Former Hillsborough Commissioner Chris Hart praises a company he helped oust from the desal project and gets paid for it.
By BILL VARIAN
Published August 6, 2004
Former Hillsborough Commissioner Chris Hart, who made the motion to end a company's contract to build a Tampa Bay desalination plant, recently told officials in San Diego that the company did a good job.
And he was paid for his remarks.
Hart, a candidate for Hillsborough County Clerk of the Circuit Court, said he changed his mind about Poseidon Resources after the vote.
He said his own research indicated that, in hindsight, Poseidon had done a good job and shouldn't have been fired.
Hart, who said he made similar comments in two earlier articles he wrote for trade publications, said he believes to this day that the Tampa Bay Water board was duped by its staff into making a poor decision to take over ownership of the plant.
"Even with the tragedies of 9/11 and the disruption of the financial markets, California's energy crisis and struggles of the second engineering firm, Poseidon kept the project on track," he said, according to a written copy of his comments in San Diego.
"We were surprised when the Tampa Bay Water staff recommended that we buy out the project," he said in his remarks, obtained by the St. Petersburg Times.
Contacted in his car late Thursday, Hart said he did not remember how much he was paid to appear before the San Diego Water Authority in November 2003.
He said Poseidon was one of a few clients of the water consulting business Hart founded after leaving the commission. His financial disclosure report indicates the business, Coastal Water Resources, made $21,245 last year.
Hart says his comments to San Diego officials were presented more as "lessons learned" than a pitch for Poseidon.
The Tampa Bay desalination plant, which is supposed to turn sea water into 25-million gallons of drinkable water each day, has been beset by problems from the beginning. The plant, located in Apollo Beach, is still not consistently producing water.
Hart's motion to terminate Tampa Bay Water's contract with Poseidon came in March 2002 as the company and the utility were trying to figure out how to finance the remainder of the project. He was serving as one of Hillsborough's two representatives on the Tampa Bay Water board.
Poseidon had been hired to design, build, own and operate the plant. An early partner was forced to pull out of the project. So, Poseidon teamed up with Covanta Energy to build the plant.
But Covanta also fell upon financial hardship. Fearful that the partnership could not secure financing to finish the job, Tampa Bay Water staff recommended the buyout.
They argued that their superior financial health would help the project secure financing and more favorable rates that ultimately would save taxpayers.
As part of the buyout, Tampa Bay Water agreed to give Poseidon $10.3-million, part of which included money to stay on as a consultant.
Covanta was retained to finish building the plant.
Today, the project is still months behind a deadline. It is still trying to overcome problems with filters that clog when the plant pulls in sea water.
Hart said the project has demonstrated that the greatest risk of starting a desalination plant is whether or not the plant works.
Tampa Bay Water would be in a better position today if Poseidon was still responsible for ensuring the plant runs correctly, he said.
Hart left the commission in 2002 because of term limits. That same year, he lost a bid to win a different seat on the commission.
At the time of his address to the San Diego water board, that authority was considering entering a deal to build a regional sea water desalination plant similar to the one in the Tampa Bay area. Those talks are now on hold.
Honey Rand, a spokesperson for Poseidon, said she recommended Hart for the speaking trip to San Diego, in part because he had initially supported the buyout. She said she was careful not to ask a current elected official so as not to create conflicts.
"I could have easily suggested (former Tampa City Councilman) Charlie Miranda, but it was horseracing season," said Rand, referring to Miranda's work at the horse track.
However, the appearance of Hart and other Poseidon officials in San Diego drew a sharp, nine-page response from Tampa Bay Water General Manager Jerry Maxwell after he learned of their comments there.
In a letter to San Diego water officials, Maxwell said some of Hart's comments were incorrect, including that the agency had made engineering changes to plant plans that have caused problems.
"You should know that Mr. Hart made the original motion for Tampa Bay Water to take ownership of the plant," he said.[Last modified August 6, 2004, 01:00:38]
