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PSC Meltdown

By Kellyn Brown

The Public Service Commission has an important, if often overlooked, job. It’s responsible for regulating everything from Montana’s utilities and private water companies to taxi and phone services. At one point, the 2011 Legislature considered tapping the PSC to oversee the medical marijuana industry. That, thankfully, didn’t happen since the five-member board struggles to hold a meeting without stoking controversy.

Last year, with the elections of Bill Gallagher (who represents the Flathead) and Travis Kavulla, the PSC flipped from a 4-1 Democratic majority to 3-2 Republican majority. But the disputes at the commission are not easily divided by party affiliation. They began at the first hearing when Kavulla refused to support his GOP colleague Brad Molnar as chairman.

Molnar, the senior Republican on the commission, had expected to be voted in as its leader and had already laid out his plans in interviews with the state’s media. But he also carries some baggage. He was fined for ethics law violations and accused of improperly soliciting and illegally receiving money from PPL Montana and Northwestern Energy to fund an energy conservation event in Billings. Molnar denied doing anything wrong and appealed.

A month later Molnar faced traffic charges for allegedly backing up into another car at a fast food drive-through in Laurel and driving off without reporting the accident. Molnar claims the woman he hit told him she didn’t care about the damages.

Kavulla, at that first meeting, said he would only vote for Molnar as chairman if he signed a code of conduct, referencing his “freelancing rabble-rousing behavior.” Molnar refused, bristling at the restrictions. After much deliberation, Gallagher took the post instead and Molnar became vice-chairman.

Since then, the PSC’s far-reaching decisions on clean energy and oversight of mammoth companies such as NorthWestern Energy have been trumped by a series of stories on profanity-laced outbursts – one involving Molnar reportedly calling Kavulla “the biggest lowlife mother f—– who ever climbed out from under a rock” – and other improprieties.

Gallagher’s chairmanship ended up being short-lived. He was ousted for apparently taking a secret trip with Molnar to Washington, D.C. to observe a settlement conference. Kavulla and the two Democrats on the commission voted himself chairman and Gail Gutsche vice chairwoman. The turn of events appears to have fractured relationships on the commission beyond repair.

Kavulla and Gutsche (the other member on the PSC is Democrat John Vincent) penned a column explaining the coup and reassuring the public that they “will work in a professional and accountable manner and stick to the issues at hand.” But those issues continue to be buried by what is clearly the most dysfunctional government board in the state.

Since losing his chairmanship, Gallagher claims the new leadership is trying to silence he and Molnar, arguing that Vincent likened new procedural rules to his father’s leather belt strap.

“The message from the new majority seems clear: Behave and be quiet and we won’t have to whip you with it,” Gallagher wrote.

The bickering would border on absurdist comedy, were the PSC not the primary elected government body tasked with guiding the state’s energy policy. But it is (luckily, its oversight duties do not include private co-ops like Flathead Electric).

Molnar has now asked for personal cell phone records of the new leadership on the commission, accusing them of plotting to undermine him in calls to each other during breaks at a previous meeting. Also last week, Molnar pleaded no contest to not quickly reporting that crash at the fast food restaurant. He was fined $200 and handed a 20-day suspended jail sentence. He also called the car he hit a “beater” and told police he didn’t think it was worth $500.

Perhaps someone at the PSC can reassure the public again that it is doing its primary job – regulating utilities. But, at this point, I doubt anyone would believe them.