Relief OK’d for electric rates

Lawmakers also toughen penalties for sex offenders

Friday, June 16, 2006

Under the rate relief plan, all customers would pay 15 percent more beginning July 1. Then, customers could choose to continue rate relief for seven more months. Full market rates would be in place by Jan. 1, 2008. Customers also would have to pay $2.19 a month for 10 years to cover the cost of deferred rates.

‘‘We came to Annapolis with a plan to bring some relief to the BGE customers, to help residential consumers and working families around the state. We also learned from our mistakes,” said Senate Finance Committee Chairman Thomas ‘‘Mac” Middleton (D-Charles). ‘‘We got the job done.”

The five-member Public Service Commission, which has been at the center of a political hurricane for months, will be fired. Legislative leaders will provide the governor with 10 names from which he can select a new commission.

Because of that element, Gov. Robert L. Ehrlich Jr. (R) will almost certainly veto the bill, a decision he must make next week. Because the special session ended in a recess on Thursday, legislators could reconvene to override the veto. The bill passed both chambers with veto-proof majorities.

In February, the PSC had developed its own rate relief plan that charged customers interest on the deferred rates. The General Assembly negotiated its own plan that won concessions from BGE’s parent company, Constellation Energy Group. That plan, however, died on the General Assembly’s last day in April.

Shortly thereafter, Ehrlich negotiated his own plan with BGE officials that spread the increase over a number of years. Baltimore Mayor Martin O’Malley, a candidate for the Democratic gubernatorial nomination, challenged the plan in Baltimore City Circuit Court.

The judge threw out the plan and ordered the PSC to conduct new hearings. Instead, the commission reverted to its original plan.

At that point, lawmaker interest in a special session grew. Ehrlich signed an executive order on Tuesday to return legislators to Annapolis.

The relief bill gives power companies more flexibility in the way they accept bids for power. One of the faults exposed in the BGE rate hike is that the company auctioned off its energy needs at a time when Hurricane Katrina and unrest in the Middle East caused energy prices to spike.

Lawmakers also made more people eligible for energy assistance.

The bill has trap doors for opponents. All challenges must be filed in the Baltimore court that objected to Ehrlich’s plan. No state money can be used to file a challenge.

And in firing the PSC, legislators concocted two schemes, the second in case the first is ruled unconstitutional.

Weary legislators passed the rate relief bill and the sex offenders measure in the early-morning hours Thursday.

The sex offenders bill passed after hours of backroom negotiations developed a comprehensive bill that mandates stiff penalties.

The legislation requires close supervision of convicted offenders after their release from prison and imposes mandatory 25-year sentences for the most serious crimes against children — a provision known as Jessica’s Law, named after 9-year-old Jessica Lunsford, who was abducted, molested and murdered in Florida by a repeat sex criminal.

Advocates hailed the early-morning passage — the House gave final approval after 4:30 a.m. — as a victory for children and parents that makes Maryland law one of the strongest in the nation.

‘‘With the makeup of this body being as liberal as it is, some people predicted we would never get this far,” said Del. Anthony J. O’Donnell (R-Calvert, St. Mary’s).

In April, Republicans claimed that Democratic lawmakers intentionally scuttled sex offender legislation on the final day of the regular legislative session .

Staff writer Thomas Dennison contributed to this report.

E-mail Alan Brody at abrody@somdnews.com.