‘I was disappointed’: Gov. Braun explains firing of IURC Commissioner Andy Zay
INDIANAPOLIS (WRTV) — Gov. Mike Braun is searching for a new utility regulator after firing Commissioner Andy Zay earlier this week for alleged policy violations, including handing out improper gifts and failing to file financial disclosures.
Braun spoke about the dismissal Wednesday in Indianapolis, though he declined to provide specifics regarding the allegations against Zay, a former state senator.
The Republican governor dismissed Zay from the Indiana Utility Regulatory Commission (IURC) following several “potential violations.” According to a commission statement, Zay failed to file a required financial disclosure after his removal as chair, awarded improper payments and personal gifts to employees, and directed staff to change the agenda of a public meeting without consulting the new chairperson.
State statute says “The members may be removed at any time by the governor for cause.”
The IURC functions as an administrative agency that hears evidence to ensure utilities provide safe service at reasonable rates.
In June, Braun replaced Zay as chairman after the IURC approved a rate increase for AES Indiana. Braun said Wednesday that Zay’s performance regarding utility costs led to the change.
“I was disappointed that he didn’t take on affordability and holding utilities accountable,” Braun said. “We’ll be looking for a replacement and we will do it soon.”
Braun urged a focus on affordability rather than the circumstances of the firing.
“When he was selected to be on the IURC he wasn’t paying attention to that,” Braun said. “Any of the other stuff is ancillary. We’ll get to that through the proper procedure.”
The governor did not say if his office is seeking a criminal investigation. The Marion County Prosecutor’s Office said law enforcement must present an investigation before the office can determine criminal charges. Indiana State Police said they are not investigating Zay.
The Indiana Office of Inspector General, the agency responsible for addressing fraud and mismanagement in state government, declined to confirm if an investigation is happening. The office cited a long-standing policy of not acknowledging investigative activity to protect the integrity of its work and the reputations of those involved.
Zay said “no comment” via text message.
The Indiana State Personnel Department declined to say if it referred the case for criminal investigation, citing state laws that keep personnel files confidential.
Indiana Democratic Party Chair Karen Tallian criticized the governor’s judgment, claiming Braun is using Zay as a “scapegoat” for rising utility costs. State Rep. Alex Burton, D-Evansville, also called for more stability, stating that “politicized” decisions at the commission have undermined public confidence.
Statements
“Complaints to the IG, and any related investigations, are confidential to protect the integrity and independence of investigations as well as guard against reputational harm to any uncharged persons.
“For these reasons, the IG has a long-standing policy that whether the IG is investigating a matter or not, the IG does not publicly acknowledge such. Nor does the IG disclose any investigative activity.”
— From Indiana Office of Inspector General
“IC 5-14-3-4(b) establishes that personnel files are confidential, except for the information specified in IC 5-14-3-4(b)(8)(A–C). Regarding discipline, IC 5-14-3-4(b)(8)(C) requires the release of the ‘factual basis for a disciplinary action in which the final action has been taken and that resulted in the employee being suspended, demoted or discharged.’
“Under APRA, as you know, the state’s practice has been to release only the factual basis for the discipline and not to release additional documentation of infractions or disciplinary materials. This is consistent with the state’s prior practice in other personnel matters.”
— From Indiana State Personnel Department
“Mike Braun and the Republican legislature have done everything to bend over backward for utility companies over the past 20+ years. Now, Braun is using Andy Zay as a scapegoat. Braun knew the AES case was being investigated when he appointed Zay. The buck must stop with the governor’s poor judgment. The only commissioner who voted against any recent major electric increase is former Democratic State Senator Bob Deig. We invite Hoosiers to elect more Democratic legislators this November who will put families before utility profits for a change.”
— From Indiana Democratic Party Chair Karen Tallian
“Hoosiers deserve affordability and stability—not knee-jerk decisions that create more uncertainty without delivering meaningful relief on their utility bills. The constant reversals, churn, and shifting direction from the IURC have undermined confidence in the process and raised serious concerns.”Indiana needs a clear, disciplined path forward on energy policy—one built on the IURC’s expertise, guided by the legislature’s framework, grounded in practical solutions, stability in the energy sector, and relentlessly focused on affordability. An independent, quasi-judicial commission cannot effectively serve the public when it becomes politicized. Hoosiers expect decisions driven by facts, sound policy, and the public interest—not emotional reactions.”The time for distractions has passed. Hoosiers have waited long enough for affordable, reliable energy. It’s time to restore stability, refocus on the IURC’s mission and long-term strategy, and deliver the results Indiana families and businesses deserve without further delays.”
— From State Rep. Alex Burton, D-Evansville
