A Missoula-based environmental group has raised concerns about a replacement Montana Public Service Commissioner voting on a potential Northwestern Energy - Black Hills Corporation merger.
Watch 350 Montana lawsuit story here:
A replacement is needed because Gov. Greg Gianforte recently suspended Commissioner Brad Molnar of Laurel for one year, citing alleged inappropriate behavior toward staff members.
The group 350 Montana says Molnar knows the details of the proposed merger and needs to be in on the decision. NorthWestern officials have said they are seeking the merger to increase generation capacity in the face of rising demand. Critics, including Molnar, have said the merger is aimed at paving the way for development of data centers, which have drawn criticism from local ratepayers.
“Commissioner Molnar is one of the people who heard that evidence and can engage in that deliberative process,” said Monica Tranel, an attorney representing 350 Montana.
Tranel filed a suit against Public Service Commissioners Jeff Welborn, Jennifer Fielder, and Annie Bukacek, along with the governor, seeking to overturn Molnar's suspension.
She says there are some unanswered questions and having Molnar in the room for merger decisions is crucial.
“Who sat in the room?” Tranel asked. “Observed the demeanor of the witnesses, understood the questions being asked, was there for the confidential portion to see the maps, all of the arguments that we advanced. That is absolutely critical to the outcome here. ”
Tranel argues Molnar knows too much to be left out.
“It comes down to credibility of the witnesses,” Tranel said. “Having observed their demeanor is absolutely foundational to the outcome. And Commissioner Molnar was in the room."
To be clear, Tranel wants the Helena court to decide that a hearing should include all five elected commissioners, and she's not asking for a ruling on Molnar's suspension.
“We take no position with respect to the underlying arguments,” Tranel said. “We don't know anything about that. We're talking about the integrity of the process. ”
NorthWestern Energy says the lawsuit is a nonstarter and there is already state law and established procedures in place to address missing commissioners.
“The Montana Public Service Commission's membership changes over time through the electoral process,” said Jo Dee Black, NorthWestern public relations specialist. “And Montana's regulatory framework is designed to provide continuity as elected commissioners change."
According to the PSC, the substitute commissioners would have access to all videos and could speak with the PSC staff and the other four commissioners.
“That person would have access to recordings of the four days of hearings,” said Michael Turner, PSC external affairs coordinator. “So it would be incredibly inaccurate and in fact misleading to suggest otherwise.”
Tranel says if the merger is approved, it will affect ratepayers and result in $50 million in bonuses to NorthWestern and Black Hills executives.
“They stand to gain $50 million,” Tranel said. “If this goes through, it’s $10 million for the entire state of Montana. That's $18 per household. One time.”
NorthWestern flatly denies the claim and calls this a false statement.
And now they wait for the judge and the PSC to decide on a big Montana and nationwide energy issue.