State audit of California PUC destroys trust in leadership

[Commentary] Another day, another embarrassment for California Public Utilities Commission President Michael Peevey.

The latest revelation from the state Legislative Analyst's Office is that an audit of the PUC's budgeting process found "significant weaknesses." The analyst also uncovered "cases of fiscal mismanagement in which accounting records for certain funds were misrepresented and incorrect." Under Peevey's leadership, or lack thereof, the PUC has utterly failed at its primary mission of regulating the state's utilities, and ensuring safe, reliable service and prudent use of ratepayer funds. It's a mystery why Gov. Jerry Brown (D-CA) keeps Peevey in this post. The commission's failures undermine trust in state government. Peevey should have stepped down years ago, after a blue-ribbon panel investigating the San Bruno gas pipeline explosion blistered the PUC's culture and practices. The panel demanded that both PG&E and the PUC "confront and change elements of their respective cultures to assure the citizens of California that public safety is the foremost priority."

There is no evidence this has happened at the PUC. And now, besides failing to ensure public safety, it appears it can't account for trillions -- yes, trillions -- in ratepayers' money. What can Brown be waiting for?