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South Dakota Public Utilities Commission Meeting
May 19, 2009, at 9:30 A.M.
Room 413, Capitol Building
Pierre,South Dakota

NOTE:  If you wish to join this meeting by conference call, please contact the Commission at 605-773-3201 by 5:00 p.m. on May 4, 2009.  Lines are limited and are given out on a first come, first served basis, subject to possible reassignment to accommodate persons who must appear in a proceeding. Ultimately, if you wish to participate in the Commission Meeting and a line is not available you may have to appear in person.  

NOTE:  To listen to the Commission Meeting live please go to the PUC's Web site www.puc.sd.govand click on the LIVE button on the home page. The Commission requests that persons who will only be listening to proceedings and not actively appearing in a case listen via the web cast to free phone lines for those who have to appear.  The Commission meetings are archived on the PUC's Web site under the Commission Actions tab and then click on the LISTEN button on the page.

NOTE:  Notice is further given to persons with disabilities that this Commission meeting is being held in a physically accessible place.  If you have special needs, please notify the Commission and we will make all necessary arrangements.

AGENDA OF COMMISSION MEETING

Administration

1.     Approval of the Minutes of the Commission Meeting Held on March 24, 2009 (Staff: Demaris Axthelm) Consumer Reports 1. Status Report on Consumer Utility Inquiries and Complaints Received by the Commission. (Consumer Affairs: Deb Gregg)

Electric

1.     EL09-004     In the Matter of the Filing by NorthWestern Corporation d/b/a NorthWestern Energy for Approval of Tariff Revisions (Staff Analyst: David Jacobson/Terri LaBrie Baker, Staff Attorney: Karen Cremer)

On March 31, 2009, Northwestern Energy filed with the Commission an application for approval of changes to its electric tariff; specifically introducing language regarding tankless water heaters.

TODAY, shall the Commission Approve the Tariff Revisions?

Hydrocarbon Pipeline

1.     HP09-001     In the Matter of the Application by TransCanada Keystone Pipeline, LP for a Permit under the South Dakota Energy Conversion and Transmission Facility Act to Construct the Keystone XL Project. (Staff Analysts: Bob Knadle/Nathan Solem/ Stacy Splittstoesser/Tim Binder, Staff Attorney: Kara Semmler)

On March 12, 2009, TransCanada Keystone Pipeline, LP, (Keystone) filed a siting permit application for the South Dakota portion of the proposed Keystone XL Project (Project). The Project will transport crude oil starting in Hardisty, Alberta, Canada and ending in Port Arthur and East Houston areas of Texas. The proposed 36 inch diameter pipeline will have a nominal capacity of 900,000 barrels of oil per day (bpd). The proposed route will enter South Dakota at the Montana/South Dakota border in Harding County. It will extend in a southeasterly direction through portions of Harding, Butte, Perkins, Meade, Pennington, Haakon, Jones, Lyman, and Tripp counties. It will exit the state at the South Dakota/Nebraska border in Tripp County. The length of pipeline through South Dakota is approximately 313 miles. The Project also includes seven pump stations in South Dakota located in Harding (2), Meade, Haakon, Jones, and Tripp (2) counties along with 16 mainline valves. Mainline valves are proposed at each pump station and along the right-of-way with spacing intervals based upon the location of the pump stations, water bodies greater than 100 feet in width, high consequence areas and other considerations. Mary Jasper filed an Application for Party Status on April 29, 2009. Paul F. Seamans filed an Application for Party Status on May 4, 2009. Darrell Iversen filed an Application for Party Status on May 5, 2009. Carol Moyer and Glen Iversen filed Applications for Party Status on May 8, 2009. Applications for Party Status were filed by Jacqueline Limpert; John H. Harter; Zona Vig; Craig Covey as Chairman of Tripp County Water User District; Caitlin F. Collier representing Dakota Rural Action and David Niemi on May 11, 2009. Dakota Rural Action filed a Motion for Extension of Time to File Application for Party Status on May 11, 2009. Application for Party Status were filed by Debra Niemi and Lon Lyman on May 12, 2009.

TODAY, shall the Commission Grant Intervention to Requesting Parties AND, shall the Commission Grant the Motion for Extension of Time to File Application for Party Status?

Pipeline Safety

1.     PS09-002     In the Matter of the Petition of the Commission Pipeline Safety Program Manager for Declaratory Ruling Regarding whether a Pipeline Operator's Documentation Maximum Allowable Operating Pressure can Exceed the Limes in SDCL 49-41B-2.1 Without a Siting Permit. (Staff Analysts: Nathan Solem/ Stacy Splittstoesser, Staff Attorney: Kara Semmler)

On April 20, 2009, the Commission Pipeline Safety Program Manager filed a request for a declaratory ruling as to whether the PUC siting statute, SDCL 49-41B-2.1, allows a pipe design and thus its MAOP to exceed 20% SMYS if it is operated under 20% SMYS. The Pipeline Safety Program Manager requests a Commission decision regarding whether a pipeline is permitted to maintain MAOP in excess of 20% SMYS when to increase pipeline pressure above 20% SMYS would violate SDCL 49-41B-2.1. Montana-Dakota Utilities Company filed a Petition for Intervention on May 5, 2009. NorthWestern Energy Corporation d/b/a NorthWestern Energy filed a Petition for Intervention on May 8, 2009.

TODAY, shall the Commission Grant Intervention to any Parties that May Have Filed?

Telecommunications

1.     In the Matter of the Petition for Arbitration Pursuant to the Telecommunications Act of 1996 to Resolve Issues Relating to an Interconnection Agreement in Dockets TC07-112, TC07-113, TC07-114, TC07-115, and TC07-116

TC07-112 In the Matter of the Petition of McCook Cooperative Telephone Company for Arbitration Pursuant to the Telecommunications Act of 1996 to Resolve Issues Relating to an Interconnection Agreement with Alltel Communications, Inc. (Staff Analyst: Bob Knadle, Staff Attorney: Karen Cremer)

TC07-113 In the Matter of the Petition of Beresford Municipal Telephone Company for Arbitration Pursuant to the Telecommunications Act of 1996 to Resolve Issues Relating to an Interconnection Agreement with Alltel Communications, Inc. (Staff Analyst: Bob Knadle, Staff Attorney: Karen Cremer)

TC07-114 In the Matter of the Petition of Kennebec Telephone Company for Arbitration Pursuant to the Telecommunications Act of 1996 to Resolve Issues Relating to an Interconnection Agreement with Alltel Communications, Inc. (Staff Analyst: Bob Knadle, Staff Attorney: Karen Cremer)

TC07-115 In the Matter of the Petition of Santel Communications Cooperative, Inc. for Arbitration Pursuant to the Telecommunications Act of 1996 to Resolve Issues Relating to an Interconnection Agreement with Alltel Communications, Inc. (Staff Analyst: Bob Knadle, Staff Attorney: Karen Cremer)

TC07-116 In the Matter of the Petition of West River Cooperative Telephone Company for Arbitration Pursuant to the Telecommunications Act of 1996 to Resolve Issues Relating to an Interconnection Agreement with Alltel Communications, Inc. (Staff Analyst: Bob Knadle, Staff Attorney: Karen Cremer)

On October 19, 2007, each of the parties above (Parties) filed a petition for arbitration of certain unresolved terms and conditions of a proposed Interconnection Agreement with Alltel Communications, Inc. (Alltel), pursuant to Section 252 of the Telecommunications Act of 1996, SDCL 49-31-81, and ARSD 20:10:32:29. The Parties filed a list of unresolved issues and requested relief. In accordance with ARSD 20:10:32:30, a non-petitioning party may respond to the petition for arbitration and provide additional information within 25 days after the Commission receives the petition. On December 17, 2007, a Stipulation for Scheduling Order was filed. The Stipulation for Scheduling Order was approved at the January 29, 2008, commission meeting. On June 10, 2008, a Joint Stipulation for Amended Scheduling Order and Decision Date was filed. A hearing in these matters was held July 29 – 31, 2008. The Commission issued their decision at its January 27, 2009, commission meeting. On March 30, 2009, Altell filed a Brief and Petition for Reconsideration. On April 14, 2009, the Petitioners filed a Letter and Opposition to the Petition for Reconsideration.

TODAY, shall the Commission Grant the Petition for Reconsideration?

2.     TC09-011     In the Matter of the Filing for Approval of an Amendment to an Interconnection Agreement between Qwest Corporation and McLeodUSA Telecommunications Services, Inc. (Staff Attorney: Kara Semmler)

On March 20, 2009, the Commission received a filing for approval of an Amendment to an Interconnection Agreement between Qwest Corporation and McLeodUSA Telecommunications Services, Inc. Any party wishing to comment on the Agreement may do so by filing written comments with the Commission and the parties to the Agreement no later than April 9, 2009. Parties to the Agreement may file written responses to the comments no later than twenty days after service of the initial comments.

TODAY, shall the Commission Approve the Amendment to the Agreement?

3.     TC09-013     In the Matter of the Filing for Approval of an Amendment to an Interconnection Agreement between Qwest Corporation and MCImetro Access Transmission Services, LLC. (Staff Attorney: Kara Semmler)

On March 31, 2009, the Commission received a filing for approval of an Amendment to an Interconnection Agreement between Qwest Corporation and MCImetro Access Transmission Services, Inc. Any party wishing to comment on the Agreement may do so by filing written comments with the Commission and the parties to the Agreement no later than April 20, 2009. Parties to the Agreement may file written responses to the comments no later than twenty days after service of the initial comments.

TODAY, shall the Commission Approve the Amendment to the Agreement?

4.     TC09-017     In the Matter of the Filing by Qwest Corporation for Approval of Submission of its Annual PAP Payment Cap Calculation under Qwest's Performance Assurance Plan (PAP), Section 12.1. (Staff Analysts: Terri LaBrie Baker, Staff Attorney: Karen Cremer)

On April 8, 2009, Qwest Corporation (Qwest) filed its request that the Commission consider Qwest's last-submitted cap based on ARMIS "Net Return" as satisfying PAP Section 12.1 for this and future years. Qwest stated that "a recent FCC Order grants Qwest forbearance from certain ARMIS reporting requirements, also thus eliminates the ARMIS "Net Return" for South Dakota used in PAP Section 12.1."

TODAY, shall the Commission Grant the Approval of the PAP Payment Cap Calculation? OR, how shall the Commission Proceed?

5.     TC09-019     In the Matter of the Filing for Approval of an Interconnection Agreement between Midstate Communications, Inc. and Native American Telecom, LLC. (Staff Attorney: Kara Semmler)

On April 20, 2009, the Commission received a filing for approval of an Interconnection Agreement between Midstate Communications, Inc. and Native American Telecom, LLC. Any party wishing to comment on the Agreement may do so by filing written comments with the Commission and the parties to the Agreement no later than May 11, 2009. Parties to the Agreement may file written responses to the comments no later than twenty days after service of the initial comments.

TODAY, shall the Commission Approve the Interconnection Agreement?

Announcements

1.     The next regularly scheduled Commission meeting will be held June 9, 2009, at 9:30 a.m. in Room 413, State Capitol Building, Pierre, SD.

2.     Commission meetings are scheduled for June 23 and July 14, 2009.

3.     The Commission is hosting the "Crisis or Renaissance, The State of America's Energy" conference at the Sioux Falls Convention Center May 11 – 13, 2009.

4.     Commissioners and Staff will be meeting with Otter Tail Power and Montana Dakota Utilities at 2:00 p.m. on May 14, 2009, Room 413, State Capitol Building, Pierre, SD, to discuss the utilities' RECB cost allocation concerns.

5.     The Commission offices will be closed Monday, May 25, 2009, in observance of Memorial Day.

6.     Commissioners and Staff will be attending the Mid-America Regulatory Conference in Grand Traverse, MI, June 14 – 17, 2009.

7.     The Commission offices will be closed Friday, July 3, 2009, in observance of Independence Day.

8.     A hearing in docket TC08-122 will be held July 15 - 16, 2009, Room 413, State Capitol Building, Pierre, SD. The hearing will begin at 9:00 a.m. on July 15.

9.     Commissioners and Staff will be attending the National Association of Regulatory Commission meeting in Seattle, WA, July 19 – 22, 2009.

10.     A hearing in docket TC08-127 will be held July 29-30, 2009, Room 413, State Capitol Building, Pierre, SD. The hearing will begin at 9:00 a.m.

    /S/ Heather K. Forney                 .
Heather K. Forney
Deputy Executive Director
heather.forney@state.sd.us
April 30, 2009