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South Dakota Public Utilities Commission Meeting
September 8, 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 September 7, 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 Ad Hoc Commission Meeting Held on May 28, 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.      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. At its August 11, 2009, meeting, the Commission assessed a filing fee not to exceed $396,500 with an initial deposit of $8,000. Due to scheduling and notice complications, Basin filed a Motion for Extension of Notice, Public Hearing Timeframe and Application for Party Status on August 21, 2009. Basin further requests to hold the public hearing on September 30, 2009. The Commission granted the motion at its August 25, 2009, meeting. On August 31, 2009, Iberdrola Renewables filed a Petition for Intervention.

         TODAY, shall the Commission Grant Intervention to Iberdrola?

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. At its August 11, 2009, meeting, the Commission assessed a filing fee not to exceed $30,000 with an initial deposit of $8,000. Due to scheduling and notice complications, Basin filed a Motion for Extension of Notice, Public Hearing Timeframe and Application for Party Status on August 21, 2009. Basin further requests to hold the public hearing on September 30, 2009. The Commission granted the motion at its August 25, 2009, meeting. On August 31, 2009, Iberdrola Renewables filed a Petition for Intervention.

         TODAY, shall the Commission Grant Intervention to Iberdrola?

Pipeline Safety

1.      PS09-003        In the Matter of the Filing by NorthWestern Corporation d/b/a NorthWestern Energy for Approval of a Waiver of 49 C.F.R. Section 192.625(a). (Staff Analysts: Nathan Solem/Stacy Splittstoesser, Staff Attorney: Kara Semmler)

         On July 7, 2009, NorthWestern Energy, pursuant to SDCL 49-34B-24, requested a waiver of 49 C.F.R. 192.625(a).  Specifically, NorthWestern's filing requests a permanent waiver from specific aspects of the odorization of natural gas as required in the cited federal code. 

         TODAY, shall the Commission Approve the Waiver of 49 C.F.R. 192.625(a)?

Rulemaking

1.      RM08-002       In the Matter of the Adoption of Rules Regarding PURPA Interconnection. (Staff Analyst: Nathan Solem/Brian Rounds, Staff Attorney: Kara Semmler; Commission Attorney: Rolayne Ailts Wiest)

         The Commission held a public hearing in Room 413, 4th Floor, State Capitol, Pierre, South Dakota, on May 6, 2008, at 9:30 a.m., to consider the adoption of proposed rules numbered:  20:10:36:01 through 20:10:36:73, inclusive.   The proposed rules affect the interconnection of small generator facilities to the electric systems of public utilities.  Interested persons presented data, opinions, and arguments for and against the proposed rules by appearing in person at the hearing. The rules were approved and went into effect on July 1, 2009. On July 2, 2009, Commission Staff requested comments on the small generator interconnection forms. Comments were due July 21, 2009.  The Commission approved the small generator interconnection forms at its July 29, 2009, meeting. On August 19, 2009, Commission Staff requested comments on the system impact study agreement forms. Comments are due September 4, 2009.

         TODAY, shall the Commission Approve the Systems Impact Study Agreement Form?

2.      RM09-001       In the Matter of the Adoption of Rules Regarding Pipeline Safety.  (Staff Analysts: Nathan Solem/Stacy Splittstoesser, Staff Attorney: Kara Semmler)

         Commission pipeline safety staff filed a request to open a rulemaking docket and receive public comment on 3/9/09.  Staff requests that the Commission allow a 30 day formal comment period for operators and a 10 day staff reply opportunity prior to the scheduling of a hearing mid-summer 2009. Staff's proposed rules may be found on the Public Utilities Commission's home page at the following address: http://www.puc.sd.gov/Dockets/Rulemaking/2009/rm09-001.aspx . The Commission voted to approve a 30 day formal comment period for operators and a 10 day period for staff to reply at its March 24, 2009, meeting. A formal hearing in the matter was held on August 18, 2009.

         TODAY, what is the Commission's Decision?

Telecommunications

1.      TC09-023        In the Matter of the Filing by Northern Valley Communications, L.L.C. for Designation as an Eligible Telecommunications Carrier. (Staff Analyst: Terri LaBrie Baker, Staff Attorney: Karen Cremer)

         NVC requests that its operation be designated as eligible to receive all available support from the Federal Universal Service Fund (USF) including, but not limited to, support for rural, insular and high-cost areas and low-income customers.  NVC requests that it be designated as an ETC in the Aberdeen and Redfield exchanges of Qwest.

         TODAY, shall the Commission Designate Northern Valley Communications, L.L.C. as an Eligible Telecommunications Carrier?

2.      TC09-024        In the Matter of the Filing by James Valley Wireless, LLC for Designation as an Eligible Telecommunications Carrier. (Staff Analyst: Terri LaBrie Baker, Staff Attorney: Karen Cremer)

        JVW requests that its operation be designated as eligible to receive all available support from the Federal Universal Service Fund (USF) including, but not limited to, support for rural, insular and high-cost areas and low-income customers.  JVW requests that it be designated as an ETC in the Aberdeen exchange of Qwest.

         TODAY, shall the Commission Designate James Valley Wireless, LLC as an Eligible Telecommunications Carrier?

3.      In the Matter of the Request for Certification Regarding the Use of Federal Universal Service Support in Dockets TC09-069, TC09-070, and TC09-077

         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. The Commission denied the waiver request at its August 11, 2009, meeting.

         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. The Commission denied the waiver request at its August 11, 2009, meeting.

         TC09-077        In the Matter of the Request of Long Lines Wireless, LLC for Certification Regarding its Use of Federal Universal Service Support. (Staff Analysts: Terri LaBrie Baker/Jon Thurber, Staff Attorney: Karen Cremer)

On June 8, 2009, Long Lines Wireless, LLC (Long Lines) provided information constituting Long Lines' plan for the use of its federal universal service support and to otherwise verify that Long Lines 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.      TC09-083        In the Matter of the Application of WideVoice Communications, Inc. for a Certificate of Authority to Provide Interexchange Telecommunications Services and Local Exchange Services in South Dakota. (Staff Analyst: Dave Jacobson, Staff Attorney: Kara Semmler)

         On August 11, 2009, WideVoice Communications, Inc. filed an application for a certificate of authority to enter the South Dakota market as a provider of local and interexchange service, as well as switched access service, long distance resale, advanced services and high speed digital service. WideVoice specifically requests authority to operate as a provider of facilities-based and resale local exchange telecommunications services in eligible interconnection areas in South Dakota, Qwest's incumbent local exchange areas, as well as authority to offer interexchange interLATA and intraLATA services statewide. On August 27, 2009, the South Dakota Telecommunications Association filed a Petition to Intervene. Midstate Communications and Midstate Telecom Inc. filed a Petition to Intervene on August 28, 2009.

         TODAY, shall the Commission Grant Intervention to SDTA, Midstate Communications, and Midstate Telecom?

Announcements

  1. The next regularly scheduled Commission meeting will be held September 22, 2009, at 9:30 a.m. in Room 413, State Capitol Building, Pierre, SD.
  2. Commission meetings are scheduled for October 6 and October 20, 2009.
  3. 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.
  4. Sept. 3-7, 2009 - Huron, South Dakota State Fair, State Fairgrounds. PUC representatives will meet with consumers, distribute information and answer questions.
  5. The Commission offices will be closed Monday, September 7, 2009, in observance of Labor Day.
  6. 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.
  7. A public input hearing in dockets HP09-002 and EL09-015 will be held September 30, 2009, in the McKnight Community Center in White, SD. The hearing will begin at 6:00 p.m.
  8. The Commission offices will be closed Monday, October 12, 2009, in observance of Native American Day.

   /S/ Heather K. Forney      .
Heather K. Forney
Deputy Executive Director
heather.forney@state.sd.us
September 1, 2009