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South Dakota Public Utilities Commission Meeting
April 19, 2011
, at 9:30 A.M. CDT
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. CDT on Monday April 18, 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.

 NOTE:  To listen to the Commission Meeting live please go to the PUC's Web site www.puc.sd.gov and click on the LIVE link on the home page. The Commission requests 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, Click on "Commission Meeting Archives," to access the recordings.

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 22, 2011 and the Ad Hoc Commission Meeting Held on March 30, 2011. (Staff: Seanna Regynski)

Consumer Reports

1.     Status Report on Consumer Utility Inquiries and Complaints Received by the Commission.  (Consumer Affairs:  Deb Gregg)

Electric

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, and January 27, 2011, the Commission received a request from Otter Tail for authority to use current rate design when implementing an interim rate increase on February 17, 2011, pursuant to SDCL Section 49-34A-17 and implementing the interim rate increase at a level lower than the rate increase identified in Otter Tail's initial application. On February 9, 2011, the Commission issued its Order Granting Request for Authority granting such requests related to interim rates. On February 24, 2011, Commission Staff and Otter Tail filed a Joint Motion for Approval of the Settlement Stipulation that resolved all issues except whether any or all of the Luverne wind farm and its related costs are appropriate for rate recovery. This Settlement Stipulation was approved by the Commission on March 14, 2011. The parties have advised that they expect to file a Joint Motion for Approval of the Second Settlement Stipulation, the Second Settlement Stipulation and associated tariff sheets, customer notice and rate schedule brochures on or before April 15, 2011. 

     TODAY, Shall the Commission grant the Joint Motion for Approval of the Second Settlement Stipulation resolving all remaining issues and approve the rates, tariff sheets, terms and conditions stipulated therein? AND Shall the Commission approve the updated customer rate schedule brochures? OR how shall the Commission proceed?

Rulemaking

1.     RM05-002     In the Matter of Revisions and/or Additions to the Commission's Switched Access Rules Codified in ARSD 20:10:27 through 20:10:29. (Staff Analyst: Bobbi Bourk, Staff Attorney: Karen Cremer)

On November 24, 2010, the Commission began the formal rulemaking proceeding regarding revisions to switched access rules for competitive local exchange carriers. The hearing on the proposed rules was held on January 20, 2011. Comments were subsequently filed by the South Dakota Telecommunications Association; Qwest Corporation and Qwest Communications, LLC; Midcontinent Communications; Northern Valley Communications LLC; MCI Communications Services, Inc. dba Verizon Business Services and MCImetro Access Transmission Services LLC dba Verizon Access Transmission Services; AT&T Communications of the Midwest, Inc.; Sprint Communications Company, L.P., Sprint Spectrum, L.P. dba Sprint PCS, Nextel West Corp. d/b/a Nextel, and NPCR, Inc. dba Nextel Partners; Midstate Telecom and RC Communications, Inc., d/b/a RC Services; and SSTELECOM Inc.  At its March 18, 2011, meeting, the Commission adopted revised rules regarding switched access rates for competitive local exchange carriers. On March 29, 2011, the Legislative Rules Review Committee considered the rules. The Legislative Rules Review Committee voted to revert back to the comment period to allow additional comments on the rules as adopted by the Commission. The Commission set an additional period for comments with comments due on or before April 13, 2011.

     TODAY, shall the Commission adopt revised switched access rules? Or, how shall the Commission proceed? 

Telecommunications

1.     TC09-098     In the Matter of the Complaint filed by South Dakota Network, LLC against Sprint Communications Company L.P. Regarding Failure to Pay Intrastate Centralized Equal Access Charges and to Immediately Pay Undisputed Portions of SDN's Invoices (Staff Analyst: Bobbi Bourk, Staff Attorney: Karen Cremer)  

On October 29, 2009, SDN submitted this complaint against Sprint for 1) failing to pay intrastate centralized equal access charges at the rates approved by the SDPUC, 2) failing to immediately pay undisputed portions of SDN's invoices as required by SDN's Tariff, and 3) payment by Sprint of SDN's costs of action, reasonable attorneys fees incurred by SDN, and for twice the amount of damages sustained by SDN, if SDN is required to recover its damages by suit or on appeal. On January 18, 2011, Sprint filed a Motion Requesting a Protective Order Requiring the Parties to Comply with a Confidentiality Agreement. On April 11, 2011, Sprint filed a First Amendment to the Confidential Agreement. 

     TODAY, shall the Commission approve the First Amendment to the Confidential Agreement?

2.     TC11-009     In the Matter of the Filing by Bandwidth.com CLEC, LLC for Approval of its Initial Access Services Tariff and Waivers and Exemptions (Staff Analyst: Chris Daugaard, Staff Attorney: Kara Semmler)

On March 18, 2011, the Commission received a petition by Bandwidth.com CLEC, LLC (Bandwidth) for approval of its Initial Access Services Tariff. Bandwidth also petitioned for an exemption from ARSD 20:10:27:11 and ARSD 20:10:27:02 and a waiver or suspension of ARSD 20:10:27:12, 20:10:27:13, and 20:10:27:07 in order for Bandwidth to mirror its tariffed interstate switched access rates. 

     TODAY, shall the Commission approve the Access Services Tariff?  AND shall the Commission grant exemptions and waivers as requested?

3.     TC11-010     In the Matter of the Filing by Aventure Communication Technology, LLC dba Aventure Communications for Approval of its Switched Access Services Tariff No. 3 (Staff Analyst: Chris Daugaard, Staff Attorney: Kara Semmler) 

On March 18, 2011, Aventure Communication Technology, LLC dba Aventure Communications (Aventure) filed for approval of its Switched Access Services Tariff No.3. This tariff cancels and replaces in its entirety South Dakota Tariff No. 2. The Company is filing this replacement tariff to provide for greater consistency in the terms and conditions associated with its provision of interstate and intrastate access service. The terms and conditions set forth in the tariff mirror in nearly all respects (with the exception of references specific to the interstate vs. intrastate jurisdictions) the Company's Tariff FCC No. 3, which became effective on December 30, 2010.  On March 31, 2011, Qwest Communications Company filed a Motion to Intervene and a Request to Open an Investigation and Suspend Tariff during the Investigation.  On April 4, 2011, Aventure filed in opposion to Qwest's Motion to Open an Investigation and Suspend the Tariff. On April 7, 2011, Midcontinent Communications filed a Petition to Intervene. Sprint filed a Petition for Intervention and a Request for Investigation and Certificate of Service on April 7, 2011.  On April 8, 2011, AT&T and Verizon filed a Petition for Intervention and a Request for Investigation and Certificate of Service.  

     TODAY, Shall the Commission grant intervention to all parties?  Shall the Commission suspend implementation of the filed tariff for 120 days?

4.     TC11-011     In the Matter of the Filing for Approval of a Resale Agreement between Qwest Corporation and DIECA Communications, Inc. dba Covad Communications Company (Staff Attorney: Kara Semmler)

On March 29, 2011, the Commission received a request to approve the resale agreement between Qwest Corporation and DIECA Communications, Inc. dba Covad Communications Company. The parties have amended the agreement by adding terms, conditions, and rates for resale and have agreed to implement the conditions of this amendment upon approval from the Commission.  Any party wishing to comment may do so by filing written comments with the Commission and the Parties to the Agreement no later than April 18, 2011.  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 agreement?

5.     TC11-012     In the Matter of the Filing for Approval of an Amendment to the Interconnection Agreement between Qwest Corporation and Integra Telecom of South Dakota, Inc. (Staff Attorney: Kara Semmler)

On March 29, 2011, the Commission received a request to approve an amendment to the Interconnection Agreement between Qwest Corporation and Integra Telecom of South Dakota, Inc. Any party wishing to comment may do so by filing written comments with the Commission and the Parties to the Agreement no later than April 18, 2011. Parties to the Agreement may file written responses to the comments no later than twenty days after the service of the initial comments.

     TODAY, shall the Commission approve the amendment to the Interconnection Agreement?

6.     TC11-013     In the Matter of the Filing for Approval of the Wireline Interconnection Agreement between Qwest Corporation and South Dakota Network, LLC (Staff Attorney: Kara Semmler) 

On March 29, 2011, the Commission received a request to approve the Wireline Interconnection Agreement between Qwest Corporation and South Dakota Network, LLC. Any party wishing to comment may do so by filing written comments with the Commission and the parties to the Agreement no later than April 18, 2011. Parties to the Agreement may file written responses to the comments no later than twenty days after the service of the initial comments.

     TODAY, shall the Commission approve the Interconnection Agreement?

Items for Commission Discussion

Announcements

1.     The Public Utilities Commission offices will be closed Friday, April 22, 2011, in observance of Good Friday.

2.     The next regularly scheduled commission meeting will be held Tuesday, May 3, 2011, at 9:30 a.m., CDT, in Room 413 at the State Capitol Building, Pierre, S.D.

3.     A hearing in docket TC10-090 will be held May 11-12, 2011, beginning at 9:00 a.m. CDT each day, in Room 413 at the State Capitol Building, Pierre, S.D.

4.     Commission meetings are scheduled for May 17 and 31, 2011.

5.     The Public Utilities Commission offices will be closed Monday, May 30, 2011, in observance of Memorial Day.

6.     Commissioners and staff will attend the annual meeting of the Mid-America Regulatory Conference, June 5-8, 2011, at the Ramkota Hotel and Conference Center, Rapid City, S.D.

 

/S/ Cindy Kemnitz
Cindy Kemnitz
Finance Manager
puc@state.sd.us
April 12, 2011