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South Dakota Public Utilities Commission Meeting
February 1, 2019, at 9:30 A.M. CST
Room 413, Capitol Building
Pierre, South Dakota

NOTE:  Docket participants who wish to join this meeting by conference call should contact the Commission at 605-773-3201 by 5:00 p.m. CST on Thursday, January 31, 2019, to reserve a phone line. Lines are limited and assigned 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 docket discussion at 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 webcast 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 Meetings Held on January 18, 2019 (Staff: Joy Lashley)

Consumer Reports

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

Electric

1.     EL18-019     In the Matter of the Application of Crowned Ridge Wind II, LLC for a Facility Permit to Construct a 230-kV Transmission Line and Associated Facilities in Codington County (Staff Analysts: Darren Kearney, Jon Thurber; Staff Attorney: Amanda Reiss)

On April 11, 2018, the Commission received a facility permit application from Crowned Ridge Wind II, LLC (Crowned Ridge II). Crowned Ridge II proposes to construct an approximately 7-mile 230-kilovolt generation tie line and associated substation facilities (Project) that will connect the 300 megawatt Crowned Ridge Wind II facility to the Crowned Ridge Wind facility collector substation. The planned Crowned Ridge Wind facilities will be permitted separately and are not included as a part of the Project. The generation tie line will be located in Codington County, South Dakota. The Project is expected to be in service by December 31, 2018. On December 18, 2018, Crowned Ridge II filed an update reducing the transmission line route to 5 miles. On January 8, 2019, staff and Crowned Ridge II filed a Settlement Stipulation and a Joint Motion for Approval of Settlement Stipulation. On January 11, 2019, staff filed Applicant’s responses to staff’s data requests.

     TODAY, shall the grant the Joint Motion for Approval of the Settlement Stipulation? Or, how shall the Commission proceed?

2.     EL18-029     In the Matter of the Application of Black Hills Power Inc., dba Black Hills Energy for Approval of Its Tax Cut and Jobs Act Proposal (Staff Analysts: Brittany Mehlhaff, Patrick Steffensen; Staff Attorney: Kristen Edwards)

On December 21, 2017, the Commission received a filing from Commission staff (staff) requesting a docket (Docket GE17-003) be opened to investigate the Tax Cuts and Jobs Act (TCJA) on South Dakota utilities. Staff also filed a Motion Requesting Order Requiring Comments and Securing Tax Effects for Customers as of January 1, 2018 (Motion). In the Motion, staff requested the Commission investigate the effect the TCJA will have on South Dakota utilities and requested the Commission issue an order requiring utilities to submit comments on the effect the TCJA will have on each utility. Additionally, staff requested the Commission issue an order that any adjustment to rates due to the TCJA will be effective on January 1, 2018. On December 29, 2017, the Commission issued an Order Requiring Comments; Order Requiring Rates in Effect January 1, 2018, are Subject to Refund; Order Granting Intervention. On January 29, 2018, NorthWestern Energy submitted initial comments and on February 1, 2018, Black Hills Energy, Montana-Dakota Utilities Co., MidAmerican Energy, Xcel Energy, and Otter Tail Power Co. filed initial comments. On June 29, 2018, Black Hills Energy filed (Docket EL18-029) a proposal to refund the 2018 TCJA customer benefits to ratepayers, reduce rates effective January 1, 2019, for future TCJA tax expense reductions, and revise base rate customer charges. On August 28, 2018, staff and Black Hills Energy filed a Joint Motion for Approval of Settlement Stipulation and Settlement Stipulation. On September 7, 2018, the Commission issued an Order Granting Joint Motion for Approval of Settlement Stipulation; Order Approving Settlement Stipulation. On December 14, 2018, Black Hills Energy submitted a compliance filing regarding 2019 base rate reductions, including revised tariff pages. On December 28, 2018, the Commission issued an Order Approving Revised Rates and Associated Tariff Revisions on Less Than 30 Days’ Notice. On January 14, 2019, Black Hills Energy submitted a proposal for a second one-time February 2019 bill credit to true-up its 2018 TCJA customer benefits.

     TODAY, shall the Commission approve Black Hills Energy’s proposal for a second one-time February 2019 bill credit to true-up its 2018 TCJA customer benefits?

3.     EL18-045     In the Matter of the Application of Flying Cow Wind, LLC for a Facility Permit to Construct a 345 kV Transmission Line and Associated Facilities in Deuel County (Staff Analysts: Darren Kearney, Jon Thurber; Staff Attorney: Amanda Reiss)

On October 24, 2018, the Commission received an Application for a facility permit from Flying Cow Wind, LLC, a wholly-owned subsidiary of Roaring Fork Wind, LLC (Flying Cow), to construct an approximately 10.42-mile 345 kV overhead transmission line, a substation, and associated facilities (Project) in Deuel County, South Dakota. The starting point for the Project is proposed to be located in Government Lot 2 of Section 34 in Township 114N, Range 47W, Norden Township. The ending point will be in the NW ¼ of Section 22, Township 113N, Range 48 West, Scandinavia Township. The Project is expected to be in service by the third quarter of 2020. On January 14, 2019, Flying Cow filed a letter indicating that the company failed to provide notice to the six owners of five parcels within 0.5 mile of the proposed route prior to the public input hearing in accordance with the statutory requirement. Flying Cow indicated that notice has now been provided to these six property owners via certified mail and telephone.

     TODAY, how shall the Commission proceed?

4.     EL18-053     In the Matter of the Application of Deuel Harvest Wind Energy LLC for a Permit of a Wind Energy Facility and a 345-kV Transmission Line in Deuel County (Staff Analysts: Darren Kearney, Jon Thurber; Staff Attorneys: Kristen Edwards, Amanda Reiss)

On November 30, 2018, Deuel Harvest Wind Energy LLC filed an application to construct the Deuel Harvest North Wind Farm and 345 kV transmission line (Project), a wind energy facility located on approximately 48,730 acres of land in Deuel County, South Dakota, in the townships of Portland, Lowe, Altamont, Glenwood, and Herrick, South Dakota. The total installed capacity of the Project would not exceed 310.1 MW nameplate capacity. The proposed project includes up to 112 wind turbine generators, access roads to turbines and associated facilities, underground electrical power collector lines connecting the turbines to the collection substation, an operation and maintenance facility, and temporary construction areas, including crane paths, public road improvements, a laydown yard, and a concrete batch plant(s) (as needed), and four permanent meteorological towers. The Project would interconnect to the regional electric grid along the Big Stone to Brookings transmission line via a new substation located in Glenwood Township. The Project will result in the installation of approximately 150-feet of overhead transmission line. A public input hearing was held on January 24, 2019, in Clear Lake, South Dakota. According to the Application, Applicant is actively marketing the sale of electricity from the Project to third parties. Applications for party status can be found on the Commission’s website and are due to the Commission by January 29, 2019.

     TODAY, shall the Commission grant intervention to those who have filed? AND, shall the Commission issue a procedural schedule?

5.     EL18-057     In the Matter of the Request for Approval of an Electric Service Territory Boundary Agreement between Montana-Dakota Utilities Co. and Cam-Wal Electric Cooperative, Inc. (Staff Analyst: Darren Kearney; Staff Attorney: Amanda Reiss)

On December 14, 2018, Commission staff (staff) filed an Electric Service Territory Boundary Agreement between Montana-Dakota Utilities Co. and Cam-Wal Electric Cooperative, Inc. This filing is made pursuant to current efforts of the Commission to verify electric territory mapping data for conversion to electronic format and use in a Geographic Information System (GIS) database. With the assistance of the above-referenced utilities, staff has confirmed the service territory boundary shared by these utilities and has prepared updated mapping information. Staff asks for approval of the agreement to update official mapping data to properly reflect the service territory boundaries shared by the utilities in this docket.

     TODAY, shall the Commission approve the proposed electric service territory boundary agreement?

6.     EL18-061     In the Matter of Randall Community Water District’s Petition for a Declaratory Ruling Determining if South Dakota Law Would Allow Petitioner to Develop and Own Its Own Renewable Energy Generation System (Staff Analysts: Eric Paulson, Joseph Rezac; Staff Attorney: Kristen Edwards)

On December 19, 2018, the Commission received a Petition for a Declaratory Ruling from Randall Community Water District (RCWD) to determine if South Dakota law would allow RCWD to develop and own its own renewable energy generation system. On January 22, 2019, Charles Mix Electric Association, Inc.; Basin Electric Power Cooperative; East River Electric Power Cooperative, Inc.; South Dakota Electric Utility Companies; and South Dakota Rural Electric Association were granted intervention. The Commission set oral arguments in this matter for February 1, 2019.

     TODAY, shall the Commission issue a Declaratory Ruling as requested by the Randall Community Water District? OR, how shall the Commission proceed?

Items for Commission Discussion

Public Comment

Individuals who wish to make public comments to the commission may do so in person during this time. All who offer public comment are requested to sign in at the commission meeting. Time limits for comments may be determined at the discretion of the chairman.

Announcements

  1. A public input hearing for docket EL18-059 - In the Matter of the Application of Lookout Solar Park I, LLC for a Permit of a Solar Energy Facility in Oglala Lakota County, will be held Wednesday, February 6, 2019, at 5:30 p.m. MST in the Hermosa School Gymnasium, 11 Fourth Street, Hermosa, South Dakota.

  2. The next regular commission meeting will be Friday, February 15, 2019, at 9:30 a.m. CST in Room 413 at the State Capitol Building, Pierre, South Dakota.

  3. The PUC office will be closed Monday, February 18, 2019, in observance of Presidents Day.

  4. PUC commissioners and staff will meet with consumers at the Sioux Empire Home Show, February 22-24, 2019, at the Sioux Falls Convention Center & Arena, Sioux Falls, South Dakota.

  5. Commission meetings are scheduled for March 1 and 19, 2019.

/s/Leah Mohr      .
Leah Mohr
Deputy Executive Director
PUC Email
January 25, 2019