South Dakota Public Utilities Commission Meeting
June 23, 2009, at 9:30 A.M. with the continuation of Docket EL08-030 at 1:30 p.m.
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. on June 22, 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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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
Administration
1. Approval of the Minutes of the Commission Meeting Held on April 7, 2009. (Staff: Demaris Axthelm)
Consumer Reports
1. Status Report on Consumer Utility Inquiries and Complaints Received by the Commission. (Consumer Affairs: Deb Gregg)
Consumer Complaints
On June 4, 2009, Brian Hankel filed a complaint against Sprint Communications Company L.P. (Sprint), Zone Telecom, Inc. (Zone) and Express Communications, Inc. (Express). Mr. Hankel alleges his long distance provider was changed by one or all of the listed companies without authorization, resulting in a slam. On June 9, 2009, Sprint filed a Motion to Dismiss Complaint Against Sprint.
TODAY, how shall the Commission proceed regarding the Motion to Dismiss?
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. On June 5, 2009, a Joint Motion for Approval of the Settlement Stipulation was filed. This Docket will be heard at 1:30 p.m. following the recess of the June 23, 2009, Commission Meeting.
TODAY, how shall the Commission proceed regarding the Joint Motion for Approval of the Settlement Stipulation?
On December 23, 2008, Basin Electric Power Cooperative, Inc. filed a Notice of Intent to submit an application for a permit for an energy conversion facility. The proposed facility is a 300-MW combined cycle energy conversion facility and associated linear facilities (i.e., electric transmission lines, water pipeline and gas pipeline) near White, South Dakota referred to as the Deer Creek Station Project. The proposed site is located in NE 1/4, Section 25, Township 111N, Range 48 W, Brookings County, approximately 7 miles to the southeast of White, South Dakota, or 20 miles east of Brookings. The energy conversion facility would be located on a greenfield (i.e., undeveloped) site of approximately 40 acres within a 100-acre plant site. One 345-kilovolt (kV) transmission line segment would be constructed to interconnect the energy conversion facility to the existing 115/345-kV Western White Substation immediately adjacent to the site. The Plant site is proposed to be located approximately 12 miles south of the NBPL, thereby ensuring a reliable fuel source is in the vicinity. The natural gas to be used for the combined cycle electricity generation would be sourced from the NBPL via a pipeline estimated to be 10-inch-diameter. On January 14, 2009, Staff filed its recommendation regarding the designation of the affected area and the local review committee. On January 14, 2009, Basin filed to waive the 30-day requirement of designation of the affected area and the local review committee. On February 5, 2009, the Commission granted Basin's requested waiver. The Commission also determined the affected area for the facility and the local review committee. On June 9, 2009, Basin filed a request that the Commission allow the filing of all data, exhibits, and related testimony in support of its application at a date mutually agreed upon by the PUC staff, Basin, and the Intervenors.
TODAY, shall the Commission Grant Basin's Request?
3. EL09-005 In the Matter of the Filing by Xcel Energy for Approval of its 2008 Economic Development Annual Report and 2009 Economic Development Plan. (Staff Analysts: Tim Binder/Dave Jacobson, Staff Attorney: Karen Cremer)On April 2, 2009, Xcel Energy filed for approval of its 2008 Economic Development Annual Report and 2009 Economic Development Plan. The filing includes Xcel Energy's report on 2008 economic development activities, including the 2008 budget, and actual expenditures for 2008; and planned budget for 2009.
TODAY, shall the Commission Approve the 2008 Economic Development Annual Report and the 2009 Economic Development Plan?
Grain Buyers
1. GD09-001 In the Matter of the Request of Glacial Lakes Corn Processors for Approval of a Waiver of ARSD 20:10:12:15. (Staff Analyst: Jim Mehlhaff, Staff Attorney: Kara Semmler)After completing the financial review of Glacial Lakes Corn Processors (GLCP) it was determined that its financial statements for the year ending August 31, 2008, did not meet the criteria for licensing as a grain buyer under ARSD 20:10:12:15. On February 25, 2009, a letter was sent to GLCP notifying GLCP that additional information showing that it was in compliance with financial requirements would be required before a license could be issued. On March 24, 2009, a response was received explaining why the financial statements were out of compliance along with a request to meet and give it an opportunity to present additional information. On June 3, 2009, a meeting was held between PUC staff and GLCP officers. At this meeting, pursuant to ARSD 20:10:12:17, GLCP officers presented a letter requesting a waiver of the financial criteria set out in ARSD 20:10:12:15.
TODAY, how shall the Commission proceed regarding Glacial Lakes Corn Processors' request?
Telecommunications
1. In the Matter of the Petition for Arbitration Pursuant to the Telecommunications Act of 1996 to Resolve Issues Relating to an Interconnection Agreement in Dockets TC07-112, TC07-113, TC07-114, TC07-115, and TC07-116On October 19, 2007, each of the parties above (Parties) filed a petition for arbitration of certain unresolved terms and conditions of a proposed Interconnection Agreement with Alltel Communications, Inc. (Alltel), pursuant to Section 252 of the Telecommunications Act of 1996, SDCL 49-31-81, and ARSD 20:10:32:29. The Parties filed a list of unresolved issues and requested relief. In accordance with ARSD 20:10:32:30, a non-petitioning party may respond to the petition for arbitration and provide additional information within 25 days after the Commission receives the petition. On December 17, 2007, a Stipulation for Scheduling Order was filed. The Stipulation for Scheduling Order was approved at the January 29, 2008, commission meeting. On June 10, 2008, a Joint Stipulation for Amended Scheduling Order and Decision Date was filed. A hearing in these matters was held July 29 – 31, 2008. The Commission issued their decision at its January 27, 2009, commission meeting. On March 30, 2009, Alltel filed a Brief and Petition for Reconsideration. On April 14, 2009, the Petitioners filed a Letter and Opposition to the Petition for Reconsideration. Alltel's Petition for Reconsideration was denied at the May 19, 2009, commission meeting. On June 9, 2009, Alltel filed a Brief and a Motion to Compel in Dockets TC07-112, TC07-114, TC07-115, and TC07-116. On June 12, 2009, the parties filed a Stipulation for Amended Scheduling Order in Dockets TC07-112, TC07-114, TC07-115, and TC07-116.
TODAY, shall the Commission Approve the Stipulation for Amended Scheduling Order?
On February 20, 2008, Kennebec Telephone Company, Inc. (Kennebec) filed a complaint against Alltel Communications, Inc. (Alltel) for failing to pay charges associated with transiting services. On May 13, 2009, Kennebec filed a Motion for Summary Judgment and Brief, and a Complainant's Statement of Undisputed Material of Facts. On June 1, 2009, Alltel filed a Brief in Opposition to Kennebec's Motion for Summary Judgment and Objection to Claimant's Statement of Alleged Undisputed material facts in Support of Motion for Summary Judgment.
TODAY, how shall the Commission proceed regarding the Motion for Summary Judgment?
3. TC08-122 In the Matter of the Petition of Cheyenne River Sioux Tribe Telephone Authority for Arbitration Pursuant to the Telecommunications Act of 1996 to Resolve Issues Relating to an Interconnection Agreement with Alltel Communications, LLC. (Staff Analysts: Roger Oldenkamp/Jon Thurber, Staff Attorney: Karen Cremer)On October 21, 2008, Cheyenne River Sioux Tribe Telephone Authority (CRST) filed a petition for arbitration of certain unresolved terms and conditions of a proposed Interconnection and Reciprocal Compensation Agreement (Agreement) between CRST and Alltel Communications, LLC (Alltel), pursuant to Section 252 of the Telecommunications Act of 1996, SDCL 49-31-81, and ARSD 20:10:32:29. CRST filed a list of unresolved issues and requested relief. On December 4, 2008, the parties filed a Stipulation to Joint Proposed Procedural Schedule. The Procedural Schedule was approved at the January 27, 2009, commission meeting. On June 9, 2009, Alltel filed a Motion to Strike and Brief. On June 15, 2009 a Joint Stipulation and Proposed Procedural Schedule was filed.
TODAY, shall the Commission Approve the Joint Stipulation and Proposed Procedural Schedule?
4. TC09-009 In the Matter of the Filing by Midstate Telecom, Inc. for an Extension of an Exemption from Developing Company Specific Cost-Based Switched Access Rates. (Staff Analyst: Jon Thurber, Staff Attorney: Karen Cremer)On March 9, 2009, Midstate Telecom, Inc. (Midstate) requested an extension of its exemption from filing a switched access cost study for a period of six months after the effective date of the new rules adopted by the Commission in RM05-002. Midstate further requested approval of its intrastate switched access rate of 11.5 cents per minute. On April 7, 2009, Midcontinent Communications (Midcontinent) filed a Petition for Intervention. On April 14, 2009, a Joint Motion and a Settlement Stipulation was filed. On April 20, 2009, Midstate filed an Objection of Midcontinent's Petition to Intervene. Midcontinent's Intervention was approved and Midstate's Objection of Midcontinent's Petition to Intervene was denied at the April 21, 2009, Commission Meeting. On May 14, 2009, Midstate filed Motion for Temporary Approval of Switched Access Rates. On May 21, 2009, Midcontinent filed a Motion to Disapprove Settlement Stipulation and for an Evidentiary Hearing.
TODAY, shall the Commission Grant the Motion for Temporary Approval of Switched Access Rates?
5. TC09-022 In the Matter of the Filing by RC Communications, Inc. for an Extension of an Exemption from Developing Company Specific Cost-Based Switched Access Rates. (Staff Analyst: Tim Binder, Staff Attorney: Karen Cremer)On May 13, 2009, RC Communications, Inc. (RC) requested an extension of an exemption from developing a company specific cost-based switched access rate for a period of three months after the effective date of the new rules adopted by the Commission in RM05-002. RC Communications, Inc. further requested approval of the current RC switched access rate of $0.115 per minute until such time as the issues on this docket are resolved. On May 18, 2009, Midcontinent Communications (Midcontinent) filed a Petition to Intervene. Midcontinent's Intervention was approved at the June 9, 2009, Commission Meeting. On June 4, 2009, Midcontinent filed a Motion to Deny Petition for Approval of Extension and for Evidentiary Hearing.
TODAY, shall the Commission Grant the Motion for Temporary Approval of Switched Access Rates?
6. TC09-031 In the Matter of the Filing by Northern Valley Communications, L.L.C. for an Extension of an Exemption from Developing Company Specific Cost-Based Switched Access Rates. (Staff Analysts: Tim Binder and Jon Thurber, Staff Attorney: Karen Cremer)Northern Valley Communications, L.L.C. (NVC) is requesting an exemption from filing a switched access cost study for a period of three months after the effective date of the new rules adopted by the Commission in RM05-002. NVC further requests the Commission approve the rate set forth in its current Switched Access Tariff No. 1 for the duration of the extension period. On June 3, 2009, Midcontinent Communications (Midcontinent) filed a Petition to Intervene. On June 4, 2009, Midcontinent filed a Motion to Deny Petition for Extension and for Evidentiary Hearing. On June 4, 2009, NVC filed a Request for Temporary Approval of Switched Access Rates.
TODAY, shall the Commission Grant Intervention to Any Parties that May Have Filed and Grant the Motion for Temporary Approval of Switched Access Rates?
On May 21, 2009, the Commission received a filing for approval of a Type 2 Wireless Interconnection Agreement between Qwest Corporation and Standing Rock Telecommunications, Inc. Any party wishing to comment on the Agreement may do so by filing written comments with the Commission and the parties to the Agreement no later than June 10, 2009. Parties to the Agreement may file written responses to the comments no later than twenty days after service of the initial comments.
TODAY, shall the Commission Approve the Interconnection Agreement?
On May 13, 2009, the Commission received a filing for approval of a Resale Agreement between Qwest Corporation and NSW Telecom, Inc. Any party wishing to comment on the Agreement may do so by filing written comments with the Commission and the parties to the Agreement no later than June 2, 2009. Parties to the Agreement may file written responses to the comments no later than twenty days after service of the initial comments.
TODAY, shall the Commission Disapprove the Agreement and Dismiss the Docket? OR, how shall the Commission Proceed?
Announcements
1. The next regularly scheduled Commission meeting will be held July 14, 2009, at 9:30 a.m. in Room 413, State Capitol Building, Pierre, SD.
2. Commission meetings are scheduled for July 28 and August 11, 2009.
3. The Commission offices will be closed Friday, July 3, 2009, in observance of Independence Day.
4. A hearing in docket TC08-122 will be held July 15 - 16, 2009, Room 413, State Capitol Building, Pierre, SD. The hearing will begin at 9:00 a.m. on July 15.
5. Commissioners and Staff will be attending the National Association of Regulatory Utility Commission meeting in Seattle, WA, July 19 – 22, 2009.
6. A hearing in docket TC08-127 will be held July 29-30, 2009, Room 413, State Capitol Building, Pierre, SD. The hearing will begin at 9:00 a.m.
7. A hearing in dockets TC07-112 through TC07-116 will be held August 4 – 5, 2009, Room 413, State Capitol Building, Pierre, SD. The hearing will begin at 9:00 a.m.
/S/ Heather K. Forney .
Heather K. Forney
Deputy Executive Director
heather.forney@state.sd.us
June 16, 2009