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South Dakota Public Utilities Commission Meeting
April 27, 2017, 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 p.m. CDT on Friday, April 26, 2017. 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 10, 2017 (Staff: Joy Lashley)

Consumer Reports

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

Electric

1.     EL17-009     In the Matter of the Application of Black Hills Power, Inc. dba Black Hills Energy for Approval of its 2016 Economic Development Report and 2017 Economic Development Plan (Staff Analyst: Lorena Reichert; Staff Attorney: Amanda Reiss)

On February 28, 2017, the Commission received an application from Black Hills Power, Inc. dba Black Hills Energy (BHE) requesting approval of its 2016 Economic Development Report and its 2017 Economic Development Plan and Budget. BHE has responded to all of staff’s data requests.

     TODAY, shall the Commission approve BHE’s 2016 Economic Development Report and its 2017 Economic Development Plan?

2.     EL17-010     In the Matter of the Filing by Montana-Dakota Utilities Co. for Approval of the Annual Update to Its Infrastructure Rider Rate (Staff Analyst: Joseph Rezac; Staff Attorney: Kristen Edwards)

On March 1, 2017, the Commission received a petition from Montana-Dakota Utilities Co. (MDU) for approval of the annual update to its Infrastructure Rider Rate, pursuant to the terms of the Company’s Infrastructure Rider Rate 56 tariff. MDU is proposing to continue charging the existing tariff rate of $0.00497 per kWh for the rate period covered by this filing. Under the Infrastructure Rider Rate 56 tariff, MDU shall update the Infrastructure Rider annually to be effective each May 1.

     TODAY, shall the Commission approve MDU’s request to continue charging the existing tariff rate of $0.00497 per kWh?

3.     EL17-011     In the Matter of the Filing by Montana-Dakota Utilities Co. for Approval of the Annual Update to Its Transmission Cost Recovery Rider Rate (Staff Analyst: Patrick Steffensen; Staff Attorney: Kristen Edwards)

On March 2, 2017, the Commission received a filing from Montana-Dakota Utilities Co. (MDU) for approval of the annual update to its Transmission Cost Recovery Rider (TCRR) rate. MDU’s TCRR was established in the company’s most recent rate case EL15-024. With this filing, MDU is establishing new TCRR rates based on true-ups to any over/under recovery from 2016, and for forecast over/under recovery for 2017. Approximately 8,500 South Dakota customers will be affected by the TCRR rate change. The bill increase for a typical residential customer averaging 853 kWh per month will be approximately $0.72 per month, or $8.64 annually. MDU requests the new TCRR rate have an effective date of May 2, 2017.

     TODAY, shall the Commission approve the revised TCRR rate and revised tariff sheet with an effective date of May 2, 2017?

4.     EL17-012     In the Matter of the Filing by Northern States Power Company dba Xcel Energy for Approval of Tariff Revisions regarding Standard Billing Form and Disconnection Notice (Staff Analyst: Brittany Mehlhaff; Staff Attorney: Amanda Reiss)

On March 7, 2017, the Commission received a filing by Northern States Power Company dba Xcel Energy (Xcel) for approval of tariff revisions regarding its standard billing form and disconnection notice. The proposed changes to the backs of the standard billing form and disconnection notice include minor style modifications and adding sentences noting that there is a processing fee when paying with a credit/debit card or at a pay station. The Company requests to remove the specific processing fee amount currently listed on these forms due to upcoming changes to the processing fees. On April 13, 2017, Xcel filed additional revisions pursuant to discussions with Commission Staff.   

     TODAY, shall the Commission approve the tariff revisions with an effective date of May 1, 2017?

5.     EL17-014     In the Matter of the Filing of Northern States Power Company dba Xcel Energy for Approval of its 2016 Economic Development Activities and 2017 Budget (Staff Analyst: Joseph Rezac; Staff Attorney: Amanda Reiss)

On March 16, 2017, Northern States Power Company dba Xcel Energy (Xcel) filed for approval of its 2016 Economic Development Annual Report and 2017 Economic Development Budget. The filing includes Xcel’s report on the 2016 budgeted and actual economic development expenses and provided documentation of the actual expenses incurred. The filing also includes a proposed economic development budget for 2017. On April 7, 2017, Xcel filed its responses to staff’s data request.

     TODAY, shall the Commission approve Xcel Energy’s 2016 Economic Development Report and its 2017 Economic Development Budget?

6.     EL17-015     In the Matter of the Filing by NorthWestern Corporation dba NorthWestern Energy for Approval of Tariff Revisions to its Rate 38 (Staff Analyst: Brittany Mehlhaff; Staff Attorney: Amanda Reiss)

On March 23, 2017, the Commission received a filing by NorthWestern Corporation dba NorthWestern Energy (NorthWestern) for approval of tariff revisions to its Rate 38. Rate 38 was implemented in Docket EL14-106. The tariff was designed to serve NorthWestern’s distribution only point-to-point customers that are under state jurisdiction. In this filing, NorthWestern requests to change the applicability section of the tariff to include wind farm station power in order to accommodate two customers that have been served under NorthWestern’s Open Access Tariff. Through the process of joining SPP, NorthWestern will be eliminating its FERC Open Access Tariff. NorthWestern and SPP have determined that the lines that serve these two customers are distribution lines and not transmission lines, these two customers should be served under state jurisdiction and Rate 38 of NorthWestern’s tariff.

     TODAY, shall the Commission approve the tariff revisions with an effective date of May 1, 2017?

7.     EL17-017     In the Matter of the Filing by Otter Tail Power Company Regarding its Notification of Intent to Apply for a Permit for an Energy Conversion Facility (Staff Analysts: Darren Kearney, Jon Thurber; Staff Attorneys: Kristen Edwards, Amanda Reiss)

On April 4, 2017, Otter Tail Power Company (Otter Tail) filed a Notice of Intent to submit an application for a permit for an energy conversion facility. Otter Tail proposes to construct, own and operate a simple-cycle combustion gas turbine consisting of one combustion turbine generator, one stack, standard equipment enclosures, balance-of-plant equipment, and associated facilities. The expected generation is approximately 250 megawatts of power during periods of high energy use. Associated facilities will include natural gas piping anticipated to be less than 1,000 feet and 345-kilovolt generation-tie, anticipated to be less than one mile in length. The energy conversion facility, known as Astoria Station, is proposed to be located in the N 1/2 of Section 22, Township 113N, Range 48 West, Scandinavia Township, Deuel County, approximately 1.5 miles northwest of Astoria, South Dakota. Otter Tail filed a map showing the anticipated affected siting area is within ten miles of the proposed energy conversion facility.

     TODAY, shall the Commission designate the affected area? AND, shall the Commission designate a local review committee as described in SDCL 49-41B-6? AND, shall the Commission grant Otter Tail’s Motion to Defer Filing of Prefiled Testimony? AND, shall the Commission grant Otter Tail’s Motion to Schedule Prehearing Conference? OR, how shall the Commission proceed?

Gas & Electric

1.     GE16-005     In the Matter of the Filing by NorthWestern Corporation dba NorthWestern Energy for Approval of 2017 South Dakota Demand Side Management Plan (Staff Analysts: Darren Kearney, Jon Thurber; Staff Attorney: Amanda Reiss)

On November 18, 2016, NorthWestern Corporation dba NorthWestern Energy (NWE) filed to revise its Demand Side Management (DSM) for 2017. Specifically, NWE requested that the Commission approve the Company’s proposed modifications to its 2017 DSM Plan and budgets. Further, NWE requested that the Commission approve the revised gas and electric Energy Efficiency Adjustment rates and tariff sheets, that account for a true-up of tracker account balances and the 2017 DSM Plan proposed budgets, with an effective date of January 1, 2017. On December 13, 2016, Commission Staff filed a letter requesting that the Commission suspend the 2017 DSM plan until March 1, 2017, and leave the current Energy Efficiency Adjustment rates in effect until otherwise ordered by the Commission. On December 21, 2016, the Commission issued an order suspending NWE’s 2017 DSM plan until March 1, 2017. On January 31, 2017, NWE filed a letter notifying the Commission of its intent to discontinue the company’s DSM program. On March 9, 2017, the Commission issued an order approving the termination of NWE’s DSM Plan and the continuation of the existing Energy Efficiency Adjustment rates until a final true-up is provided. 

     TODAY, shall the Commission approve the final true-up energy efficiency adjustment rates, with an effective date of May 1, 2017? AND, shall the Commission approve the cancellation of the Energy Efficiency Adjustment Tariffs as of June 1, 2017? OR, how shall the Commission proceed?

Natural Gas

1.     NG17-006       In the Matter of the Filing by NorthWestern Corporation dba NorthWestern Energy for Approval of Tariff Revisions regarding Excess Flow Valves for Existing Service Lines (Staff Analyst: Eric Paulson; Staff Attorney: Amanda Reiss) 

On March 31, 2017, the Commission received NorthWestern Energy’s (NorthWestern) filing for approval of tariff revisions to implement cost recovery for installation of an excess flow valve (EFV) on an existing gas line at the customer’s request. This EFV installation charge is proposed in order to implement new federal regulations issued by the United States Department of Transportation, Pipeline and Hazardous Materials Safety Administration (PHMSA). These new regulations mandate that natural gas utilities offer the installation of EFVs to existing residences and small commercial structures served from qualifying distribution systems. The new requirements were effective on April 14, 2017. NorthWestern requests an effective date of May 1, 2017.

     TODAY, shall the Commission approve the proposed tariff revisions?

Telecommunications

1.     TC13-035     In the Matter of the Application of Boomerang Wireless LLC dba enTouch Wireless for Designation as an Eligible Telecommunications Carrier (Staff Analyst: Eric Paulson; Staff Attorney: Kristen Edwards)

On April 22, 2013, the Commission received a Petition for Designation as an Eligible Telecommunications Carrier from Boomerang Wireless LLC dba enTouch Wireless (Boomerang) for the purpose of offering Lifeline services on a wireless basis throughout South Dakota, in both rural and non-rural areas pursuant to Section 214(e)(2) of the Federal Communications Act of 1937, as amended, Section 54.201 et seq. of the Rules of the Federal Communications Commission, and South Dakota Administrative Rule 20:10:32:42. On June 4, 2013, the South Dakota Telecommunications Association (SDTA) was granted intervention. On November 14, 2014, Boomerang filed an amendment to its application to remove the rural areas of the state and only include only the non-rural areas of South Dakota in this application. This amendment allowed the parties to proceed on the rural and non-rural areas in separate docket proceedings. On July 15, 2016, Boomerang filed an updated amended application for service in the non-rural areas. On April 10, 2017, the Commission deferred this docket to the April 27, 2017, Commission meeting.

     TODAY, shall the Commission grant Boomerang’s Petition for Designation as an Eligible Telecommunications Carrier for purposes of receiving federal Lifeline universal service support with respect to non-rural areas including non-rural tribal areas?

2.     TC17-009     In the Matter of the Application of ExteNet Systems, Inc. for a Certificate of Authority to Provide Local Exchange Services in South Dakota (Staff Analyst: Eric Paulson; Staff Attorney: Amanda Reiss)

On March 23, 2017, the Commission received a filing from ExteNet Systems, Inc. (ExteNet) requesting a Certificate of Authority to provide local exchange services in South Dakota to operate as a wholesale provider of competitive local exchange services, specifically non-switched dedicated Point-To-Point Private Virtual Circuit Transport Service. On April 13, 2017, the South Dakota Telecommunications Association (SDTA) filed a Petition to Intervene.

     TODAY, shall the Commission grant intervention to any party that may have filed?

3.     TC17-010     In the Matter of the Filing by Qwest Corporation dba CenturyLink QC for Approval of Revisions to its Access Service Tariff (Staff Analyst: Joseph Rezac; Staff Attorney: Amanda Reiss)

On March 31, 2017, the Commission received a filing from Qwest Corporation dba CenturyLink QC (CenturyLink) for revisions to its South Dakota Access Service Tariff. This filing proposes to remove Uniform Service Order Codes and Field Identifier Codes from the tariff as part of the consolidation and alignment of CenturyLink’s billing system. CenturyLink is also revising terms associated with cancellation of customer orders contained in this tariff. CenturyLink requests a May 1, 2017, effective date.

     TODAY, shall the Commission approve the proposed tariff revisions?

4.     TC17-011     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 Neutral Tandem-South Dakota, LLC (Staff Analyst: Joseph Rezac; Staff Attorney: Amanda Reiss)

On April 4, 2017, the Commission received a filing pursuant to 47 U.S.C. § 252, for approval of a Name Correction and Reciprocal Compensation Bill and Keep Amendment to the Interconnection Agreement between Qwest Corporation dba CenturyLink QC and Neutral Tandem, Inc. for the State of South Dakota.

     TODAY, shall the Commission approve the amendment to the Interconnection Agreement?

Items for Commission Discussion

Announcements

  1. Commissioners will attend the Center for Public Utilities’ Current Issues Forum, April 23-27, 2017, at the Eldorado Hotel, Santa Fe, New Mexico.

  2. The next regularly scheduled commission meeting will be Tuesday, May 9, 2017, at 9:30 a.m. CDT in Room 413 at the State Capitol Building, Pierre, S.D.

  3. Commissioners and staff will meet with representatives of the South Dakota Rural Electric Association on Tuesday, May 9, 2017, at 1:30 p.m. CDT in Room 413 at the State Capitol Building, Pierre, S.D. The agenda is to discuss an industry update.

  4. Commission meetings are scheduled for May 23 and June 6, 2017.

 

/s/Cindy Kemnitz       .
Cindy Kemnitz
Finance Manager
PUC Email
April 20, 2017