Gov. Scott’s blind trust and a company with a massive pollution problem

By Dan Christensen, FloridaBulldog.org 

Gov. Rick Scott

Gov. Rick Scott

When Gov. Rick Scott put $133 million of his assets into a blind trust two years ago, he included his shares of Mosaic, owner of the Central Florida fertilizer plant where 215 million gallons of contaminated wastewater recently drained into an aquifer that provides drinking water for millions of Floridians.

Scott’s ownership interest in Mosaic was relatively small – he valued it at about $14,000 on the list of assets he placed in the blind trust – yet it provides another example of how the governor’s sprawling personal finances conflict, or appear to conflict, with his official duties.

Does Gov. Scott still have an ownership interest in Mosaic? Has it increased? On Wednesday, his office released a statement saying the governor is unaware of any sales, purchases or changes in the trust because it is “under the control of an independent financial professional.”

The trustee is New York-based Hollow Brook Wealth Management, whose chief executive is longtime Scott crony Alan Bazaar.

U.S. Securities and Exchange Commission documents filed earlier this year state that Bazaar also serves as an advisory board member of G. Scott Capital Partners, the private equity firm co-owned by First Lady Ann Scott and run by a trio of the governor’s former employees at Richard L. Scott Investments. Both the governor and Mrs. Scott have been substantial investors in Scott Capital’s investments.

Republican Gov. Scott’s handpicked Secretary of the Department of Environmental Protection, Jon Steverson, is now overseeing Mosaic’s response to the massive dump of contaminated water that occurred in late August when a 45-foot wide sinkhole opened at Mosaic’s New Wales fertilizer manufacturing plant in Mulberry, about 55 miles east of Tampa.

The Mosaic plant sinkhole in what was a large pond atop a gypsum stack. When the sinkhole opened, millions of gallons of acidic wastewater drained into an aquifer used for drinking water. Photo: WFLA Tampa

The Mosaic plant sinkhole in what was a large pond atop a gypsum stack. When the sinkhole opened, millions of gallons of acidic wastewater drained into an aquifer used for drinking water. Photo: WFLA Tampa

“Governor Scott will hold all responsible parties accountable for their actions and has directed the Department of Environmental Protection (DEP) to expedite their investigation,” Scott’s communications director Jackie Schutz said in a Wednesday statement. “Governor Scott has also directed the Department of Health to partner with DEP in their investigation to ensure all drinking water in the area is safe. We know Mosaic has taken responsibility, but our job is to ensure 100 percent safe drinking water.”

Earthjustice is a large nonprofit environmental law firm. Informed that Gov. Scott previously disclosed his ownership of Mosaic stock, Senior Associate Attorney Bradley Marshall said, “We’re always concerned about the governor’s ties to industry. We certainly do think the governor has not been a good protector of the environment in Florida. We’ve already seen veterans at DEP fired for doing their jobs.”

Mosaic, based in Plymouth, Minnesota, is a Fortune 500 company (NYSE: MOS) with extensive operations in Florida, where it employs 4,000 workers. According to the company’s web site, it mines phosphate rock from nearly 200,000 acres of Mosaic-owned land in Central Florida and potash from mines in Canada. The products are processed into crop nutrients that are shipped around the world. Mosaic’s revenues last year were about $9 billion.

Mosaic politically active

Mosaic Fertilizer LLC, the company’s principal operating subsidiary in Florida, is politically active. State records show it fields a team of 14 executive branch lobbyists in Tallahassee. Since 2008, Mosaic entities have contributed about $1.9 million to political candidates and causes, with about $840,000 going to the Republican Party of Florida and the Florida Republican Senatorial Campaign Committee, records show.

In October 2015, Mosaic Fertilizer LLC agreed to a nearly $2 billion settlement with the U.S. Environmental Protection Agency (EPA) regarding charges that its New Wales facility and other plants in Florida as well as Louisiana improperly handled 60 billion pounds of hazardous waste. Specifically, EPA inspectors found that Mosaic had mixed certain types of highly corrosive substances like sulfuric acid from its fertilizer operations with phosphogypsum and wastewater from its mineral processing. Sulfuric acid is used to extract phosphorus from mined rock.

Phosphogypsum is the radioactive byproduct that’s created when phosphate is turned into fertilizer.

An EPA press release at the time said the settlement “will ensure that wastewater at Mosaic’s facilities is properly managed and does not pose a threat to groundwater resources.’’

Gypsum stacks at a a phosphate plant in Florida Photo: Engineering and Mining Journal

Gypsum stacks at a a phosphate plant in Florida Photo: Engineering and Mining Journal

The sinkhole formed beneath one cell of a mountainous phosphogypsum stack topped with a 250-million-gallon pond filled with acidic wastewater from the fertilizer manufacturing process.

According to the company, plant workers noticed a decline in the water level on Aug. 27. While Mosaic quickly notified the DEP and the EPA, no public announcement was made until Sept. 15.

“A sinkhole formed under the west cell that we believe damaged the liner system at the base of the stack,” said the company’s initial press release. “The pond on top of the cell drained as a result, although some seepage continues.”

Mosaic went on to say it “immediately implemented additional and extensive groundwater monitoring and sampling regimens and found no offsite impacts.”

Company officials who appeared Tuesday before the Polk County Commission reiterated, “No water from the stack has migrated off our property.” The company also apologized for not notifying the public sooner.

Gov. Scott’s blind trust – his second while in office – was created under the terms of a secret trust agreement signed in June 2014. His office has declined to make the agreement with the trustee public.

Scott acquired Mosaic while in office

Gov. Scott acquired his Mosaic investment while in office. His first blind, created in April 2011 a few months after he was sworn in, disclosed no ownership of Mosaic shares.

Florida’s qualified blind trust law was passed by the Legislature and signed into law by Scott in 2013. The idea was to prevent conflicts of interest by blinding public officials and the public to their holdings, and also afford those who use them immunity from prohibited conflicts.

“The Legislature finds that if a public officer creates a trust and does not control the interests held by the trust, his or her actions will not be influenced or appear to be influenced by private considerations,” the law says.

But Florida’s blind trust law, crafted with mega-wealthy Gov. Scott in mind, did not contemplate that such a trust could at times become a see-through entity, making it ineffective.

For example, in March 2014 Florida Bulldog reported that SEC records showed Gov. and Mrs. Scott had recently sold $17 million worth of shares in Argan (NYSE:AGX), a company whose principal subsidiary builds and operates power plants in Florida and elsewhere.

Florida Bulldog reported in July 2014 about Scott ownership of shares in a natural gas pipeline firm, Spectra Energy, looking to build the $3-billion Sabal Trail pipeline across North and Central Florida.

In 2013, Florida’s Public Service Commission – five members appointed by Gov. Scott – unanimously approved construction of Spectra’s controversial pipeline venture with Florida Power & Light. Florida’s Department of Environmental Protection subsequently approved it, too.

What didn’t become known until the following year, however, was that Scott had investments totaling $110,000 in Houston-based Spectra and DCP Midstream Partners, a natural gas limited partnership 50 percent owned by Spectra. Scott only disclosed those interests in June 2014 when he closed his first blind trust and created his second blind trust while qualifying to run for re-election.

Florida’s ethics laws generally prohibit public officials like the governor from owning stock in businesses subject to state regulation, or that do business with state agencies. A similar prohibition exists on owning shares in companies that would “create a continuing or frequently recurring conflict” between an official’s private interests and the “full and faithful discharge” of his public duties.

The governor has said he was unaware of his Spectra investments because they were in his blind trust.

In February, Florida Bulldog reported that in 2012 Scott owned a $210,000 stake in a private equity firm that owned Fort Myers-based 21st Century Oncology when it was awarded a unprecedented 25-year, no-bid contract to supply radiation oncology services to taxpayer-supported Broward Health. An all-Republican board of commissioners appointed by Scott and his Republican predecessor made the award.

A spokeswoman for the governor said Scott wasn’t aware that 21st Century had sought the Broward Health contract and that no one at the private equity firm, Vestar Capital Partners, or 21st Century, had asked him to try to influence the hospital district’s selection process.

Gov. Scott’s undisclosed interest – via First Lady – in Zika mosquito control company

By Dan Christensen, FloridaBulldog.org 

Gov. Rick Scott and First Lady Ann Scott

Gov. Rick Scott and First Lady Ann Scott

Florida Gov. Rick Scott has an undisclosed financial interest in a Zika mosquito control company in which his wife, Florida First Lady Ann Scott, owns a multi-million dollar stake through a private investment firm she co-owns.

The company is Mosquito Control Services LLC of Metairie, LA. According to its web site, MCS “is a fully-certified team of mosquito control experts – licensed throughout the Gulf Coast, including Louisiana, Georgia, Mississippi, Alabama and Florida.”

On June 23, Gov. Scott signed an executive order allocating $26.2 million in state emergency funds for Zika preparedness, including “mosquito surveillance and abatement, training for mosquito control technicians and enhanced laboratory capacity.”

It is not known whether MCS, whose services include monitoring and aerial spraying, stands to benefit from Florida government funds. Company manager Steven Pavlovich holds an active Florida “public health applicator” license with the Department of Agriculture and Consumer Services through April 2019, but MCS is not a registered state vendor. The Department of Health contracts with two other two mosquito control vendors.

MCS did not respond to two requests for comment.

Ann Scott’s large stake in MCS is via G. Scott Capital Partners, an investment firm that boasts $291 million of client assets. The firm manages several private equity funds and various “family accounts primarily comprised of trusts and family entities,” according to U.S. Securities and Exchange Commission records.

The Florida Bulldog reported in 2014 that Scott Capital, as it is known online, is operated by a trio of men who once worked at Richard L. Scott Investments, the private equity firm where Gov. Scott made millions for himself and his family putting together big-money investment deals when he was in the private sector.

Scott Capital posts its portfolio online. All nine listed companies are current and former investments of the governor and/or Mrs. Scott, including Mosquito Control Services, described as providing “mosquito abatement services primarily to municipalities.”

The SEC requires investment companies like G. Scott Capital Partners to file periodic disclosure reports. The firm’s most recent report, filed in March, shows that the three-employee, Connecticut-based firm caters to a handful of high net worth individuals – less than 25 – who invest directly and through various pooled investment funds.

A mosquito control investment

The firm’s latest fund is GS MCS, LLC, a Delaware company formed two years ago this month to recapitalize and take control of Mosquito Control Services. The current value of the fund is just under $10 million and the fund has nine beneficial owners, SEC records say. The owners’ names were not disclosed.

The managing director of G. Scott Capital Partners is Gregory D. Scott – no relation to Gov. Scott. He directs the firm’s investments, as he did when he led the private equity group at Richard L. Scott Investments from 2000 to 2012.

A screenshot from the web site of Mosquito Control Services LLC.

A screenshot from the web site of Mosquito Control Services LLC.

Gregory Scott owns 50 to 75 percent of the Delaware holding company that owns 100 percent of G. Scott Capital, according to the SEC. The First Lady owns the rest through the Frances Annette Scott Revocable Trust, which owns Tally 1, a Delaware company that in turn owns 25 to 50 percent of G. Scott Holdings LLC.

Gregory Scott has described Ann Scott, an interior decorator and owner of AS Interiors LLC, as a “passive investor” in G. Scott Capital.

Gov. Scott has not disclosed his ownership interest in his wife’s investments. Florida law, unlike federal law, does not require state public officers to disclose the assets or income of a spouse or minor child.

The governor’s office on Tuesday declined to discuss the matter or make Gov. Scott or the First Lady available for an interview.

The Republican governor, a multimillionaire, puts his personal investments in a “qualified blind trust” that his office has described as being overseen by “an independent financial professional.” Florida public officers who use such a trust to “blind” themselves to the nature of their holdings get in exchange immunity from prohibited conflicts of interest under a law that Gov. Scott signed in 2013.

FloridaBulldog.org has reported, however, that the person overseeing Gov. Scott’s trust is yet another former employee at Richard L. Scott Investments and that the trust has been ineffective in keeping the governor’s assets secret.

When Gov. Scott opened his current blind trust in 2014 – the second of his administration – he was required to disclose the assets he put into it. His current mix of assets is not known, but the Florida Bulldog reported last year that the blind trust has in the past coordinated stock transactions with the First Lady’s trust a family partnership.

The Solantic transfer

When Gov. Scott took office in 2011, he transferred tens of millions of dollars in assets to his wife, including a $62-million investment in the walk-in clinic chain Solantic. Mrs. Scott reportedly sold the family’s stake in Solantic that same year.

Gov. Scott’s transfer of his Solantic shares came amid an uproar about perceived conflicts of interest. Florida ethics laws generally prohibit public officials from having an ownership interest in companies that do business with the state or are subject to state regulation.

In 2013, Gov. Scott had an undisclosed ownership stake in Houston-based Spectra Energy when Florida’s Public Service Commission – five members appointed by Gov. Scott – unanimously approved construction of the controversial $3-billion Sabal Trail natural gas pipeline by a joint venture of Spectra and NextEra Energy, parent of Florida Power & Light.

The governor’s investment in Spectra became known about a year later when he filed a lengthy list of his assets as of Dec. 31, 2013 when he closed his original blind trust and opened a new one while qualifying to run for re-election.

FloridaBulldog.org reported in July 2014 that Gov. Scott’s list included a $53,000 stake in Spectra Energy and a $55,000 stake in DCP Midstream Partners, a natural-gas limited partnership 50 percent owned by Spectra Energy.

The governor’s investments included numerous other oil and gas assets, including a $712,000 stake in Texas-based Energy Transfer and its affiliates and subsidiaries. Through other subsidiaries, giant Energy Transfer owns a 50 percent interest in the Florida Gas Transmission pipeline, which delivers nearly 65 percent of the natural gas consumed in Florida.

Gov. Scott has had other conflicting investments.

FloridaBulldog.org reported in February that in 2012 Scott owned a $210,000 stake in the private equity firm that owned 21st Century Oncology when the all-Republican governing board of taxpayer-supported Broward Health awarded the company an unprecedented 25-year, no-bid contract to supply radiation oncology services. The governor appoints Broward Health’s board members.

A Scott spokeswoman has said the governor wasn’t aware that 21st Century had sought the Broward Health contract prior to its award in January 2012 and that no one at the private equity firm, Vestar Capital Partners, or 21st Century had asked him to try to influence the hospital district’s selection process.

Gov. Scott’s pipeline investment gets a boost from Florida environmental regulators

By Dan Christensen, FloridaBulldog.org 

Gov. Rick Scott

Gov. Rick Scott

State regulators are quietly backing the award of a crucial environmental permit to a company that wants to build a controversial $3-billion natural gas pipeline in North Florida. The company’s investors have included Gov. Rick Scott.

Florida’s Department of Environmental Protection (DEP), overseen by the governor, published a notice of its intent to issue an Environmental Resources Permit to Sabal Trail Transmission LLC, a joint venture of Houston-based Spectra Energy and Florida Power & Light parent, NextEra Energy.

The July 10 notice also says the DEP intends to grant an easement that would allow Sabal Trail to use “submerged state lands” to help construct the pipeline. Some of those lands are beneath the Suwannee, Santa Fe and Withlacoochee rivers, where the 36-inch pipeline would be buried.

The Board of Trustees of Florida’s Internal Improvement Trust Fund owns the submerged lands, according to DEP’s notice. The board is comprised of the governor and Cabinet – Scott, Attorney General Pam Bondi, Agriculture Commissioner Adam Putnam and state chief financial officer Jeff Atwater.

FPL selected Spectra Energy to build and operate Sabal Trail in July 2013.

FloridaBulldog.org reported in July 2014 that Gov. Scott owned a $53,000 stake in Spectra Energy, and a $55,000 stake in DCP Midstream Partners, a natural gas limited partnership 50 percent owned by Spectra Energy. As detailed in a state financial disclosure form, the governor’s portfolio included several million dollars invested in the securities of more than two-dozen entities that produce and/or transport natural gas, including several, like Spectra, with substantial Florida operations.

CONFLICT OF INTEREST PROHIBITIONS

The governor and other public officials in Florida are generally prohibited by state ethics laws from owning stock in businesses subject to their regulation or that do business with state agencies. The law also prohibits them from having an interest in companies that would “create a continuing or frequently recurring conflict” between their private interests and the “full and faithful discharge” of their public duties.

Sabal Trail pipeline project map

Sabal Trail pipeline project map

As described in paperwork released by the department, issuance of the environmental permit would constitute certification that the pipeline project is in compliance with state water quality standards and consistent with Florida’s Coastal Zone Management Program.

DEP says it will issue the permit and easement unless an affected party files a petition seeking an administrative hearing by Friday, August 7. A spokesman for one environmental group, the Georgia-based WWALS Watershed Coalition, said it intends to file a petition by the deadline.

The Sabal Trail Transmission is proposed as a 474-mile natural gas pipeline to run from Alabama and Georgia to a hub in Central Florida, south of Orlando. The Florida leg, 257 miles long, will traverse a dozen counties in north Florida.

Florida Power & Light intends to use the pipeline as a dedicated supply of fracked natural gas to fuel a new generation of gas-fired power plants in locations that include Port Everglades.

According to the DEP, the project will affect 408 acres of wetlands and other surface waters. The notice says some wetland vegetation should re-establish fairly quickly, but “forested areas may take 2-50+ years to re-establish to pre-construction conditions.”

Sabal Trail applied for the permit, water quality certification and authorization to use the sovereign submerged lands on July 31, 2014.

PIPELINE ‘CLEARLY IN THE PUBLIC INTEREST’

“The department has determined…the applicant has provided reasonable assurance that the construction, including the direct, secondary and cumulative impacts, will comply with” state laws and rules, says the notice signed by Jeff Prather, director of the DEP’s central district. “The applicant has also demonstrated that the construction…is clearly in the public interest.”

The Federal Energy Regulatory Commission is the lead federal agency responsible for reviewing the project and preparing an environmental impact statement. FERC has accepted public comments in its ongoing review of the project. A decision could come as early as November.

Gov. Scott was heavily involved in the state’s early backing of the Sabal Trail pipeline project. In May and June 2013, he signed into law a pair of bills intended to speed up permitting. Later that year, his appointees on the Florida Public Service Commission approved construction of Sabal Trail as the state’s third major natural gas pipeline.

At the time, however, Scott’s ownership interest in Spectra Energy was not publicly known. Like tens of millions of dollars of the governor’s other assets, his Spectra shares were placed in a Florida blind trust.

Blind trusts are supposed to eliminate conflicts of interest by “blinding” public officials and the public to their specific assets. And a spokesman for Scott said the governor “had no knowledge of his Spectra investment because his decision to invest was made by a trustee of the blind trust.”

But Scott’s trustee wasn’t a disinterested manager. It was Hollow Brook Wealth Management and chief executive Alan Bazaar, a trusted former employee of the governor’s private investment firm, Richard L. Scott Investments.

Scott lifted the veil on his assets briefly in June 2014 after he closed his original blind trust and immediately opened a new one and placed all of his assets back into it. The maneuver served to insulate the governor from criticism about financial transparency in advance of last year’s election, but it also revealed the governor’s large personal bet on natural gas firms like Spectra and Energy Transfer Equity LP, entities with significant pipeline interests in Florida.

Energy Transfer’s subsidiaries include a joint venture that owns Florida Gas Transmission, the state’s largest natural gas pipeline and a major state vendor. Scott also has a financial interest in Florida’s other major natural gas pipeline Gulfstream, through his investments in Spectra and the large pipeline operator Williams Cos.

Last month, the Wall Street Journal reported that Energy Transfer Equity LP, run by Dallas billionaire Kelcy Warren, is pursuing a multi-billion dollar deal to acquire Williams.

In his most recent financial disclosure, Scott valued his units of Energy Transfer as worth $311,000 on Dec. 31 2013. He also reported a $400,000 stake in a pair of entities owned by Energy Transfer, Regency Energy Partners LP and PVR Partners LP.

Energy Transfer boss Warren has been a big political supporter or Gov. Scott. In Nov. 2013, two days after former Gov. Charlie Crist filed to run against Scott, Warren contributed $50,000 to Let’s Get to Work, a political committee backing Scott. In March 2012, an Energy Transfer subsidiary gave $25,000 to Let’s Get to Work.

On Sunday, The New York Times ranked Warren third among those who have given the most money in the 2016 presidential race. Warren’s $6 million in contributions all supported former Texas Republican Governor Rick Perry.

Gov. Scott had stake in pipeline firm whose $3 billion venture he and his appointees backed

 

By Dan Christensen, BrowardBulldog.org 

Florida's existing and proposed pipeline routes. Gov. Scott invested hundreds of thousands of dollars in companies that own all three. Illustration: NextEra Energy

Florida’s existing and proposed pipeline routes. Gov. Scott invested hundreds of thousands of dollars in companies that own all three. Illustration: NextEra Energy

Upon his election, Gov. Rick Scott’s transition team included a Florida Power & Light executive who pitched his company’s plan to build a major natural gas pipeline in North Florida to fuel a new generation of gas-fired power plants in places like Port Everglades.

“The proposed project will need state regulatory and governmental agencies to understand and support this project,” said the proposal submitted by FPL vice president Sam Forrest.

Gov. Scott understood. In May and June 2013, he signed into law two bills (HB 999 and HB 1083) designed to speed up permitting for what came to be known as the Sabal Trail Transmission – a controversial, 474-mile natural gas pipeline that’s to run from Alabama and Georgia to a hub in Central Florida, south of Orlando.

Five months later, the Florida Public Service Commission, whose five members were appointed by Gov. Scott, unanimously approved construction of Sabal Trail as the state’s third major natural gas pipeline. More approvals are needed from the Federal Energy Regulatory Commission (FERC) and the Florida Department of Environmental Protection, which the governor oversees.

What wasn’t publicly known in 2013, however, was that Gov. Scott owned a stake in Spectra Energy, the Houston company chosen by Florida Power & Light that July to build and operate the $3 billion pipeline. Sabal Trail Transmission LLC is a joint venture of Spectra Energy and FPL’s parent, NextEra Energy.

BrowardBulldog.org’s review of financial records made public last month by Gov. Scott show that as of Dec. 31 his portfolio included several million dollars invested in the securities of more than two-dozen entities that produce and/or transport natural gas – including some, like Spectra, with substantial Florida operations.

His stake in Spectra Energy was reported as being worth $53,000 that day.

Florida’s ethics laws generally prohibit public officials like the governor from owning stock in businesses subject to their regulation, or that do business with state agencies. A similar prohibition exists on owning shares in companies that would “create a continuing or frequently recurring conflict” between an official’s private interests and the “full and faithful discharge” of his public duties.

NEW CONCERNS ABOUT BLIND TRUST LAW

Scott’s investments in companies that do business in Florida raise fresh concerns about the operation of Florida’s so-called “qualified blind trust” statute – a law that allows public officials to veil their investment activity while affording them immunity from prohibited conflicts of interest.

Gov. Rick Scott

Gov. Rick Scott

Scott acquired his Spectra shares via his blind trust. Exactly when that occurred is not known, and Greg Blair, a spokesman for the governor’s re-election campaign, said in an email that Scott has “no knowledge of the investment because his decision to invest was made by a trustee of the blind trust.”

Blind trusts are supposed to eliminate conflicts of interest by “blinding” public officials and the public to the nature of their holdings. The law’s requirement that officials hand over control of an investment portfolio to a disinterested manager was intended to accomplish that.

But as BrowardBulldog.org reported in March, the governor’s blind trust was ineffective in keeping the governor’s assets secret. And Alan Bazaar, a trusted former employee of the governor’s private investment firm Richard L. Scott Investments, managed it.

“The legislature makes it easy for officials to get away with conflicts of interest through loopholes in the ethics code,” said Dan Krassner, executive director of Integrity Florida, the nonpartisan research institute and government watchdog group. “Corruption has been institutionalized in Florida with flawed policies like blind trusts and political appointees issuing advisory opinions on what’s ethical.”

The governor, the senate president and the house speaker appoint the members of Florida’s Commission on Ethics.

The governor’s financial interest in Sabal Trail’s builder, Spectra, is also fueling criticism from opponents of the controversial natural gas pipeline project.

“That’s very interesting,” said Susan Glickman, Florida Director of the Southern Alliance for Clean Energy. “It’s totally inappropriate that we have policymakers making important decisions where they have a financial stake in the outcome.”

“OUTRAGED AND DISHEARTENED”

Beth Gordon is a lawyer and former South Florida resident who now lives with her family on a 32-acre horse farm in Levy County where Spectra wants to route Sabal Trail. She helped found Spectrabusters, a citizens’ group that’s fighting Sabal Trail.

“I’m outraged and disheartened by this news. I feel blindsided,” said Gordon, who like Scott is a Republican. “The governor’s interest is in getting these companies the permits they need and he’s not interested in the environment.”

The governor’s financial disclosure form, essentially a snapshot of his extensive holdings as of Dec. 31, shows that Scott also owns a $55,000 stake in another Spectra asset, DCP Midstream Partners. DCM is a natural gas limited partnership 50 percent owned by Spectra Energy.

Scott disclosed his portfolio last month after he closed his original blind trust, then immediately opened a new one and placed all of his assets back into it.

He did it “to ensure that there would not be the possibility of any conflict of interest,” spokesman Greg Blair said via email. “As a result, Gov. Scott has no knowledge of the current contents of the blind trust.”

The trustee of the new blind trust, however, continues to be New York’s Hollow Brook Wealth Management and its chief executive and longtime Scott crony Alan Baazar.

Neither the governor nor anyone on his staff would be interviewed about his investments. Last month’s disclosure form marks the first time the governor has made public a list of his securities investments since he formed the blind trust in April 2011.

The maneuver served to insulate Gov. Scott from criticism about financial transparency amid his re-election campaign against former Gov. Charlie Crist. But it also revealed Scott’s large personal bet on natural gas and firms like Spectra and Energy Transfer Equity LP.

GOV. SCOTT’S STAKES IN OTHER FLORIDA PIPELINES  

Energy Transfer is a publicly traded master limited partnership whose subsidiaries include a joint venture that owns Florida Gas Transmission. FGT is the state’s largest natural gas pipeline, transporting it from Texas through the Florida peninsula south to Miami-Dade.

Florida Gas Transmission is also a major state vendor. According to Transparency Florida, the state website where government spending information is posted, FGT was paid $28.4 million by the Department of Transportation for various construction services in 2013-2014.

Scott valued his units of Energy Transfer as being worth $311,000 as of the end of last year. He likewise reported additional investments in a pair of entities owned by Energy Transfer, Regency Energy Partners LP and PVR Partners LP, totaling $400,000.

Scott’s investments in Spectra and Williams, an energy infrastructure company, also gave him a financial interest in Florida’s other major natural gas pipeline, Gulfstream, which runs from Alabama to Tampa Bay beneath the Gulf of Mexico. Those companies and their limited partnerships jointly own and operate Palmetto-based Gulfstream Natural Gas System LLC.

Scott’s disclosure form reported that in addition to his Spectra holdings he owned Williams shares worth $104,000 and a $71,000 ownership interest in a master limited partnership owned by Williams, Access Midstream Partners.

In addition to the bills Scott signed to streamline permitting for natural gas pipelines, he likewise benefitted the industry last year by approving another law (HB 579) that provides $30 million over five years to fund rebates to commercial fleet operators who buy, convert or lease vehicles that run on natural gas. The program, administered by Agriculture and Consumer Services boss Adam Putnam, offers applicants a maximum annual rebate of $250,000.

The Public Service Commission later approved several individual natural gas vehicle programs. PSC Commission Chairman Ronald A. Brise said the moves helped make “natural gas pricing more competitive with conventional motor fuels.”

The law also exempts natural gas fuel from state fuel, sales and use taxes for five years.

“They’re doing everything they can to build the market,” said Glickman.

Florida’s natural gas market is huge and growing. Nearly 68 percent of Florida’s electric generation, and more than 72 percent of FPL’s total energy, was fueled by natural gas in 2012, according to the Public Service Commission. Pipelines bring virtually all of that gas to Florida.

SABAL TRAIL TO POWER FPL PLANTS

The Sabal Trail underground pipeline is to run through 13 Florida counties. Documents state that it is intended to provide Florida Power & Light with a dedicated supply of natural gas for power generation needs and other purposes starting in May 2017.

Much of that new supply is to come from natural gas fracked from shale. It would flow to Florida from Sabal Trail’s connection to Williams’ Transco pipeline in Alabama.

Sabal Trail is to terminate at a new central Florida hub where it would connect to the state’s two other main natural gas pipelines, Florida Gas Transmission and Gulfstream. Another part of the new pipeline project that does not involve Spectra is the construction of a 126-mile, $550 million pipeline to run from Sabal Trail’s termination point in Osceola County to an FPL plant in Indiantown in Martin County.

“The primary factors driving this increased need are the three modernization projects currently in progress at FPL’s Cape Canaveral, Riviera Beach and Port Everglades natural gas plants to upgrade older, 1960’s-era steam combustion turbine generating units to modern, and more efficient combined cycle technology,” said the Public Service Commission’s October 2013 memorandum endorsing the pipeline projects.

Sabal Trail, however, has drawn significant opposition from both environmentalists who fear pollution and residents who consider the 36-inch steel pipeline a hazard and don’t want it anywhere near them.

In April, the Environmental Protection Agency (EPA) sent a 17-page letter to FERC that questioned the need for Sabal Trail and suggested alternatives, like improved energy conservation measures, that would allow FPL to otherwise meet the power needs of its customers.

“U.S. electricity sales appear to have peaked in 2007,” the letter says.

FPL isn’t the only utility looking to generate electricity using natural gas imported via Sabal Trail.

Later this year, the Public Service Commission will consider plans by Duke Energy Florida to build a new, combined-cycle natural gas plant near Crystal River in Citrus County that would be a major customer of the new pipeline.

According to a Duke Energy press release, the project also requires certification under Florida’s Power Plant Siting Act. Certifications are issued by Florida’s siting board, which consists of the governor and Cabinet.

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