An arthroscopic cutting probe includes a shaft assembly having a distal end, a proximal end, and a longitudinal axis. A distal cutting member is rotatably attached at the distal end of the shaft assembly, and at least a portion of an exterior surface of the distal cutting member is electrically insulated. One or more burr elements extend radially outwardly from the electrically insulated portion of the exterior surface of the distal cutting member, wherein the burr element is electrically conductive to form an active electrode.