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Andy Zay, Governor Mike Braun Reach Settlement in IURC Termination Lawsuit

The state will pay Zay $625,000, including $140,000 in legal fees, and he will drop claims over his removal from the commission.

  • On Saturday, Governor Mike Braun announced a $625,000 settlement with former Indiana Utility Regulatory Commission Chair Andy Zay, resolving the lawsuit Zay filed 12 days earlier over his firing.
  • Braun fired Zay on August 3 after the commission approved a $71 million rate increase for AES Indiana, which the governor denounced, citing affordability as his top priority.
  • Under the agreement, Zay receives $485,000 in salary and benefits, while his legal firm Betz + Blevins obtains $140,000 for attorneys' fees. Neither party admitted wrongdoing.
  • Indianapolis City-County Councilor Joshua Bain replaced Zay on the five-member commission, joining other new appointees who may revisit the AES rate increase decision.
  • The settlement removes legal uncertainty over the IURC's composition, clearing the path for final rate decisions. Zay stated he believes the resolution is "in everyone's best interest at this time.
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WRTV broke the news on Saturday, August 22, 2026.
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