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South Dakota Public Utilities Commission
Tuesday, May 12, 1998; 10:00 A.M.
State Capitol Building, Room 412

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. on Monday, May 11, 1998.

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 THE COMMISSION MEETING

Administration

1. Approval Of The Minutes Of The Commission Meeting Held On April 12, 1998. (Staff: Shirleen Fugitt.)

Consumer Affairs

1. Status Report On Consumer Utility Inquiries And Complaints Recently Received By The Commission. (Consumer Representative: Leni Healy.)

The Commission has received 735 consumer contacts during 1998. 120 contacts have been received since the April 22, 1998, Commission meeting.

TELECOMMUNICATIONS: 116 of the contacts involved telecommunication issues. 62 contacts involved the unauthorized switching of long distance service; 17 contacts involved the unauthorized billing for services; 12 contacts involved assessment of the wrong rate; 5 contacts concerned sex line calls; 5 contacts involved billing; 3 contacts reported poor service; 2 contacts concerned disconnections; 2 contacts disputed line charges; 2 contacts involved local slamming; 2 contacts did not get service transferred when requested; 2 contacts did not get service when promised; and 2 contacts reported that service was not switched when promised.

ELECTRICITY: 4 contacts involving electricity were reported. 2 contacts were concerned with disconnections, 1 contact involved a misread meter; and 1 contact involved service.

NATURAL GAS: No natural gas contacts were reported.

A total of 432 complaints have been resolved informally during 1998.

Electric

1. EL97-023 IN THE MATTER OF THE COMPLAINT FILED BY ANGELIA QUALLS, SIOUX FALLS, SD AGAINST NORTHERN STATES POWER COMPANY REGARDING PREVIOUS BALANCES. (Consumer Representative: Leni Healy. Staff Attorney: Camron Hoseck.)

On December 10, 1997, Angelia Qualls, Sioux Falls, SD filed a complaint with the Commission regarding previous balances. The Complainant alleges that electric balances were assigned to her which are actually the responsibility of Dwayne Brittingham. Dwayne has apparently agreed to rectify the situation. The complainant would like electricity restored while the complaint is being processed. A hearing in this matter was held on March 30, 1998, in Sioux Falls, South Dakota.

TODAY, what is the Commission's decision?

Natural Gas

1. NG97-015 IN THE MATTER OF THE APPLICATION OF ASSOCIATED MILK PRODUCERS, INC. PIPELINE, INC, FOR APPROVAL OF CHANGE IN AN INTRASTATE NATURAL GAS TRANSPORTATION RATE. (Staff Analyst: Dave Jacobson. Staff Engineer: Martin Bettmann. Staff Attorney: Karen Cremer.)

On September 5, 1997, the Commission received an application from Associated Milk Producers, Inc. Pipeline, Inc. (Applicant). Applicant is requesting a revision to its natural gas transportation rate and tariff so it may serve both AMPI and the new municipal gas utility to be owned and operated by the City of Freeman, South Dakota. AMPIP is proposing an effective date for its requested rates no later than 30 days from the date of filing, or October 5, 1997, in time for the 1997-1998 heating season. A hearing in this matter was held on March 30, 1998, in Sioux Falls, South Dakota.

TODAY, what is the Commission's decision?

Telecommunications

1. TC95-120 IN THE MATTER OF THE PETITION OF DAVID GLADER FOR EXTENDED AREA SERVICE BETWEEN COLTON, SOUTH DAKOTA, AND SIOUX FALLS, SOUTH DAKOTA. (Staff Analyst: Harlan Best. Staff Attorney: Karen Cremer.)

On November 7, 1995, the Commission received a petition filed by David Glader, Susan Olson, and Jody Bentz for Extended Area Service between Colton, South Dakota, and Sioux Falls, South Dakota. Colton is served by Sioux Valley Telephone Company and Sioux Falls is served by U S WEST Communications, Inc. A Petition to Intervene was timely filed by the South Dakota Independent Telephone Coalition, Inc. (SDITC) on November 27, 1995. A regularly scheduled meeting of December 12, 1995, the Commission granted intervention to SDITC. A regularly scheduled meeting of February 21, 1996, the Commission ordered an expedited procedural schedule in this matter. On March 4, 1996, the Commission issued its order establishing a procedural schedule wherein all briefs were due on or before April 12, 1996. On March 22, 1996, both U S WEST and Sioux Valley Telephone Company submitted comments on the petition. In its comments, Sioux Valley Telephone Company has offered to allow the customers within the Colton exchange to determine, through balloting, whether one-way EAS should be provided. A regularly scheduled Meeting of April 2, 1996, the Commission decided to defer action in this matter until a determination of whether U S WEST should be allowed to increase its switched access rates based on its old cost study. A regularly scheduled meeting of June 12, 1996, the Commission reconsidered this matter in light of U S WEST's filing of a new cost study (TC96-107) which purported to support higher switched access rates. The Commission deferred action in this matter pending the disposition of Docket No. TC96-107. By Order dated January 31, 1997, the Commission disapproved U S WEST's proposed switched access rate increase and closed Docket No. TC96-107. The Commission's decision in TC96-107 was subsequently appealed and remanded and the Commission issued its final decision and order in this matter on December 3, 1997. Informational letters and ballots were mailed to all subscribers on March 16, 1998, and April 17, 1998, was established as the cutoff date for the ballots to be returned.

TODAY, how shall the Commission proceed?

2. TC95-122 IN THE MATTER OF THE REQUEST FOR ONE-WAY EXTENDED AREA SERVICE FROM DELL RAPIDS, SOUTH DAKOTA, TO SIOUX FALLS, SOUTH DAKOTA. (Staff Analyst: Harlan Best. Staff Attorney: Karen Cremer.)

A regularly scheduled meeting of November 2, 1995, the Commission voted to open a docket to address the petition filed for one-way Extended Area Service from Dell Rapids, South Dakota, to Sioux Falls, South Dakota. Dell Rapids is served by Sioux Valley Telephone Company and Sioux Falls is served by U S WEST Communications. A Petition to Intervene was timely filed by the South Dakota Independent Telephone Coalition, Inc. (SDITC) on November 27, 1995. A regularly scheduled meeting of December 12, 1995, the Commission granted intervention to SDITC. A regularly scheduled meeting of February 21, 1996, the Commission ordered an expedited procedural schedule in this matter. On March 4, 1996, the Commission issued its order establishing a procedural schedule wherein all briefs were due on or before April 12, 1996. On March 22, 1996, both U S WEST and Sioux Valley Telephone Company submitted comments on the petition. In its comments, Sioux Valley Telephone Company has offered to allow the customers within the Dell Rapids exchange to determine, through balloting, whether one-way EAS should be provided. A regularly scheduled Meeting of April 2, 1996, the Commission decided to defer action in this matter until a determination of whether U S WEST should be allowed to increase its switched access rates based on its old cost study. A regularly scheduled meeting of June 12, 1996, the Commission reconsidered this matter in light of U S WEST's filing of a new cost study (TC96-107) which purported to support higher switched access rates. The Commission deferred action in this matter pending the disposition of Docket No. TC96-107. By Order dated January 31, 1997, the Commission disapproved U S WEST's proposed switched access rate increase and closed Docket No. TC96-107. The Commission's decision in TC96-107 was subsequently appealed and remanded and the Commission issued its final decision and order in this matter on December 3, 1997. Informational letters and ballots were mailed to all subscribers on March 16, 1998, and April 17, 1998, was established as the cutoff date for the ballots to be returned.

TODAY, how shall the Commission proceed?

3. TC96-190 IN THE MATTER OF THE JOINT FILING BY PAM OIL, INC. AND U S WEST COMMUNICATIONS, INC. FOR APPROVAL OF THEIR AGREEMENT FOR SERVICE RESALE. (Staff Analyst: Harlan Best. Staff Attorney: Karen Cremer.)

On MARCH 23, 1998, Pam Oil, Inc. and U S WEST filed their first amendment to the agreement for service resale. Comments were due by April 14, 1998.

TODAY, shall the Commission approve the amended agreement?

4. TC97-190 IN THE MATTER OF THE APPLICATION OF SPRINT PAYPHONE SERVICES, INC. FOR A CERTIFICATE OF AUTHORITY TO PROVIDE TELECOMMUNICATIONS SERVICES IN SOUTH DAKOTA. (Staff Analyst: Tammi Stangohr. Staff Attorney: Karen Cremer.)

On December 3, 1997, the Commission received an application from Sprint Payphone Services, Inc. (SPSI) for a Certificate of Authority to operate as a telecommunications company within the state of South Dakota. "SPSI intends to provide local payphone services through the use of Protel, Northern Telecom or other manufacturer's terminal or deskset instruments....[The filed] tariff sets forth the terms, conditions and rates for the provision of local calls, local Directory Assistance, and sent-paid intraLATA long distance calls. Other services, such as interLATA long distance, which may be accessed from SPSI payphones will be provided by other entities with whom SPSI has contractual arrangements."

TODAY, shall the Commission grant a Certificate of Authority to Sprint Payphone Services, Inc.?

5. TC97-197 IN THE MATTER OF THE APPLICATION OF ASC TELECOM, INC. FOR A CERTIFICATE OF AUTHORITY TO PROVIDE TELECOMMUNICATIONS SERVICES IN SOUTH DAKOTA. (Staff Analyst: Tammi Stangohr. Staff Attorney: Camron Hoseck.)

On December 19, 1997, the Commission received an application from ASC Telecom, Inc. for a Certificate of Authority to operate as a telecommunications company within the state of South Dakota. "ASC intends to provide as its initial services "operator services" and "prepaid card" services....ASC also hereby certifies that it is complying with all requirements established under the Telephone Operator Consumer Services Improvement Act of 1990."

TODAY, shall the Commission grant a Certificate of Authority to ASC Telecom, Inc.?

6. TC98-007 IN THE MATTER OF THE COMPLAINT FILED BY WILLOW LAKE ELEVATOR, WILLOW LAKE, SOUTH DAKOTA, AGAINST U S WEST COMMUNICATIONS, INC. REGARDING UPDATING LINES. (Consumer Representative: Leni Healy. Staff Attorney: Karen Cremer.)

TC98-008 IN THE MATTER OF THE COMPLAINT FILED BY GALEN WALDNER, CARPENTER, SOUTH DAKOTA AGAINST U S WEST COMMUNICATIONS,

INC. REGARDING UPDATING LINES. (Consumer Representative: Leni Healy. Staff Attorney: Karen Cremer.)

TC98-009 IN THE MATTER OF THE COMPLAINT FILED BY DICK GLANZER, CARPENTER, SOUTH DAKOTA, AGAINST U S WEST COMMUNICATIONS, INC. REGARDING UPDATING LINES. (Consumer Representative: Leni Healy. Staff Attorney: Karen Cremer.)

TC98-010 IN THE MATTER OF THE COMPLAINT FILED BY REGAN GLANZER, CARPENTER, SOUTH DAKOTA, AGAINST U S WEST COMMUNICATIONS, INC. REGARDING UPDATING LINES. (Consumer Representative: Leni Healy. Staff Attorney: Karen Cremer.)

TC98-011 IN THE MATTER OF THE COMPLAINT FILED BY MIKE MADSEN, CARPENTER, SOUTH DAKOTA, AGAINST U S WEST COMMUNICATIONS, INC. REGARDING UPDATING LINES. (Consumer Representative: Leni Healy. Staff Attorney: Karen Cremer.)

TC98-012 IN THE MATTER OF THE COMPLAINT FILED BY CLAUDE GLANZER, CARPENTER, SOUTH DAKOTA, AGAINST U S WEST COMMUNICATIONS, INC. REGARDING UPDATING LINES. (Consumer Representative: Leni Healy. Staff Attorney: Karen Cremer.)

TC98-016 IN THE MATTER OF THE COMPLAINT FILED BY KEITH GLANZER, CARPENTER, SOUTH DAKOTA, AGAINST U S WEST COMMUNICATIONS, INC. REGARDING UPDATING LINES. (Consumer Representative: Leni Healy. Staff Attorney: Karen Cremer.)

On January 26, 1998, all of the above dockets were opened against U S WEST Communications regarding updating lines. The Complainants have collectively complained of poor connections, noisy lines, double talk, static, lack of Internet connectivity, no caller ID, unable to add a second line, loss of phone service during electricity outage resulting in no emergency access (911), and fax machines are slow or inoperable. The Complainants are requesting updated telephone lines in the Carpenter area. A hearing was held on April 2, 1998, in Huron, South Dakota.

TODAY, what is the Commission's decision?

7. TC98-055 IN THE MATTER OF THE APPLICATION OF WESTERN TELECOMMUNICATIONS, INC./RETAIL SALES GROUP D/B/A PEOPLE LINK BY TCI FOR A CERTIFICATE OF AUTHORITY TO PROVIDE TELECOMMUNICATIONS SERVICES IN SOUTH DAKOTA. (Staff Analyst: Tammi Stangohr. Staff Attorney: Camron Hoseck.)

On February 20, 1998, Western Telecommunications, Inc./Retail Sales Group filed for a Certificate of Authority to operate as a telecommunications company within the state of South Dakota. "Applicant seeks to provide intrastate toll service from points of origin in South Dakota to destination points in South Dakota, other parts of the United States, and foreign countries. Applicant intends to offer these services under a variety of means, initially by means of prepaid debit calling cards. Applicant intends to provide services as a non-facilities based carrier, and will not construct any new facilities in South Dakota to implement the authority sought herein. Applicant does not intend to provide local exchange service. Applicant's Prepaid Calling Card will be offered at a fixed dollar amount."

TODAY, shall the Commission grant a Certificate Of Authority to Western Telecommunications?

8. TC98-063 IN THE MATTER OF THE APPLICATION OF NORTHERN VALLEY COMMUNICATIONS, L.L.C. FOR A CERTIFICATE OF AUTHORITY TO PROVIDE TELECOMMUNICATIONS SERVICES, INCLUDING LOCAL EXCHANGE SERVICES, IN SOUTH DAKOTA. (Staff Analyst: Tammi Stangohr. Staff Attorney: Karen Cremer.)

On March 18, 1998, Northern Valley Communications, L.L.C. filed for a Certificate of Authority to operate as a telecommunications company within the state of South Dakota. Applicant seeks to provide "telecommunications services including local exchange services, intraLATA services and interLATA services through a combination of reseller and facilities-based provisioning. NVC will enter into agreements with local exchange companies for the resale of telecommunications services."

TODAY, shall the Commission grant a Certificate Of Authority to Northern Valley Communications, LLC?

9. TC98-065 IN THE MATTER OF THE APPLICATION OF TELECOM RESOURCES, INC. FOR A CERTIFICATE OF AUTHORITY TO PROVIDE TELECOMMUNICATIONS SERVICES IN SOUTH DAKOTA. (Staff Analyst: Tammi Stangohr. Staff Attorney: Karen Cremer.)

On March 30, 1998, Telecom Resources, Inc. filed for a Certificate of Authority to operate as a telecommunications company within the state of South Dakota. Applicant is a reseller which intends to offer 1+ direct dialing, 800 toll free, and travel card service through the resale of telephone services provided by facilities-based interexchange carriers.

TODAY, shall the Commission grant a Certificate Of Authority to Telecom Resources, Inc.?

10. TC98-068 IN THE MATTER OF THE REVOCATION OF THE CERTIFICATE OF AUTHORITY OF UTILITY ANALYSTS, INC. D/B/A BASIC LONG DISTANCE. (Consumer Representative: Leni Healy. Staff Attorney: Camron Hoseck.)

Utility Analysts, Inc, d/b/a Basic Long Distance, received a Certificate of Authority as a telecommunications provider in South Dakota on September 18, 1996. At the December 18, 1997, Commission meeting, staff reported a concern over the increasing number of consumer complaints dealing with the company, Utility Analysts, doing business as Basic Long Distance. A March 10, 1998, regular Commission meeting, the Commission voted to issue an Order to Show Cause. A hearing in this matter was held on April 16, 1998.

TODAY, what is the Commission's decision?

11. TC98-069 IN THE MATTER OF THE APPLICATION OF PARK 'N VIEW, INC. FOR A CERTIFICATE OF AUTHORITY TO PROVIDE TELECOMMUNICATIONS SERVICES IN SOUTH DAKOTA. (Staff Analyst: Tammi Stangohr. Staff Attorney: Camron Hoseck.)

On April 15, 1998, Park 'N View, Inc. filed for a Certificate of Authority to operate as a telecommunications company within the state of South Dakota. Applicant is a reseller which intends to offer 1+ and 101XXXX outbound dialing, 800/888 (toll free) and travel card service through the resale of telephone services provided by facilities-based interexchange carriers.

TODAY, shall the Commission grant a Certificate Of Authority to Park 'N View, Inc.?

12. TC98-071 IN THE MATTER OF THE COMPLAINT FILED BY ELIZABETH M. LIPP, ABERDEEN, SOUTH DAKOTA, AGAINST UTILITY ANALYSTS, INC. D/B/A BASIC LONG DISTANCE REGARDING SLAMMING. (Consumer Representative: Leni Healy. Staff Attorney: Camron Hoseck.)

On April 15, 1998, the Commission received a complaint from Elizabeth M. Lipp, Aberdeen, South Dakota, against Utility Analysts, Inc. d/b/a Basic Long Distance. The complaint states: "On my January 10, 1998, U S WEST telephone bill I discovered long distance charges from an unauthorized carrier. This ongoing situation has caused me to have to make several telephone calls. After lengthy discussions with U S Billing, Inc., they agreed to provide some retractions, o date none have appeared on my bills....The "fact" is I resent being SLAMMED into the position of having to deal with them." I ask that the Commission grant the following relief. "Prohibit any Utility Analysts, Inc., including aliases, from doing business in the state of South Dakota. Prohibit their agent, U S Billing, Inc., from doing business in the state of South Dakota until they can demonstrate they can and will actually protect consumer information. Require Utility Analysts, Inc. to reverse all charges they have had processed for all consumers in the state of South Dakota. Require Utility Analysts, Inc. and their agents to immediately pay me $5,000.00 for putting me and my friend in the emotionally distressing position of being belittled, lied to, lied about, and taunted. Additionally, I request you require Utility Analysts, Inc. and their agents to pay me $1,000.00 for copies, postage, long-distance charges, 900 number assistance, time, mileage, privacy loss, etc."

TODAY, does the Commission find probable cause of an unlawful or unreasonable act, rate, practice or omission to go forward with this complaint and serve it upon Respondent?

13. TC98-074 IN THE MATTER OF THE FILING BY U S WEST COMMUNICATIONS, INC. FOR APPROVAL OF REVISIONS TO ITS ACCESS SERVICE TARIFF. (Staff Analyst: Tammi Stangohr. Staff Attorney: Karen Cremer.)

On February 6, 1998, the Commission received a filing from U S WEST Communications, Inc. for approval of rev

isions to its access service tariff. The application by U S WEST Communications asks to apply cancellation charges when a customer cancels an order for installation prior to that service being ready for the customer's use. U S WEST filed to revise pages in its Access Service Tariff and its Private Line Services Catalog.

TODAY, shall the Commission approve the tariff revisions?

14. TC98-080 IN THE MATTER OF THE COMPLAINT FILED BY DON HERTZ, CUSTER, SOUTH DAKOTA, AGAINST AT&T COMMUNICATIONS OF THE MIDWEST, INC. REGARDING LONG DISTANCE TELEPHONE RATES. (Consumer Representative: Leni Healy. Staff Attorney: Karen Cremer.)

On April 23, 1998, the Commission received a complaint from Don Hertz, Custer, South Dakota, against AT&T of the Midwest, Inc. regarding long distance telephone rates. To get Mr. Hertz back as a long distance customer AT&T promised a per minute rate of 10 cents and a $50.00 check. The January bill from AT&T was not at the promised 10 cents per minute. AT&T informed Mr. Hertz to contact the "Resolution Office". Mr. Hertz has never heard from it. The February billing from AT&T was still not at the promised 10 cent per minute rate. Mr. Hertz is now with another carrier. Mr. Hertz requests that the Commission "require AT&T to charge me the 10 cents a minute that they told me I would be paying if I switched back to AT&T...."

TODAY, does the Commission find probable cause of an unlawful or unreasonable act, rate, practice or omission to go forward with this complaint and serve it upon Respondent?

News
  1. Ethan Meaney joins the Commission for a summer legal internship. Ethan graduated from Northern State University and is originally from Martin, South Dakota. Ethan just completed his second year of law school at the University of South Dakota. He will be working on all areas of regulation this summer at the Commission.
  2. Chairman Burg was appointed to the NARUC Electricity Committee. As a member on the Electricity Committee, Chairman Burg will work with other state commissioners in developing national policy positions and strategies on issues affecting the electric utility industry, including issues relative to restructuring, mergers and market power, and the federal nuclear waste disposal program.
Announcements
  1. Rolayne Wiest and Tammi Stangohr will be attending a training session in Albuquerque, NM, May 10-15, 1998.
  2. Commissioner Burg will be attending a GRI meeting in Washington, DC, May 13-14, 1998.
  3. The next regularly scheduled Commission meeting will be held Thursday, May 28, 1998, at 10:00 a.m. in Room 412 of the State Capitol Building.

______________________
Sue Cichos
Business Manager
May 5, 1998