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Immense
conflicts-of-interest: PUCO Nominating Council
Sep 4: A new push to regulate power costs
WASHINGTON, D.C. -- "More than a decade after the drive began to convert electricity from a regulated industry into a competitive one, many states are rolling back their initiatives or returning money to individuals and businesses. A $1 billion rebate for Illinois residents and businesses, for example, was signed into law last week. In Ohio, politicians, utilities, their customers and consumer groups are negotiating how to end competitive electricity pricing, while Virginia has repealed its law. Of the 25 states, and the District of Columbia, that had adopted competition, only one, California, is even talking about expanding market pricing," David Cay Johnston, New York Times.
Aug 29: Governor Strickland Proposes Energy, Jobs and Progress Plan
AEP's Gavin coal plant, Cheshire, Ohio: Sulfur dioxide, mercury, hazardous air toxics, carbon dioxide, soot
(Photo by Mitch Epstein, 2003). |
COLUMBUS -- "Ohio Governor Ted Strickland today announced his Energy, Jobs and Progress plan that will ensure predictability of affordable energy prices and serve as a catalyst to enhance energy industries in Ohio,
bringing new jobs while protecting existing jobs," release, Office of the Governor.
In fact, Governor Strickland’s energy policy was unveiled almost five months ago, on April 9, when he reappointed the Taft PUCO.
Ohio Citizen Action’s pursuit of the illegal PUCO Nominating Council process had given Strickland a golden opportunity to replace the Taft commissioners.
They had routinely ignored the 1999 deregulation law in order to undermine competition, and had approved billions in unjustified rates to Ohio residents and businesses. Strickland decided to welcome them back.
Today’s speech will soon be forgotten as lobbyists descend on the legislature and the PUCO, where the deals will really be cut.
Apr 17:
PUCO takes its time learning to meet in public session
COLUMBUS -- "After the nominating council of the Public Utilities Commission of Ohio met last week, a consumer advocate said the meeting was 'like a ‘Saturday Night Live’ skit.'
Catherine Turcer of Ohio Citizen Action said the council 'clearly had difficulty' meeting in a session open to the public.
In the past, the council made its decisions in private and switched to public meetings only after being called on the carpet by Attorney General Marc Dann, who said the private sessions violated the state’s open meetings law, which requires decisions of public bodies to be made in public," Paul E Kostyu, Canton Repository.
Apr 15:
Strickland placates a powerful lobby with PUCO move
CLEVELAND -- "A Strickland spokesman told The Plain Dealer that the governor would leave the PUCO as is because he wants to 'ensure stability and predictability in Ohio's regulatory market.' Or, in plain English, Ohio's new Democratic governor doesn't want to irk one of the Statehouse's most powerful lobbies. In the real world, 'stability and predictability' is Statehouse-ese for 'regulators' who roll over on command, like strive-to-please pooches.
That's why Ohio's motto - 'With God, All Things are Possible' - could be re-cast as 'Higher Rates; Deteriorating Service,'" Thomas Suddes, Cleveland Plain Dealer.
Apr 11:
Strickland takes the high road
CLEVELAND -- "Some utility watchdog groups have offered a more cynical explanation,
suggesting that Strickland doesn't want to make waves at PUCO because
he's indebted to the utilities - especially the electric power industry.
Perhaps time will prove that to be the case. For now, Strickland
deserves the benefit of the doubt and credit for doing what's right," editorial, Cleveland Plain Dealer.
LIMA -- Open government. "A representative of the environmental organization Ohio Citizen Action made a public records request to obtain minutes from the nominating council’s Feb. 7 meeting, the Dispatch reported. The minutes showed the group went into closed session to interview 10 candidates and came out to public session to nominate, without any discussion, four people," Lima News.
Apr 10:
Utilities board nominees reappointed
3 rejoin Ohio panel and a 4th is selected
COLUMBUS -- "Just days after being told their nominations were illegally decided behind closed doors, three commissioners and one hopeful were swiftly recommended again and reappointed yesterday by Gov. Ted Strickland to the Public Utilities Commission of Ohio. That left the makeup of the utility regulatory panel exactly as it was before Attorney General Marc Dann pointed out the open-meetings law violations and requested the resignations of the three members last week.
The move left some supporters of Mr. Strickland slack-jawed as they saw a rare opportunity slip through their fingers to remake in one fell swoop what they consider to be a regulatory panel prone to side with utilities over consumers.
'Why did this happen over the Easter weekend?' asked Sandy Buchanan of government watchdog Ohio Citizen Action.
'The announcement was made late on Good Friday that they would meet on Easter Monday. It’s a classic PR move when you don’t want people to pay attention during a holiday weekend,' Ms. Buchanan said. 'It’s a cynical process,'" Jim Provance, Toledo Blade .
COLUMBUS -- Out with the old, in with the old at PUCO, Chairman, commissioners reappointed after flap over open-meetings violations, Alan Johnson, Columbus Dispatch. COLUMBUS -- More than a charade, editorial, Cincinnati Post.
COLUMBUS -- Governor reappoints utility regulators who resigned, Julie Carr Smyth, Associated Press.
COLUMBUS -- PUCO panel's nominees list looks familiar, Mark Rollenhagen, Cleveland Plain Dealer.
COLUMBUS -- PUCO Nominating Council submits recommendations to Gov. Strickland to fill four vacancies, news release, Public Utilities Commission of Ohio.
Apr 9: Letter to Thomas Green of the PUCO nominating committee
COLUMBUS -- "The only way Governor Strickland could already have made a decision to reappoint these commissioners is if he knew that the PUCO Nominating Council would recommend them to him.
How did Governor Strickland know this? There must have been some form of communication between him, directly or indirectly, and you or other members of the Nominating Council. What was it? When did it happen? Who was involved? What was the content of the communication? Were these communications conducted in public?," Catherine Turcer, Ohio Citizen Action.
Strickland has eye on 'stability,' won't bump state utilities board

Handwritten note to destroy ballots: "Move to destroy ballots made by D. Helmick second H. Meshel -- passed."
COLUMBUS -- "Council meeting minutes obtained by the watchdog group Ohio Citizen Action showed that the panel met in executive session in February to narrow down the candidates and then, in public session, voted to destroy the ballots used in the deliberations...
Ohio Citizen Action is a frequent critic of PUCO, contending it favors the interests of the large energy, communications and transportation businesses it regulates rather than the interests of consumers," Mark Rollenhagen, Cleveland Plain Dealer.
COLUMBUS -- Operate openly, Correct secret nominating process, but don't change membership of PUCO, editorial, Columbus Dispatch.
Apr 8:
PUCO reappointments: Strickland bows to utilities, abdicates leadership

Ted Strickland and Lee Fisher celebrate on election night, November 7, 2006. The next morning, Catherine Turcer, Ohio Citizen Action's Legislative Director, issued an analysis which warned, "Ted Strickland has a commitment to coal interests that is unparalleled since Jim Rhodes, who began running for governor in 1950."
CLEVELAND -- "Gov. Strickland's promise to reappoint three Taft Public Utilities Commissioners is a remarkable abdication of leadership. He could do more to Turn-Around Ohio by installing new leadership at the PUCO than all his campaign promises put together. It's just that important to Ohio family budgets and to Ohio's business climate. Instead he has decided to let Ohio utilities proceed unregulated by either the market or the government. At the same time, his pre-emptive decision violates the whole purpose of Ohio's sunshine law. It cuts the public out of the process as thoroughly and cynically as the illegal meetings identified by Attorney General Dann," Sandy Buchanan, Executive Director, Ohio Citizen Action.
COLUMBUS -- Dann fights for Ohioans' right to know, Benjamin Marrison, Columbus Dispatch.
MORE ON PUBLIC UTILITIES COMMISSION
Apr 7:
PUCO commissioners won't be replaced, Strickland says
COLUMBUS -- "At the Public Utilities Commission of Ohio, they may be singing the refrain from a classic rock song next week: Meet the new boss, Same as the old boss.
The song fits. While a special nominating council will meet Monday -- this time in public -- to recommend candidates for four of five spots on the commission, Gov. Ted Strickland remains committed to reappointing the members who resigned yesterday. . . While the process would afford Strickland, a Democrat, the opportunity to restock the PUCO with his own nominees, [Strickland Press Secretary Keith] Dailey said the governor will not do that simply to gain partisan advantage. Strickland has been under pressure from consumer advocates to appoint new members viewed as less utility-friendly. "He intends to reappoint the current commissioners," Dailey said. "The governor believes that just because he has the ability to take advantage of this situation, it doesn't mean he must,'" Alan Johnson, Columbus Dispatch.
COLUMBUS -- Chairman Schriber and Commissioners Fergus and Lemmie resign from the PUCO, press release, Public Utilities Commission of Ohio.
COLUMBUS -- Lemmie, others resign but expect to keep jobs, Associated Press.
COLUMBUS -- Three on PUCO offer resignations, Mark Rollenhagen, Cleveland Plain Dealer.
AKRON -- Three on PUCO resign posts, might return; Attorney general alleges their selection process violated law; Governor may reappoint them, Betty Lin-Fisher, Akron Beacon Journal.
WILLOUGHBY -- Dann did right thing with PUCO, editorial, Lake County News-Herald.
Apr 5:
Critics want new members at PUCO
3 on utility board review order to quit
COLUMBUS -- "Ohio Citizen Action spokeswoman Catherine Turcer agreed that the agency should be reshaped: 'Why not rethink the whole process? Why not open the process to public comment? This is the right time... What you want to have at the PUCO is accountability to consumers.' Turcer made a public-records request to obtain minutes from the nominating council's Feb. 7 meeting. They showed that the panel went into closed session at 9:30 a.m., interviewed 10 applicants and returned to public session 2½ hours later. At that point, without discussion, the commission voted to recommend four PUCO nominees," Alan Johnson, Columbus Dispatch.
COLUMBUS -- Three on PUCO should resign, official says; Latest appointee also questionable because of closed-door process, Akron Beacon Journal.
Apr 4:
3 PUCO officials asked to resign
Their nominations violated Sunshine Law, Dann says
COLUMBUS -- "Attorney General Marc Dann has asked three members of the Public Utilities Commission of Ohio to resign, saying they were illegally nominated in secret. All three were appointed by former Gov. Bob Taft, a Republican; if they leave, Gov. Ted Strickland, a Democrat, could name a majority of the powerful five-member board, which regulates electricity, gas, telephone, water and commercial transportation," Alan Johnson, Columbus Dispatch.
COLUMBUS -- PUCO seats were filled illegally, Dann says, Mark Rollenhagen, Cleveland Plain Dealer.
Ohio Citizen Action's investigation:
Apr 1:
PUCO always protects its own
COLUMBUS -- "Maybe Strickland's hesitation at shaking up the commission is due to an early-term toe-stubber. Less than a month after his inauguration, Ohio Citizen Action's Sandy Buchanan blew the whistle on what she said was a 'wired' deal to name Charles Moses to a PUCO vacancy. Moses, a Democrat, heads the Ohio Telecom Association, a lobby for phone companies. While no one could seriously doubt Moses' integrity and qualifications, Buchanan said Moses' background might tilt the commission even further toward utility viewpoints. Strickland instead appointed Worthington lawyer-economist Paul Centolella to the commission, a choice that drew praise. But that was a whisper of the praise the governor would draw if he emphatically signaled PUCO yes-persons that it's high time for the periodic 'no,'" Thomas Suddes, Cleveland Plain Dealer.
Feb 24:
New PUCO board member has 25 years in utilities field
COLUMBUS -- "The current consumers' counsel, Janine Migden-Ostrander, who was a staff attorney for the agency in the early 1980s, said she is 'very pleased' with [Paul] Centolella's appointment. 'I worked with Paul many years ago,' she said in an interview. 'He is very bright, independent and fair-minded. I think he will bring a broad perspective, which includes a consumer perspective, to the job,' John Funk, Cleveland Plain Dealer.
Feb 23:
"Gov. Strickland did the right thing by appointing a commissioner without a conflict-of-interest"
COLUMBUS -- Ohio Governor Ted Strickland today appointed Paul Centolella to the Public Utilities Commission of Ohio. Sandy Buchanan, Executive Director Ohio Citizen Action, issued the following statement:
"Governor Strickland did the right thing by appointing a commissioner without a conflict-of-interest. Now it is time for Governor Strickland and the legislature to fix the broken PUCO Nominating Council to prevent similar utility lobbyist takeovers in the future."
COLUMBUS -- Strickland reappoints Rehabilitation and Corrections Director, names PUCO Commissioner, press release, Office of the Governor.
COLUMBUS -- Consumer advocates praise PUCO appointment. "Ohio Citizen Action Director Sandy Buchanan, who has been critical of commission rulings that she felt favored utilities over consumers, also liked the appointment. 'This is the type of commissioner we need to see,' Buchanan said," John McCarthy, Associated Press.
COLUMBUS -- Strickland appoints Worthington man to PUCO, Alan Johnson, Columbus Dispatch.
Feb 21: PUCO Nominating Council chair comments on selection process
COLUMBUS -- "I believe [Mr. Moses] would make an outstanding public utilities
commissioner although he may not be given that opportunity due to continued
assaults on him as a 'lobbyist,'" Thomas Green, lobbyist, AT&T and Columbia Gas; Chair, PUCO Nominating Council.
Feb 20: Lobbyist doesn't belong on PUCO, watchdog says
COLUMBUS -- "As a utility lobbyist vies for a seat on the powerful Public Utilities Commission of Ohio, a watchdog group pointed out that utility interests poured $2.7 million into Ohio political races in the past two years. 'They already have quite a bit of influence. Our basic point is the utility lobby should not be deciding on people's electric and phone bills,' said Ohio Citizen Action Executive Director Sandy Buchanan. Citizen Action, a nonpartisan good government and consumer advocate, put out the report Monday. . . Buchanan said the PUCO's pattern of decisions has been to grant what the big utilities want, and it's a conflict of interest for lobbyists to be on the powerful board," Laura Bischoff, Dayton Daily News.
CLEVELAND -- Heckuva job, Alan! Strickland spokesman says the Governor doesn’t intend to replace Alan Schriber as PUCO Chairman. "All of this is very confusing to those of us who listened to candidate Strickland say this in a Meet The Bloggers interview last March: '. . . we need a government and we need a Governor who will have a strong consumer advocacy position, and make sure that the people who are appointed to the PUCO are people who have a track record of being concerned about the needs of the consumer,'" Bill Callahan, Callahan's Cleveland Diary.
Feb 19: Utility interests poured $2.7 million into Ohio politics
in 2005 - 2006
"As I campaigned across Ohio . . . I talked about what I consider the kitchen-table issues, or the bread-and-butter issues."
Governor Ted Strickland, speech, Akron Press Club, January 18, 2007.
No real kitchen table is complete without a pile of utility bills. In the average Ohio household with basic service, the monthly electric bill is $78.14, the gas bill is $114.53, and the telephone bill is $22.80, for a total of $215.39, according to the November 2006 Ohio Utility Rate Survey. The numbers on these bills are determined by state law and the Public Utilities Commission of Ohio. When a governor, a legislator, or a commissioner is under the influence of utilities, everyday Ohioans can get fleeced. That's why utilities spend a lot of money to buy influence," Ohio Citizen Action.
Feb 18: Governor: Utilities board pick will signal regulation philosophy
COLUMBUS -- "Critics had hoped that Strickland, the first Democratic governor in 16 years, would change the direction of the Public Utilities Commission of Ohio, which some have viewed as too cozy with - and easy on - utility giants like FirstEnergy Corp., American Electric Power and AT&T. 'He should start over from scratch,' said Sandy Buchanan, executive director of Ohio Citizen Action, a nonprofit consumer and voter advocacy group... Strickland said Citizen Action has every right to complain, but he played down their concerns. 'It's unfortunate when judgments are made about people based on superficial factors. I think individuals should be judged on the totality of their life and work,' he said," John McCarthy, Associated Press.
Feb 13: Spokesman: Governor likely to keep utilities commission chairman
COLUMBUS -- "Strickland's choice is being watched by consumer groups and environmentalists concerned about the campaign support he received from utility companies and the coal mining industry," John McCarthy, Associated Press.
Feb 12: Background:
Why was the PUCO Nominating Council created in the first place?
Gov. James Rhodes enters the
Ohio House, January 5, 1971
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CLEVELAND -- "By the 1970s, the Commission had stopped regulating. Governor Jim Rhodes, whose political base was the coal industry and electric utilities, appointed commissioners who were certain to approve whatever the electric utilities wanted. For example, Ohio's electric utilities wanted to go on a nuclear power plant construction spree. Rhodes' Commission agreed and then allowed utilities to charge their customers for electricity that had not yet been produced, through the notorious "construction work in progress" charges. This rubber-stamp regulation hit consumers hard. In 1981 alone, the cost of gas, electricity and telephone for the typical Ohio family climbed 14.5%. The next year, 1982, it jumped 27.7%." Sandy Buchanan, Executive Director, Ohio Citizen Action, full text.
Feb 9:
Watchdog: PUCO nominees tilt to utilities
COLUMBUS -- "The head of Ohio Citizen Action says the list of nominees announced Wednesday for an upcoming opening on the Public Utilities Commission of Ohio confirms her fears that the process is 'wired' to favor the interests of utilities... 'Any member of the Public Utilities Commission must be knowledgeable about utility issues,' said Sandy Buchanan, Ohio Citizen Action's executive director. 'But the PUCO must not be allowed to have a revolving door between it and the very industries it regulates,'" Mark Rollenhagen, Cleveland Plain Dealer.
COLUMBUS -- Lobbyist among those in the running to join state's utility regulators board. "Consumer advocates are worried that Governor Ted Strickland may soon appoint a utility lobbyist to become one of Ohio's utility regulators. Statehouse correspondent Bill Cohen reports," Bill Cohen, Ohio Public Radio, listen (requires Real Audio).
- The following PUCO-regulated utilities contributed through the Ohio Democratic Party to Governor Ted Strickland's January 8 Inaugural : AT&T, American Electric Power, Dominion (East Ohio Gas), Duke Energy, FirstEnergy, Sprint Nextel, and Time-Warner (Source: Strickland-Fisher Inaugural Committee, Dayton Daily News, January 14, 2007).
| NBC 4 at 5, WCMH-TV Columbus
Anchor: A watchdog group is taking aim at the Strickland Administration because of recent nominations. The group, Ohio Citizen Action, says two of the four people nominated to the Public Utilities Commission are tied to utility companies. One man, Charles Moses, is a lobbyist for the Ohio Telecommunication Association.
Catherine Turcer, Legislative Director, Ohio Citizen Action: It doesn’t take a rocket scientist to know that somebody who lobbies for the telephone industry will not make a good advocate for consumers on the Public Utilities Commission.
Keith Dailey, Press Secretary, Office of the Governor: Many of them have both private sector and public sector experience, which is a good balance to have when seeking to resolve disputes. The governor will make the best decision.
Anchor: Governor Strickland has a little less than a month to nominate someone to the PUCO.
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Feb 8: PUCO Nominating Council's four picks include utility lobbyist, utility lawyer
COLUMBUS -- The Public Utilities Commission of Ohio Nominating Council on Wednesday recommended four candidates for a seat on the five-member Commission. The four finalists are Paul Centolella, Paul Duffy, Gretchen Hummel, and Charles Moses. From these four, Governor Ted Strickland will choose the new commissioner, who will take office on April 11.
On Monday, Sandy Buchanan, Executive Director of Ohio Citizen Action, had said "selections by the Governor and legislative leaders have given a bloc of slots [on the Nominating Council] to the very utilities that are regulated by the PUCO . . . In the language of the State House, the outcome of this process is ‘wired,’" full text. Today, Buchanan issued the following statement:
My warning was well-founded. The Council has produced a list which includes Charles Moses, a utility lobbyist, and Gretchen Hummel, a utility attorney.
Of course, any member of the Public Utilities Commission must be knowledgeable about utility issues. But the PUCO must not be allowed to have a revolving door between it and the very industries it regulates.
Moses is rumored to have the inside track on the appointment, due to his relationships with the Strickland Administration. And by all accounts, he is a capable and talented individual. However, as President of the Ohio Telecom Association, he is now the chief lobbyist for the interests of 41 telecommunications providers, 3 wireless providers and over 100 associate member companies. These include ALLTEL, Century Tel, Cincinnati Bell, Horizon Telcom, AT&T, Embarq (Sprint) and Verizon.
Had the Nominating Council not been stacked with utility lobbyists, it likely would not have recommended someone with such an immense conflict-of-interest. Now they have left it up to Governor Strickland to realize that, as a public utilites commissioner, Mr. Moses' every vote would be cast under this cloud.
Fortunately, Governor Strickland has other choices. And in Paul Centolella, he has someone who understands both consumer and business perspectives and would be a balanced choice.
In making this decision, we urge Governor Strickland to remember that Ohio voters are anxious for him to bring integrity back to state government. Surely, he can give Mr. Moses the opportunity to serve the State in another position.
COLUMBUS --
Thomas Green responds to Sandy Buchanan statement on PUCO nominees, email, Thomas Green, lobbyist, AT&T and Columbia Gas; Chair, PUCO Nominating Council.
COLUMBUS --
List for PUCO vacancy narrowed to four, Mark Rollenhagen, Cleveland Plain Dealer.
COLUMBUS -- PUCO candidate list narrowed to four, Alan Johnson, Columbus Dispatch.
COLUMBUS -- PUCO Nominating Council submits recommendations to Gov. Strickland, release, Public Utilities Commission of Ohio.
Feb 7: Nine names still on list for seat on PUCO
COLUMBUS -- "The leader of the trade group that represents Ohio telephone companies and the state’s first utility watchdog are among nine candidates to be considered for a critical spot on the Public Utilities Commission of Ohio. A nominating committee will meet today to recommend four of the names to Gov. Ted Strickland, who will make the final decision,"
Alan Johnson, Columbus Dispatch.
Feb 6: PUCO Nominating Council picks eight Commissioner candidates to interview
COLUMBUS -- On Monday, February 5, the Public Utilities Commission of Ohio Nominating Committee chose eight Commissioner candidates to interview from a field of 115 applicants:
- Bob Burns, Senior Institute Specialist and Attorney, National Regulatory Research Institute
- Bill D'Onofrio, consultant, former Vice President, American Electric Power
- Paul Duffy, Legal Director, Public Utilities Commission of Ohio
- Gretchen Hummel, attorney, represents Ohio Industrial Energy Users, Vectren Corporation, formerly on staff at the Office of Ohio Consumers' Counsel and the Public Utilities Commisison of Ohio
- Ray Lawton, former Director, National Regulatory Research Institute
- Steve Lesser, Attorney Examiner, Public Utilities Commission of Ohio
- Charles Moses, President, Ohio Telephone Association
- Bill Spratley, Executive Director, Green Energy Ohio, first Ohio Consumers' Counsel (1977-1993)
Midday Tuesday, February 6, the Nominating Council added the name of Paul A. Centolella, of Worthington, senior economist at Energy Solutions Group, to this list of eight interviewees.
88 original applicants (43 KB pdf); 27 additional applicants (12 KB pdf).
Feb 5: Off to a bad start: PUCO Nominating Council stacked with utility lobbyists
COLUMBUS -- "After sixteen years of State coziness with utilities, consumers have been looking for some relief. Unfortunately, the panel that sends the short list of Public Utilities Commissioner candidates to the Governor is as cozy as ever," statement, Sandy Buchanan, Executive Director, Ohio Citizen Action.
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