LIPA hires Robyn Fellrath; 'special assistant' has strong Long Island political connections

Even as Long Island Power Authority recently fired one of its most experienced utility officials and a second announced his resignation, newly named chief executive Carrie Meek Gallagher told employees last week that she had hired a “special assistant” who has extensive Long Island political ties.

In an internal memo, LIPA announced the appointment of Robyn Fellrath to the post. Fellrath was most recently regional director for the Workforce Development Institute, a nonprofit, but her connections to Long Island and state politics run deep.

Fellrath, a former intern for U.S. Sen. Chuck Schumer, spent three years at the state Department of Labor, most recently as downstate director of labor affairs, and was formerly a chief aide to Suffolk Legis. Sarah Anker, according to her online biography. She also was previously a district director for the State Senate, and a chief legislative aide at Brookhaven Town.

LIPA declined to comment on personnel matters.

Fellrath didn't respond to a request for comment.

The hiring of Fellrath comes on the heels of LIPA’s Sept. 24 firing of Billy Raley, senior vice president of transmission and distribution. Raley told Newsday he had refused to sign off on less stringent performance metrics for PSEG contained in the new contract, which the board approved last week. PSEG can earn more than $20 million a year for achieving the performance metrics.

Raley was among LIPA’s most senior officials, with more than 35 years of leadership experience at utilities and nearly five years at LIPA. Raley also is one of two senior LIPA officials who in June filed an internal ethics complaint at LIPA over alleged pressures brought to bear in a LIPA procurement for a new service provider.

Raley has testified to the state inspector general that he had been told to lower review scores for Houston-based Quanta Services in the bidding process. Raley said he and another senior official resisted the pressure, and were ultimately sidelined by LIPA as it negotiated a contract extension with PSEG.

The internal investigation was initially conducted by the law firm Holland & Knight, but LIPA switched firms mid-investigation.

LIPA in a statement said it takes the internal probe "with the utmost seriousness," disclosing it has retained Arlo Devlin-Brown "to ensure this investigation is completed thoroughly, professionally, and without delay." Devlin-Brown formerly worked for the U.S. Attorney's Office for the Southern District of New York, as did LIPA and the board's outside counsel, Brendan McGuire.

In addition to Raley, another senior LIPA official, Steve Driscoll, vice president of customer experience and operations services, resigned effective next month, according to people close to LIPA. The former Eversource Energy official lives in New England.

Driscoll couldn’t be reached for comment.

The loss of experienced utility personnel and the hiring of politically connected people follows a pattern that LIPA fostered in its beginnings. No one is saying the new appointments with political connections are not qualified, but their hirings have opened LIPA to fresh criticism that it could return to its past legacy of political patronage. The state has urged that LIPA deepen its bench with experienced utility personnel both to monitor PSEG operations and ensure more transparency in its own decision-making.

LIPA’s board, controlled by Gov. Kathy Hochul with five trustee appointments, has in recent months moved to become more active in utility operations. Chairwoman Tracey Edwards, a one-time Huntington Town councilwoman and senior vice president for Sands Las Vegas, was part of a committee that participated in the contract extension negotiations with PSEG, an unprecedented role for the board.

PSEG’s negotiating team included Tom Garry, the Harris Beach law firm partner who is an adviser to Hochul on Long Island and state judiciary appointments. Garry also is a first vice chair of the Nassau Democratic Party and counsel and law chair of the state Democratic Party.

Gallagher was regional director for the state Department of Environmental Conservation and director of the Long Island Department of Public Service office, which has review and recommend authority over LIPA, before taking the top LIPA job in July. She previously worked for Suffolk County and the Suffolk County Water Authority.

One former LIPA trustee said Gallagher’s early staff moves suggest a return to LIPA’s political past.

“LIPA is transitioning from a professional utility to a political dumping ground,” said Drew Biondo, who was replaced on the board earlier this year by Anthony LaPinta, former counsel to the Suffolk County Democratic Committee. “It sends the wrong message; it’s telegraphing that connections are more valued than [utility] experience.”

Rich Schaffer, chairman of the Suffolk County Democratic Committee, didn't respond to messages seeking comment.

Biondo, an assistant deputy police commissioner for the Suffolk County Police Department, said he has raised his concerns about LIPA with state investigators.

“When I spoke to the inspector general’s investigators, I predicted among other things that the LIPA CEO appointment would be Carrie Meek Gallagher and that PSEG would get the contract, and I warned that this was about jobs,” said Biondo. “And in my view I expected LIPA to turn into a political operation, and that exactly what’s happening.”

By Mark Harrington

mark.harrington@newsday.comMHarringtonNews

Mark Harrington, a Newsday reporter since 1999, covers energy, wineries, Indian affairs and fisheries.