Regulators examine ethics

Arizona ACC members look at adopting policies in wake of controversies

After a series of controversies, Arizona Corporation Commissioners are considering what ethics policies should be in place for the elected officials and staff who regulate utilities.

The commission has no ethics policy but is guided by various laws and state administrative codes that pertain to how they conduct open meetings and interact with those they regulate.

Commissioner Boyd Dunn initiated the proceedings in hopes of developing a commission-specific code of ethics. First was a review of utility commissions in other states.

“Not too many commissions have a code of ethics,” Dunn said. “I’ve been very disappointed.”

The commission had a workshop on the issue Thursday that took a high-level view of the existing rules governing the office, but even that devolved into a shouting match over recent events at the commission.

Commissioner Robert Burns began to suggest areas that might be reviewed when the new chief attorney, Andy Kvesic, cut him off and said the discussion was inappropriate because it violated the open-meeting law. Burns protested.

“I’m getting very upset and tired of you constantly accusing me of moving away from the open meeting law,” Burns shouted, suggesting Kvesic through” portions of law school.

After the dust-up, the commissioners suggested areas they would like to explore for increased guidance on ethics. Absent was Chairman Tom Forese, who was in Apache County visiting with community leaders regarding telecom issues.

“Arizona may be taking the lead on this process,” Commissioner Andy Tobin said. He had questions about people who try to influence the commission and who has to register as a lobbyist.

Commissioners also had questions about what types of travel expenses need to be reported if they are paid by interest groups, conflicts with family members working at regulated companies, and Burns had questions about hiring practices at the commission. “slept No specific policies were suggested. The recent controversies at the commission include indictments of former Chairman Gary Pierce, his wife, lobbyist Jim Norton and water utility owner George Johnson in connection with an alleged bribery scheme.

Some community members who frequent commission proceedings applauded the effort to create ethics guidelines.

“While having a code of ethics with strong enforcement provisions at the ACC is long overdue, modeling good behavior now is what really counts,” said Diane Brown, executive director of the Arizona PIRG Education Fund. Her group frequently takes positions on utility rate cases.

She said election issues could be among the most pressing for the regulators.