New Mexico Commission Nov. 3 Election Could Be Its Last

New Mexico voters will weigh a constitutional amendment to make the PRC an appointed body and to reduce the commissioners to three from five, summarizes the state’s Legislative Council Service. No more than two members serving six-year terms, up from four, would be from the same party. It would become the 40th state with appointed commissioners. It’s been about four decades since a state utility commission last shifted that way, said state telecom consultant Kenneth Costello.

In rival March 2019 opinion columns, Democratic PRC members Cynthia Hall and Steve Fischmann supported the change, while Theresa Becenti-Aguilar (D) and Jefferson Byrd (R) opposed. On Sept. 21, a political action committee told state Ethics Commission it spent more than $264,000 on mailers supporting the change, after initially refusing to disclose. The PAC didn’t provide the funding's source.

Fischmann now less strongly supports the measure, the chairman said in an interview last week: He sees “pros and cons.” The agency could gain more experienced and knowledgeable commissioners through appointment, since elections make it easier for less-qualified people to join, he said. “It’s an obscure office that’s down ballot, and folks don’t know much about what they’re voting for.” Voters would still get a say by electing who will choose, he said. Fischmann worries utility and PAC campaign contributions could unfairly influence nominations, unless the state also writes a law stopping utilities and their affiliates from donating to legislative or gubernatorial candidates or PACs.

Fischmann's constituents almost universally say they prefer electing commissioners, and taking that away would be undemocratic, he said. “That’s not official polling ... but when I talk to constituents, it’s almost an immediate visceral reaction.” Other sitting New Mexico PRC members didn’t comment this week.

Informal Survey

Most who responded to a campaign poll by PRC candidate Joseph Maestas (D) don’t want an appointed commission, he said. Maestas is running against Libertarian Chris Luchini for the open seat of term-limited Commissioner Valerie Espinoza (D). Some say it “takes power away from the people,” removing officials’ accountability and accessibility, Maestas said in an interview. The proposed process, in which a nominating committee would suggest names to the governor for appointment, could be a “golden opportunity for industry capture,” while changing from five regionally based commissioners to three at-large members hurts local democracy, he said.

“Whether I have two or four years, if I’m elected, I’m really going to work hard to reform the PRC and professionalize it,” said Maestas, noting the ballot initiative fails to respond to recommendations of a 2017 National Regulatory Research Institute (NRRI) report on the commission. “It just seems that there is a political preoccupation with how commissioners are selected, and there’s absolutely no effort to address the major underlying problems.” Calling elected candidates less qualified offends Maestas, he said, citing his engineering and regulatory experience and saying strong enforcement of existing qualification requirements early in the candidacy process could help. Maestas is publicly financed and supports making that a requirement.

Free market advocates don’t often see “eye to eye” with Gov. Michelle Lujan Grisham (D) but think tank Rio Grande Foundation supports giving the governor power to appoint commissioners, said RGF President Paul Gessing. The agency has had “numerous issues ... over the last decade or two, and I don’t think the average voter ... has a clue who they are voting for at the PRC.” Appointing means better vetting, more accountability and more-knowledgeable officials, he said.

Costello, author of NRRI’s 2017 New Mexico PRC review, thinks appointments would at least reduce problems seen at the agency over the last two decades. Average voters don’t understand this “pretty arcane field” and often choose based on party, said Costello, who also wrote an RGF paper in August on the change. Taking the choice out of voters hands’ shifts accountability to the governor, he said. “You can’t eliminate the politics and undue influence of special interests,” who can contribute campaign donations under either approach, he said. Three-member commissions are more efficient, particularly in a less-populated state, he said.

New Mexico once had an appointed Public Utility Commission for energy and an elected State Corporation Commission for telecom. In 1996, they were combined into the elected PRC. “While the PUC did not suffer from nearly as much mission creep and scandal as the SCC, it still managed to receive its share of public criticism,” including that it was vulnerable to people trying to buy influence, said a 2011 paper by Think New Mexico. “The merger of the SCC and the PUC may have unintentionally made matters even worse.”

Think New Mexico is neutral on the current question because it doesn't think elected or appointed are “clearly better,” emailed Executive Director Fred Nathan. “Elected commissions tend to be more responsive to the needs of consumers, while appointed commissions tend to have slightly more highly qualified members.” Nathan is “personally opposed,” alarmed by the nontransparent PAC spending probed by the ethics commission. The PAC couldn’t be reached for comment.

State Races

Elsewhere, one NARUC Telecom Committee member faces reelection: co-Vice Chair Crystal Rhoades. A frequent advocate for broadband and Lifeline, Rhoades is the Nebraska Public Service Commission’s lone Democrat. GOP challenger Tim Davis supports enhancing wireless 911 and reducing hidden “cellular taxes and fees.”

“I feel pretty good about the race,” Rhoades emailed Tuesday. The Democrat highlighted her work on network reliability and government spending accountability, saying she wants to expand broadband deployment and adoption. Rhoades disagreed with Davis there are hidden fees for cellular or landline customers. “The issue is that we have to ensure that the carriers receiving money to develop, build and maintain our networks are doing what they are supposed to do with the money,” Rhoades said. Davis didn’t comment.

In New Mexico and beyond, candidates say broadband is an issue.

Maestas sees a bigger role for the New Mexico PRC in broadband, which he considers a utility. “We have a big digital divide,” and the PRC should be “a leader to help get a statewide broadband plan” and adequately fund networks through state USF, he said. The agency lacks interstate jurisdiction but can tap authority to designate eligible telecom carriers, the Democrat said. His opponent, Luchini, didn’t comment. In a second New Mexico race, incumbent Democrat Hall faces Janice Arnold-Jones (R).

Other States

In Georgia, candidate Daniel Blackman wants the PSC to “prioritize broadband to every small town and forgotten county throughout” the state, says his website. The Democrat is running against incumbent Bubba McDonald (R). Robert Bryant (D), challenging incumbent Jason Shaw (R), seeks to expand fiber broadband.

“COVID-19 taught us that broadband is not a luxury, but a necessity,” said Louisiana PSC candidate Shane Smiley (R) in a campaign announcement video to challenge incumbent Foster Campbell (D). Chairman Eric Skrmetta (R) faces a crowded field in a race that includes three other Republicans, one Democrat and two third-party candidates. If no candidate gets more than 50% at the Nov. 3 primary, they would move to a Dec. 5 general election. Democrats could gain control of the 3-2 GOP agency by winning both seats.

Broadband gets mentions in platforms for North Dakota PSC candidate Casey Buchmann (D) and South Dakota Public Utilities Commission candidate Remi Bald Eagle (D), both running for seats at 3-0 Republican agencies. Buchmann is challenging Chairman Brian Kroshus (R), while Bald Eagle faces Commissioner Gary Hanson (R).

Three of five GOP seats in Montana are up for election. Incumbent Commissioner Tony O’Donnell (R) faces Valerie McMurtry (D), while Tom Woods (D) and James Brown (R) are vying for term-limited Republican Roger Koopman’s seat, and Monica Tranel (D) and Jennifer Fielder (R) seek to replace Bob Lake (R). Woods’ website lists open-access telecom as a priority.

The 4-1 Republican Arizona Corporation Commission could turn blue if Democrats win two of three Republican seats up for grabs. Voters will pick three names from a list that includes incumbent Commissioner Lea Marquez Peterson (R), former ACC Chairman Bill Mundell (D), Jim O’Connor (R), Shea Stanfield (D) and Anna Tovar (D). Commissioner Boyd Dunn (R), who wrote the agency’s ethics plan (see 1909240019), didn’t qualify this year after his campaign reportedly admitted to forging names on nominating papers. Chairman Bob Burns (R) is term limited.

Alabama PSC Chair Twinkle Andress Cavanaugh (R) faces Democratic challenger Laura Casey, now suing the PSC at Alabama Supreme Court for stopping her from video recording a meeting. Republicans currently have all three seats. At the 3-0 Republican Oklahoma Corporation Commission, incumbent Todd Hiett (R) faces Libertarian Todd Hagopian.

Mississippi is the only other state with elected commissioners. Its elections are in off years with no presidential or midterm elections.