Florida Ethics Commission OKs Scott's Investments

TALLAHASSEE, Fla. (CBS4) -- The Florida Ethics Commission ruled Gov. Rick Scott's investments and his blind trust present no prohibited conflicts of interest in an advisory opinion Friday, but it doesn't cover a company his family is in the process of selling.

The opinion was the first of its kind sought by a Florida governor, said the commission's executive director, Phil Claypool. It was approved without discussion or debate.

"I'm trying to make sure I do everything the right way and organizing my business investments that way," Scott said shortly after the panel acted. "I believe I was doing the right thing, but it's nice when they do that."

The Republican governor made his fortune in the hospital and health care business. Scott reported a $218 million net worth before last year's election and then spent some $73 million of his own money on his campaign.

The commission found no conflict of interest from Scott's holdings in four companies and a New York-based investment fund that have Florida-based or regulated entities. Three companies are in the energy business and one is in waste hauling. The investment fund owns stock in a Florida-based company that operates cancer radiation facilities.

"The governor's passive investments in these large national corporations and investment fund do not create a continuing, frequently recurring conflict with his public duties," Claypool said.

The opinion drafted by Claypool says Scott has no control over the businesses, nor does he have knowledge of or control over future investments that might be made by advisers who manage his trust.

Claypool said Scott's interest in Jacksonville-based Solantic, which operates urgent care clinics in Florida and other states, is the governor's most controversial holding, but it wasn't included because of the impending sale.

Scott gave the company to his wife after being elected, but now they've got a contract to sell it to minority investors.

"We're just waiting for regulatory approval," Scott said.

State health care agencies must approve the transfer of several licenses before the deal can be closed. Scott said he hoped that happens in the next 30 days but would not ask Florida agencies under his control to speed up the process.

"I have no involvement in these things," he said.

Also not covered is Scott's holding through a family investment in Illinois-based Drives LLC, an industrial equipment manufacturer with less than $100,000 in inventory and less than $350,000 in annual sales in Florida but none to the state.

Companies covered by the opinion include Energy Transfer Equity LP of Dallas. Scott owns stock valued at about $593,000 in the company that transports and stores natural gas. It's also one of the nation's largest propane marketers, including 35 service locations operated in Florida by a subsidiary.

Scott owns about $130,000 worth of Houston-based Enterprise Products Partners LP. The company transports natural gas and other products through pipelines and provides services related to terminals, offshore drilling and other energy activities. Its only apparent business in Florida, though, is a towboat and barge operation.

The governor's holdings in Inery LP are valued at $88,000. The Kansas City, Mo.-based company's business includes natural gas storage facilities and propane supply and marketing, including 19 customer service centers in Florida.

Scott has about $250,000 invested in Republic Services, Inc., of Phoenix. It's the nation's second-largest provider of domestic, non-hazardous solid waste services. Republic operates in 40 states, including Florida.

The governor has a 1 percent or less limited partnership interest in Vespar Capital Partners V. The fund has about $43 million in equity capital and a controlling interest in Fort Myers-based Radiation Therapy Services.

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