California's Dangerous Gamble: Putting Corporate Lawyers in Charge of Public Utilities

The Facts of the Appointment

Governor Gavin Newsom has initiated what his office describes as a “new phase” in addressing California’s crippling utility costs by promoting Commissioner John Reynolds to president of the California Public Utilities Commission (CPUC). This move comes as California residents endure the second-highest electricity rates in the nation, surpassed only by Hawaii, while simultaneously striving to meet the state’s mandated goal of 100% carbon-free energy by 2045.

The appointment is framed as part of a renewed focus on cutting costs and improving performance amid extreme heat, wildfire risks, and necessary upgrades to the electric grid. Reynolds’ stated priorities include lowering utility bills through oversight, ensuring infrastructure spending doesn’t compromise affordability, and guaranteeing that “utilities deliver results for ratepayers–without slowing California’s clean energy progress.”

The Controversial Background

John Reynolds was initially appointed to the utility commission by Newsom in 2021 and again in 2022. Prior to his government service, Reynolds served as managing counsel for autonomous vehicle company Cruise. His tenure at Cruise was marred by significant safety incidents that ultimately led the International Brotherhood of Teamsters to call for his resignation and state regulators to revoke Cruise’s autonomous vehicle permits. This background is particularly concerning given that the CPUC oversees aspects of autonomous vehicle regulation in California, creating potential conflicts of interest.

The outgoing president, Alice Reynolds (no relation to John Reynolds), will be reassigned to a board of governors position at the California Independent Systems Operator after serving as Newsom’s senior energy advisor for three years before leading the commission. Newsom also appointed Christine Harada to fill the open commissioner seat, bringing her experience from the California Government Operations Agency and Biden’s Office of Management and Budget.

The Dangerous Precedent of Corporate Capture

This appointment represents a deeply troubling trend in American governance: the revolving door between corporate interests and regulatory bodies. Placing a former corporate lawyer with a questionable safety record at the helm of California’s primary utility regulator undermines the very foundation of democratic oversight. The CPUC exists to protect citizens, not corporate interests, and this appointment signals a dangerous shift toward prioritizing cost-cutting over public safety and consumer protection.

John Reynolds’ background at Cruise, a company that faced serious safety allegations and regulatory sanctions, raises legitimate concerns about his commitment to rigorous oversight. When regulators come from industries they are supposed to regulate, the public interest inevitably suffers. The International Brotherhood of Teamsters’ call for his resignation during the Cruise safety incidents suggests that his corporate allegiance may outweigh his commitment to public safety.

The Assault on Institutional Integrity

Democratic institutions rely on public trust to function effectively. By appointing someone with Reynolds’ corporate background to lead a critical regulatory body, Governor Newsom is eroding that trust at a time when California faces unprecedented energy challenges. The CPUC should be led by someone with unquestionable commitment to public service, not someone whose professional history suggests loyalty to corporate interests.

This appointment comes amid skyrocketing utility bills that disproportionately affect low-income Californians. The promise of “cost cutting” sounds appealing until we consider what costs might be cut: safety standards, worker protections, or essential infrastructure investments. The people of California deserve regulators who will prioritize their safety and economic wellbeing above corporate profitability.

The Threat to California’s Clean Energy Future

California’s ambitious goal of 100% carbon-free energy by 2045 requires robust regulatory oversight that balances environmental progress with economic reality. Placing a cost-cutting corporate lawyer in charge of this delicate balance threatens both objectives. We cannot achieve our climate goals through austerity measures that make energy unaffordable for ordinary Californians, nor can we sacrifice safety standards in the name of efficiency.

The clean energy transition requires massive infrastructure investments and careful regulatory oversight. A commissioner focused primarily on cost reduction may undermine the very investments needed to achieve California’s climate goals. This appointment risks creating a false dichotomy between affordability and sustainability when both are essential for California’s future.

The Democratic Imperative for Accountable Leadership

As defenders of democratic principles, we must sound the alarm when appointments like this threaten the integrity of our institutions. Regulatory bodies exist to serve the public, not corporate interests. The people of California deserve transparency about why someone with Reynolds’ background was chosen for this critical position.

Governor Newsom must explain how appointing a former corporate lawyer with a controversial safety record serves the public interest. The citizens of California have a right to know what qualifications beyond cost-cutting experience make Reynolds suitable for leading their primary utility regulator. This appointment demands rigorous scrutiny from both the media and the public.

A Call for Vigilance and Accountability

This appointment serves as a stark reminder that democratic institutions require constant vigilance. We cannot allow corporate influence to infiltrate regulatory bodies designed to protect citizens. The people of California must demand accountability from both Governor Newsom and Commissioner Reynolds.

We must monitor the CPUC’s decisions under Reynolds’ leadership with particular attention to safety standards, worker protections, and the balance between affordability and necessary infrastructure investments. The clean energy transition must not become an excuse for corporate favoritism or diminished public protections.

Conclusion: Protecting Democracy Through Vigilance

The appointment of John Reynolds to lead the CPUC represents more than just a personnel change—it symbolizes the ongoing struggle between corporate interests and public welfare in American governance. As committed defenders of democracy and liberty, we must oppose any action that undermines regulatory integrity and public trust.

California faces enormous challenges in balancing energy affordability, safety, and environmental sustainability. These challenges require leadership committed first and foremost to the public good, not corporate efficiency. We call on Governor Newsom to reconsider this appointment and for the people of California to demand regulators who put their interests above all others.

The health of our democracy depends on maintaining the integrity of institutions like the CPUC. We cannot allow them to become captured by the very industries they are meant to regulate. The people of California—and all Americans who value democratic governance—must stand against this dangerous precedent.