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PUBLIC SERVICE COMMISSION

ORIGIN & FUNCTIONS


[photo, William Donald Schaefer Tower, 6 St. Paul St., Baltimore, Maryland] In 1910, the Public Service Commission was established to regulate public service and certain passenger transportation companies within Maryland (Chapter 180, Acts of 1910). These include: electric and gas utilities; telecommunications companies; water and sewage disposal companies; passenger motor vehicle carriers (sedans, limousines, and buses); railroads; and taxicabs. Since 1984, it also has established pilotage rates and charges for vessels operating within the State.

William Donald Schaefer Tower, 6 St. Paul St., Baltimore, Maryland, July 2003. Photo by Diane F. Evartt.


The Commission sets utility rates and deals with rate adjustments. It also decides matters relating to applications to exercise franchises; approval of issuance of securities; promulgation of new rules and regulations; and quality of utility and common carrier service. It has authority to issue a Certificate of Public Convenience and Necessity for construction of new generating stations or transmission lines of a certain capacity.

Within Maryland, the Commission regulates common carriers engaged in the public transportation of passengers (except those carriers of passengers that come within the jurisdiction of the Washington Metropolitan Area Transit Commission). The Commission also has jurisdiction over all taxicabs operating in Baltimore City, Baltimore County, Cumberland, and Hagerstown. In Baltimore City, the Commission licenses taxicab drivers. In addition, the Commission licenses drivers of passenger vehicles hired to carry fewer than 15 passengers.

The Commission may make joint investigations, hold joint hearings, and issue joint or other concurrent orders in conjunction with any official state or federal board or commission under agreements and compacts between states, under the concurrent powers of states to regulate interstate commerce as an agency of the federal government, or otherwise (Code Public Utility Companies Article, secs. 2-120). The General Assembly has provided that "the powers of the Commission shall be liberally construed" so that they may effectively deal with the dynamic nature of public service companies (Code Public Utility Companies Article, sec. 2-112).

Each utility and common carrier under Commission jurisdiction is assessed a proportionate share of the Commission's direct and indirect expenses.

Appointed by the Governor with Senate advice and consent, the Commission's five members serve five-year terms. The Governor names the chair. Appointed by the Commission, the General Counsel is an attorney-at-law of the State (Code Public Utility Companies Article, secs. 1-101 through 13-207).


OFFICE OF ADMINISTRATION & OPERATIONS

The Office of Administration and Operations originally formed as the Office of Chief of Staff and received its present name in December 2005. The Office assists the Chair of the Public Service Commission with overall management of Commission responsibilities and oversees management information systems, fiscal and budget issues, personnel, purchasing, and procurement. In addition, the Office coordinates work assignments and communication among technical staff, public service companies, government agencies, and the public.


OFFICE OF EXECUTIVE SECRETARY

The Executive Secretary is responsible for case management; certain customer-owned, coin-operated telephone activities; order preparation; regulations; tariff maintenance; and affirmative action planning. In addition, the Executive Secretary signs minutes, and those decisions and orders of the Commission that are not signed directly by the Commissioners. The Executive Secretary also advises the Commission on policy development.


OFFICE OF EXECUTIVE DIRECTOR

The Executive Director supervises the work of the technical staff of the Commission. In addition to daily regulatory oversight, the Executive Director coordinates analyses of utility filings, the formulation of staff policy positions and the presentation of testimony in formal and informal proceedings. The Executive Director also is the principal contact for other State agencies, commissions and utilities.

Under the Executive Director are seven divisions: Accounting Investigations; Engineering; Integrated Resource Planning; Rate Research and Economics; Staff Counsel; Telecommunications; and Transportation.

ACCOUNTING INVESTIGATIONS DIVISION
The Accounting Investigations Division audits the financial filings of regulated public utilities. It conducts audits of utility fuel costs and natural gas procurement strategies, and advises the Commission during periodic fuel-cost hearings. The Division also provides advice to the Commission on regulation, revenue requirements, recovery of Clean Air Act expenditures, and utility management audits.

ENGINEERING DIVISION
The operations of public service companies are monitored by the Engineering Division. The Division inspects utility plants and checks them for safety and efficiency.

INTEGRATED RESOURCE PLANNING DIVISION
The Integrated Resource Planning Division was formed in 1993. The Division analyzes power supply plans, applications for electric generating plant construction, Clean Air Act compliance plans, load management and conservation programs, and other issues which impact the long-term public interest. The Division develops and updates the Ten-Year Plan of Maryland Electric Utilities.

RATE RESEARCH & ECONOMICS DIVISION
The Rate Research and Economics Division conducts economic and financial analyses on subjects relevant to the regulation of gas, electric, water and sewer, telecommunications, steam and transportation companies. Such studies are undertaken at the request of the Commission on a specific topic or as part of general economics research and evaluations of energy competition and restructuring issues.

STAFF ATTORNEY DIVISION
In all matters pending before the Commission, the Staff Attorney Division coordinates staff positions. The Division also reviews utility applications, witness testimony, and the comments of the Commission's technical staff. In addition, the Division coordinates the development of regulations, and answers inquiries from legislators, utilities, regulators, and consumers.

TELECOMMUNICATIONS DIVISION
The Telecommunications Division reviews tariff filings, rate revisions, and new service filings. The Division answers questions about telecommunications policies of the Commission, including those relating to provision of local service by competing carriers, and introduction of competition into the local exchange market.

TRANSPORTATION [COMMON CARRIER INVESTIGATIONS] DIVISION
The Transportation Division oversees the regulation of transportation companies operating in intrastate commerce in Maryland. The Division monitors vehicle safety; limits of liability insurance; schedules of operation; and rates and service for all regulated carriers, except railroads.

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 Maryland Manual On-Line, 2007

July 6, 2007   
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