MOSQUITO CONTROL IS OUT OF CONTROL

 
 

Mosquito thumbnail

How do you know if you are getting value from a public utility or taxing district that is not regulated by a Public Service Commission?  Over the last few years that question has been asked by many regarding the Florida Keys Mosquito Control District (FKMCD).  The answer has always been that the FKMCD is the most advanced, effective and admired agency of its kind in the US!  The Management and some Board members have worked hard to convince us that they are both operationally and cost effective in performing their function.  It is generally difficult to prove that this is not the case; however, recently the free market has demonstrated just how expensive our service in the Florida Keys really is.  After fifty years of contracted services, the Navy went out for bid for its mosquito control services and the results are eye opening.  The competitive bid, from a company that does not even have an office in the Keys, was 40% below the price offered by Mosquito Control.  In other words, a private, national competitor can come in, open up a new operation and still charge 40% less.  Now, maybe this private company bid low to get in the door, but 40% is a big differential in a business where costs and risks are known.  What is the reaction to this loss of $ 600,000 in annual revenue?  District 3 Commisioner Stephen Smith and District 2 candidate Roger Cousineau both argue that taxes should be raised to make up this revenue shortfall.  Really!  When you are overpriced, and losing customers, you do not charge other customers more, you examine your cost structure and determine how to achieve a competitive position or you go out of business.  Mosquito Control must examine it operating and capital plans.  The FKMCD is an $ 11 million utility organized and staffed as if it was ten times larger.  A cursory review of its organization shows it has at least 14 management and administrative personnel for a 75 person organization.  This is a 4.3 to 1 ratio of employees to management; large by any measure for a small utility.  FKMCD must reconsider the foolish idea of operating out of a partially vacant Marathon headquarters location while building new facilities for the Finance Department on Big Coppit for the simple reason that a few employees do not want to commute.  Mosquito Control has spent significant amounts on four helicopters and two fixed wing aircraft, improved communications, and high efficiency mosquito control techniques that should lower operating costs.  It is now evaluating genetically modified mosquitoes, and using barrier sprays, truck traps, adulticiding and long term larvacide products.  These are all technologies that reduce personnel costs, yet, the management and a few Board members seem set on expanding the cost structure with an inefficient organization, unnecessary construction, and an expanded payroll.  Yes, the risk of Dengue Fever, West Nile Virus and Chikungunya are serious and must be planned for, but you do not build excess buildings and keep extra staff on board for future risks.  Now that we have two suppliers of mosquito control services in the Keys, we can react by contracting out emergency actions without being inefficient.  No one should be surprised if other parts of Monroe County that contract services from the FKMCD begin to look elsewhere, leaving us with an albatross around our necks.

Walter Drabinski

President

Vantage Energy Consulting LLC

Cudjoe Key, FL