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South Dakota Public Utilities Commission Meeting
February 26, 2013, at 2:30 P.M. CST
Room 414, 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, February 25, 2013. 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 website 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 website 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 February 12, 2013 (Staff: Joy Irving)

Consumer Reports

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

Electric

1.     EL12-061     In the Matter of the Application of Black Hills Power, Inc. for Authority to Increase its Electric Rates (Staff Analysts: Jon Thurber, Brittany Mehlhaff, Patrick Steffensen, Staff Attorneys: Karen Cremer, Kristen Edwards)

On December 17, 2012, the Commission received an application by Black Hills Power, Inc. (BHP) for approval to increase rates for electric service to customers in its South Dakota service territory by approximately $13.7 million annually or approximately 9.94% based on BHP's test year ending June 30, 2012. The Company states a typical residential electric customer using 650 kWh per month would see an increase of $7.11 per month. The proposed changes may potentially affect approximately 65,000 customers in BHP's South Dakota service territory. On January 13, 2013, GCC Dacotah, Inc., Pete Lien & Sons, Inc., Rushmore Forest Products, Inc., Spearfish Forest Products, Inc., and Rapid City Regional Hospital (Black Hills Industrial Intervenors) filed a Petition to Intervene. At its regularly scheduled meeting held on January 30, 2013, the Commission granted intervention to Black Hills Industrial Intervenors. On January 28, 2013, Regency Midwest Ventures Limited Partnerships and Deadwood Resort LLC filed a Petition to Intervene. On January 29, 2013, Wal-Mart Stores, Inc. and Sam's West Inc. filed a Petition to Intervene. At its regularly scheduled meeting held on February 12, 2013, the Commission granted intervention to Wal-Mart Stores, Inc. and Sam’s West Inc.

     TODAY, shall the Commission grant intervention to any parties that may have filed?

2.     EL12-064     In the Matter of the Filing by Otter Tail Power Company for Approval of Tariff Revisions to its Rates for Small Power Production and Cogeneration (Staff Analyst: Matthew Tysdal, Staff Attorney: Kristen Edwards)

On December 31, 2012, the Commission received a filing from Otter Tail Power Company (Otter Tail), requesting approval of updates to its Small Power Producer Riders, Sections 12.01, 12.02, and 12.03 of its Tariff Book. The listed sections set forth rates under which Otter Tail is obligated to purchase energy and capacity from qualifying facilities. This request proposes to update the energy and capacity payments.

     TODAY, shall the Commission approve the tariff revisions?

3.     EL13-002     In the Matter of the Filing by Otter Tail Power Company for Approval of Tariff Revisions (Staff Analyst: Matthew Tysdal, Staff Attorney: Kristen Edwards)

On January 17, 2013, Otter Tail Power Company (Otter Tail) submitted for Commission approval a revised Section 16.00, Sheet No. 2 of its Tariff Book. The municipal service agreement, currently listed as a contract with deviations, between Otter Tail and the Town of LaBolt expired on February 7, 2013. The new agreement for municipal services brings rates within Otter Tail’s current tariff on file with the Commission.

     TODAY, shall the Commission approve the tariff revisions?

4.     EL13-003     In the Matter of the Filing by Otter Tail Power Company for Approval of Tariff Revisions (Staff Analyst: Matthew Tysdal, Staff Attorney: Kristen Edwards)

On January 18, 2013, Otter Tail Power Company (Otter Tail) submitted for Commission approval a revised Section 16.00, Sheet No. 1 of its Tariff Book. The municipal service agreement, currently listed as a contract with deviations, between Otter Tail and the City of DeSmet expired on February 1, 2013. The new agreement for municipal services brings rates within Otter Tail’s current tariff on file with the Commission.

     TODAY, shall the Commission approve the tariff revisions?

Natural Gas

1.     NG12-008     In the Matter of the Application of Montana-Dakota Utilities Co. for Authority to Increase its Natural Gas Rates (Staff Analysts: Jon Thurber, Brittany Mehlhaff, Patrick Steffensen, Staff Attorney: Kristen Edwards)

On December 21, 2012, the Commission received an application by Montana-Dakota Utilities Co. (MDU) for approval to increase rates for natural gas service to customers in its South Dakota service territory, consisting of the Black Hills and East River service areas, by approximately $1.5 million based on MDU’s test year ending June 30, 2012. MDU is also proposing to consolidate the Black Hills and East River areas into one rate jurisdiction. The Company states a typical residential customer in the Black Hills area using 75 dk on an annual basis will see an average increase of approximately $3.00 per month while a typical residential customer in the East River area using 61 dk on an annual basis will see an average decrease of approximately $1.10 per month. The proposed changes may potentially affect approximately 47,600 customers in MDU’s Black Hills service area and approximately 7,200 customers in MDU’s East River service area. On February 19, 2013, Federal Executive Agencies (FEA) filed a Petition to Intervene.

     TODAY, shall the Commission grant intervention to any parties that may have filed?

Telecommunications

1.     TC12-111     In the Matter of the Filing by Neutral Tandem-South Dakota, LLC for Approval of Revisions to its Tariff No. 1 (Staff Analyst: David Jacobson, Staff Attorney: Karen Cremer)

On July 9, 2012, Neutral Tandem-South Dakota, LLC (Neutral Tandem) requested approval of revisions to its South Dakota Tariff No. 1. This filing is made pursuant to the Federal Communications Commission Report and Order in WC Docket No. 10-90, etc., FCC No. 11-161 (released November 18, 2011). This filing revises the Company’s switched access rates. The Company respectfully requests an effective date for this filing of July 10, 2012. On February 11, 2013, Neutral Tandem filed its responses to staff’s data request. It also filed an Application for Waiver of Certain Requirements of ARSD 20:10:29:10; 20:10:29:12 and 20:10:29:16.

     TODAY, shall the Commission approve the proposed tariff revisions and grant the waivers?

2.     TC12-114     In the Matter of the Filing by Broadvox-CLEC, LLC for Approval of its Tariff No. 1 (Staff Analyst: David Jacobson, Staff Attorney: Karen Cremer)

On July 11, 2012, the Commission received a filing from Broadvox-CLEC, LLC (Broadvox) requesting approval of its South Dakota Access Services Tariff No. 1. This tariff contains the descriptions, regulations, and rates applicable to the furnishing of intrastate switched access services offered by Broadvox. Broadvox respectfully requests an effective date for this filing of August 10, 2012. On February 20, 2013, the Commission received a response to staff’s data request. It also filed an Application for Waiver of Certain Requirements of ARSD 20:10:29:10; 20:10:29:12 and 20:10:29:16.

     TODAY, shall the Commission approve the proposed tariff revisions and grant the waivers?

3.     TC12-192     In the Matter of the Petition of Total Call Mobile, Inc. for Designation as an Eligible Telecommunications Carrier (Staff Analyst: David Jacobson, Staff Attorney: Kristen Edwards)

On December 14, 2012, the Commission received a Petition of Total Call Mobile, Inc. (Total Call) requesting Limited Designation as an Eligible Telecommunications Carrier (ETC) pursuant to Section 214(e)(2) of the Communications Act of 1934, as amended, Sections 54.101 through 54.207 of Federal Communications Commission (FCC) Rules, and provisions of South Dakota Public Utilities Commission rules and regulations. The petition states that Total Call seeks ETC designation solely to provide Lifeline service to qualifying South Dakota consumers; it will not seek access to funds from the federal Universal Service Fund for the purposes of participating in the Link-Up program or providing service to high cost areas. Total Call seeks ETC designation throughout all of South Dakota

     TODAY, shall the Commission grant intervention to any parties that may have filed?

4.     TC13-010     In the Matter of the Approval of an Intercarrier Compensation Bill and Keep Amendment to an Interconnection Agreement between Cellco Partnership dba Verizon Wireless; Cellular Inc. Network Corporation dba Verizon Wireless; Cellular, Inc. Financial Corporation dba Verizon Wireless; Midwest Wireless Communications, LLC dba Verizon Wireless; Rural Cellular Corporation dba Verizon Wireless; Verizon Wireless (VAW) LLC dba Verizon Wireless; WWC Holding Co., Inc. dba Verizon Wireless and Fort Randall Telephone Company (Staff Attorney: Patrick Steffensen; Staff Attorney: Karen Cremer)

On January 29, 2013, the Commission received a filing pursuant to 47 U.S.C. §251/252 for approval of an amendment to a Reciprocal Transport and Termination Agreement between Cellco Partnership dba Verizon Wireless; Cellular Inc. Network Corporation dba Verizon Wireless; Cellular, Inc. Financial Corporation dba Verizon Wireless; Midwest Wireless Communications, LLC dba Verizon Wireless; Rural Cellular Corporation dba Verizon Wireless; Verizon Wireless (VAW) LLC dba Verizon Wireless; WWC Holding Co., Inc. dba Verizon Wireless (Verizon Wireless) and Fort Randall Telephone Company.

     TODAY, shall the Commission approve the amendment to the interconnection agreement?

5.     TC13-017     In the Matter of the Approval of an ICC VoIP Amendment to an Interconnection Agreement between Qwest Corporation dba CenturyLink QC and Neutral Tandem, Inc. (Staff Attorney: Karen Cremer)

On February 5, 2013, the Commission received a filing pursuant to 47 U.S.C. § 252 for approval of an amendment to an ICC VoIP Interconnection Agreement between Qwest Corporation dba CenturyLink QC and Neutral Tandem, Inc.

     TODAY, shall the Commission approve the amendment to the interconnection agreement?

Items for Commission Discussion

Announcements

1.     Commissioners will attend the South Dakota State Federation of Labor Legislative Conference on Thursday, February 21, 2013, at 1 p.m. CST at the ClubHouse Hotel & Suites, Pierre, S.D.

2.     Commissioners and staff will meet with representatives of South Dakota Rural Electric Cooperatives on Tuesday, February 26, 2013, at 1 p.m. CST at the Capitol Lake Visitors Center in Pierre, S.D. The agenda is to discuss an industry update.

3.     A hearing in Docket TC12-040 will be held beginning at 9:00 a.m. CST on Wednesday, February 27, 2013, in Room 132 at the State Capitol Building, Pierre, S.D.

4.     Commissioners and staff will meet with consumers at the Sioux Empire Home Show, March 8-10, 2013, at the Sioux Falls Convention Center, Sioux Falls, S.D.

5.     A hearing in Dockets TC13-011 through TC13-016 will be held beginning at 1:00 p.m. CDT on Tuesday, March 12, 2013, in Room 413 at the State Capitol Building, Pierre, S.D.

6.     The next regularly scheduled commission meeting will be Tuesday, March 12, 2013, at 1:30 p.m. CDT in Room 413 at the State Capitol Building, Pierre, S.D. 7. Commission meetings are scheduled for March 26 and April 9, 2013.

/S/Cindy Kemnitz
Cindy Kemnitz
Finance Manager
puc@state.sd.us
February 20, 2013