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Gouging complaints 'rampant'
By JULIE HAUSERMAN © St. Petersburg Times, published September 26, 1998 In Miami, a propane tank refill went from $7 to $20. And a room at a hotel in Davie jumped from $49 to $133 a night. With Georges looming bright on TV screens, businesses throughout Florida have been boosting prices to take advantage of disaster, said Bob Crawford, Florida's commissioner of agriculture and consumer services. So far, about 100 people have called a state hot line to complain, officials said. "We had quite a bit of price gouging during Hurricane Andrew, but it seems to be more rampant this time," Crawford said. "Bottled water will be 75 cents one day, and the next day, it'll be $3 or $4. We've had complaints of plywood marked up 200 to 300 percent. "When you get into an emergency situation, it's not the normal supply and demand." On Friday, Crawford ordered 100 inspectors in Tallahassee and elsewhere to investigate price gouging. "It's illegal," Crawford said. "We have the authority to fine up to $1,000 per violation, with a maximum fine of $25,000 per day." People are complaining about prices at small, locally owned stores and large chains, state records show. There were seven complaints in Dade and Palm Beach counties about Ace Hardware stores, which customers complained were boosting prices for plywood, candles, batteries and propane. An Ace Hardware spokesman did not return a phone call seeking comment. A Miami woman complained that an Ace Hardware increased the price of candles from 99 cents to $3.95. The woman said she complained and the salesperson told her: "'They knew they were raising the price because of a hurricane." When a customer complained about gas prices jumping in Sarasota, a worker said the distributors were raising prices, so the service stations had to follow suit. A man told a state investigator that he walked out of a Pinellas County service station after they tried to charge him $4.99 for two batteries. Two customers called the state to complain about Home Depot in Miami, saying the stores were gouging customers on plywood. Dan Harrison, spokesman for Home Depot in Atlanta, denied the store is boosting prices to take advantage of the hurricane demand. "It's purely a misunderstanding," Harrison said. "People are making the mistake of thinking they are buying the same grade of plywood they bought six months ago. Marine-grade plywood, for example, is more expensive than waferboard." Consumers can make complaints about price gouging by calling 1-800-357-4273.
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ALLAHASSEE -- At a half-dozen Sarasota service stations, the price of a gallon of gas jumped a nickel. At a hardware store in Broward County, plywood rose from $9.95 a sheet to $29.95.
