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South Dakota Public Utilities Commission Meeting
February 1, 2011, at 2:30 P.M. CST
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. CST on Monday, January 31, 2011. 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. 

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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.



1.     EL10-011     In the Matter of the Application by Otter Tail Power Company for Authority to Increase Rates for Electric Service in South Dakota. (Staff Analysts: Jon Thurber, Bob Knadle, Dave Jacobson, Brittany Mehlhaff, Staff Attorneys: Kara Semmler, Ryan Soye)

         On August 20, 2010, the Commission received an application by Otter Tail Power Company (Otter Tail) for approval to increase rates for electric service in its South Dakota service territory. Otter Tail states that it proposes to increase rates by $2,755,954 annually or 9.96% based on Otter Tail's 2009 test year. Otter Tail states a typical residential customer will see an increase of $9.68 per month under the rate design proposed by the Company. The proposed rate may potentially affect approximately 11,700 customers in Otter Tail's service territory. At its regularly scheduled meeting of September 14, 2010, the Commission assessed a filing fee as requested by the Commission Staff up to the statutory limit of $125,000. Further an intervention deadline of October 8, 2010, was established. Pursuant to SDCL 49-34A-14, the Commission suspended the operation of the schedule of rates proposed by Otter Tail for 180 days beyond August 20, 2010. No interveners filed in this matter. On January 19, 2011, the Commission received a request from Otter Tail for authority to use current rate design when implementing an "Interim" rate increase pursuant to SDCL Section 49-34A-17.  Additionally, on January 27, 2011, Otter Tail filed an amended request regarding interim rates to include authority to implement the interim rate increase at a level lower than the rate increase proposed in the initial application. If approved, the interim rates will begin on February 17, 2011, and will remain in effect until the Commission makes a final determination in this matter.

         TODAY, shall the Commission grant the request for authority to use current rate design when implementing an interim rate increase? AND shall the Commission grant the request to implement an interim rate increase at a level lower than the rate increase identified in Otter Tail's initial application?  AND shall the Commission require Otter Tail to keep an accurate account in detail of all amounts received by reason of the increase,  specifying by whom and in whose behalf the amounts are paid? OR how shall the Commission proceed?

 /S/ Cindy Kemnitz
Cindy Kemnitz
Finance Manager
PUC Email
January 28, 2011