State Regulatory Relations

Governor Rendell Appoints New PA PUC Chairman

Chairman Cawley

Pennsylvania Governor Edward G. Rendell announced the appointment of Commissioner James Cawley to be chairman of the Public Utility Commission (PUC).

Governor Rendell praised the skills, experience and vision of Chairman Jim Cawley as he commented on his appointment as PUC chairman. “Jim is an expert in utility regulation and utility law and he shares my commitment to promoting and expanding our use of alternative energy and conservation measures to reduce demand,” said the Governor. “It may be the most challenging time in our recent history to chair the PUC, but I am convinced that, with his experience, Jim is capable of stepping forward and leading the commission.”

Chairman Cawley is a 1967 graduate of St. Bonaventure University and a 1970 graduate of Notre Dame Law School. He began his legal career as one of the seven original law clerks serving the Commonwealth Court judges. He went on to serve as majority counsel to the state Senate Consumer Affairs Committee, where he drafted several major amendments to Pennsylvania’s public utility laws. In 1977, he was appointed chief counsel to the Senate majority floor leader. Chairman Cawley has twice been nominated and confirmed as a member of the PUC, serving from 1979 until 1985. On April 25, 2005, Governor Rendell nominated him to return to the commission — a position to which he was confirmed on June 9, 2005.

“I am honored to have the Governor’s confidence in my ability to serve in this position, especially at a time when energy prices are rising and people need to know what can be done to manage higher utility bills,” said Chairman Cawley. “I look forward to working with the administration to protect consumers, especially through expanded energy conservation and efficiency programs and programs that aid low-income families.”

Chairman Cawley asked the Commission to support Commissioner Tyrone J. Christy as vice-chair of the PUC. Commissioner Christy was elected vice chairman by his colleagues on August 20, 2008. Governor Rendell nominated Commissioner Christy in June 2007 and he won confirmation from the Senate later that month.

Maryland Governor Appoints New PSC Chairman

Chairman Doug Nazarian

Commissioner Doug Nazarian was appointed Chairman of the Maryland Public Service Commission (PSC) by Governor Martin O’Malley, effective August 16, 2008. He came to the Commission in June 2007 as general counsel after 12 years with the Baltimore office of Hogan & Hartson L.L.P., where he was a litigation partner with a diverse, national practice focused on complex business-oriented litigation and representation of public entities, including the State of Maryland and the Baltimore City Public School System. He also was the partner in charge of the Baltimore Office’s pro bono practice from 2003-07, and in 2007 received a Maryland Pro Bono Service Award from the Maryland Pro Bono Resource Center. He earned a B.A., cum laude, from Yale College in 1988 and a J.D. with honors from the Duke University School of Law in 1991, then clerked for the Hon. James B. Loken of the United States Court of Appeals for the Eighth Circuit before entering private practice. Commissioner Nazarian taught sales at the University of Maryland School of Law from 1997-2001, and currently serves on the Equal Justice Council of the Legal Aid Bureau of Maryland, Inc., as a Dean for the CollegeBound Foundation, and on Peer Review Panels for the Maryland Attorney Grievance Commission.

New South Carolina Commissioner

Commissioner Swain E. Whitfield

Commissioner Swain E. Whitfield recently began service on the Public Service Commission of South Carolina.

Commissioner Whitfield was a member of the Winnsboro City Council from 1995-1999, during which time the city expanded its electric, gas and water services and assumed operation of a wastewater plant. A native of Winnsboro, S.C., he graduated from the University of Georgia with a degree in geography. In 1991, after working several years within the transportation industry in the Atlanta and Columbia areas, Commissioner Whitfield founded Whitfield Transportation, Inc., a transportation brokerage and trucking company based in Winnsboro.

NARUC Prepares to Host 120th Annual NARUC Convention

With the nation facing record-high utility prices and a stressed infrastructure system, state regulators must rely on all three attributes in order to protect consumers. Many believe the job of a state regulator is one of the toughest in America, having to balance the need for financial stability and the public interest. Come hear for yourself as National Association of Regulatory Utility Commissions (NARUC) members address some of the most important issues facing our country.

• How will regulators and the industry deal with growing demand and limited new supply?
• What can states do to protect critical infrastructure from cyber attacks?
• What role can new technologies play in a federal climate policy?

NARUC has a limited number of rooms at the Sheraton New Orleans for a special rate. These WILL sell out, so register quickly! Registration and housing are now open and available by clicking here.

Akron Considers Lease of Wastewater System

The Mayor of Akron, Ohio, has proposed leasing the city’s wastewater system to a private entity for up to $200 million and using the money to finance college scholarships for Akron’s public high school graduates. Unlike similar programs that have been adopted by other U.S. cities, the Akron plan would require students who receive a scholarship to agree to pay Akron the equivalent of the city’s municipal income tax rate for up to 30 years on future income if they choose to work elsewhere. The employees of the wastewater system, who have succeeded in having the issue placed on the November 4, 2008 ballot, are opposed to the plan.

Maine Court Reverses Metering Decision

The Maine Supreme Court has reversed a decision of the Maine Public Utilities Commission, which had concluded that a water district’s failure to file and gain approval of a change in meter policy did not preclude it from applying the policy to a new residential development. Quiland, Inc. v. Public Utilities Commission, 2008 Me. LEXIS 133. The Commission had determined that the district could apply its new policy requiring the metering of individual housing units because (1) the district had been advised by Commission staff that the new policy need not be filed and (2) the complainant had been provided a full opportunity to challenge the policy. The Court disagreed, holding that the Commission did not have the discretion to waive compliance with statutory notification and filing requirements.

Idaho PUC Approves Utility’s Decision to Cap its Approved Contractor List

In McKay Construction Co. v. United Water Idaho Inc., 2008 Ida. PUC LEXIS 120, the Idaho Public Utilities Commission (PUC) upheld the decision of United Water Idaho to cap its list of approved contractors who are qualified to install domestic water facilities within residential subdivisions in United Water Idaho's (UWI) service territory. In rejecting a challenge brought by two contractors who were denied listing, the PUC stated:

The Commission finds the Company’s decision to cap the list at 10 contractors is a business decision based on supportable justification and rationale, and one to which we should defer. Although we regulate United Water’s rates and charges and monitor its ability to maintain adequate, efficient, just and reasonable service, we do not micro-manage its day-to-day operations or generally second-guess its management decisions.

MSU’s Regulatory Camp Celebrates 50 Years

The Institute of Public Utilities at Michigan State University (IPUMSU) recently celebrated the 50th Annual Regulatory Studies Program with a large and diverse group of attendees. The program is affectionately known as “Camp NARUC” because it is designed exclusively for public-sector regulators and nonprofit advocates, and particularly for National Association of Regulatory Utility Commissions (NARUC) members.

Since 1972, IPU-MSU has served as the steward of this unique and essential university-based program attended by thousands of new public utility regulators and advocates. Participants may attend one week or both and receive a certificate of completion and continuing education credits. Previous attendees are welcome to return for this specialized training and networking opportunity. For this year’s program, more than 100 educational sessions were taught by 53 experienced and highly credentialed program faculty members.

The 2008 program welcomed attendees from 30 states, four federal agencies and 11 countries to the MSU campus in East Lansing, Mich. The first week of the program, stressing Foundations and Fundamentals, drew nearly 200 attendees. Week two, focusing on Emerging Issues and Methods, drew more than 130 attendees. Participants included eight state commissioners, 132 commission staff members, 42 federal agency staff members, nine staff members from nonprofit groups and associations (including NARUC) and 49 international attendees from Canada, Guam, Israel, Jamaica, Korea, Nigeria, Puerto Rico, Peru, Romania, Spain and Turkey.

The Institute is preparing for its Advanced Regulatory Studies Program, to be held on the MSU campus October 5-10. The program, which is open to the public and private sectors, is designed for experienced regulatory professionals and provides intensive, interactive and methods-oriented workshops in ratemaking, market analysis, evaluation methods and dispute resolution.

On Dec. 9-11, the Institute will also celebrate the 40th Annual Regulatory Policy Conference in Colonial Williamsburg, Va.