American Forum Op-Ed

FLORIDA FORUM

By Ennis Leon Jacobs Jr.

As a former chair of the Florida Public Service Commission (PSC), I am concerned that recent actions in Tallahassee to dismantle the PSC send a message that the views of the working and bill-paying public count for nothing. Those actions show contempt for balancing the interests of ratepayers with politics.

What other meaning could be derived from the fact that immediately following a vote against record rate-increase requests, four members of the PSC were removed and the public counsel who advocated for ratepayer interests was asked to reapply for his position?

A strong, independent and objective regulatory agency is necessary to oversee utility ratemaking and operation. The legislature recognized that back in 1978, and it remains true today as utility services expand and grow more complex. Just look at your monthly bills that are filled with obscure surcharges and rising prices. But the recent actions to subvert the independence of the PSC threaten to undermine the agency’s credibility and erode public trust. At the moment, the balance seems to be shifting away from consumer protection and toward the utilities and big-money politics.

Many Floridians would be surprised at the breadth of the PSC’s regulatory mandate. It serves a critical function, affecting virtually every aspect of Florida society by overseeing companies that provide electricity, drinking water, sewage treatment, telephone service, high-speed internet connections and natural gas. These are public services we depend upon and for which we pay. But in return we expect rates to reflect legitimate expenses.

While on average, Florida electric costs are relatively modest, ratepayers in Florida have seen their energy bills increase faster than in all but a few states. Most important, these ratepayers face fundamental changes in how these services will be delivered without a meaningful opportunity to weigh in. Amazingly, there is no constituency more closed off from Tallahassee decision-making than ratepayers.

Monopolistic industries cannot have control over these essential services without adequate and transparent government involvement. I believe strongly in the mission of the PSC, which is “to facilitate the efficient provision of safe and reliable utility services at fair prices.” Fair is the operative word -- fair to consumers as well as fair to those companies providing basic services. But recent actions to subvert the independence of the PSC threaten to undermine the agency’s credibility and erode public trust.

I congratulate the new appointees and look forward to the two pending appointments. However, I also encourage my colleagues to consider that they now hold a public duty which demands substantive and moral compasses that are honest and independent of utility persuasion.

Make no mistake; there is imperfection and much room for improvement within the PSC. If you have doubts, I direct you to a series of reports prepared by Common Cause titled: “A State Agency In Need of Reform: Florida’s Public Service Commission.”

Nonetheless, the PSC is the designated sheriff, and it controls the balance of interests between utility ratepayers and shareholders. The sanctity of the agency must be maintained by ensuring a fair and transparent process where integrity is paramount. Without this, I suggest that the recent incidents of ethical lapses, name-calling and backroom deals will produce a public outcry that says, “Enough is enough!"

Floridians must step in and demand that the PSC not be a rubber stamp for utilities and their political allies. Its members must not be chosen for the certainty of their votes. Healthy discussions and differences of opinions are welcome, but we cannot lose sight of the fact that, first and foremost, it is the public that comes first in the Public Service Commission.

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Jacobs is former chair of the Florida Public Service Commission.

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Copyright (C) 2010 by the Florida Forum. 9/10

MISSISSIPPI FORUM
By Michael Lipsky and Ed Sivak

Presently, the work environments of our state and local public service workers are being crippled by the fiscal crisis in the states. Legislatures around the country face gaps of $260 billion in the next two fiscal years, according to the Center on Budget and Policy Priorities. In Mississippi, we estimate a shortfall of over $500 million over each of the next two budget cycles in relation to needs.

For the public workforce, this fiscal crisis threatens functions critical to our communities’ sense of well-being, as well as the economic status of our workforce. County governments have laid-off workers, and state employees have been asked to accept unpaid furloughs and increase their contribution to their retirement funds. Critical positions will remain unfilled, and caseloads will increase. Once again state and local workers will be asked to do more with less.

In Mississippi, 226,000 people work in state, county and municipal governments, part of a workforce of 15 million in these sectors around the country.

The enduring value of the state and local public service was recently dramatized in the aftermath of the tornadoes that swept through Mississippi this spring.

Within 12 hours, responders from state and local law enforcement and the Mississippi National Guard came from around the state to assist with storm recovery. Within 48 hours, employees of the Mississippi Commission for Volunteer Service had deployed over 200 volunteers to the area creating a “volunteer city” that served as a clearinghouse for state employees and volunteers to provide urgently needed relief ranging from infant formula to disaster counseling.

Another example of the dedication of state workers is of course happening daily on the Gulf Coast. As oil from the broken well endangers our shorelines and threatens the way of life for many Gulf Coast residents, state workers tirelessly strive to mitigate the damage to the region’s economy and environment.

Technicians in the departments of Environmental Quality and Marine Resources are monitoring the Gulf’s waters, air, beaches, and commercial fisheries. Specialists in the Department of Employment Security are connecting people to thousands of jobs related to oil spill recovery. Workers with the Board of Animal Health are coordinating efforts to rehabilitate wildlife. As is the case with any disaster in the state, the dedicated people at the Mississippi Emergency Management Agency provide the leadership to pull all these pieces together.

To work in public service means that the final decision about what constitutes a job well-done is made by determining that you have met a public need, and knowing that you have extended yourself on behalf of others. In contrast to private sector counterparts, the bottom line for public service workers is not profitability but the public good.

Police and highway patrol troopers, who represent one out of every 25 state and local workers, are never off duty, and teachers, who represent more than one out of every four state and local public employees, are always asking whether they have extended themselves enough with the time and resources available to them. There is always another client to see at a work-training center, or another call that a social worker could make on behalf of an elder requiring services.

In short, public sector work requires deep commitment to the service ideal.

Our state and local public service workers deserve better. Mississippi must ensure that we not only recognize the admirable work of our public service workers, but also find revenue sources to properly staff and fund these services for the good of Mississippi.
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Sivak is the Director of Mississippi Economic Policy Center. Lipsky is a Distinguished Senior Fellow at Dēmos. An expanded 30th Anniversary edition of his book, Street Level Bureaucracy, was recently published.
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Copyright (C) 2010 by Mississippi Forum 8/10