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South Dakota Public Utilities Commission Meeting
December 23, 2014, at 9:30 A.M. CST
Room 413, Capitol Building
Pierre, South Dakota
MINUTES OF THE COMMISSION MEETING
Vice Chairman Chris Nelson called the meeting to order. Present were: Commission Counsel: John Smith and Rolayne Wiest; Commission Advisor: Greg Rislov; Staff Attorneys: Karen Cremer and Kristen Edwards; Staff Analysts: Brittany Mehlhaff, Darren Kearney, Brian Rounds, David Henry, and Joseph Rezac; Consumer Affairs Supervisor: Deb Gregg; and Staff: Katlyn Gustafson.
Also present were:
Brett Koenecke, May, Adam, Gerdes and Thompson, LLP, representing Dakota Access, LLC and Montana-Dakota Utilities Co.; Kara Semmler, May, Adam, Gerdes and Thompson, LLP, representing Dakota Access, LLC; Margo Northrup, Riter, Rogers, Wattier & Northrup, LLP, representing Venture Communications Cooperative, Inc.; and Randy Houdek, Venture Communications Cooperative, Inc.
Joining the meeting by telephone were:
Chairman Gary Hanson; Commissioner Kristie Fiegen; Ron Gogolin, NorthWestern Corporation dba NorthWestern Energy; Lance Steinhart, attorney at law, representing New Horizons Communications Corp.; Tamie Aberle, Larry Oswald, and Kathy Baerlocher, Montana-Dakota Utilities Co; Dennis Kruse, Kingsbury Electric Cooperative, Inc.; Scott Fritz, Matt Olsen, and Scott Wiese, Otter Tail Power Company; and John Gors, Clay-Union Electric Cooperative.
Consumer Reports
1. Status Report on Consumer Utility Inquiries and Complaints Received by the Commission (Consumer Affairs: Deb Gregg)
The Commission received a total of 60 contacts since the last report was prepared for the December 9, 2014 Commission meeting.
15 of the contacts involved telecommunication services, 23 of the contacts involved electrical services, 5 of the contacts involved natural gas service, 1 contact involved cell phone service, 11 contacts were related to the Do Not Call Registry, and 5 contacts were related to issues not regulated by the PUC.
1,815 of the 1,845 complaints received in 2014 have been resolved.
Electric
Commissioner Fiegen requested that the Commission defer the above dockets until January 6, 2015, Commission meeting for further reviewing.
Hydrocarbon Pipeline
Ms. Kristen Edwards, staff attorney, recommended that the Commission assess Dakota Access, LLC (Dakota Access) a filing fee not to exceed $610,000 with an initial deposit of $8,000 and authorize the Executive Director to enter into necessary consulting contracts. Mr. Brett Koenecke, May, Adam, Gerdes and Thompson, LLP, representing Dakota Access stated Dakota Access had no objection.
Commissioner Hanson moved to assess a filing fee not to exceed $610,000 with an initial deposit of $8,000 and authorize the Executive Director to enter into necessary consulting contracts. Motion carried 3-0.
Natural Gas
Mr. Darren Kearney, staff analyst, recommended that the Commission grant approval of Montana Dakota Utilities (MDU) proposed portfolio of Natural Gas Conservation Programs to be effective for calendar years 2015-2017. Mr. Kearney further recommended setting a performance incentive cap based on MDU's tax adjusted rate of return multiplied by 100% of the approved budget. After a thorough discussion of the matter by Commissioners, MDU, and Staff, the Commission voted unanimously to approve MDU's proposed 2015-2017 Natural Gas Conservation Portfolio Plan for calendar years 2015-2017 except for the Energy Audit Program, which the Commission voted to remove from the plan due to the unavailability of the plan in MDU's western region and the resulting discriminatory subsidy effect this would result in for customers in the western region.
Commissioner Fiegen moved to approve MDU's proposed portfolio of Natural Gas Conservation Programs for calendar years 2015-2017 as outlined by staff's recommendations.
Commissioner Nelson moved to amend the motion to remove the home Energy Audit Program from the Natural Gas Conservation Portfolio for 2015-2017. Motion carried 3-0.
Commissioner Fiegen's original motion to approve MDU's proposed portfolio of Natural Gas Conservation Programs for calendar years 2015-17 as outlined by staff's recommendations, as amended by Commissioner Nelson's motion to amend, was taken up for action. Motion carried 3-0.
Telecommunications
Mr. Lance Steinhart, representing New Horizons Communications Corp., (New Horizon) asked that the Commission approve New Horizons' request for an amended certificate of authority. Mr. Joseph Rezac, staff analyst, recommended that the Commission grant New Horizons an amended certificate of authority subject to a continuous $25,000 bond.
Commissioner Hanson moved to approve the request for an Amended Certificate of Authority with staff's recommendations. Motion carried 3-0.
Ms. Margo Northrup, Riter, Rogers, Wattier & Northrup, LLP, representing Venture Communications Cooperative, Inc. (Venture), asked that the Commission approve Venture's request for an amended certificate of authority to permit it to offer local exchanges service in the Cresbard, Faulkton, and Orient telephone exchanges. Ms. Northrup also asked that the Commission grant approval of a waiver of the requirements under A.R.S.D. 20:10:32:03. Mr. Joseph Rezac, staff analyst, recommended that the Commission grant approval of Venture's requests pending completion of the merger.
Commissioner Nelson moved to approve the request for an Amended Certificate of Authority. Motion carried 3-0.
There being no further business, at the hour of 10:06 a.m. the South Dakota Public Utilities Commission meeting adjourned.
/s/Joy Lashley .
Joy Lashley
Administrative Assistant
PUC Email
December 23, 2014
