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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 April 20, 2009.  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.  

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ADDENDUM TO THE
AGENDA OF COMMISSION MEETING

Electric

1       EL08-030          In the Matter of the Filing by Otter Tail Corporation d/b/a Otter Tail Power Company for Authority to Increase Electric Rates in South Dakota. (Staff Analysts: Bob Knadle/Dave Jacobson/Terri LaBrie Baker/Jon Thurber/Tim Binder, Staff Attorney: Kara Semmler)

         Application by Otter Tail Power Company (OTP) for approval to increase rates for electric service to customers in its service territory by $3,883,399 annually or approximately 15.3% based on OTP's 2007 test year. The company states the proposed increase for a residential customer would be $10.68 per month or 15.0%. The proposed rates may potentially affect approximately 11,700 customers in OTP's service territory. On April 16, 2009, Otter Tail filed a request to implement interim rates on May 1, 2009, utilizing its existing rate design so as to avoid excessive administrative burden and cost. The use of the existing rate design will also avoid interim rates based on a rate design which would be subject to further change, therefore sending temporary price signals to customers resulting in customer confusion. Otter Tail's request also explains that it has proposed a pro-ration of the increase when rates take effect May 1 that will avoid charging customers for usage taking place before the April 29 end of the suspension period.

         TODAY, shall the Commission Approve Otter Tail's Request for Implementation of Interim Rates Based on its Existing Rate Design and Pro-Ration Method?

   /S/ Heather K. Forney              .
Heather K. Forney
Deputy Executive Director
heather.forney@state.sd.us
April 17, 2009