Connecticut Hires Law Firm to Investigate PURA Amid Controversy

A prominent law firm in Hartford, Connecticut, has been engaged by the state to investigate ongoing controversies at the Public Utilities Regulatory Authority (PURA). This inquiry, which has persisted publicly for over a year, is spearheaded by Attorney General William Tong as part of an amendment to the existing contract with Shipman and Goodwin.

The law firm, known for its extensive experience in legal matters, is tasked with conducting a human resources investigation concerning alleged employee misconduct at PURA. The specific terms of the agreement indicate a focus on compliance with state statutes and regulations, particularly related to Freedom of Information Act (FOIA) requests and court-ordered discovery in rate cases. The updated contract, which does not specify the costs associated with the investigation, reflects the firm’s ongoing role as legal counsel for the governor’s office under a retainer of $270,000.

PURA has faced scrutiny for several issues, including its handling of FOIA requests and legal challenges from state utilities. These controversies culminated in the resignation of Marissa Gillett, who had been the chairwoman appointed by Governor Ned Lamont. Since her departure, Lamont has nominated four new members to the five-member board responsible for regulating electric and water utilities in the state.

The recent agreement enables Shipman and Goodwin to conduct comprehensive investigations into allegations of misconduct. This includes reviewing pertinent records, interviewing witnesses, and compiling detailed reports with findings and recommendations. Billing rates are specified, with partner Daniel A. Schwartz charged at $490 per hour, partner Sarah Westby at $415, and associate Justin Cedeno at $270.

The investigation comes at a time when PURA has been under increasing pressure from state legislators. There is no indication in the agreement of who, if anyone, is specifically targeted in the investigation. The attorney general’s office typically provides legal counsel for state agencies unless those agencies are under investigation.

In a related development, six Republican state senators recently inquired whether three key PURA employees had been prompted to resign. The individuals mentioned include Scott Muska, PURA’s General Counsel and Legal Director; Theresa Govert, the Chief of Staff; and Seth Hollander, an Assistant Attorney General handling legal cases for the agency. Tong has publicly defended Hollander’s professional conduct amid these allegations.

Separately, an internal conflict within PURA has surfaced. Jeffrey R. Gaudiosi, an in-house attorney, expressed his inability to continue reporting to Muska due to concerns over his conduct. In an email to two commissioners, Gaudiosi detailed instances where he felt pressured to withhold documents responsive to FOIA requests, which he claims undermined his role as the agency’s FOI liaison.

Despite the ongoing controversies, PURA has refrained from commenting on personnel issues. The agency’s spokeswoman, Taren O’Connor, has previously declined to address matters related to employee conduct. Lamont’s office also opted not to comment on these personnel issues.

The scrutiny surrounding PURA intensified earlier this year when the entire Senate Republican caucus staged a boycott during a vote concerning Gillett’s reappointment. This protest highlighted the contentious atmosphere surrounding her leadership. Ultimately, Gillett resigned, with her departure becoming effective on October 10, 2023.

As the investigation by Shipman and Goodwin unfolds, it remains a pivotal moment for PURA, which has been navigating a complex landscape of regulatory challenges and internal strife. The outcomes of this inquiry will likely have significant implications for the authority and its future operations in Connecticut.