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South Dakota Public Utilities Commission Meeting
March 15, 2016, at 1:00 P.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, March 14, 2016. 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

Consumer Reports

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

Complaint

1.     CE15-001     In the Matter of the Complaint filed by Valley Queen Cheese Factory, Inc., Milbank, South Dakota, against Otter Tail Power Company Regarding an Electric Service Dispute (Staff Analysts: Darren Kearney, Eric Paulson; Staff Attorney: Kristen Edwards)

On May 20, 2015, Valley Queen Cheese Factory, Inc. (Valley Queen) filed a complaint against Otter Tail Power Company (Otter Tail) requesting the Commission find that Otter Tail breached its contract with Valley Queen, failed to fulfill its tariff and regulatory duties and legal obligations to Valley Queen, failed to allow Valley Queen to select rate options resulting in a Customer’s Baseline Load of approximately 2,450 kW, that Valley Queen was damaged thereby in the sum of at least $1,400,000, and that the Commission direct Otter Tail to pay Valley Queen all damages arising from the alleged breaches. On July 7, 2015, Otter Tail filed its answer. On February 22, 2016, Otter Tail and Valley Queen filed a Stipulation as to Joint Filing and Request for Stay.

TODAY, shall the Commission grant the Request for Stay?

Electric

1.     EL16-002     In the Matter of the Filing by Otter Tail Power Company for Approval of Petition of Tariff Revisions to its Rates for Small Power Production and Cogeneration (Staff Analyst: Lorena Reichert; Staff Attorney: Adam de Hueck)

On January 15, 2016, the Commission received a Petition of Otter Tail Power Company (OTP). This filing proposes updates to OTP’s Small Power Producer Riders, Sections 12.01, 12.02 and 12.03 in OTP’s tariff book. In the listed sections, OTP proposes to update the energy and capacity payments as well as the renewable energy credit values. These payments are made to qualifying facilities within the OTP service area.

TODAY, shall the Commission approve the proposed revisions to OTP’s rates for Small Power Production and Cogeneration for Qualifying Facilities?

Pipeline Safety

1.     PS15-001     In the Matter of the Filing by Commission Pipeline Safety Staff for Approval of a Penalty for a Pipeline Safety Violation by Humboldt Municipal Gas Utilities (Pipeline Safety Inspectors: Mary Zanter, Boice Hillmer; Staff Attorney: Kristen Edwards)

On August 13, 2015, Staff filed a Complaint alleging violations discovered during a March 2015 inspection of Humboldt Municipal Gas Utilities (Humboldt). In the Complaint, Staff sought penalties for the violations. The deadline to answer the Complaint was September 2, 2015. Humboldt did not file an answer to the Complaint. This matter came before the Commission on September 15, 2015. The Commission deferred the docket at that time as no members of the Humboldt Gas Board were available to answer questions. This docket was discussed at the Ad Hoc Commission meeting on September 24, 2015. On October 5, 2015, Humboldt filed a letter in the docket detailing their plan for compliance. On October 13, 2015, this docket was discussed at the regular Commission meeting. At that time, the Commission posed several questions to Humboldt and requested this matter be placed on the next agenda to give Humboldt time to gather more information. On October 20, 2015, Staff filed a Stipulation and Agreement (Stipulation) setting forth specific conditions. The Commission issued an Order Approving Stipulation on November 2, 2015. Since that time, Humboldt has made regular informational filings pursuant to the terms of the Stipulation.

TODAY, shall the Commission require additional information?

Telecommunications

1.     TC16-002     In the Matter of the Petition of Long Lines Wireless, LLC to Relinquish its Designation as an Eligible Telecommunications Carrier (Staff Analyst: Lorena Reichert; Staff Attorney: Adam de Hueck)

On February 10, 2016, Long Lines Wireless, LLC (Long Lines) filed a petition to relinquish its designation as an Eligible Telecommunications Carrier (ETC) for all areas within its designated ETC area in South Dakota, pursuant to ARSD 20:10:32:48. Long Lines Wireless LLC sold its wireless operations in December of 2013.

TODAY, shall the Commission grant the request for relinquishment?

Hydrocarbon Pipeline

1.      HP14-002        In the Matter of the Application of Dakota Access, LLC for an Energy Facility Permit to Construct the Dakota Access Pipeline (Staff Analyst: Darren Kearney; Staff Attorneys: Kristen Edwards, Karen Cremer)

On December 14, 2015, the Commission granted Dakota Access, LLC (Company or Dakota Access) permit (Permit) pursuant to SDCL 49-41B-4 to construct the South Dakota portion of the proposed Dakota Access Pipeline (Pipeline). The Permit was granted upon numerous conditions. Specifically, condition 6 requires Dakota Access to provide a public liaison officer approved by the Commission, and condition 31 requires that Dakota Access contract with an independent third party compliance monitor approved by the Commission. On January 27, 2016, Dakota Access filed a Motion for Approval of Public Liaison Officer requesting the Commission approve Susan Bergman as the public liaison officer. On February 12, 2016, Dakota Access filed a Motion to Withdraw that motion. On February 18, 2016, Dakota Access filed a Motion for Approval of Public Liaison Officer, requesting Eric Munz be approved as the public liaison officer. On February 18, 2016, Dakota Access filed a Motion for Approval of Third Party Compliance Monitor, requesting Ryan Coleman be approved as the third party compliance monitor.

TODAY, shall the Commission grant Dakota Access’ Motion for Approval of Public Liaison Officer filed on February 18, 2016? AND, shall the Commission grant Dakota Access’ Motion to Withdraw its previous motion filed on January 27, 2016? AND, shall the Commission grant Dakota Access’ Motion for Approval of Third Party Compliance Monitor? OR, how shall the Commission proceed?  

Items for Commission Discussion

Announcements

  1. PUC commissioners and staff will meet with consumers at the Black Hills Home Builders Association Home Show, March 11-13, 2016, at the Rushmore Plaza Civic Center, Rapid City, S.D.

  2. A public hearing in Docket RM16-001 - In the Matter of the Adoption of Rules Regarding Stray Electrical Current and Voltage Remediation will be held Monday, March 28, 2016, at 1:30 p.m. CDT in Room 413 of the State Capitol Building, Pierre, S.D.

  3. The next regularly scheduled commission meeting will be Wednesday, March 30, 2016, at 9:30 a.m. CDT in Room 413 at the State Capitol, Pierre, S.D.

  4. Commissioners and staff will meet with representatives of Otter Tail Power Co. on Thursday, March 31, 2016, at 10:00 a.m. CDT in Room 413 at the State Capitol, Pierre, S.D. The agenda is to discuss the company’s integrated resource plan assumptions.

  5. Commission meetings are scheduled for April 11 and 27, 2016.

 

/s/Cindy Kemnitz     
Cindy Kemnitz
Finance Manager
PUC Email
March 8, 2016