Larry Downs Jr. claims that city-owned Pensacola Energy and its director Don Suarez are trying to put private local plumbers out of business, but he can’t get Mayor Ashton Hayward or City Administrator Eric Olson to meet with him.
Suarez created a team, called the Plumbing Partnership Program, in 2012 of about a half dozen local plumbers. Pensacola Energy directs hot water heater installations and appliance installations to those plumbers regularly.
Downs, who owns Larry Downs Jr. Plumbing and is serving as the spokesman for about 50 local plumbing companies, said the partnership overseen by Pensacola Energy is costing local plumbers hundreds of thousands of dollars in business.
He is arguing it’s unfair that government is competing against the private sector and is demanding the practice stop. Downs said Pensacola Energy subsidizes the jobs from its marketing budget.
He said he has tried repeatedly to meet with Mayor Ashton Hayward and his administration but has not received any response. Downs and other plumbers were given two minutes each to speak during the Leroy Boyd Forum at last Thursday’s Pensacola City Council. However, no one from the Hayward administration or Council addressed their concerns at the meeting. (See Confusion over Pensacola City Charter)
Downs told Inweekly that he has filed a formal complaint of price fixing and collusion.
“They’re doing installs below cost,†Downs said. “(Suarez) is giving me and the rest of the plumbers the finger. He said, ‘Too bad. There ain’t nothing you can do about it.’ There are so many different levels that this is wrong.â€
Downs also accused Pensacola Energy of doing projects for free. He showed Inweekly public records of an invoice that shows Warren Culbertson, the general manager at Astro Lincoln, received $2,338 of free work in July 2014. A handwritten note on the invoice reads: “File only. No charge to customer.†No taxes were charged since the natural gas company is government owned.
Another customer, Fannie Bell Wiggins, received free work in October 2014 that totaled $1,795. Installer Aggressive Plumbing said it did a “free†repipe of the gas house line and installed a free water heater that brought the Yonge Street home up to code.
Also, Lidia Smith on Talladega Trail received work in April 2014 to repipe a house line from Certified Plumbing, Sewer & Gas for $2,820. The description of the job said Larry Downs Jr. gave a quote for repairs of $5,200. Pensacola Energy said on the invoice that it would pay Certified and allow the customer to repay the natural gas company in installments. No labor costs were charged.
Another public record that Downs obtained is a memo from September 2012 from Don Suarez that said Pensacola Energy can do range hookups, too. One of his technicians reported a consumer complained he paid a plumber $150 for the work. Suarez demanded for staff and the public to know that the city-owned natural gas company offers the service, too, and called for a meeting with Lowe’s and Home Depot to let them know it could do hook ups..
Ironically, the Pensacola Energy website currently advertises it can connect natural gas stoves.
“It’s one of those things that need to be exposed,†Downs said. “If I got six plumbers together right now and we set our price, we would be going to jail.â€
Downs plans to meet with District 2 City Councilwoman Sherri Myers on Friday. He said he hopes she will propose to city council to end the Plumbing Partnership Program.
Downs pointed out he must carry insurance, charge taxes on his projects. pay taxes and fees to operate his business, pay for advertising, pay an accounting firm and make money so he can hire certified plumbers.
“She’s the only person who will listen to me,†Downs said. “This is terrible and corrupt.â€