Amato for Governor? Lt. Governor?

Interesting news item that is under the radar screen but I expect will explode in the next few weeks.

A group of manufacturers concerned about high electricity and natural gas prices has terminated the contract of its president, Nino Amato.

Amato has been an outspoken critic of utility profits who has said Wisconsin's economic competitiveness is threatened by electricity rates that were once the cheapest in the Upper Midwest and are now the most expensive.

The Wisconsin Industrial Energy Group released a statement last Monday saying that Nino Amato & Associates LLC and the group "have dissolved their consulting agreement" effective Monday.

Nino Amato's recent actions have many wondering what his next move will be.

After being removed yesterday, he issued this statement:

Since WIEG's news announcement did not provide any reason for ending my contractual relationship as President of WIEG and since I have been contacted by the media, I was advised by my legal counsel to respond with a public statement in order to eliminate any rumors or speculations as to what happened, and to convey the facts that were communicated to me by WIEG's new Board Chair and his transition team.

On December 13, 2005, WIEG's Board of Directors met in executive session without my participation. After nearly five hours of debate, the Board adjourned and I was called into a meeting with WIEG's new Board Chair (Tom Scharff, President of Consolidated Water & Power Co. - StoraEnso), WIEG's new Vice Chair (Steve Hieger of ERCO Worldwide), along with three members of the WIEG transition team. At that meeting, I was informed that WIEG was ending my contractual relationship as president by triggering the 120 day termination clause in my contract. The separation was amicable and the transition was completed today. (My contract with WIEG can be terminated at any time by either party for any reason upon 120 days written notice to the other party. I have been under contract with WIEG as president since July 1, 2001).

When I asked why my contractual relationship was ending and what transpired during the executive session of the Board, I was informed by WIEG's new Board Chair and members of the transition team that Board members received criticism of me from the Public Service Commission of Wisconsin, the Governor's Office and some members of the State Legislature. The transition team went on to say that this criticism was conveyed to the Board through several WIEG members who olicited feedback from selected individuals of the PSCW, the Governor's Office and the State Legislature. I was also informed that most of the feedback came through the governmental affairs professionals of WIEG member companies and/or their lobbyists who represent their company's interests.

WIEG's Board Chair also offered me the opportunity to resign, but I declined his offer since all of my regulatory and legislative actions as WIEG's president received full Board approval with my interaction with the PSCW, the Governor's Office and the State Legislature. I also expressed my disappointment to WIEG's Board Chair for not giving me the opportunity or the professional courtesy to talk with the Board and respond to the criticism that Board members received from selected public officials.

Before ending our discussion, the transition team thanked me on behalf of WIEG's Board for my strong financial management skills in getting WIEG out of debt and for placing the organization on a strong financial footing; and for recruiting and retaining
WIEG membership (over 40 member companies), which set a membership record.

In light of WIEG's recent:
Involvement with the Attorney General, whose investigation and finding of fact exposed the secret and illegal meetings between the PSCW, WE Energies and their banker; WIEG's public criticism of PSCW Commissioners unexpected reversal in approving the controversial sale of the Kewaunee Nuclear Power Plant after they had originally rejected the sale; WIEG's opposition to the Governor's Office, the SCW and Legislative Leadership for their support of a special financing bill (SB79) that as drafted by an investor-owned-utility in which WIEG and the Citizens Utility Board publicly opposed; and WIEG's Ratepayers Bill of Rights legislative initiative that would increase the ethical standards and openness of the PSCW;

I am not surprised that some public officials provided negative feedback to WIEGs Board of Directors. I am surprised, however, at the turn of events that took place at the December 13 Board of Directors meeting since I acted with full Board authority in each of the above regulatory and legislative matters.

Even though I found this unexpected turn of events to be disappointing, I have no regrets that during my nearly five years of service in my leadership role as a consumer advocate for Wisconsin ratepayers, WIEG was able to publicly expose the political coziness between Wisconsins utility monopolies and members of the PSCW, as well as providing WIEG's public support for Representative Spencer Black's PSCW Ethics Bill, in hopes of receiving a public hearing on AB 304 and SB 311 by the current legislative leadership and public support from Governor Doyle.

I have great respect for WIEG's member companies, which serve as the job-creating backbone of Wisconsin's economy and for fighting for affordable and reliable utility rates. I also applaud WIEG member companies who have consistently opposed the outrageous utility monopoly profits (Return-on-Equity), that the PSCW has granted to investor-owned-utilities at the expense of all utility ratepayers. Unfortunately, under Republican and Democratic PSCW appointed Commissioners, Wisconsin has gone from being the low cost energy state to the highest cost energy state for residential and industrial customers among our 8 state region.

As for the future, I'm now looking forward to continuing my public service and consumer advocacy in the State of Wisconsin. I will remain actively involved in a number of issues, and I will continue to focus on campaign finance reform, the need for an affordable college education and on public policy that helps to ensure affordable and environmentally-sound energy policy for all of Wisconsins ratepayers.

This development also raises the question of if it is tied in anyway to the ongoing investigations into whether contributions to Doyle's campaign were in any way tied to approval of the sale of the Kewaunee nuclear plant.

Dailytakes will note that this is not the first time Amato has been sacked.

"I believe there's people around the governor who wanted me off the board," Amato said. "I don't know if the governor himself did."

Tech board members, some of whom publicly praised Amato's service before voting against him, insisted political pressure wasn't a factor. Roberta Gassman, who also is the state's secretary of workforce development, said one reason she supported Smith was to promote the interests of different state regions. Smith is from the La Crosse area, while Amato is from Madison.

Amato said Gassman and member Mary Cuene had told him they planned to check whom the governor supported before casting their votes. He produced an e-mail exchange with Cuene to back up his assertion.

Clearly, Doyle doesn't like the guy. The most interesting question I have right now: Is Amato someone the Ed Garveys and Bill Krauses of the world would rally around, now that Senator Mike Ellis has said no to a governor bid?

Stay tuned. This story and its many tangents have legs.