Opinion
By Steve Nicklas, 6-24-24
Three strikes and you’re out in baseball, but not in government. In the public-sector game, you can’t strike out; you walk instead.
And while baseball gloves are made with rawhide laces, government errors give taxpayers raw hides. Laced with massive damages and public lament.
In the latest local whiff, the Fernandina Beach city government committed and just admitted a legal error the size of the Rayonier sawdust pile. The final settlement in a lawsuit brought by prominent builder Ron Flick cost the city more than $500,000. Even perennial goat Bill Buckner would blush over this error.
This follows two other substantial lawsuits lost by the city, which adds up to three strikes by the traditional math no longer taught in public schools. But only Fernandina Beach taxpayers are losing.
Top city officials are mostly absolved of responsibility. Nobody has even been benched, suspended, or fired – not even city attorney Tammi Bach, a central figure in all three cases.
Heads would roll in the business world from such negligence. But again, this is the public sector. Heck, the most incompetent people are often promoted (i.e., the mayor of South Bend, Ind. becoming U.S. transportation secretary).
Last week, in discussing the four-year-old lawsuit with Flick, Bach talked in a hushed voice bordering on a whisper. She confessed the $512,948 of impact/building/permitting fees charged by the city were egregious and should be returned to rightful owner Flick. Bach had continually advised the city to fight back against Flick’s lawsuit.
The only commissioner around when Flick filed his lawsuit in 2019 was the combative Chip Ross. And Ross has never shied away from a lawsuit. He flies like a moth to a legal light.
So while Bach murmured during the hearing, Ross pouted. And then Ross voted with the other four commissioners to refund the money the city improperly took from Flick. Meanwhile, Bach made excuses about changes in fees and incongruencies with building codes, along with miscellaneous mumblings.
Flick built the monolithic Marriott Courtyard/Springhill Suites hotel on Atlantic Avenue. And the city fought him the entire way. With fees, delays, and overall obstruction. In its defense, the city has since cleansed its building department of several dead-wood inspectors.
In the two previous lawsuits, the settlements amounted to $2 million over a city airport dispute and $3 million over illegal impact fees. You don’t need a calculator to tally these combined $5.5 million in adverse judgements against the city.
And Bach barely represents the city in such legal battles. She brings in reinforcements – outside law firms with large expense accounts. And the city still loses, although Bach drags out lawsuits as long as possible.
In a weak explanation in her defense, Bach admitted the city made mistakes and should settle with Flick to avoid further litigation costs. She incorrectly stated, however, “There was no taxpayer money involved in this settlement.”
Huh? The city operates on a steady diet of local taxpayer money. Taxes, fees, licenses, etc. assessed to residents and businesses generate the city’s income stream (along with state and federal funds, also from taxes).
And isn’t longtime resident Flick a taxpayer? And what about the costs he incurred in fighting against the bureaucratic shakedown? What about the treatment of other builders who came before Flick – does the city owe them money too?
Local syndicated blogger Dave Scott summed up the situation with this accurate headline: “Fernandina’s Fees Fleeced Flick.” Succinct, accurate, painful.
It’s ironic, but one city commissioner commented during a previous meeting about Bach: “She keeps us out of trouble.” What would life be with a city attorney who finds trouble?
Bach did not create these lawsuits, but she contributed by advising city officials about the illicit actions. And, most importantly, advising the city during the subsequent lawsuits. Over nearly two decades.
Baseball is the national pastime, but maybe the city should try a different sport. In historical terms, Fernandina Beach is the 1899 version of the Cleveland Spiders when it comes to monumental lawsuits.
Either way, the city is on a decisive losing streak. How about out-sourcing legal work as a sport?
Steve Nicklas is the managing partner of Nicklas Wealth Management in Fernandina Beach. He is also an award-winning columnist. His columns appear in weekly newspapers in Northeast Florida and in Southeast Georgia, and on his website at www.SteveNicklasMarketplace.com. He has published a book, “All About Money,” of his favorite columns from the past 20 years. The book is available on Amazon. He has also done financial reports for area radio stations and for National Public Radio in Jacksonville. He can be reached by email at [email protected] or by phone at 904-753-0236.
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The long-running “Investing in Today’s Financial Markets” series will resume on Thursday, June 27 (noon to 1:30 p.m.) at the Nassau County Council on Aging headquarters in Fernandina Beach.
The class, “Developing a Financial Plan,” will cover a variety of financial-planning aspects, from drawing up a realistic plan to executing it. Important issues like identifying income-producing investments, titling assets, utilizing insurance, etc. will be covered.
The series has been offered locally by financial advisor Steve Nicklas for more than 20 years, originating at Florida State College. The COA can be reached at 904-261-0701.
The views expressed in this commentary are those of the author and do not necessarily reflect the official position of Citizens Journal Florida