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South Dakota Public Utilities Commission Meeting


Tuesday, June 8, 2004 at 9:30 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 June 7, 2004.

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 Meetings Held on May 11 and May 24, 2004. (Staff: Tina Douglas.)

Consumer Issues

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

2. In the Matter of Dismissing Dockets CT03-006 and CT03-007

CT03-006 In the Matter of the Complaint filed by Joan and Frank Urbanski on behalf of Anytime Tan, North Sioux City, South Dakota, against McLeodUSA n/k/a PrairieWave Communications, Inc. Regarding a Contract Dispute. (Staff Analyst: Jim Mehlhaff, Staff Attorney: Karen Cremer)

Complainant received a termination charge of $1070.87 from McLeodUSA for changing carriers. Complainants' representatives allege they were not informed by McLeodUSA that the telephone contract was for 60 months and request to be released from the contract without penalty.

CT03-007 In the Matter of the Complaint filed by Chris Wolf on behalf of Brown Construction, North Sioux City, South Dakota, against McLeodUSA Telecommunications Services, Inc. Regarding a Contract Dispute. (Staff Analyst: Jim Mehlhaff, Staff Attorney: Karen Cremer)

After signing a 60 month contract with McLeodUSA (now known as PrairieWave), complainant changed its local and long distance phone service to another carrier. As a result, the complainant was assessed an early termination penalty of $4,826.13. Complainant's representative alleges that the 60 month service contract was represented by the respondent as a rate term agreement and therefore seeks to have the early termination penalty and any associated collection charges waived.

TODAY, if the above matters are resolved shall the Commission dismiss the complaints and close the dockets?

Electricity

1. EL04-009 In the Matter of the Application of East River Electric Power Cooperative, Inc. for a Transmission Upgrade to the Sioux Falls Area 115 kV Transmission Project. (Staff Analyst: Michele Farris, Staff Attorney: Karen Cremer)

On February 27, 2004, East River Electric Power Cooperative filed for approval an application for its proposed Sioux Falls Area 115 kilovolt Transmission Upgrade Project. The proposed project would convert approximately 36 miles of an existing East River 69 kilovolt transmission line and 7 existing East River 69 kilovolt distribution substations to 115 kilovolts. The project is needed for East River to be able to continue to adequately and reliably serve the growing electrical needs of its member distribution systems in the Sioux Falls area. Xcel Energy filed a Motion to Intervene on March 19, 2004. The Commission issued a Notice of Application; Order for and Notice of Public Input Hearing; and Notice of Opportunity to Apply for Party Status on March 25, 2004. A public hearing on East River's application will be held on Monday, April 12, 2004, at 8:00 p.m. CDT in the Meeting Room of the Ronning Branch Library, 3100 E. 49th Street, Sioux Falls, SD. The Commission granted intervention to Xcel Energy a April 6, 2004 meeting.

TODAY, shall the Commission approve the stipulation among the parties? AND, shall the Commission approve East River Electric Power Cooperative's application for a transmission upgrade?

2. EL04-014 In the Matter of the Filing by Otter Tail Power Company for Approval of Tariff Revisions. (Staff Analyst: Dave Jacobson, Staff Attorney: Karen Cremer)

Application by Otter Tail Power Company (Otter Tail) for approval to revise its tariffed Summary List of Contracts with Deviations. The existing contract with the City of Lake Norden will expire on June 1, 2004. Otter Tail states the new agreement does not contain any deviations from Otter Tail's currently filed tariff and therefore requests that reference to a contract with the City of Lake Norden be removed from the Summary List of Contracts with Deviations.

TODAY, shall the Commission approve Otter Tail Power Company's tariff revisions?


3. EL04-016 In the Matter of the Filing by Superior Renewable Energy LLC et al. against Montana-Dakota Utilities Co. Regarding the Java Wind Project. (Staff Analysts: Michele Farris and Keith Senger, Staff Attorney: Karen Cremer)

On May 12, 2004, Superior Renewable Energy LLC and its wholly owned subsidiary, Java LLC, filed a petition requesting the Commission to settle a dispute regarding the long term purchase price of electricity generated from a Qualified Facility pursuant to the Public Utility Regulatory Policy Act of 1978. On May 27, 2004, Montana-Dakota Utilities Co. filed a Petition to Intervene.

TODAY, shall the Commission grant the Petition to Intervene to Montana-Dakota Utilities Co.?

4. EL04-018 In the Matter of the Filing by Basin Electric Power Cooperative, Inc. Regarding its Notification of Intent to Apply for a Permit for an Energy Conversion Facility. (Staff Analyst: Michele Farris, Staff Attorney: Karen Cremer)

The Commission has received a notification of intent to submit an application for a Permit for an Energy Conversion Facility from Basin Electric Power Cooperative. The Notice of Intent describes the proposed facility, the projected costs, a list of the chairpersons in the affected area, and the timeline of the project.

TODAY, shall the Commission designate a local review committee in accordance with SDCL 49-41B-6? AND, what area shall be designated as the affected area pursuant to SDCL 49-41B-6?

Natural Gas

1. NG04-001 In the Matter of the Application of MidAmerican Energy Company for Authority to Increase Rates for Natural Gas Service. (Staff Analyst: Dave Jacobson, Staff Attorney: Karen Cremer)

Application by MidAmerican Energy Company for approval to increase rates for natural gas service in its service territory by $1,559,963 or approximately 1.5% of pro forma test year revenue. MidAmerican states the proposed increase for an average residential customer would be approximately $2.50 per month. The proposed rates may potentially affect approximately 73,100 customers in MidAmerican Energy Company's service territory in southeastern South Dakota. A April 26, 2004, Ad Hoc meeting, the Commission suspended the imposition of the tariff for 90 days beyond May 2, 2004 and assessed a filing fee for actual expenses not to exceed $100,000. Staff submitted a proposed contract for consulting services to the Commission. The Commission approved the proposed consulting contract a May 11, 2004 meeting. On May 14, 2004, Northern Natural Gas Company (Northern Natural) filed for intervention. The Commission granted intervention to Northern Natural a May 23, 2004 meeting. On May 21, 2004, NorthWestern Services Corporation filed a Petition to Intervene Out of Time.

TODAY, shall the Commission grant late filed intervention to NorthWestern Services Corporation? AND, shall the Commission set a procedural schedule?

Telecommunications

1. TC04-029 In the Matter of the Application of Southwestern Bell Communications Services Inc. d/b/a SBC Long Distance for a Certificate of Authority to Provide Local Exchange Services in South Dakota. (Staff Analyst: Michele Farris, Staff Attorney: Karen Cremer)

On February 18, 2004, Southwestern Bell Communications Services Inc. d/b/a SBC Long Distance filed an application for a Certificate of Authority to provide Telecommunications Services in South Dakota. Southwestern Bell Communications Services intends to provide resold and facilities-based local exchange and exchange access services throughout the area in the State of South Dakota currently served by Qwest Corporation. The applicant's services, include, but are not limited to basic local exchange service, custom calling features, CLASS services and data services. The applicant also proposes to provide exchange access services to interconnecting carriers.

TODAY, shall the Commission grant a Certificate of Authority to Southwestern Bell Communications Services Inc. d/b/a SBC Long Distance?

2. TC04-040 In the Matter of the Joint Application of Sioux Valley Telephone Company and Hills Telephone Company, Inc. Regarding the Sale by Sioux Valley Telephone Company of its Valley Springs, East Valley Springs and North Larchwood Exchanges to Hills Telephone Company, Inc. (Staff Analyst: Harlan Best, Staff Attorney: Karen Cremer)

On March 2, 2004, Hills Telephone Company, Inc. (Hills) and Sioux Valley Telephone Company (Sioux Valley) filed a joint application for the sale of the local telephone exchange facilities serving the Valley Springs, East Valley Springs, and North Larchwood local exchanges from Sioux Valley to Hills.

TODAY, shall the Commission approve the Joint Application Regarding the Sale by Sioux Valley Telephone Company of its Valley Springs, East Valley Springs and North Larchwood Exchanges to Hills Telephone Company, Inc?

3. TC04-058 In the Matter of the Filing for Approval of Statement of Generally Available Terms and Conditions for Interconnection, Unbundled Network Elements, Ancillary Services and Resale of Telecommunications Services between Qwest Corporation and ACN Communication Services, Inc. (Fourth Revision). (Staff Attorney: Rolayne Ailts Wiest)

On March 17, 2004, the Commission received a Filing for Approval of Statement of Generally Available Terms and Conditions for Interconnection, Unbundled Network Elements, Ancillary Services and Resale of Telecommunications Services between Qwest Corporation (Qwest) and ACN Communication Services, Inc. (Fourth Revision) (ACN). According to the parties, the Agreement is a negotiated agreement which sets forth the terms, conditions and prices under which Qwest will provide services for resale to ACN for the provision of local exchange services.

TODAY, shall the Commission approve the proposed agreement?

4. TC04-061 In the Matter of the Petition of West River Cooperative Telephone Company for Suspension or Modification of 47 U.S.C. Section 251(b)(2) of the Communications Act of 1934 as Amended. (Staff Analyst: Harlan Best, Staff Attorney: Rolayne Ailts Wiest)

On March 17, 2004, West River Cooperative Telephone Company (West River) filed a petition seeking suspension or modification of its requirement to implement local number portability (LNP) pursuant to Section 251(b)(2) of the Telecommunications Act of 1996. According to West River, it has received requests to deploy LNP from Verizon Wireless. West River states that it is a small telephone company that serves less than two percent of the nation's subscriber lines installed in the aggregate nationwide, therefore under Section 251(f)(2) West River may petition the Commission for suspension or modification of its obligation to implement LNP within six months of a request to deploy LNP. West River "requests the Commission to (1) issue an interim order that suspends any obligation that may exist for West River to provide LNP until six months after entry of a final order herein; (2) issue a final order that grants a permanent suspension for West River's obligation to implement LNP until conditions are met as described herein; and (3) grant West River such other and further relief that may be proper." On May 25, 2004, Midcontinent Communications filed a Motion to Withdraw its intervention in this docket.

TODAY, shall the Commission grant Midcontinent Communications' Motion to Withdraw?

5. TC04-081 In the Matter of the Application of Midcontinent Communications for Approval to Expand its Certificate of Authority to Provide Local Exchange Service in the Waubay Exchange of the Service Territory of Interstate Telecommunications Cooperative, Inc. (Staff Analyst: Harlan Best, Staff Attorney: Karen Cremer)

On April 20, 2004, Midcontinent Communications filed an application to amend its certificate of authority to provide local exchange service and long distance services in the Waubay exchange of Interstate Telecommunications Cooperative, Inc. (ITC), a rural telecommunications carrier. In the Waubay exchange Midcontinent Communications will use a combination of ITC resold services and the hybrid fiber coax of its cable plant to provide primary transport for residential telephone service. Midcontinent Communications will also provide intrastate and interstate interexchange services for commercial and residential customers. Midcontinent Communications has requested interconnection pursuant to 47 U.S.C. Section 251(f)(1)(A) with ITC, requests confidential treatment of its financial information, and requests a waiver from providing service to the entire ITC service area to provide local exchange service in the Waubay exchange of ITC.

TODAY, shall the Commission approve Midcontinent Communications' Application to Expand its Certificate of Authority to Provide Local Exchange Service in the Waubay Exchange?

6. TC04-090 In the Matter of the Application of Sancom, Inc. d/b/a Mitchell Telecom for a Certificate of Authority to Provide Local Exchange Services in the Territory of Qwest Corporation. (Staff Analyst: Harlan Best, Staff Attorney: Karen Cremer)

On May 7, 2004, Sancom, Inc. d/b/a Mitchell Telecom filed an application for a Certificate of Authority to provide local exchange telecommunications services in Qwest Corporation's service territories. Sancom intends to construct and use its own facilities and may collocate or lease additional facilities as necessary to provide services to residential and business customers. On May 19, 2004, Midcontinent Communications filed a Petition for Intervention. Sancom filed an Objection to Intervene on June 1, 2004.

TODAY, shall the Commission grant Midcontinent Communications' Petition for Intervention?

Announcements

1. The next regularly scheduled Commission meeting will be held June 22, 2004, at 9:30 a.m. in Room 412, at Pierre, South Dakota.

2. Commission meetings are scheduled for July 6 and 20, 2004.
3. Commissioners and Staff will be attending the Mid-America Regulatory Conference in Madison, Wisconsin June 13 - 16, 2004.

4. Hearings are scheduled June 21 - 25, 2004 and June 28 - July 2, 2004, in the LNP Dockets.

5. A meeting to discuss cell phone service will be held at 7:00 p.m. in Alcester, South Dakota on July 21, 2004.

6. Hearings in docket TC03-193 are scheduled for July 27 - 29, 2004, in Pierre, South Dakota.

______________________
Heather K. Forney
Deputy Executive Director
heather.forney@state.sd.us
June 2, 2004