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South Dakota Public Utilities Commission Meeting
August 11, 2009, at 9:30 A.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 August 10, 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.  

NOTE:  To listen to the Commission Meeting live please go to the PUC's Web site www.puc.sd.gov and click on the LIVE button on the home page. The Commission requests that persons who will only be listening to proceedings and not actively appearing in a case listen via the web cast to free phone lines for those who have to appear.  The Commission meetings are archived on the PUC's Web site under the Commission Actions tab and then click on the LISTEN button on the page.

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 May 19, 2009. (Staff:  Demaris Axthelm)

Consumer Reports

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

Electric

1.      EL07-031        In the Matter of the Filing by Otter Tail Power Company for Approval of its Tariff Revisions and Distributed Generation Interconnection Manual. (Staff Analyst: Nathan Solem, Staff Attorney: Kara Semmler)

         Pursuant to Commission Order in Docket EL06-018, Otter Tail Corporation d/b/a Otter Tail Power Company filed its interconnection procedures for distribution generation facilities for Commission approval. The proposed tariff pages include an application for interconnection, procedures for interconnection, and an interconnection agreement. On July 23, 2009, Otter Tail filed a Request to Withdraw the Filing.

         TODAY, shall the Commission Grant the Request to Withdraw the Filing?

2.      EL07-032        In the Matter of the Filing by NorthWestern Energy for Approval of its Tariff Revisions and Distributed Generation Interconnection Manual. (Staff Analyst: Nathan Solem, Staff Attorney: Kara Semmler)

         Pursuant to Commission Order in Docket EL06-018, NorthWestern Corporation filed revisions to its South Dakota Electric Rate Schedule General Terms and Conditions tariff for Commission Approval. The proposed tariff pages include a distributed generation interconnection manual and guidelines for distributed generation of systems and parallel operation of customer owned generation. On July 23, 2009, NorthWestern filed a Request to Withdraw the Filing.

         TODAY, shall the Commission Grant the Request to Withdraw the Filing?

3.      EL09-009        In the Matter of the Application of Northern States Power Company d/b/a Xcel Energy for Authority to Increase its Electric Rates. (Staff Analysts: Bob Knadle/Dave Jacobson/Terri LaBrie Baker/Jon Thurber/Tim Binder, Staff Attorney: Karen Cremer)

         On June 30, 2009, Northern States Power Company (NSP) filed an application for approval to increase rates for electric service to customers in its service territory by approximately $18.6 million annually or approximately 12.7% based on NSP's 2008 test year. Of this increase in base rates, approximately $2.9 million is currently being collected through NSP's Transmission Cost Recovery Rider and Environmental Cost Recovery Rider, which NSP is proposing to subsequently recover in base rates. Consequently, the annual increase in overall retail rates is approximately $15.7 million or approximately 10.65%. The company states a typical residential electric customer using 750 kWh per month would see a net increase of 12.4 percent, or $8.55 per month. The proposed rates may potentially affect approximately 81,000 customers in NSP's service territory.  At its July 14, 2009, meeting, the Commission suspended the imposition of the tariff for 90 days beyond July 30, 2009, and assessed a filing fee for actual expenses not to exceed $100,000. On July 30, 2009, Chesapeake Regulatory Consultants, Inc. submitted a Report and Consulting Services Proposal.

         TODAY, shall the Commission Authorize the Executive Director to Hire Consultants and Enter into Contracts with the Consultants?

4.      EL09-011        In the Matter of the Filing by Montana-Dakota Utilities Co. for Approval of Tariff Revisions. (Staff Analyst: Dave Jacobson, Staff Attorney: Kara Semmler)

         Application by Montana-Dakota Utilities Co. for approval to revise its Occasional Power Purchase Non-Time Differentiated Rate 95, Short-Term Power Purchase Time Differentiated Rate 96 and Long-Term Power Purchase Time Differentiated Rate 97. The filing is made in compliance with the Commission's Order in F-3365 and in accordance with the Special Terms and Conditions of these tariffs which state that the rate schedules will be reviewed annually and revised when necessary.

         TODAY, shall the Commission Approve the Tariff Revisions?

5.      EL09-013        In the Matter of the Filing by Otter Tail Power Company for Approval of Tariff Revisions. (Staff Analyst: Tim Binder, Staff Attorney: Kara Semmler)

         On July 7, 2009, Otter Tail Power Company ("OTP") filed an application with the Commission for approval of tariff revisions. OTP requests that the contract with Valley Queen Cheese Factory, Inc. be removed from OTP's Summary List of Contracts with Deviations.

         TODAY, shall the Commission Approve the Tariff Revisions?

6.      EL09-014        In the Matter of the Filing by Otter Tail Power Company for Approval of its Updated Customer Rate Schedule Brochures. (Staff Analyst: Jon Thurber, Staff Attorney: Kara Semmler)

         On July 24, 2009, Otter Tail Power Company filed an application for approval of revisions to its South Dakota rate brochures on less than 30 days notice.  Otter Tail is correcting the late payment charge on the Residential Service, Farm Service, and Commercial and General Service rate brochures.  The revisions also remove a typographical error under the Fixed Time of Delivery section on the Commercial and General Service rate brochure.  Otter Tail is currently distributing the revised brochure.

         TODAY, shall the Commission Approve the Updated Customer Rate Schedule Brochures?

7.      EL09-015        In the Matter of the Application by Basin Electric Power Cooperative, Inc. for an Energy Conversion Facility Siting Permit for the Deer Creek Station Project Combined-Cycle Natural Gas Energy Conversion Facility and Associated Infrastructure, Including a Water Supply System and Electric Transmission System. (Staff Analysts: Nathan Solem/Brian Rounds/Stacy Splittstoesser/Tim Binder, Staff Attorney: Karen Cremer)

         On July 28, 2009, Basin Electric Power Cooperative filed an application for an energy conversion facility permit for the Deer Creek Station project located 12 miles northeast of Brookings, South Dakota.  The project consists of a 300 net megawatt combined-cycle natural gas conversion facility and associated 1.25 mile water pipeline and 0.75 mile electric transmission line.  Construction of this $393 million project is anticipated to begin in July 2010 with startup in June 2012.  The project will help serve the increased generation demand for electric power in the eastern portion of Basin Electric's service area.  An associated siting application for a 13.2 mile natural gas pipeline for the project has been filed separately.

         TODAY, shall the Commission Assess a Filing Fee Not to Exceed $396,500 with an Initial Deposit of $8,000?

Hydrocarbon Pipeline

1.      HP09-002        In the Matter of the Application by Basin Electric Power Cooperative, Inc. for an Energy Conversion Facility Siting Permit for a Natural Gas Pipeline to Support the Deer Creek Station Project. (Staff Analysts: Nathan Solem/Brian Rounds/Stacy Splittstoesser/Tim Binder, Staff Attorney: Karen Cremer)

         On July 28, 2009, Basin Electric Power Cooperative, Inc. (Basin) filed a siting permit application for the Deer Creek energy conversion facility (EL09-015) and a natural gas pipeline to support the Deer Creek facility. Basin is proposing to construct, own, and operate a natural gas pipeline to support a proposed 300-megawatt combined-cycle natural gas energy conversion facility called the Deer Creek Station. The proposed 13.2 mile pipeline route will traverse about 18 sections of land located in Brookings and Deuel counties. The proposed pipeline diameter is 10.75 inches with an operating pressure ranging between 475 – 1,435 pounds per square inch gauge (psig). Construction is proposed to begin in July 2010 with start up in June 2012.

         TODAY, shall the Commission Assess a Filing Fee not to Exceed $30,000 with an Initial Deposit of $8,000?

Telecommunications

1.      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. The Commission granted Intervention to Midcontinent and approved the Request for Temporary Switched Access Rates at its June 23, 2009, meeting. On August 4, 2009, AT&T Communications of the Midwest, Inc. filed a Petition for Intervention.

         TODAY, shall the Commission Grant Intervention to AT&T Communications?

2.      TC09-042        In the Matter of the Filing for Approval of an Interconnection Agreement between Qwest Corporation and Greenfly Networks, Inc. dba Clearfly Communications, Inc. (Staff Attorney: Kara Semmler)

         On May 18, 2009, the Commission received a filing for approval of an Interconnection Agreement between Qwest Corporation and Greenfly Networks, Inc. dba Clearfly Communications, Inc. Greenfly Networks, Inc. dba Clearfly Communications, Inc. does not have a Certificate of Authority to provide telecommunication services in South Dakota. 

         TODAY, shall the Commission Disapprove the Interconnection Agreement?

3.      In the Matter of the Request for Certification Regarding the Use of Federal Universal Service Support in Dockets TC09-046, TC09-047, TC09-048, TC09-051, TC09-052, TC09-053, TC09-055, TC09-056, TC09-057, TC09-059, TC09-060, TC09-061, TC09-064, TC09-066, TC09-067, TC09-071, TC09-072, and TC09-073

         TC09-046        In the Matter of the Request of Alliance Communications Cooperative, Inc. for Certification Regarding its Use of Federal Universal Service Support. (Staff Analysts: Terri LaBrie Baker/Jon Thurber, Staff Attorney: Karen Cremer)
           
         On May 27, 2009, Alliance Communications Cooperative, Inc. (Alliance) provided information constituting Alliance's plan for the use of its federal universal service support and to otherwise verify that Alliance will use all federal universal service support received in a manner that is consistent with the federal universal provisions of 47 U.S.C. Section 254.

         TC09-047        In the Matter of the Request of Hills Telephone Company, Inc. for Certification Regarding its Use of Federal Universal Service Support. (Staff Analysts: Terri LaBrie Baker/Jon Thurber, Staff Attorney: Karen Cremer)
           
         On May 27, 2009, Hills Telephone Company, Inc. (Hills) provided information constituting Hills' plan for the use of its federal universal service support and to otherwise verify that Hills will use all federal universal service support received in a manner that is consistent with the federal universal provisions of 47 U.S.C. Section 254.

         TC09-048        In the Matter of the Request of Splitrock Properties, Inc. for Certification Regarding its Use of Federal Universal Service Support. (Staff Analysts: Terri LaBrie Baker/Jon Thurber, Staff Attorney: Karen Cremer)
           
         On May 27, 2009, Splitrock Properties, Inc. (Splitrock) provided information constituting Splitrock's plan for the use of its federal universal service support and to otherwise verify that Splitrock will use all federal universal service support received in a manner that is consistent with the federal universal provisions of 47 U.S.C. Section 254.

         TC09-051        In the Matter of the Request of RC Communications, Inc. d/b/a RC Services for Certification Regarding its Use of Federal Universal Service Support. (Staff Analysts: Terri LaBrie Baker/Jon Thurber, Staff Attorney: Karen Cremer)
            
         On May 29, 2009, RC Communications, Inc. d/b/a RC Services (RC Services) provided information constituting RC Services' plan for the use of its federal universal service support and to otherwise verify that RC Services will use all federal universal service support received in a manner that is consistent with the federal universal provisions of 47 U.S.C. Section 254.

         TC09-052        In the Matter of the Request of Roberts County Telephone Cooperative Association and RC Communications, Inc. for Certification Regarding its Use of Federal Universal Service Support. (Staff Analysts: Terri LaBrie Baker/Jon Thurber, Staff Attorney: Karen Cremer)
           
         On May 29, 2009, Roberts County Telephone Cooperative Association and RC Communications, Inc. (Roberts/RC) provided information constituting Roberts/RC's plan for the use of its federal universal service support and to otherwise verify that Roberts/RC will use all federal universal service support received in a manner that is consistent with the federal universal provisions of 47 U.S.C. Section 254.

         TC09-053        In the Matter of the Request of Cheyenne River Sioux Tribe Telephone Authority for Certification Regarding its Use of Federal Universal Service Support. (Staff Analysts: Terri LaBrie Baker/Jon Thurber, Staff Attorney: Karen Cremer)
           
         On May 29, 2009, Cheyenne River Sioux Tribe Telephone Authority (CRSTTA) provided information constituting CRSTTA's plan for the use of its federal universal service support and to otherwise verify that CRSTTA will use all federal universal service support received in a manner that is consistent with the federal universal provisions of 47 U.S.C. Section 254.

         TC09-055        In the Matter of the Request of Armour Independent Telephone Company for Certification Regarding its Use of Federal Universal Service Support. (Staff Analysts: Terri LaBrie Baker/Jon Thurber, Staff Attorney: Karen Cremer)
           
         On May 29, 2009, Armour Independent Telephone Company (Armour) provided information constituting Armour's plan for the use of its federal universal service support and to otherwise verify that Armour will use all federal universal service support received in a manner that is consistent with the federal universal provisions of 47 U.S.C. Section 254.

         TC09-056        In the Matter of the Request of Bridgewater-Canistota Independent Telephone Company for Certification Regarding its Use of Federal Universal Service Support. (Staff Analysts: Terri LaBrie Baker/Jon Thurber, Staff Attorney: Karen Cremer)

         On May 29, 2009, Bridgewater-Canistota Independent Telephone Company (Bridgewater-Canistota) provided information constituting Bridgewater-Canistota's plan for the use of its federal universal service support and to otherwise verify that Bridgewater-Canistota will use all federal universal service support received in a manner that is consistent with the federal universal provisions of 47 U.S.C. Section 254.

         TC09-057        In the Matter of the Request of Golden West Telecommunications Cooperative, Inc. for Certification Regarding its Use of Federal Universal Service Support. (Staff Analysts: Terri LaBrie Baker/Jon Thurber, Staff Attorney: Karen Cremer)
           
         On May 29, 2009, Golden West Telecommunications Cooperative, Inc. (Golden West) provided information constituting Golden West's plan for the use of its federal universal service support and to otherwise verify that Golden West will use all federal universal service support received in a manner that is consistent with the federal universal provisions of 47 U.S.C. Section 254.

         TC09-059        In the Matter of the Request of Sioux Valley Telephone Company for Certification Regarding its Use of Federal Universal Service Support. (Staff Analysts: Terri LaBrie Baker/Jon Thurber, Staff Attorney: Karen Cremer)

         On May 29, 2009, Sioux Valley Telephone Company (Sioux Valley) provided information constituting Sioux Valley's plan for the use of its federal universal service support and to otherwise verify that Sioux Valley will use all federal universal service support received in a manner that is consistent with the federal universal provisions of 47 U.S.C. Section 254.

         TC09-060        In the Matter of the Request of Union Telephone Company for Certification Regarding its Use of Federal Universal Service Support. (Staff Analysts: Terri LaBrie Baker/Jon Thurber, Staff Attorney: Karen Cremer)

         On May 29, 2009, Union Telephone Company (Union) provided information constituting Union's plan for the use of its federal universal service support and to otherwise verify that Union will use all federal universal service support received in a manner that is consistent with the federal universal provisions of 47 U.S.C. Section 254.

         TC09-061        In the Matter of the Request of Vivian Telephone Company for Certification Regarding its Use of Federal Universal Service Support. (Staff Analysts: Terri LaBrie Baker/Jon Thurber, Staff Attorney: Karen Cremer)

         On May 29, 2009, Vivian Telephone Company (Vivian) provided information constituting Vivian's plan for the use of its federal universal service support and to otherwise verify that Vivian will use all federal universal service support received in a manner that is consistent with the federal universal provisions of 47 U.S.C. Section 254.

         TC09-064        In the Matter of the Request of Farmers Mutual Telephone Company for Certification Regarding its Use of Federal Universal Service Support. (Staff Analysts: Terri LaBrie Baker/Jon Thurber, Staff Attorney: Karen Cremer)
           
         On June 1, 2009, Farmers Mutual Telephone Company (Farmers Mutual) provided information constituting Farmers Mutual's plan for the use of its federal universal service support and to otherwise verify that Farmers Mutual will use all federal universal service support received in a manner that is consistent with the federal universal provisions of 47 U.S.C. Section 254.

         TC09-066        In the Matter of the Request of Red River Rural Telephone Association for Certification Regarding its Use of Federal Universal Service Support. (Staff Analysts: Terri LaBrie Baker/Jon Thurber, Staff Attorney: Karen Cremer)
           
         On June 1, 2009, Red River Rural Telephone Association (Red River) provided information constituting Red River's plan for the use of its federal universal service support and to otherwise verify that Red River will use all federal universal service support received in a manner that is consistent with the federal universal provisions of 47 U.S.C. Section 254.

         TC09-067        In the Matter of the Request of Valley Telephone Company for Certification Regarding its Use of Federal Universal Service Support. (Staff Analysts: Terri LaBrie Baker/Jon Thurber, Staff Attorney: Karen Cremer)
           
         On June 1, 2009, Valley Telephone Company (Valley) provided information constituting Valley's plan for the use of its federal universal service support and to otherwise verify that Valley will use all federal universal service support received in a manner that is consistent with the federal universal provisions of 47 U.S.C. Section 254.   

         TC09-071        In the Matter of the Request of RCC Minnesota, Inc. for Certification Regarding its Use of Federal Universal Service Support. (Staff Analysts: Terri LaBrie Baker/Jon Thurber, Staff Attorney: Karen Cremer)

         On June 1, 2009, RCC Minnesota, Inc. (RCC) provided information constituting RCC's plan for the use of its federal universal service support and to otherwise verify that RCC will use all federal universal service support received in a manner that is consistent with the federal universal provisions of 47 U.S.C. Section 254.

         TC09-072        In the Matter of the Request of the City of Brookings Municipal Telephone for Certification Regarding its Use of Federal Universal Service Support. (Staff Analysts: Terri LaBrie Baker/Jon Thurber, Staff Attorney: Karen Cremer)

On June 1, 2009, the City of Brookings Municipal Telephone (Brookings) provided information constituting Brookings' plan for the use of its federal universal service support and to otherwise verify that Brookings will use all federal universal service support received in a manner that is consistent with the federal universal provisions of 47 U.S.C. Section 254.

         TC09-073        In the Matter of the Request of Brookings Municipal Telephone d/b/a Swiftel Communications for Certification Regarding its Use of Federal Universal Service Support. (Staff Analysts: Terri LaBrie Baker/Jon Thurber, Staff Attorney: Karen Cremer)

         On June 1, 2009, Brookings Municipal Telephone d/b/a Swiftel Communications (Swiftel) provided information constituting Swiftel's plan for the use of its federal universal service support and to otherwise verify that Swiftel will use all federal universal service support received in a manner that is consistent with the federal universal provisions of 47 U.S.C. Section 254.

         TODAY, shall the Commission Provide a Certification to the Federal Communications Commission and to the Universal Service Administration Company Regarding the Plan for the Use of Federal Universal Services Support as Proposed in Each of the Above Dockets?

4.      In the Matter of the Request for Certification Regarding the Use of Federal Universal Service Support in Dockets TC09-069 and TC09-070

         TC09-069        In the Matter of the Request of Knology Community Telephone, Inc. for Certification Regarding its Use of Federal Universal Service Support. (Staff Analysts: Terri LaBrie Baker/Jon Thurber, Staff Attorney: Karen Cremer)
           
         On June 1, 2009, Knology Community Telephone, Inc. (Knology) provided information constituting Knology's plan for the use of its federal universal service support and to otherwise verify that Knology will use all federal universal service support received in a manner that is consistent with the federal universal provisions of 47 U.S.C. Section 254. On July 23, 2009, Knology filed a Request for Waiver from the requirement for a two-year detailed plan on a wire center basis.

         TC09-070        In the Matter of the Request of Knology of the Black Hills, LLC for Certification Regarding its Use of Federal Universal Service Support. (Staff Analysts: Terri LaBrie Baker/Jon Thurber, Staff Attorney: Karen Cremer)
           
         On June 1, 2009, Knology of the Black Hills, LLC (Knology) provided information constituting Knology's plan for the use of its federal universal service support and to otherwise verify that Knology will use all federal universal service support received in a manner that is consistent with the federal universal provisions of 47 U.S.C. Section 254. On July 23, 2009, Knology filed a Request for Waiver from the requirement for a two-year detailed plan on a wire center basis.

         TODAY, shall the Commission Grant the Requests for Waiver? AND, shall the Commission Provide a Certification to the Federal Communications Commission and to the Universal Service Administration Company Regarding the Plan for the Use of Federal Universal Services Support as Proposed in Each of the Above Dockets?

5.      TC09-074        In the Matter of the Request of Qwest Corporation for Certification Regarding its Use of Federal Universal Service Support. (Staff Analysts: Terri LaBrie Baker/Jon Thurber, Staff Attorney: Karen Cremer)

         On June 2, 2009, Qwest Corporation (Qwest) provided information constituting Qwest's plan for the use of its federal universal service support and to otherwise verify that Qwest will use all federal universal service support received in a manner that is consistent with the federal universal provisions of 47 U.S.C. Section 254.

         TODAY, shall the Commission Provide a Certification to the Federal Communications Commission and to the Universal Service Administration Company Regarding the Plan for the Use of Federal Universal Services Support as Proposed? AND, shall the Commission Provide a Certification that Qwest is Offering Rates Comparable to Other Carriers?

Announcements

  1. The next regularly scheduled Commission meeting will be held August 25, 2009, at 9:30 a.m. in Room 413, State Capitol Building, Pierre, SD.
  2. Commission meetings are scheduled for September 8 and September 22, 2009.
  3. Aug. 12-16, 2009 - Sioux Falls, Sioux Empire Fair, WH Lyon Fairgrounds. PUC representatives will meet with consumers, distribute information and answer questions.
  4. Aug. 17-24, 2009 - Aberdeen, Brown County Fair, Brown County Fairgrounds. PUC representatives will meet with consumers, distribute information and answer questions.
  5. A hearing in docket CN09-001 will be held September 3, 2009, Room 282, University Center, 2205 Career Avenue, Sioux Falls, SD. The hearing will begin at 1:30 p.m.
  6. Sept. 3-7, 2009 - Huron, South Dakota State Fair, State Fairgrounds. PUC representatives will meet with consumers, distribute information and answer questions.
  7. The Commission offices will be closed Monday, September 7, 2009, in observance of Labor Day.
  8. A hearing in docket PS09-002 will be held September 8, 2009, Room 413, State Capitol Building, Pierre, SD. The hearing will begin at 1:30 p.m.
  9. A hearing in docket TC08-135 will be held September 9, 2009, Room 413, State Capitol Building, Pierre, SD. The hearing will begin at 9:00 a.m.
  10. A hearing on the Energy Act 2007 new PURPA standards will be held September 22 – 23, 2009, Room 413, State Capitol Building, Pierre, SD. The hearing will begin at 1:00 p.m. on September 22.

 

/S/ Heather K. Forney                                                     .
Heather K. Forney
Deputy Executive Director
heather.forney@state.sd.us
August 4, 2009