I'm working a case here in Jacksonville where JEA is trying to limit refunds to just 2 years claiming that's their standard policy. Customer was on the wrong rate schedule (should have been CILC-1 instead of GSD-1) for about 5 years, total overcharge is around $89,000. Florida Statute 95.11 says 4 years for written contracts, and their tariff is filed with the state. Anyone else run into JEA trying to use a shorter limitation period?
JEA claiming 2 year limit - anyone else see this in Florida?
Rob, I haven't dealt with JEA specifically but I've seen Georgia Power try similar tactics. They like to point to internal policies rather than actual statutes. The Florida 4-year rule should control since their tariffs are state-regulated. Have you checked if JEA has any specific language in their terms of service about limitation periods?
We see this in Texas too where municipal utilities try to create their own limitation periods. The general rule is that state statutes of limitations can't be shortened by contract unless specifically authorized by statute. I'd push back hard on the 2-year claim and cite the Florida 4-year rule.
Similar issue with Colorado Springs Utilities last year. They tried to claim 1 year limit based on their "billing dispute resolution process." We threatened to file with the PUC and they backed down to the full 3 years under Colorado law. Sometimes you just have to call their bluff.
Thanks for the feedback everyone. Derek, I checked their tariff and there's no specific SOL language, just general references to "applicable law." Angela, you're right about pushing back. Carl, that's exactly what I'm thinking - might need to escalate to the Florida PSC if they don't budge.
Rob, check Florida Statute 366.06 as well. It gives the PSC broad authority over municipal utilities in certain situations. If JEA is trying to circumvent state law they might be overstepping their authority. Worth having a Florida utility attorney take a look at the jurisdictional issues.
Hank, that's a great point about 366.06. I hadn't considered the jurisdictional angle. The customer is a large industrial facility so there might be some state oversight even though JEA is municipal. I'll definitely run this by our Florida counsel.
Late to the party but wanted to add that Wisconsin municipal utilities tried similar games until our state legislature specifically clarified that state SOL applies to all utility billing disputes regardless of ownership structure. Florida might have similar clarification in their statutes.
Dan K. is right about legislative clarification. Tennessee did the same thing in 2018 after several municipals tried to limit refunds. The key is usually in the state's municipal utility code rather than general contract law. Worth checking Florida's municipal utility statutes.
Update: JEA finally agreed to the full 4 years after we cited Florida Statute 95.11 and threatened PSC involvement. Got the customer their full $89K refund plus interest. Thanks everyone for the guidance, especially Hank's suggestion about the jurisdictional issues.
Great outcome Rob! This is exactly why we need to document these cases. Too many utilities try to create their own limitation periods hoping customers won't push back. Your success here will help others facing similar issues with municipal utilities trying to limit their exposure.
Excellent work Rob. I'm dealing with Tampa Electric on a similar rate classification issue and they're being much more reasonable about the 4-year Florida limit. Sometimes the municipal vs IOU difference is just about how aggressive they want to be in limiting liability.