Former JEA CEO Aaron Zahn leaves federal court after his guity verdict on March 15, 2024. | Will Brown, Jacksonville Today
Published on July 30, 2024 at 6:14 pm
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A federal judge on Tuesday sentenced former JEA CEO Aaron Zahn to four years in prison on convictions of conspiracy and wire fraud.
Zahn will voluntarily surrender to a facility designated by the Bureau of Prisons at a later date and will serve one year of supervised release when his sentence is over.
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“Today’s sentencing closes a painful chapter for our employees and the community we serve. We are thankful for the members of law enforcement, the U.S. Attorney’s office and the criminal justice system for all of their hard work,” a JEA spokesperson said in written statement. “The actions of a former executive do not reflect the core values of our 2,200-plus dedicated employees, who remain focused on improving lives and building community with the goal of being the best utility in the nation. JEA is proud to remain Jacksonville’s municipally-owned utility.”
Painting a picture of a family man involved in his community, attorneys for Zahn had asked a judge not to impose a multiyear prison sentence. They said the case had already taken an immense toll on Zahn and his family, with scrutiny and humiliation leading to a diagnosis of PTSD for the former utility head.
He was facing up to nine years in federal prison based on sentencing guidelines.
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Zahn was convicted in March, after a trial focused on a proposed bonus plan that prosecutors said could have paid out millions of dollars to Zahn and other executives, had the city-owned utility been sold, as was being explored in 2019. In a sentencing memorandum filed earlier this week, prosecutors argue for a punishment of a “multi-year incarceration.”
The defense attorneys took issue with the probation officer’s calculation of guidelines recommending a sentence of 87 to 108 months of incarceration, which is largely based on an “intended loss” of $40 million. That is the amount, the probation officer found, that Zahn could have received had JEA been sold. They argue his sentencing guidelines should instead be calculated based on the actual loss of zero, and that even if the intended loss could be considered, the alleged loss is too speculative to factor into the sentencing.
The defense memo later argued that other factors around Zahn’s case, such as his background and personal characteristics, support leniency and a sentence less than the guidelines recommend.
Attorneys argued that the conviction itself, which has left Zahn’s business career “in ruins,” imposes serious punishment itself.
This story was produced by News4Jax, a Jacksonville Today news partner.
