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South Dakota Public Utilities Commission Meeting
April 27, 2016, 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 9:00 a.m. CDT on Tuesday, April 26, 2016. 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 April 11, 2016 (Staff: Joy Lashley)
Consumer Reports
1. Status Report on Consumer Utility Inquiries and Complaints Received by the Commission (Consumer Affairs: Deb Gregg)
Hydrocarbon Pipeline
On December 14, 2015, the Commission granted Dakota Access, LLC (Company or Dakota Access) permit (Permit) pursuant to SDCL 49-41B-4 to construct the South Dakota portion of the proposed Dakota Access Pipeline (Pipeline). The Permit was granted upon numerous conditions. Specifically, Condition 25(f) and SDCL 49-41B-38 require Dakota Access to obtain an indemnity bond for damage to roads and bridges (construction bond). The condition and statute further require the Company to obtain Commission approval of the construction bond. On March 16, 2016, Dakota Access filed a Motion for Approval of Construction Bond.
TODAY, shall the Commission grant approval of Dakota Access' construction bond?
Complaint
On May 20, 2015, Valley Queen Cheese Factory, Inc. (Valley Queen) filed a complaint against Otter Tail Power Company (Otter Tail) requesting the Commission find that Otter Tail breached its contract with Valley Queen, failed to fulfill its tariff and regulatory duties and legal obligations to Valley Queen, failed to allow Valley Queen to select rate options resulting in a Customer's Baseline Load of approximately 2,450 kW, that Valley Queen was damaged thereby in the sum of at least $1,400,000, and that the Commission direct Otter Tail to pay Valley Queen all damages arising from the alleged breaches. On July 7, 2015, Otter Tail filed its answer. On February 22, 2016, Otter Tail and Valley Queen filed a Stipulation as to Joint Filing and Request for Stay. On April 20, 2015, Otter Tail filed a Joint Motion to Approve Contract with Deviations as Part of Settlement and to Dismiss Consumer Complaint (Joint Motion).
TODAY, shall the Commission grant approval of the contract with deviations and the revised tariff sheet? AND, shall the Commission grant approval of the Joint Motion and dismiss the complaint with prejudice? OR, how shall the Commission proceed?
Electric
On March 1, 2016, the Commission received an application from Black Hills Power, Inc. dba Black Hills Energy (BHE) requesting approval of its 2015 Economic Development Report and its 2016 Economic Development Plan and Budget. On March 24, 2016, BHE responded to staff's data request.
TODAY, shall the Commission approve BHE's 2015 Economic Development Report and its 2016 Economic Development Plan?
On March 29, 2016, the Commission received an application from NorthWestern Corporation dba NorthWestern Energy (NorthWestern) requesting approval of its 2016 Economic Development Proposed Budget. On April 13, 2015, NorthWestern responded to staff's data request.
TODAY, shall the Commission approve NorthWestern's 2016 Economic Development Budget?
On April 1, 2016, the Commission received a petition from Dakota Plains Ag Center, LLC (Dakota Plains) for temporary electric service pursuant to SDCL 49-34A-56 and 49-34A-58. Dakota Plains requests authorization to take temporary electric service from NorthWestern Energy (NorthWestern). Dakota Plains states NorthWestern has facilities in place alongside the location and is ready, willing, and able to provide electric service to Dakota Plains during the construction stage of the project. Intervention was granted to Bon Homme Yankton Electric Association, Inc. and NorthWestern on April 12, 2016. On April 11, 2016, Staff filed a Motion to Dismiss. On April 20, 2016, Dakota Plains filed a Motion to Dismiss Petition for Temporary Electric Service, noting they no longer have a need for temporary electric service.
TODAY, shall the Commission grant Dakota Plain's Motion to Dismiss Petition for Temporary Electric Service? OR, how shall the Commission proceed?
Natural Gas
On March 23, 2016, MidAmerican Energy Company (MidAmerican) filed its 2015 Economic Development Activities and Proposed 2016 Budget for Commission approval. The filing included MidAmerican's report on 2015 economic development activities, actual expenses for 2015, and the planned budget for 2016. On April 14, 2016, MidAmerican responded to Staff's data requests.
TODAY, shall the Commission approve MidAmerican's 2015 Economic Development Activities and Proposed 2016 Budget?
On March 23, 2016, the Commission received an application from NorthWestern Corporation dba NorthWestern Energy (NorthWestern) for approval of a contract with deviation to construct a natural gas line to serve Novita Aurora, LLC (Novita). Novita will be a new customer on NorthWestern's natural gas system. Novita is building an ag processing plant and requires natural gas transportation service. Novita will be served under Rate 87 tariff rates with deviations from some of the general terms and conditions within the tariff. The contract with deviation provides for additional protections for NorthWestern and its legacy customers.
TODAY, shall the Commission approve the contract with deviation and associated tariff revision with an effective date of May 1, 2016?
On March 29, 2016, the Commission received an application from NorthWestern Corporation dba NorthWestern Energy (NorthWestern) requesting approval of its 2016 Economic Development Proposed Budget and 2015 Economic Development Expenses. On April 13, 2016, NorthWestern responded to staff's data request.
TODAY, shall the Commission approve NorthWestern's 2015 Economic Development Expenses and 2016 Economic Development Budget?
Rule Making
The Commission is proposing to adopt rules that set forth specific measurement and testing procedures that an electric utility must follow when the utility tests a dairy for stray voltage or stray current. The proposed rules are 20:10:39:01 to 20:10:39:60, inclusive. A public hearing was held in Room 413, of the State Capitol in Pierre, South Dakota, on March 28, 2016, at 1:30 p.m., to consider the adoption and amendment of the proposed rules. Following the hearing, Xcel Energy, NorthWestern Energy, MidAmerican Energy, and the South Dakota Rural Electric Association filed written comments.
TODAY, shall the Commission make any changes to the proposed rules? And, shall the Commission adopt final rules regarding stray voltage or stray current?
Items for Commission Discussion
Announcements
- Commissioners and staff will attend NIST Cyber Framework training May 3-4, 2016, at the Holiday Inn City Centre, Sioux Falls, S.D.
- The next regularly scheduled commission meeting will be Tuesday, May 10, 2016, at 9:30 a.m. CDT in Room 413 at the State Capitol, Pierre, S.D.
- Commission meetings are scheduled for May 24 and June 7, 2016.
/s/Cindy Kemnitz
Cindy Kemnitz
Finance Manager
PUC Email
April 20, 2016
