Public Utilities Commission explains fee-funded budget, requests 5% commissioner pay increase and IT replacements

Kellen McGurkin, a budget and policy analyst with the Legislative Services Office, reviewed the Public Utilities Commission’s budget to the Joint Finance-Appropriations Committee. Commissioner Eric Anderson joined the hearing and described the commission’s regulatory role and regional work on transmission and power-market issues.

The Public Utilities Commission (PUC) is funded by regulatory assessments on the utilities it oversees rather than by general funds. The agency’s dedicated fund generally aims to hold an ending free fund balance of about 60% of its appropriation as a cushion in case biannual industry assessments are delayed.

Why it matters: PUC decisions and staffing affect utility rates, safety oversight, and large infrastructure approvals that have downstream impacts on businesses and households.

Budget and requests

- Staffing and funding: PUC has 48 FTE (the analyst reported four vacancies and a five-year filled-FTE average of 84%). Personnel costs accounted for about 75% of FY 2024 expenditures. The agency uses dedicated fees and federal grants; it does not use general fund appropriations.

- Commissioner compensation: Commissioners are appointed for staggered six-year terms and their salaries are set in statute (Idaho Code § 61-215). The agency requested a 5% salary increase for the three commissioners; the governor recommended the 5% increase (about $23,100 total). McGurkin noted statutory change is required because commissioner pay is fixed by statute, leaving final adjustment to the legislature.

- One-time items and IT: PUC requested $114,100 one-time dedicated-fund appropriation for replacement items, including about $40,500 for a pipeline safety truck and $73,600 for OITS-recommended hardware and licenses (laptops, network switches, document-management licenses and wireless access points).

Policy and oversight notes

Commissioner Eric Anderson discussed the commission’s regional engagement on transmission and market-structure issues. He said utilities must seek PUC approval to join regional market constructs or make major changes that affect ratepayers; the commission’s orders and filings help protect consumers and maintain utilities’ creditworthiness.

Document management and records

Anderson reported the commission has an administrative document team of four staff who manage filings and records; he said the commission retains records back to the early 20th century in a secured room and has moved to electronic filing processes for current work.

Ending

Committee members asked clarifying questions but took no formal action. The commission said staff are available to follow up on any specific document or cost questions the committee requests.