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South Dakota Public Utilities Commission
July 17, 2012, at 9:30 A.M. CDT
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. CDT on Monday, July 16, 2012. 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 website www.puc.sd.gov and click on the LIVE link on the home page. The Commission requests 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 website under the Commission Actions tab, Click on "Commission Meeting Archives," to access the recordings.
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 June 19, 2012, and the Ad Hoc Commission Meeting Held on June 26, 2012 (Staff: Joy Irving)
Consumer Reports
1. Status Report on Consumer Utility Inquiries and Complaints Received by the Commission (Consumer Affairs: Deb Gregg)
Electric
On June 30, 2011, the Commission received an application by Northern States Power Company dba Xcel Energy (Xcel) for approval to increase rates for electric service to customers in its South Dakota service territory by approximately $14.6 million annually or approximately 9.28% based on Xcel's 2010 test year. In addition, Xcel is proposing to recover approximately $1 million of ongoing investments in its Monticello nuclear generating plant through a Nuclear Cost Recovery Rider to go into effect with the final rates. The Company states a typical residential electric customer using 750 kWh per month would see an increase of 9.48%, or $6.93 per month. The proposed rates may potentially affect approximately 84,000 customers in Xcel's South Dakota service territory. On May 24, 2012, the Commission issued an Order Granting Joint Motion for Approval of Settlement Stipulation resolving many of the issues in the case and an Order for and Notice of Hearing setting the remaining issues in the matter for hearing on June 13-14, 2012. On June 19, 2012, the Commission considered the issues heard at the hearing and took action on the issues of Nobles Wind Farm recovery, cost of long term debt, return on equity, and capital structure. On June 26, 2012, the Commission approved an overall rate of return of 7.79% and directed Xcel file its proposed computation methodology and mechanism for refund or credit of interim rate over-collections, including interest, and its proposed interest rate on refund/credit amounts by July 6, 2012. On July 5, 2012, Xcel filed its interim rate refund plan, tariff sheets, and bill insert notifying customers of the rate change.
TODAY, shall the Commission approve the interim rate refund plan? AND, shall the Commission approve the tariff sheets?
On June 29, 2012, the Commission received an application by Northern States Power Company dba Xcel Energy (Xcel) for approval to increase rates for electric service to customers in its South Dakota service territory by approximately $19.368 million annually or approximately 11.53% based on Xcel's 2011 test year. Xcel states a typical residential electric customer using 750 kWh per month would see an increase of 12.7%, or $9.82 per month. The proposed rates affect approximately 85,000 customers in Xcel's South Dakota service territory.
TODAY, shall the Commission suspend the imposition of the tariff for 180 days beyond June 29, 2012? AND, shall the Commission assess a filing fee for actual expenses not to exceed $250,000? AND shall the Commission give the Executive Director authority to enter into necessary consulting contracts?
Telecommunications
On May 4, 2010, the Commission received a complaint from Sprint Communications Company, LP (Sprint) against Native American Telecom, LLC (NAT), in which Sprint seeks: 1) a determination that the Public Utilities Commission (Commission) has the sole authority to regulate Sprint's intrastate interexchange services and that NAT lacks authority to bill Sprint for switched access services without a Certificate of Authority and valid tariff on file with the Commission; 2) a declaration that because the Commission has the sole authority over Sprint's intrastate interexchange services, the Crow Creek Sioux Tribe Utility Authority is without jurisdiction over Sprint; 3) a determination that NAT must repay Sprint the amounts it inadvertently paid NAT for unauthorized and illegal switched access charges. On April 11, 2012, Sprint filed a Motion to Compel NAT to Honor its Agreement to Answer Discovery pursuant to ARSD 20:10:01:02 and SDCL 15-6-26(a) and 15-6-37(a). On April 23, 2012, NAT filed a Motion to Dismiss the Amended Complaint of Sprint pursuant to ARSD 20:10:01:11.1 and SDCL 15-6-12(b).
TODAY, shall the Commission grant Native American Telecom LLC's Motion to Dismiss? AND shall the Commission grant Sprint's Motion to Compel NAT to Answer Discovery?
2. In the Matter of the Request for Certification Regarding the Use of Federal Universal Service Support in Dockets TC12-047, TC12-048, TC12-051, TC12-053, TC12-055, TC12-056, TC12-058, AND TC12-066
On May 25, 2012, the Commission received an application from Stockholm-Strandburg Telephone Company dba ITC requesting the Commission to issue a certification to the FCC and USAC indicating it is in compliance with 47 U.S.C. Section 254(e) and should receive all federal universal service support determined for distribution to the Company in 2013.
On May 25, 2012, the Commission received an application from SSTELECOM, Inc. dba ITC requesting the Commission to issue a certification to the FCC and USAC indicating it is in compliance with 47 U.S.C. Section 254(e) and should receive all federal universal service support determined for distribution to the Company in 2013.
On May 25, 2012, the Commission received an application from Red River Rural Telephone Association requesting the Commission to issue a certification to the FCC and USAC indicating it is in compliance with 47 U.S.C. Section 254(e) and should receive all federal universal service support determined for distribution to the Company in 2013.
On May 25, 2012, the Commission received an application from Beresford Municipal Telephone Company requesting the Commission to issue a certification to the FCC and USAC indicating it is in compliance with 47 U.S.C. Section 254(e) and should receive all federal universal service support determined for distribution to the Company in 2013.
On May 25, 2012, the Commission received an application from Venture Communications Cooperative requesting the Commission to issue a certification to the FCC and USAC indicating it is in compliance with 47 U.S.C. Section 254(e) and should receive all federal universal service support determined for distribution to the Company in 2013.
On May 25, 2012, the Commission received an application from Western Telephone Company requesting the Commission to issue a certification to the FCC and USAC indicating it is in compliance with 47 U.S.C. Section 254(e) and should receive all federal universal service support determined for distribution to the Company in 2013.
On May 25, 2012, the Commission received an application from TrioTel Communications Inc. requesting the Commission to issue a certification to the FCC and USAC indicating it is in compliance with 47 U.S.C. Section 254(e) and should receive all federal universal service support determined for distribution to the Company in 2013.
On May 30, 2012, the Commission received an application from City of Faith Municipal Telephone Company requesting the Commission to issue a certification to the FCC and USAC indicating it is in compliance with 47 U.S.C. Section 254(e) and should receive all federal universal service support determined for distribution to the Company in 2013.
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?
On May 25, 2012, the Commission received a filing from OrbitCom, Inc. This filing makes revisions to OrbitCom, Inc.'s Access Services Tariff No. 2 to decrease its terminating access charges to comply with the FCC's CAF Order. It is also changing its originating VolP rate to comply with the FCC's April 25, 2012, Second Order on Reconsideration.
TODAY, shall the Commission approve the proposed tariff revisions?
On May 30, 2012, the Commission received an application from Hills Telephone Company Inc. requesting approval of revised pages to Hills-SD Intrastate Switched Access Services Tariff No. 1 to implement the Federal Communications Commission's (FCC), November 18, 2011, Intercarrier Compensation Reform Order.
TODAY, shall the Commission approve the proposed tariff revisions?
On May 30, 2012, the Commission received a filing from Kadoka Telephone Company. This filing makes revisions to Kadoka Telephone Company's Access Service Tariff No. 1 to implement the Federal Communications Commission's November 18, 2011, Intercarrier Compensation Reform Order with an effective date of July 1, 2012.
TODAY, shall the Commission approve the proposed tariff revisions?
6. TC12-095 In the Matter of the Filing by dishNET Wireline L.L.C. for Approval of Revisions to its Access Service Tariff No. 2 (Staff Analyst: Patrick Steffensen, Staff Attorney: Kara Semmler)
On June 12, 2012, the Commission received a filing from dishNET Wireline L.L.C., (dishNet). With this filing, dishNET reduces its terminating switched exchange access rates by 50 percent of the differential between the Company's current intrastate composite switched access rate and corresponding interstate composite rate as set forth in dishNET's F.C.C. Tariff No. 1, pursuant to the Federal Communications Commissions (FCC) November 18, 2011, Report and Order and Further Notice of Proposed Rulemaking, in Docket Nos. WC Docket No. 10-90, et al., FCC 11-161 (ICC/USF Transformational Order). The Company also introduces separate originating switched exchange access rate that mirrors its existing switched exchange access rate, adds a Shared Port access component description, adds definitions for clarity, and removes the definition of individual case basis, which does not apply to the tariff. The Company seeks an effective date of July 3, 2012, pursuant to the FCC's June 5, 2012, Clarification Order, DA 12-870. For purposes of this filing, dishNET requests waiver of ARSD 20:10:27:07 with regard to the submission of cost data in support of its rates, as this filing is an ICC/USF Transformational Order compliance filing. On July 9, 2012, dishNET submitted a revision to their First Revised Sheet No. 37.
TODAY, shall the Commission approve the requested tariff changes?
On June 19, 2012, the Commission received a filing from Midcontinent Communications (Midcontinent) for changes to its Access Service. The revision implements the first of the "Transitional Intrastate Access Service" reductions mandated by the Federal Communication Commission's November 18, 2011, Report and Order and Further Notice of Proposed Rulemaking in WC Docket Nos. 10-90, etc. (FCC 11-161). The calculations supporting the rate change were filed as confidential, with a corresponding Request for Confidential Treatment. Midcontinent requests an effective date of July 1, 2012.
TODAY, shall the Commission approve the requested tariff changes?
On June 22, 2012, the Commission received a filing from Midstate Telecom, Inc. (Midstate) for approval of revisions to its Access Service Tariff No. 2. This filing is the first step in implementing the "Transitional Intrastate Access Service" reductions mandated by the Federal Communication Commission's November 18, 2011, Report and Order and Further Notice of Proposed Rulemaking in WC Docket Nos. 10-90, etc. (FCC 11-161). Midstate requests an effective date for this revision of July 1, 2012.
TODAY, shall the Commission approve the requested tariff changes?
9. TC12-103 In the Matter of the Filing by Sage Telecom, Inc. for Approval of Revisions to its Tariff No. 3 (Staff Analyst: Brian Rounds, Staff Attorney: Kara Semmler)
On June 27, 2012, the Commission received a filing from Sage Telecom, Inc. (Sage) for approval of revision to its Access Service Tariff No. 3. This filing is mandated by the Federal Communication Commission's November 18, 2011, Report and Order and Further Notice of Proposed Rulemaking in WC Docket Nos. 10-90, etc. (FCC 11-161). Sage requests an effective date for this revision of July 1, 2012.
TODAY, shall the Commission approve the requested tariff changes?
Items for Commission Discussion
Announcements
- PUC Commissioners and staff will meet with representatives of MidAmerican Energy Co. on Tuesday, July 17, 2012, at 2 p.m. CDT, in Room 413 at the State Capitol Building, Pierre, S.D. The agenda is to discuss natural gas hedging and review hedging activities related to the electric energy cost adjustment.
- PUC Commissioners will attend the Aberdeen Development Corporation Annual Meeting, Thursday, July 16, 2012, at the Dakota Event Center, Aberdeen, S.D.
- PUC Commissioners will attend the Heartland Consumers Power District Summer Conference, Tuesday, July 24, 2012, at the Lakes Restaurant, Madison, S.D.
- The next regularly scheduled commission meeting will be held Tuesday, July 31, 2012, at 9:30 a.m. CDT, in Room 413 at the State Capitol Building, Pierre, S.D.
- PUC Commissioners and staff will attend the DOE/Western Joint Outreach Team Stakeholder Workshop and Listening Session, Thursday, August 2, 2012, at the Holiday Inn City Center, Sioux Falls, S.D.
- PUC Commissioners and staff will meet with consumers at the Sioux Empire Fair, August 7-12, 2012, at the W.H. Lyons Fairgrounds, Sioux Falls, S.D.
- PUC Commissioners and staff will meet with consumers at the Brown County Fair, August 14-19, 2012, at the Brown County Fairgrounds, Aberdeen, S.D.
- Commission meetings are scheduled for Aug. 14 and 28, 2012.
/S/ Cindy Kemnitz
Cindy Kemnitz
Finance Manager
puc@state.sd.us
July 10, 2012
