Surgical micro-resecting and evoked potential monitoring system and method. The system includes a micro-resecting instrument, handpiece, and evoked potential monitor. The instrument includes an outer tube forming a cutting window at which a cutting tip of an inner member is located. A hub assembly rotatably maintains the inner and outer members. An electrically non-conductive material covers a region of the outer tube, and wiring is connected to an exposed surface of the outer tube. The instrument defines a probe surface proximate the cutting window as part of an electrical pathway with the wiring. The hub assembly is powered by the handpiece, and the wiring is connected to the evoked potential monitor. Evoked potential monitoring is performed at the probe surface via stimulation energy delivered along the electrical pathway, and tissue/bone resection occurs with rotation of the cutting tip.