South Dakota Public Utilities Commission Meeting
June 26, 2018, 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 10:00 a.m. CDT on Monday, June 25, 2018. 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.
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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
Consumer Reports
1. Status Report on Consumer Utility Inquiries and Complaints Received by the Commission (Consumer Affairs: Deb Gregg)
Electric
1. EL18-022 In the Matter of Otter Tail Power Company’s 2017 South Dakota Energy Efficiency Plan Status Report and 2018 Annual Filing to Update the Energy Efficiency Adjustment Rider (Staff Analyst: Lorena Reichert; Staff Attorney: Amanda Reiss)
On May 1, 2018, Otter Tail Power Company (Otter Tail) filed its 2017 Energy Efficiency Plan Status Report and 2018 Annual Filing to update the Energy Efficiency Adjustment Rider. Specifically, Otter Tail requests that the Commission approve its 2017 Status Report, the 2017 financial incentive of $134,700, and the proposed Energy Efficiency Adjustment Factor of $0.00155/kWh with an effective date of July 1, 2018.
TODAY, shall the Commission approve Otter Tail Power Company’s 2017 Energy Efficiency Plan Status Report? AND, shall the Commission approve the 2017 Financial Incentive of $134,700? AND, shall the Commission approve the proposed Energy Efficiency Adjustment Factor of $0.00155/kWh with an effective date of July 1, 2018?
2. EL18-025 In the Matter of the Joint Request for Service Rights Exception between Codington-Clark Electric Cooperative, Inc., and H-D Electric Cooperative, Inc. (Staff Analyst: Lorena Reichert; Staff Attorney: Amanda Reiss)
On May 21, 2018, the Commission received a Petition for Approval and a Consent and Agreement for Electric Service between Codington-Clark Electric Cooperative (Codington-Clark) and H-D Electric Cooperative, Inc. (H-D) to allow Codington-Clark to provide electric service to an irrigation system within the Northwest Quarter of Section 3 in Township 115 North, Range 52 West, 5th P.M., Hamlin County, located in H-D’s territory. On April 27, 2018, the landowners executed a Request and Consent. The companies responded to staff’s data request on June 14, 2018.
TODAY, shall the Commission approve the requested service rights exception between Codington-Clark Electric Cooperative and H-D?
3. EL18-027 In the Matter of the Petition of Northern States Power Company dba Xcel Energy or Approval of Deferred Accounting for Certain Biomass Transaction Costs (Staff Analysts: Brittany Mehlhaff, Patrick Steffensen; Staff Attorney: Kristen Edwards)
On May 31, 2018, the Commission received a Petition by Northern States Power Company dba Xcel Energy (Xcel) requesting the approval of the use of deferred accounting and the establishment of regulatory assets for certain biomass and biogas transactions. If approved, Xcel would defer recognition of transactional costs, as well as associated plant closing and related costs, in conjunction with the termination of two biomass power purchase agreements and one biogas power purchase agreement.
TODAY, shall the Commission allow Xcel Energy to use deferred accounting and establish regulatory assets for costs incurred as a result of the termination of the two biomass and one biogas power purchase agreements?
4. EL18-028 In the Matter of the Petition of Northern States Power Company dba Xcel Energy for Extension of Test Period (Staff Analysts: Brittany Mehlhaff, Patrick Steffensen; Staff Attorney: Kristen Edwards)
On June 19, 2018, the Commission received a Petition for Extension of Test Period from Northern States Power Company dba Xcel Energy (Xcel) requesting an extension of time beyond the test period to file an application for increase in its electric rates. Xcel requests to be allowed to file a general rate increase application on or before September 1, 2018, based on a 2017 calendar year test period. ARSD 20:10:13:44 requires the use of a test period consisting of 12 months of actual experience ending no earlier than six months before the date of filing unless good cause for extension is shown.
TODAY, shall the Commission approve the Petition for Extension of a Test Period?
Hydrocarbon Pipelines
1. HP09-001 In the Matter of the Application by TransCanada Keystone Pipeline, LP for a Permit under the South Dakota Energy Conversion and Transmission Facility Act to Construct the Keystone XL Project. (Staff Attorney: Kristen Edwards)
On March 12, 2009, TransCanada Keystone Pipeline, LP, (Keystone) filed a siting permit application for the South Dakota portion of the proposed Keystone XL Project (Project). On June 29, 2010, Keystone was granted a permit to construct the Project. On January 21, 2016, in docket HP14-001, the Commission issued a Final Decision and Order Finding Certification Valid and Accepting Certification. On June 15, 2018, Keystone filed Applicant’s Motion to Approve Indemnity Bond pursuant to SDCL 49-41B-38 and Condition 23(f) of the Amended Final Decision and Order.
TODAY, shall the Commission issue an order approving the bond? OR, how shall the Commission proceed?
Natural Gas
1. NG17-009 In the Matter of the Application of South Dakota Intrastate Pipeline Company for Authority to Increase its Natural Gas Rates (Staff Analysts: Brittany Mehlhaff, Patrick Steffensen, Eric Paulson; Staff Attorneys: Kristen Edwards, Amanda Reiss)
On June 1, 2017, South Dakota Intrastate Pipeline Company (SDIP) filed with the Commission a Letter of Transmittal requesting authority to increase its natural gas rates. On June 22, 2017, Montana-Dakota Utilities Co. (MDU) filed a Petition to Intervene. The Commission issued an Order Granting Intervention on July 6, 2017. On June 29, 2017, SDIP filed a confidential application for authority to increase its natural gas rates. On July 11, 2017, MDU filed a Motion for Commission Review requesting the Commission strike SDIP’s claim of confidentiality made in its June 29, 2017, letter and open the docket submissions to MDU and the public for review. The Commission issued an Order Granting Motion for Commission Review and Making the Application Public on August 8, 2017. On October 2, 2017, staff filed a Motion for Adoption of Procedural Schedule in the docket. On October 4, 2017, staff filed a letter regarding the Motion for Adoption of Procedural Schedule Evidentiary Hearing Dates. On October 16, 2017, the Commission issued an Order Establishing Partial Procedural Schedule; Order Requiring Discovery Responses Within Ten Business Days. On October 30, 2017, the Commission issued an Order Establishing Procedural Schedule. On March 2, 2018, the Commission issued an Order Granting Late Filed Intervention; Amending Procedural Schedule, granting intervention to Ring-neck Energy & Feed, LLC dba Ring-neck Energy, LLC (Ring-neck). On March 27, 2018, staff filed a letter requesting that the procedural schedule be suspended. On May 29, 2018, staff filed a Motion for a Second Procedural Schedule. On June 19, 2018, the Commission issued an Order Granting Motion for Second Procedural Schedule; Order Establishing Second Procedural Schedule. On June 20, 2018, staff, SDIP, MDU and Ring-neck filed a Joint Motion for Approval of Settlement Stipulation and Settlement Stipulation, and staff filed its Memorandum.
TODAY, shall the Commission grant the Joint Motion for Approval of Settlement Stipulation and approve the rates, tariff sheets, terms and conditions stipulated therein? OR, how shall the Commission proceed?
Telecommunications
1. TC17-073 In the Matter of Telnyx's Failure to Timely Pay the Gross Receipts Tax (Finance Manager: Cindy Kemnitz; Staff Attorney: Kristen Edwards)
On December 6, 2017, the Commission issued an Order for and Notice of Show Cause Hearing for Telnyx’s failure to timely pay the gross receipts tax. On January 19, 2018, the Commission granted a continuance in this docket. At the June 26, 2018, Commission Meeting, the parties intend to present additional information and request the docket be closed.
TODAY, how shall the Commission proceed?
2. TC18-012 In the Matter of the Application of Intermedia Voice Services, Inc. for a Certificate of Authority to Provide Local Exchange and Interexchange Long Distance Services in South Dakota (Staff Analyst: Eric Paulson; Staff Attorney: Amanda Reiss)
On April 30, 2018, the Commission received a filing from Intermedia Voice Services, Inc. (Intermedia) for a Certificate of Authority to provide local exchange and interexchange long distance services in South Dakota. On June 6, 2018, Intermedia filed a Letter regarding Withdrawal of Application.
TODAY, shall the Commission grant Intermedia Voice Services, Inc’s request for Withdrawal of Application?
3. TC18-013 In the Matter of the Petition by the Department of Public Safety/9-1-1 Coordination Board for a Declaratory Ruling Determining Competitive Local Exchange Carrier Processes for Requesting 9-1-1 Traffic Delivery from Rural Local Exchange Carriers (Staff Analysts: Patrick Steffensen, Joseph Rezac; Staff Attorney: Amanda Reiss)
On May 11, 2018, the Commission received a Petition for a Declaratory Ruling from the South Dakota Department of Public Safety, 9 1 1 Coordination Board, to resolve the following issue: Does South Dakota law require bona fide requests as a prerequisite to determining if rural local exchange carrier (RLEC) exemptions do or do not apply when a competitive local exchange carrier (CLEC) is requesting delivery of 9-1-1 traffic from an RLEC, assuming voluntary agreements are not feasible? On May 31, 2018, the South Dakota Telecommunications Association (SDTA) filed a petition to intervene in the docket. On June 1, 2018, NextGen Communications, Inc. (NextGen) filed a petition to intervene in the docket and staff filed a letter regarding a proposed procedural schedule. On June 1, 2018, South Dakota Network, LLC filed comments. At the June 12, 2018, Commission meeting, the Commission granted intervention to NextGen and SDTA. On June 14, 2018, the South Dakota Department of Public Safety, 9 1 1 Coordination Board filed a document indicating the Board has no initial comments. On June 18, 2018, Staff and SDTA filed initial comments. On June 18, 2018, NextGen filed initial comments and a Motion to Dismiss.
TODAY, shall the Commission grant NextGen’s Motion to Dismiss? OR, shall the Commission issue a Declaratory Ruling? OR, how shall the Commission proceed?
4. TC18-014 In the Matter of the Application of SQF, LLC for a Certificate of Authority to Provide Local Exchange in South Dakota (Staff Analyst: Eric Paulson; Staff Attorney: Kristen Edwards)
On May 16, 2018, the Commission received a filing from SQF, LLC (SGF) for a Certificate of Authority to provide local exchange services in South Dakota. SQF intends to provide wholesale local exchange services primarily to business and other entity customers such as wireless carriers, emergency responders, backhaul providers, public safety agencies, etc. Applicant does not intend to provide its services to residential customers. On May 30, 2018, SQF responded to staff’s data request.
TODAY, shall the Commission grant SQF, LLC’s request for a certificate of authority to provide local exchange services in South Dakota?
5. TC18-015 In the Matter of the Approval of a Wireline Interconnection Agreement between Qwest Corporation dba CenturyLink QC and Peerless Network of South Dakota, LLC (Staff Analyst: Joseph Rezac; Staff Attorney: Kristen Edwards)
On May 17, 2018, the Commission received a filing pursuant to 47 U.S.C. § 252 for approval of the Wireline Interconnection Agreement between Qwest Corporation dba CenturyLink QC and Peerless Network of South Dakota, LLC.
TODAY, shall the Commission approve the interconnection agreement?
6. TC18-016 In the Matter of the Approval of a Third-Party Transit Provider Amendment to the Interconnection Agreement between Qwest Corporation dba CenturyLink QC and Peerless Network of South Dakota, LLC (Staff Analyst: Joseph Rezac; Staff Attorney: Kristen Edwards)
On May 17, 2018, the Commission received a filing pursuant to 47 U.S.C. § 252 for approval of a Third-Party Transit Provider Amendment to the Interconnection Agreement between Qwest Corporation dba CenturyLink QC (CenturyLink) and Peerless Network of South Dakota, LLC. The purpose of the amendment is to provide the conditions under which CenturyLink and Peerless Network of South Dakota, LLC may use a Third-Party Transit Provider to indirectly exchange traffic between their networks.
TODAY, shall the Commission approve the Amendment to the Interconnection Agreement?
7. TC18-017 In the Matter of the Approval of a Carrier Partner for Interconnected VoIP Provider Amendment to the Interconnection Agreement between Qwest Corporation dba CenturyLink QC and Peerless Network of South Dakota, LLC (Staff Analyst: Joseph Rezac; Staff Attorney: Kristen Edwards)
On May 17, 2018, the Commission received a filing pursuant to 47 U.S.C. § 252 for approval of an Interconnected VoIP Provider Amendment to the Interconnection Agreement between Qwest Corporation dba CenturyLink QC (CenturyLink) and Peerless Network of South Dakota, LLC (Peerless). Peerless wishes to act as a Carrier Partner for an Interconnected VoIP Provider by providing a switch and combining their traffic with the Interconnected VoIP Provider’s VoIP-PSTN Traffic. Peerless then wishes to exchange such traffic with CenturyLink according to the terms of this Amendment.
TODAY, shall the Commission Approve the Amendment to the Interconnection Agreement?
8. TC18-019 In the Matter of the Request of Red River Rural Telephone Association dba Red River Communications for Certification Regarding its Use of Federal Universal Service Support (Study Area: 381631) (Staff Analyst: Lorena Reichert; Staff Attorney: Amanda Reiss)
On May 30, 2018, the Commission received a letter from Red River Rural Telephone Association dba Red River Communications (Company) requesting the Commission grant a waiver of the Commission’s ETC filing requirements pursuant to ARSD 20:10:32:56, on the grounds that the reporting requirements are unduly burdensome. The Company has one customer, with fiber deployed to the customer.
TODAY, shall the Commission grant the waiver and provide a certification to the Federal Communications Commission and to the Universal Service Administration Company regarding the use of Federal Universal Service Support?
9. TC18-022 In the Matter of the Application of Valley Communications, Inc. dba Valley FiberCom for a Certificate of Authority to Provide Local Exchange and Interexchange Long Distance Services in South Dakota (Staff Analyst: Eric Paulson; Staff Attorney: Amanda Reiss)
On June 7, 2018, Valley Communications, Inc. dba Valley FiberCom (Valley) filed an Application for a Certificate of Authority to provide local exchange and interexchange long distance services in South Dakota. In the application, Valley seeks to provide services to business and residential customers in the Volga, Arlington, Lake Preston and De Smet exchanges, currently served by CenturyLink. On June 19, 2018, Midcontinent Communications filed a Petition to Intervene in the docket.
TODAY, shall the Commission grant Midcontinent Communication’s Petition to Intervene?
Items for Commission Discussion
Announcements
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The PUC office will be closed Wednesday, July 4, 2018, in observance of the Independence Day holiday.
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The next regular commission meeting will be Tuesday, July 10, 2018, at 9:30 a.m. CDT in Room 414 at the State Capitol Building, Pierre, S.D.
- A public input hearing for docket EL18-026 – In the Matter of the Application by Prevailing Wind Park, LLC for a Permit of a Wind Energy Facility in Bon Homme County, Charles Mix County and Hutchinson County, South Dakota, for the Prevailing Wind Park Project will be held Thursday, July 12, 2018, at 5:30 p.m. CDT in the Avon School Gymnasium, 210 N. Pine St., Avon, S.D.
- Commissioners will attend the National Association of Regulatory Utility Commissioners’ Summer Policy Summit July 15-18, 2018, at the Fairmont Scottsdale Princess, Scottsdale, Arizona.
- Commission meetings are scheduled for July 26 and August 7, 2018.
/s/Cindy Kemnitz .
Cindy Kemnitz
Finance Manager
PUC Email
June 20, 2018