Despite lawmakers rejection of two earlier Public Service Commission nominees for lacking experience in the field, on Tuesday Gov. Charlie Crist continued a move to put outsiders on the panel, appointing West Palm Beach city official Eduardo Balbis and former city of Tampa attorney Julie Brown to the commission.
Crist again overlooked Sen. Lee Constantine, R-Altamonte Springs, who had been chairman of the PSC Nominating Council until he became candidate for the commission himself, and former PSC Executive Director Mary Bane, who led the agency's full-time staff from 2002-2009.
The pair, both extensively familiar with the telecommunications and utility industries regulated by the commission, had been finalists twice. Crist also bypassed a former Missouri public service commissioner; a Florida Senate Communications, Energy & Utilities Committee legislative analyst, and rejected an engineer who previously worked for Progress Energy, the state's second largest electric utility.
Leaving the commission in January are two commissioners often seen as maverick outsiders Nancy Argenziano and Nathan Skop both appointed by Crist back in 2007 but denied a chance to be renamed by the legislatively-appointed nominating commission that vets and sends Crist candidates.
Crist is in an ongoing battle with the Legislature over the makeup of the PSC with the governor generally seen as more hostile to an industry agenda, and has been open about his desire to put people on the panel he thinks would be more likely to challenge the companies it regulates. Argenziano and Skop were two such commissioners, both disliked by many industry insiders. In fact, the states largest utility, Florida Power & Light, has tried to get Skop excluded from its cases for the rest of his term, citing what it says is his bias against the company, and Argenziano has been openly antagonistic to the industry on occasion.
Having been denied the opportunity to reappoint Argenziano and Skop, Crist sent a message that he still wants outsiders, turning to Brown, 35, and Balbis, 38, who he said were experienced enough to serve on the PSC, though neither has worked in electric, telephone or water industries that are overseen by the panel.
Julie understands the fairness and judgment that must be exercised by Public Service commissioners, Crist said in a statement announcing the selections. Her past experience ensuring real estate agreements comply with all regulations, as well as reviewing proposed changes to historic properties as a member of a zoning board, have provided her valuable insight into the needs of Florida consumers.
Eduardos duties overseeing municipal utilities and public works during the past three years have already given him the opportunity to demonstrate his commitment to protecting consumers, he said of Balbis. As an engineer, he also understands the importance of safeguarding Floridas freshwater supply.
Balbis and Brown are Crists fifth and sixth PSC nominations since he ousted two sitting commissioners last year. Earlier this year Crist appointed Art Graham and Ronald Bristo the commission.
Balbis and Brown will start in January, but will still need to be confirmed sometime in the next two years by the Senate, which has clashed with Crist over previous appointments.
Two 2009 Crist appointees, David Klement and Benjamin Stevens, who also fit the outsider mold, were rejected by the Senate. Both had voted against large rate increases for FPL and Progress Energy, the states two largest electric utilities, and critics said their failure to win Senate confirmation was linked to that.
Senators, however, cited other concerns particularly about Klement and Stevens' lack of work experience in the fields that are regulated by the PSC. Klement had a background in journalism, while Stevens is an accountant.
Lawmakers also said they were bothered by the creation of an all-white panel after Crist decided not to reappoint former Chairman Matthew Carter, who is African-American.
Crist responded to the diversity concerns by tapping Brisand Graham, who are both black.
This time, he went with Brown and Balbis, who are white and Hispanic, respectively. Brown will maintain gender diversity on the panel, however, by replacing Argenziano as the second woman on the commission, joining Commissioner Lisa Edgar.
Sen. Don Gaetz, R-Niceville, who voted for Stevens but against Klement, said experience in the field wasnt a necessity for nominees, but understanding how businesses work is important.
What is necessary is that a nominee be able to understand how the utility industry works, said Gaetz, that they understand return on investment, and other financial concepts involved in the ratemaking process.
Gaetz said he didnt yet know whether he would support the two new nominees.
I certainly plan to look at their background and credentials before making a commitment, Gaetz said.
Consumer activists have alleged that a pro-utility Legislature wants predictable commissioners from inside the industry arena or who have worked closely with the industry in a government capacity -- who are likely to better understand what the utilities want and why, and therefore favor them.
But Sen. Mike Bennett, like Gaetz, rejected that notion, and predicted that Brown and Balbis would be confirmed.
Theres no set criteria for a PSC commissioner, said Bennett, R-Bradenton, who is the chairman of the PSC Nominating Commission. You try to pick people who have a history of integrity They both do. With a little help from me, I think well get them through.
In their applications, both Balbis and Brown touted their non-utility resumes, as Crist did Tuesday in selecting them. Balbis, who is an engineer by trade, also said that being a high school and college football referee would make him a good PSC Commissioner.
In addition to the above qualifications, my 15 years of experience as a high school and NCAA collegiate football official has built the personal character and attributes that are essential in my professional career, Balbis wrote in a letter to Bennett and the nominating council. "This vocation requires integrity, steadfastness, impartiality, and the ability to make critical decisions in a pressure-filled environment.
Brown, who worked for the city of Tampa from 2004 to 2006 and now represents First American Corp., ran unsuccessfully for the Tampa City Council in 2007, losing to incumbent John Dingfelder by 1,300 votes. She similarly said her legal experience makes her a good fit for the PSC, especially her time representing the city.
"As a business law attorney, I have the necessary acumen to comprehend and assimilate the technically comprehensive rate cases coming before the PSC," she said in a letter to Bennett. "I am also a small-business owner and understand the importance of staying within a predetermined budget, but also planning for future growth.
In addition, my background as a commissioner on the city of Tampa's architectural review board for the past four years, which acts as zoning review body for any changes to historic properties within the city of Tampa, has provided me with the knowledge and experience of serving in a quasi-judicial capacity, which I believe is a fundamental element for serving on the PSC," Brown wrote.
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Detailed context on issues before the PSC and other Florida energy matters is available on the NSF Energy Backgrounder at http://www.newsserviceflorida.com/backgrounders/energy/energy.htm
