear, enforceable rights for victims of crimes in its constitution.

“As a husband still grieving the tragic murder of my wife, I commend Governor Rick Scott’s support of constitutional protections for crime victims and their families through Constitution Revision Commission Proposal 96, Marsy’s Law,” said Michael Liles, executive director of the Justice Coalition. “My wife’s murderer has more rights in the criminal justice process than myself or my children. As we fight for basic privileges such as the right to be notified of court hearings and the right to provide a victim impact statement without Judicial editing or review, I am thankful our state leaders are fighting with us to ensure the scales of justice are equal for both the victim and the accused. It is important to note that we are seeking equal rights not superior ones. As victims, we have paid the dearest price for the impact of crime. It is only fair and reasonable that we receive equal consideration.”

Marsy’s Law for Florida would provide victims: the right to receive notification of proceedings and major developments in the criminal case; the right to receive timely notification if the offender is being released from custody; the right to be present at court proceedings and provide input to the prosecutor before a plea agreement is finalized; the right to be heard at plea or sentencing proceedings or any processes that might result in the offender’s release; and the right to restitution.

One of the most important rights Marsy’s Law for Florida would provide to victims is the right to choose whether or not to participate in a deposition by the defense. The federal government and 45 other states do not allow victim depositions. Only in Florida, New Hampshire, North Dakota and Vermont are victims required to let the defense depose them. In Texas, the defense can take a victim deposition, but only if they get court approval first.

“At age 11, I clearly never asked to be a victim of sexual abuse – but during my deposition, the defense repeatedly asked me if I wanted it, and insinuated that I, a child, had been complicit in the six years of abuse I ultimately endured. Vulnerable crime victims should never be treated with such blatant disrespect as they bravely pursue justice, yet this happens almost daily in Florida,” said Senator Lauren Book. “Crime victims deserve to be treated with dignity and compassion. I applaud Governor Rick Scott’s commitment to Florida crime victims through his support of Marsy’s Law for Florida, which would bring fairness and humanity to the criminal justice system. This is the right step for Florida.”

Six other states have enacted Marsy’s Law, including California, Illinois, North Dakota, Ohio, South Dakota and Montana. Polling conducted in October showed there is strong interest among Florida voters to enact Marsy’s Law in the Sunshine State. Eighty-seven percent of likely Florida voters believe victims should have, at the very least, the same protections in the state constitution as those given to those accused of committing crimes. When read specific ballot language and informed of the background behind Marsy’s Law, 85 percent of those surveyed said they would vote for a constitutional amendment that guarantees victims’ rights in the Florida Constitution.

“As a survivor of incest and sex trafficking, I know what it is like to feel invisible, to have nobody to go to. I know what it is like to have my voice stripped from me. It is a very powerful thing when you find your voice and I’m proud to work with other victims of sex trafficking to help them find their voices. We need a system that supports victims, encourages them to use their voices and to tell their stories in a safe zone,” said Connie Rose. “My deepest gratitude to Governor Scott and all the other state leaders who have stepped forward and called for real rights and protections for victims.”

If passed by the CRC, Marsy’s Law for Florida would be placed on the 2018 General Election ballot as a constitutional amendment. The proposal must be approved by 60 percent of voters to be placed in the Florida Constitution.

“I am honored to sponsor Marsy’s Law and I want to thank Governor Scott for his support today,” said Tim Cerio, CRC member and sponsor of Proposal 96/Marsy’s Law for Florida. “With Governor Scott’s support, and the support of the public in November, we will give crime victims the same constitutional standing as those accused and convicted of crimes. Victims’ voices will no longer be ignored.”

About Marsy’s Law
Marsy’s Law is named after Marsalee “Marsy” Nicholas of California who was stalked and killed by her ex-boyfriend in 1983. Only one week after her death, Marsy’s mother and brother, Henry T. Nicholas, walked into a grocery store where they were confronted by the accused murderer. The family, who had just come from a visit to Marsy’s grave, was unaware that the accused had been released on bail. In an effort to honor his sister, Dr. Nicholas, co-founder of Broadcom Corporation, has made it his mission to give victims and their families constitutional protections and equal rights. He formed Marsy’s Law for All in 2009, providing expertise and resources to victims’ rights organizations nationwide.

Nursing Home Quality Continues to Improve in Florida

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The Agency for Health Care Administration (Agency) today is highlighting recent national data showing Florida nursing homes, with oversight from the Agency, are delivering higher and higher quality during the course of this decade. Since 2011, Florida nursing homes have shown strong results and/or improvement in a host of quality measures, including those related to infections, falls, pressure ulcers, wandering, physical restraints and the use of anti-psychotic medicines. From information available on the CMS website, Florida nursing homes are either outperforming national averages, showing significant improvements over the last 10 years, or both, on the vast majority of core quality measures.

Agency Secretary Justin Senior said, “Our Agency’s top priority is providing the highest level of quality for patients in Florida. Florida nursing home residents today are less likely to fall, less likely to wander, less likely to suffer infections, less likely to exhibit unhealed pressure ulcers, and less likely to be chemically restrained than they were at the beginning of the decade. Florida tends to do well compared to national averages on these measures as well. This achievement is the product of high standards, consistent regulation, and the hard work of dedicated nursing home employees in the state. It is also the product of swift enforcement action whenever a nursing facility fails to meet Florida’s high standards. I am proud of the efforts that we have made with our partners, and clear expectations and strong regulatory oversight have led to vastly improved performance in our state’s nursing homes.”

The Agency is tasked with regulating the state’s nursing homes, which ensures that Florida’s most vulnerable population is safely cared for in the hands of our state’s nursing homes. The Agency is constantly taking action to ensure patient safety in Florida’s nursing homes. In late 2017, CMS implemented its Quality Assessment Performance Improvement requirements. Nursing homes are required to create quality plans to ensure that their levels of care and service maintain acceptable performance standards and are always improving. The Agency will hold nursing homes in Florida accountable for adhering to their quality plans as well as all regulatory requirements as one of many methods of safeguarding their residents.

Nursing homes in Florida are held to the highest standard. Florida has a unique and diverse population, and our nursing homes reflect that. As more people move to the Sunshine State, our Agency will remain diligent in improving the quality of care our vulnerable citizens receive. Even the best nursing homes can improve the experience for their residents, and our Agency is committed to continued work with our partners in fostering this environment of constant improvement and high levels of service and care.

Florida Lottery celebrates latest milestone of $33 billion in contributions to education over 30 years

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The Florida Lottery announced today it has reached the $33 billion mark in total contributions to the state’s Educational Enhancement Trust Fund over the past 30 years. Since the Lottery’s inception, Florida’s public schools have received more than $11.6 billion, colleges and universities have received a combined total of more than $8.4 billion, and more than $5 billion has been used to fund the Bright Futures Scholarship Program, sending over 775,000 students to college since 1997.

Governor Rick Scott said, “Today’s news that the Lottery has reached $33 billion in total contributions to education means that more Florida students will have the opportunity to get a great education in our state. The success of the Florida Lottery has a direct connection to the continued success of Florida’s scholarship programs and world-class education system. Just this month, U.S. News & World Report again ranked Florida as the best state in the nation for higher education and this latest milestone achievement will help us continue the important work of making sure that every student has access to a great education in Florida.”

“As the Lottery celebrates its 30 years in operation, we are especially proud of this milestone moment in education funding,” said Secretary Jim Poppell. “We are thankful to Governor Scott for his leadership, our loyal players, hardworking retailers and dedicated employees who allow us to help Florida students achieve their dreams of a brighter future.”

The Lottery has established itself as a committed and dependable funding source for public education; contributing more than $1 billion annually for the past sixteen consecutive years, while remaining one of the most efficiently operated lotteries in the country. The benefits continue to be felt in communities across the state.

Former Senate Democratic Leader/CRC Member Chris Smith Files Assault Weapons Ban Amendment

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In an effort to give Florida voters a chance to decide for themselves whether civilians should possess weapons of war, former Senate Democratic Leader Chris Smith today filed an amendment with the Constitution Revision Commission (CRC) which, if the voters agree, would ban assault weapons in The Sunshine State.

“Since the 2016 horrific shooting at Pulse nightclub in Orlando, and especially after the Valentine’s Day tragedy at Stoneman Douglas High School, Floridians have signaled their support for an assault weapons ban,” said Smith, who is currently a member of the 2017-2018 CRC and may directly submit an amendment proposal. “Since the Legislature did not act, I wanted to give the people the power to decide for themselves.”

The CRC is a 37-member organization established every 20 years, tasked with reviewing the state constitution and recommending any needed changes. Members are appointed by the Governor, Attorney General, the Supreme Court Chief Justice, Senate President and House Speaker.

Under Smith’s proposal the sale or transfer of assault weapons would be prohibited. The legislature may enact legislation within the amendment’s framework to provide exceptions to the prohibition on the transfer of assault weapons legally possessed prior to the effective date of the ban.

In his amendment, an “assault weapon” is defined as a semiautomatic rifle that is able to accept a detachable magazine, belt, drum, feed strip, or similar device that is capable of holding more than ten rounds of ammunition, or that has a fixed magazine capable of holding more than ten rounds of ammunition.

The amendment, which will now undergo vetting by the CRC committee process, must garner 22 votes by the full CRC membership in order to appear on the November 2018 ballot.

If successful, and if 60 percent of Florida’s voters then sign off on the Smith amendment, the assault weapons ban would become part of Florida’s state constitution.