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South Dakota Public Utilities Commission Meeting
September 25, 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, September 24, 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 September 11, 2012 (Staff: Joy Irving)

Consumer Reports

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

Electric

1.     EL12-021     In the Matter of the Petition of Otter Tail Power Company for Approval to Revise its Fuel Adjustment Clause Rider to Include Emission Costs (Staff Analysts: Jon Thurber, Brittany Mehlhaff, Staff Attorney: Karen Cremer)

On March 1, 2012, the Commission received a Petition from Otter Tail Power Company (Otter Tail) requesting approval to revise its Fuel Adjustment Clause Rider to include certain specified costs incurred beginning in 2012 for purchased emission allowances that may be necessary to comply with the Cross-State Air Pollution Rule promulgated by the Federal Environmental Protection Agency. Otter Tail states the average residential customer using 1,000 kWh per month may see an increase ranging from $0 to $0.34 per month, based on current estimates. On September 11, 2012, Otter Tail filed with the Commission a Notice of Withdrawal of its request to revise its fuel adjustment clause rider.

     TODAY, shall the Commission dismiss and close the docket?

2.     EL12-046     In the Matter of the Application of Northern States Power Company dba Xcel Energy for Authority to Increase its Electric Rates (Staff Analysts: Jon Thurber, Dave Jacobson, Patrick Steffensen, Brittany Mehlhaff, Matthew Tysdal, Staff Attorney: Karen Cremer)

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. On September 6, 2012, Shetek Wind Inc., filed with the Commission a Petition to Intervene.

     TODAY, shall the Commission approve any timely filed petitions to intervene?

3.     EL12-054     In the Matter of the Petition of Otter Tail Power Company for Approval of its 2013 Transmission Cost Recovery Eligibility and Rate Adjustment (Staff Analysts: Brittany Mehlhaff, Ross Pedersen, Staff Attorney: Ryan Soye)

On September 4, 2012, the Commission received a petition from Otter Tail Power Company for approval of its annual update to its Transmission Cost Recovery Rider (TCR) rate. The proposed revised TCR rate reflects the TCR revenue requirements for the year 2013, including the tracker balance estimated for the end of the current period and costs of new transmission projects that are not currently in base rates and have not previously been approved for inclusion in the TCR rider. The Company proposes a January 1, 2013, effective date.

     TODAY, shall the Commission assess a filing fee in the amount of $50,000 to account for actual expenses incurred in review of this filing commencing from the filing date? AND, shall the Commission suspend the imposition of the tariff for 180 days beyond September 4, 2012? AND, shall the Commission give the Executive Director authority to enter necessary consulting contracts? 

Natural Gas

1.     NG12-005     In the Matter of the Filing by NorthWestern Corporation dba NorthWestern Energy for Approval of its Tariff Revisions (Staff Analyst: Patrick Steffensen, Staff Attorney: Karen Cremer)

On August 24, 2012, the Commission received a request by NorthWestern Energy (NorthWestern) to update its fuel retention percentage for natural gas transportation service. NorthWestern's tariff provides that the fuel retention percentage be adjusted annually with the updated percentage to be effective October 1 of each year. NorthWestern is also providing an updated fuel rate for customers with daily average therm use greater than 30,000. The company states that customers that fit this criterion are primarily direct connect customers whose gas systems are not subject to the normal losses of a distribution system.

     TODAY, shall the Commission approve the tariff revisions?

Telecommunications

1.     TC12-078     In the Matter of the Request of Long Lines Wireless, LLC for Certification Regarding its Use of Federal Universal Service (Staff Analyst: Brian Rounds, Staff Attorney: Karen Cremer)

On May 30, 2012, the Commission received an application from Long Lines Wireless, LLC 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?

2.     TC12-102     In the Matter of the Filing by Midstate Telecom Service, Inc. for Approval of Revisions to its Tariff No. 2 (Staff Analyst: Patrick Steffensen, Staff Attorney: Karen Cremer)

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. On July 10, 2012, Midstate requested a waiver of ARSD 20:10:29:10; 20:10:29:12, and 20:10:29:16. On July 13 and 16, 2012, Midstate filed revised tariff pages.

     TODAY, shall the Commission approve the requested tariff changes? AND shall the Commission grant the requested waiver? OR how shall the Commission proceed?

3.     TC12-104     In the Matter of the Filing by Ymax Communications Corp. for Approval of Revisions to its Tariff No. 2 (Staff Analyst: Chris Daugaard, Staff Attorney: Kara Semmler)

On June 28, 2012, the Commission received a filing from Ymax Communications Corp. (Ymax) for approval of revisions to its Tariff No. 2. This filing makes revisions to incorporate the requirements of the Federal Communications Commission's Report and Order in WC Docket No. 10-90, et al., FCC No. 11-161 (released November 18, 2011) regarding the treatment of Toll VoIP-PSTN traffic. Additionally, this filing revises the intrastate access rates in compliance with the FCC's ICC Reform Order to mirror the Company's interstate access rates. Ymax respectfully requests an effective date for this filing of July 1, 2012. On August 27, 2012, Ymax filed with the Commission a request to withdraw the revised tariff pages.

     TODAY, shall the Commission dismiss and close the docket?

4.     TC12-115     In the Matter of the Filing by Local Exchange Carriers Association, Inc. for Approval of Revisions to its Access Services Tariff No. 1 (Staff Analyst: Chris Daugaard, Staff Attorney: Karen Cremer)

On July 12, 2012, the Commission received a filing from Local Exchange Carriers Association (LECA) requesting approval of its Access Service Tariff No. 1. This filing proposes to modify tariff language for the Identification and Rating of VoIP-PSTN Traffic to be in compliance with the Federal Communications Commission's April 25, 2012, Second Order of Reconsideration in WC Docket 10-90, etc., FCC Release No. 12-47. LECA requests that the proposed changes become effective July 13, 2012.

     TODAY, shall the Commission approve the proposed tariff revisions?

5.     TC12-120     In the Matter of the Filing by Granite Telecommunications, LLC for Approval of Revisions to its Access Services Tariff No. 3 (VoIP) (Staff Analyst: Dave Jacobson, Staff Attorney: Karen Cremer)

On July 26, 2012, the Commission received a filing from Granite Telecommunications, LLC (Granite). This filing proposes to modify tariff language to comply with the Federal Communications Commission's (FCC) Report and Order and Further Notice of Proposed Rulemaking, in Docket Nos. WC Docket No. 10-90, et al., FCC 11-161 (the ICC/USF Transformational Order) by implementing provisions governing Voice over Internet Protocol telephony – Public Switched Telephone Network (VoIP-PSTN) Traffic. Further, Granite removes the End User Common Line Charge and Billing Name and Address service, which was never provided, and updates the Company's address as it appears on the revised tariff sheets. Pursuant to the FCC's ICC/USF Transformational Order a July 13, 2012, effective date is requested for this filing. On September 6, 2012, Granite filed revised tariff pages.

         TODAY, shall the Commission approve the proposed tariff revisions?

6.     TC12-122     In the Matter of the Application of Conectado, Inc. for a Certificate of Authority to Provide Interexchange Long Distance Services in South Dakota (Staff Analyst: Patrick Steffensen, Staff Attorney: Karen Cremer)

On August 2, 2012, the Commission received a request for a certificate of authority to provide interexchange telecommunication services from Conectado, Inc. (Conectado). Conectado will operate as a reseller and requests authority to provide service through the state. On September 6, 2012, Conectado responded to staff's data request 1. On September 7, 2012, Conectado responded to staff's data request 2.

     TODAY, shall the Commission grant the Certificate of Authority to Conectado, Inc.?

7.     TC12-128     In the Matter of the Approval of an Intercarrier Compensation Bill and Keep Amendment to an Interconnection Agreement between Sancom, Inc. dba Mitchell Telecom and City of Brookings Municipal Utilities – Telephone Division dba Swiftel Communications (Staff Attorney: Karen Cremer)

On August 24, 2012, the Commission received a request to approve the amendment to the Interconnection Agreement between Sancom, Inc. dba Mitchell Telecom and City of Brookings Municipal Utilities - Telephone Division dba Swiftel Communications.

     TODAY, shall the Commission approve the amendment to the interconnection agreement?

8.     TC12-130     In the Matter of the Approval of an Intercarrier Compensation Bill and Keep Amendment to an Interconnection Agreement between Qwest Corporation dba CenturyLink QC and Verizon Wireless (Staff Attorney: Karen Cremer)

On August 28, 2012, the Commission received a filing pursuant to 47 U.S.C. §252 for approval of an ICC VolP Bill and Keep Amendment to an Interconnection Agreement between Qwest Corporation dba CenturyLink QC and Verizon Wireless.

     TODAY, shall the Commission approve the amendment to the interconnection agreement?

9.     TC12-131     In the Matter of the Filing for Approval of a Reciprocal Transport and Termination Agreement Between Interstate Telecommunications Cooperative, Inc. and James Valley Wireless, LLC (Staff Attorney: Karen Cremer)

On August 29, 2012, the Commission received a filing pursuant to 47 U.S.C. §252 for approval of a Reciprocal Interconnection, Transport and Termination Agreement between James Valley Wireless, LLC, and Interstate Telecommunications Cooperative, Inc.

     TODAY, shall the Commission approve the Reciprocal Interconnection, Transport and Termination Agreement?

10.     TC12-132     In the Matter of the Filing for Approval of the ICC VoIP Amendment to the Interconnection Agreement between Qwest Corporation dba CenturyLink QC and Broadvox-CLEC, LLC for the State of South Dakota (Staff Attorney: Karen Cremer)

On August 31, 2012, the Commission received a filing pursuant to 47 U.S.C. §252 for approval of the ICC VoIP Amendment to the Interconnection Agreement between Qwest Corporation dba CenturyLink QC and Broadvox-CLEC, LLC.

     TODAY, shall the Commission approve the amendment to the interconnection agreement?

Items for Commission Discussion

Announcements

  1. PUC Commissioners will attend the TrioTel Communications annual meeting, Thursday, September 20, 2012, at the National Guard Amory, Salem, S.D.

  2. PUC Commissioners will attend the Golden West Telecommunications Cooperative annual meeting, Saturday, September 22, 2012, at the Community Center, Wall, S.D.

  3. PUC Commissioners will attend the Utility Shareholders of South Dakota annual meeting, Wednesday, September 26, 2012, at the Sheraton Sioux Falls, Sioux Falls, S.D.

  4. PUC Commissioners will attend the Venture Communications Cooperative annual meeting, Wednesday, September 26, 2012, at the Hyde County Memorial Auditorium, Highmore, S.D.

  5. PUC Commissioners will attend the ITC annual meeting, Saturday, September 29, 2012, at the Clear Lake School, Clear Lake, S.D.

  6. PUC Commissioners will attend the West River Cooperative Telephone Co. annual meeting, Monday, October 1, 2012, at the West River Warehouse, Bison, S.D.

  7. Commissioners and staff will meet with representatives of Otter Tail Power Co. on Tuesday, October 2, 2012, at 9:30 a.m. CDT, in Room 413 at the State Capitol Building, Pierre, S.D. The agenda is to discuss a project update for the Big Stone south to Ellendale transmission line project planned by Otter Tail Power Co. and Montana-Dakota Utilities Co.

  8. An ad hoc commission meeting will be held Tuesday, October 2, 2012, at 1:30 p.m. CDT in Room 413 at the State Capitol Building, Pierre, S.D.

  9. PUC Commissioners will attend the Midstate Communications annual meeting, Thursday, October 4, 2012, at the Kimball School Gym, Kimball, S.D.

  10. PUC Commissioners will attend the South Dakota State Federation of Labor biennial convention, Friday, October 5, 2012, at Cedar Shore Resort, Oacoma, S.D.

  11. The PUC offices will be closed Monday, October 8, 2012, in observance of Native American Day.

  12. The next regularly scheduled commission meeting will be Tuesday, October 9, 2012, at 1:30 p.m. CDT in Room 413 at the State Capitol Building, Pierre, S.D.

  13. Commission meetings are scheduled for October 23 and November 6, 2012.

 

/S/Cindy Kemnitz
Cindy Kemnitz
Finance Manager
puc@state.sd.us
September 18, 2012