Quinn seeking hearing on ComEd exec compensation

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Wire Services CHICAGO (AP) - Lt. Gov. Pat Quinn has written a letter seeking public hearings on salaries paid to Exelon Corp. and ComEd executives and the companies' relationship with a group advocating a competitive electrical market. In a letter addressed to Illinois Commerce Commission chairman Charles Fox and obtained Tuesday by The Associated Press, Quinn questions Exelon's warning that its ComEd subsidiary could be pushed into bankruptcy if next year's proposed electric rate hikes are blocked. Quinn's office planned to file the letter with the ICC this morning, spokeswoman Elizabeth Austin said. Quinn wrote that the ICC's interest in keeping electric rates reasonable gives it the right to look into Exelon's executive pay and other compensation, which he said totaled nearly $47 million for its top five posts last year, according to documents filed with the Securities and Exchange Commission. "Ratepayers have a right to know how Exelon/ComEd determines individual compensation for its highest-paid executives, and we further have a right to know how Exelon's pay scales compare with those of comparable utility companies nationwide," Quinn wrote. ComEd spokeswoman Judy Rader said in a Tuesday statement that ComEd customers do not pay for the compensation of Exelon's top senior executives. "Those costs are totally funded by Exelon shareholders and are not paid by ComEd's customers today or in the rates currently proposed," Rader said. ".... ComEd senior executive salaries are set by the ComEd board of directors, who ensure senior executive compensation is in line with those of industry peers." Illinois' first power auction last month determined customers will pay an average from 22 percent to 55 percent more for electricity when a rate freeze imposed by lawmakers in 1997 expires Jan. 1. Gov. Rod Blagojevich has said he will call a special session of the Illinois General Assembly to extend the rate freeze when he has the votes and can get legislators to call the bills. Officials at ComEd, which serves 3.7 million customers across northern Illinois, have said the utility will lose about $1.4 billion and face possible bankruptcy if there is no rate increase. St. Louis-based Ameren, which serves 1.2 million customers in southern and central Illinois, has said an extended rate freeze would force officials to cut a quarter of the company's work force, hundreds of contractors and projects that improve service reliability. Quinn says the companies would do better if senior executives' salaries weren't so high. Quinn also wants the ICC to look into ComEd's and Exelon's relationship with Consumers Organized for Reliable Electricity, a business-backed advocacy group that favors the end of the rate freeze. CORE has on its advisory committee executives from some of the state's largest corporations, including ComEd, according to the group's Web site. It has been running television ads warning Illinois could face the same high costs and electric supply problems faced by California consumers because of improper regulation. In his letter, Quinn said the ICC should examine all relevant records to reveal how much money CORE has received from Exelon and its subsidiaries. Telephone calls to CORE spokeswoman Avis LaVelle were not immediately returned Tuesday night. --- Associated Press Writer Ashley M. Heher contributed to this report. © Copyright 2006 Associated Press. All rights reserved. This material may not be published, broadcast, rewritten, or redistributed.