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New Utility Regulators

Gov. Martin O'Malley (D) has chosen to nominate Steven B. Larsen, Maryland's former insurance commissioner, and Susanne Brogan, a former member of the Public Service Commission, to fill two vacancies on the panel that regulates the state's electricity providers and other utilities, according to sources familiar with the pick.

O'Malley has pledged to install regulators with a more consumer-oriented bent to the five-member panel, which O'Malley argued during last year's campaign had become too cozy with the industries it regulates during the tenure of former governor Robert L. Ehrlich Jr. (R).

The panel's chairman, Kenneth D. Schisler, a former state delegate appointed by Ehrlich, resigned this month after a threat from O'Malley that he would be fired.

Larsen, a Bethesda resident, would replace Schisler as chaiman. As insurance commissioner from 1997 until 2003, Larsen emerged as a consumer-friendly regulator who helped shut down a merger involving CareFirst BlueCross BlueShield. He currently serves as president and CEO of Amerigroup Maryland Inc., where he supervises all local health care plan operations and is responsible for $400 million in annual revenue.

Brogan, an Anne Arundel County resident, was first appointed to the panel by then-Gov. William Donald Schaefer(D).

John Wagner

By Phyllis Jordan |  February 16, 2007; 9:42 AM ET  | Category:  Governor
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Comments

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What does "consumer friendly" mean? Do you mean "anti-business"? Maryland's hostility to insurance companies have driven many out of the state and resulted in consumers having few choices and facing high prices for health insurance. That's not "consumer friendly."

Posted by: MK | February 16, 2007 12:24 PM

It means you don't golf with your utility company buddies and make secret deals.

Posted by: Bryan23 | February 16, 2007 2:51 PM

Governor O'Malley spent several months complaining that we didn't have "experts" in energy and utility serving as PSC Commissioners. What expertise does Mr. Larsen have? Insurance and health care are hardly energy or telecommunications, and experience as a "regulator" in one field doesn't necessarily translate into expertise as a regulator in another. So after all of the talk, we have a chairman who is no more of an expert than the last guy - he's just one who share's this Governor's political outlook.

I have no axe to grind with Mr. Larsen (at least not yet), and hope that he'll prove a capable Chairman at the PSC. But please, let's not kid ourselves about this - the PSC leadership is no more expert than it was under the past Chairman. Only the regulatory philosophy has changed, at the cost of significant damage to the integrity of our regulatory system.

Our PSC system (which the Democrats, hoist on their own pitard of a flawed deregulation scheme that ignored simple market forces, have assailed for the past year) was intended to prevent this type of crass political interference with the regulatory process. Changes to the PSC are supposed to occur gradually by means staggered appointments by the Governor, but this Administation scoffed at the idea of waiting. Nice to know the new administration isn't going to let the rules stand in the way of doing the "right thing".

Posted by: MD VOTER | February 17, 2007 8:12 AM

It is funny that some of these people were on the PSC when the democrats made their brilliant decision to deregulsate in the first place.

Posted by: Redskins2k1 | February 20, 2007 3:09 PM

I am interested in learning more about the "deal" with BGE which was supposed to help consumers. I discovered in a conversation with a BGE representative that the portion of my bill that was being "deferred" will have to be repaid with a $4 a month service charge. In each increment of "deferral" BGE will bill more but the full amount is adding up. It will be hae to be repaid in addition to the full increase. How does that help anyone? We are still paying the 70% plus the $4 a month charge.

We elected Gov O'Malley because he is on the side of the consumer. I would like to know what is being done to UNDO the 70% rate increase. Relieve the consumers don't let the debt mount up and adding on service charges.

I believe most consumers agree that there will be increases but this is an economic disaster. I do not know anyone who has received a 70% increase over a five year period much less one year.

Let us not point fingers at who was there when they got away with it, but let's undo the damage.

Posted by: Joan van der Horst | February 22, 2007 7:36 PM

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