The Gainesville Regional Utilities Authority met Wednesday night with the five-member board, utility staff and residents to conduct business and confront questions about the authority’s role, legitimacy and future.
The evening featured contract votes, legal maneuvers and pointed exchanges with the public.
Created by Florida House Bill 1645 and signed into law, GRUA took authority over Gainesville’s utilities in 2023, moving control from the city’s elected officials to state lawmakers.
The Board argued this change would stabilize governance and reduce debt. GRU carried roughly $1.8 billion in long-term debt in 2023, one of the highest burdens per capita for any municipal utility in Florida.
Residents describe the new setup as a political overreach by Tallahassee conservatives. “It is ridiculous that voters have to keep saying the same thing over and over and over for years and years and years,” said Janice Gary, a longtime GRU customer.
While public frustration focused on the authority’s legitimacy, the authority pressed forward with operational business; most notably a major decision involving its long-standing relationship with The Energy Authority (TEA), a nonprofit utility services group based in Jacksonville.
GRU exited its ownership stake in TEA and adopted a new service contract model. That change will save about $467,000 per year, according to Ed Bielarski, CEO of GRU.
The deal also returns $11.5 million in equity to GRU and relieves it of $46 million in financial guarantees. All authority members voted in favor of it.
“That is a resource management agreement,” Bielarski said, “using that as a vendor, but still having access to the whole portfolio of services that they have developed and can offer us.”
The deal essentially allows GRU to keep the same services it’s been offered while paying less.
Since GRUA’s formation in 2023, the utility’s long-term debt has decreased from $1.849 billion to approximately $1.74 billion.
“Rates have gone down, our debts have gone down, our interest rates gone down,” said Jack Jacobs, a director of the GRUA.
More politically charged was the board’s decision to sue the City of Gainesville. City Ordinance 2025-416, passed last month, places a charter amendment on the November ballot. If approved, it would dissolve GRUA and return control to the city commission.
The authority said the lawsuit aims to block the ordinance from taking effect, citing a direct conflict with ongoing litigation in the First District Court of Appeals. Officials noted they had already filed a notice of appeal challenging a previous ruling by Judge Wright.
But the political cost is harder to calculate.
“This authority is not a political operative, you say, when a legislator intentionally bypasses voters who have rejected his obsession with the state’s involvement in municipal utility,” said Janice Gary.
Bielarski gave a presentation titled “Fact vs. Fiction,” challenging several public narratives.
Bielarski said residential bills have decreased by 25 percent in the past two years. Electric and gas base rates have not increased since the board took over.
The General Fund Transfer, once $38 million, now sits at $8.5 million. Bond rating agencies have praised this trend, staff said.
“We reduced the General Fund Transfer, accelerated amortization of debt and stabilized our bond rating,” Bielarski said.
In addition to pointing out accomplishments, David Haslam, the authority vice chair, wanted to address the accusations whose blame lies elsewhere.
“I joined this board because of what I perceived to be a horrible mess at GRU,” said Haslam, “what I found was a horrible mess made by the city commission.”
GRUA’s controversial journey hasn’t been short. It began in the legislature, launched in October 2023, and has faced court challenges ever since.
When GRU General Manager Tony Cunningham was fired in June 2024, former CEO Ed Bielarski returned to lead the utility. New board members were seated in March 2025.
A city-sponsored referendum was rejected in court in April, with a judge calling it “misleading”. The city commission’s latest attempt—the current ordinance—faces a new legal challenge.
Despite the political strain, GRU’s operations continue. April reports showed steady service, stable costs and no new rate increases.
“There’s been no increase in base rates for two years,” said Bielarski “And we are among the lowest utility bills for the combined four services.”
Before adjourning, the board honored outgoing member Craig Carter for his service. Chair Eric Lawson presented him with a plaque, thanking him for his commitment to the utility and the community.
Carter visibly moved, said it had been an honor to serve and expressed confidence in GRU’s direction going forward.
(Except for the headline, this story has not been edited by PostX News and is published from a syndicated feed.)
