Michael La Rosa
About Michael A. La Rosa
Michael A. La Rosa (age 43) has served on LRHC’s Board since February 2022. He is a Governor‑appointed member of the Florida Public Service Commission (since January 2021), a realtor with La Rosa Realty, LLC (since 2004), and a developer at La Rosa Development Corp. (since 2005). He previously served in the Florida House of Representatives (2012–2020), including chairing Commerce and leading energy/regulatory committees. He holds a B.S. from the University of Central Florida .
Past Roles
| Organization | Role | Tenure | Committees/Impact |
|---|---|---|---|
| Florida House of Representatives | Member | 2012–2020 | Vice Chair Energy & Utilities (2013–2014); Regulatory Affairs Vice Chair (2015–2016); Chair, Commerce (2019–2020); led energy, regulatory and business policy |
| La Rosa Development Corp. | Developer | 2005–present | Real estate development; family business affiliation |
| La Rosa Realty, LLC | Realtor | 2004–present | Agent role at LRHC subsidiary (commission income noted separately below) |
External Roles
| Organization | Role | Start | Notes |
|---|---|---|---|
| Florida Public Service Commission | Commissioner (Governor‑appointed) | Jan 2021 | Regulates telecom, electric, gas, water, transport in Florida |
Board Governance
- Independence: Not independent under Nasdaq rules due to being the brother of CEO/Chair Joseph La Rosa .
- Committee assignments: Audit, Compensation, and Nominating & Corporate Governance Committees are comprised entirely of independent directors; Michael La Rosa is not listed as a member (chairs: Felix—Audit; Alavi—Compensation; Siegel—Nominating) .
- Board activity: Board met 5 times in FY 2024; Audit Committee met 4 times. Individual director attendance rates are not disclosed .
- Controlled company context: LRHC is a Nasdaq “controlled company” given CEO’s 2,000 Series X Super Voting Preferred shares (10,000 votes/share), enabling control of director elections and other matters .
Fixed Compensation
| Component | Amount | Period | Notes |
|---|---|---|---|
| Board cash retainer | $12,000 per quarter | Ongoing | Standard for non‑employee directors |
| Committee chair fees | N/A | — | Chairs receive $3,750 (Audit) or $3,000 (Comp/Nom) per quarter; Michael is not a chair |
| Total fees earned (2024) | $48,000 | FY 2024 | No stock or option awards reported for 2024; excludes separate agent commission |
Performance Compensation
| Performance Element | FY 2024 Status | Metrics/Terms |
|---|---|---|
| Equity awards to director | None disclosed | No stock/option awards reported for Michael in 2024 director compensation table |
| Performance goals tied to director pay | Not applicable | Director compensation is cash retainer‑based; LRHC may grant equity to directors at Compensation Committee discretion, but none reported for Michael in 2024 |
Other Directorships & Interlocks
| Category | Detail | Governance Note |
|---|---|---|
| Family relationships | Brother of CEO/Chair Joseph La Rosa | Impairs independence under Nasdaq rules |
| Subsidiary role | Realtor at La Rosa Realty, LLC | Commission paid in 2024 (not part of director compensation). Potential recurring related‑party economic ties via agent role |
| Related‑party transactions | Consulting Agreement with LRS ASSOCIATE PARTNERS LLC (owned/controlled by Michael La Rosa), executed July 8, 2024; terminated by end of 2024 | Direct financial dealing with LRHC; terminated within the same year |
| Facilities leasing | Subsidiary lease from entity owned by CEO and Michael La Rosa (minimum rent $4,593/mo through June 2025; now month‑to‑month) | Ongoing related‑party lease exposure |
Expertise & Qualifications
- Regulatory oversight of utilities, energy, telecom, and transport as Florida PSC commissioner; prior legislative leadership in energy/regulation and commerce .
- Long‑standing real estate and development background within La Rosa entities .
- Bachelor of Science degree (University of Central Florida) .
Equity Ownership
| Holding Type | Quantity | Terms | Vested/Status |
|---|---|---|---|
| Common stock (beneficial) | 1,921 shares | Includes shares and options exercisable within 60 days; <1% of outstanding | |
| Stock option | 250 shares | Grant: Feb 15, 2022; Strike: $400; Expiry: Feb 15, 2032 | Fully vested |
| Stock option | 1,071 shares | Grant: Nov 1, 2023; Strike: $102.40; Ten‑year option | Fully vested |
- Pledging/hedging: LRHC insider trading policy prohibits pledging, shorting, and hedging for directors; no specific pledging by Michael disclosed .
Governance Assessment
- Independence and committee effectiveness: Michael is not independent and does not sit on core oversight committees, which are independent‑only. This limits his formal role in audit, compensation, and governance oversight, but familial ties increase perceived conflict risk in a controlled company structure .
- Conflicts/related‑party exposure: Multiple touchpoints—subsidiary lease (CEO and Michael’s owned entity), personal consulting agreement (terminated), and commission income via LRHC subsidiary—are material governance flags requiring vigilant Audit Committee oversight and clear recusals .
- Compensation alignment: 2024 director pay is 100% cash ($48,000) with no equity awards, resulting in limited additional alignment via director equity for Michael in 2024. His beneficial holdings are small relative to float (<1%), though he holds fully vested options from 2022 and 2023 grants .
- Attendance/engagement: Board and Audit Committee met regularly (5 and 4 times respectively in 2024), but individual attendance metrics are not disclosed—an information gap for evaluating director engagement .
- Policy safeguards: LRHC has a related‑person transaction policy with Audit Committee approval requirements, and prohibits pledging/hedging, which partially mitigates risks; however, equity plan permits option repricing without stockholder approval, a shareholder‑unfriendly provision overseen by the Compensation Committee (independent) .
RED FLAGS
- Not independent due to familial relationship with CEO/Chair; Board is under “controlled company” regime .
- Related‑party lease with entity owned by CEO and Michael; consulting agreement with Michael’s LLC in 2024 (terminated) .
- Director compensation lacks equity in 2024, limiting ownership alignment; beneficial ownership <1% .
- Equity plan allows option repricing without stockholder approval (general governance concern) .