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South Dakota Public Utilities Commission Meeting
August 21, 2019, at 1:30 P.M. CDT
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 10:00 a.m. CDT on Wednesday, August 21, 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 Minutes of the Commission Meeting Held on August 6, 2019, and the Ad Hoc Meeting held on August 7, 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.      EL13-028     In the Matter of the Application of Montana-Dakota Utilities Co. and Otter Tail Power Company for a Permit to Construct the Big Stone South to Ellendale 345 kV Transmission Line (Staff Analyst: Darren Kearney; Staff Attorney: Karen Cremer)

On August 23, 2013, Montana-Dakota Utilities Co., a division of MDU Resources, and Otter Tail Power Company (Applicants) filed an application for a permit to construct a 345-kV transmission line of approximately 150 to 160 miles in Brown, Day, and Grant counties to the Big Stone South Substation in Grant County, South Dakota, near Big Stone City. On August 13, 2014, the Commission voted to grant the Joint Motion for Approval of Settlement Stipulation with provisions in addition to what is set forth in Condition 17 of the Amended Settlement Stipulation. On September 8, 2015, Applicants submitted a bond to the commission as required by SDCL 49-41 B-38 for the Project. On August 5, 2019, Applicants filed a Motion for Release of Road and Public Infrastructure Restoration Bond. Applicants stated that the construction of the Project was completed in December 2018 and the line was placed in service in February of 2019. The restoration of any road damage has been completed. Applicants have received signed releases from Brown, Day, and Grant counties along with all townships acknowledging that all of the roads have been restored to preconstruction levels.

     TODAY, shall the Commission grant the Motion for Release of Road and Public Infrastructure Restoration Bond and authorize the executive director or commission counsel to execute any necessary release documents to release the bond?

2.      EL19-025     In the Matter of Otter Tail Power Company’s Petition for Approval of Phase-In Rider Rate (Staff Analysts: Brittany Mehlhaff, Patrick Steffensen; Staff Attorney: Kristen Edwards)

On May 31, 2019, the commission received a petition by Otter Tail Power Company (Otter Tail) pursuant to SDCL 49-34A-73 for authority to implement a phase-in rate increase for its South Dakota customers to recover actual and forecasted costs for its Astoria Station and Merricourt Wind projects and forecasted net benefits associated with additional load in the Lake Norden, South Dakota, area. Astoria Station is a natural gas-fired power plant that will be constructed near Astoria, South Dakota, that will provide 245 MW of generation to Otter Tail. The Merricourt Wind project consists of 75 wind turbines approximately 15 miles south of Edgeley, North Dakota, in McIntosh and Dickey counties, that will provide 150 MW of generation to Otter Tail. Otter Tail states a typical residential electric customer using an average of 1,000 kWh per month would see an increase of $2.40 per month resulting from this filing. Otter Tail proposes a “percent of bill” Phase-In rate of 3.942 percent of base rates, effective September 1, 2019. On August 2, 2019, Otter Tail submitted a Supplemental Filing reflecting changes identified by Otter Tail and staff, resulting in a revised proposed charge of 3.345 percent of base rates.
     
     TODAY, shall the Commission approve Otter Tail Power Company’s Phase-In Rider Rate and revised tariff sheets with an effective date of September 1, 2019?

3.      EL19-026     In the Matter of the Application by Tatanka Ridge Wind, LLC for a Permit of a Wind Energy Facility in Deuel County, South Dakota (Staff Analysts: Darren Kearney, Jon Thurber, Joseph Rezac; Staff Attorneys: Kristen Edwards, Amanda Reiss, Mikal Hanson)

On June 17, 2019, the South Dakota Public Utilities Commission (Commission) received an Application for a Facility Permit (Application) from Tatanka Ridge Wind, LLC (Tatanka or Applicant), a subsidiary of Avangrid Renewables, LLC. Tatanka proposes to construct a wind energy facility to be located in Deuel County, South Dakota, known as the Tatanka Ridge Wind Project (Project). The Project would be situated within an approximately 27,900-acre project area, located near the towns of Toronto and Brandt (Project Area). The Project Area is in Blom, Brandt, Grange, Hidewood, and Scandinavia Townships. The total installed capacity of the Project would be approximately 155 megawatts (MW) of nameplate capacity. The proposed Project includes up to 56 wind turbine generators, access roads to turbines and associated facilities, above/underground electrical collector lines, communication systems, a collection substation, one permanent meteorological tower, less than 0.5-mile long 345-kV gen-tie transmission line, and an operations and maintenance facility. The Project would interconnect to the regional electric grid via the Astoria substation, a new Otter Tail Power Company interconnection substation scheduled to be operational in 2020, located in Scandinavia Township. Tatanka has entered into two purchase power agreements, one with Google for 98 MW and one with Dairyland Power Cooperative for the balance. The Project is expected to be completed in 2020. Applicant estimates the total construction cost to be $216 million. A public input hearing was held on August 7, 2019.

     TODAY, shall the Commission grant party status to any person who may have filed? OR, how shall the Commission proceed?

4.      EL19-027     In the Matter of the Application by Crowned Ridge Wind II, LLC for a Permit of a Wind Energy Facility in Deuel, Grant and Codington Counties (Staff Analysts: Darren Kearney, Jon Thurber, Eric Paulson; Staff Attorney: Kristen Edwards, Amanda Reiss, Mikal Hanson)

On July 9, 2019, the South Dakota Public Utilities Commission (Commission) received an Application for a Wind Energy Facility Permit (Application) from Crowned Ridge Wind II, LLC (CRW II), a subsidiary of NextEra Energy Resources, LLC. CRW II proposes to construct a wind energy facility to be located in Codington, Deuel and Grant counties, South Dakota (Project). The Project would be situated within an approximately 60,996-acre project area, located east of the city of Watertown (Project Area). The Project Area is in Waverly, Kranzburg North, Kranzburg South, Troy, Rome, Goodwin, and Havana townships. The total installed capacity of the Project would be approximately 301 megawatts of nameplate capacity. The proposed Project includes up to 132 wind turbine generators, access roads to turbines and associated facilities, underground 34.5 kV electrical collector lines, underground fiber-optic cable, a 34.5-kV to 230-kV collection substation, up to two permanent meteorological towers, and an operations and maintenance facility. The Project would interconnect to the electric grid at the Big Stone South 230-kV Substation using the Crowned Ridge II 5-mile 230-kV transmission line that was approved in Docket EL18-019 and the Crowned Ridge 34-mile generation tie line that was approved in Docket EL17-050. The Project is expected to be completed in 2020. CRW II has executed a purchase and sale agreement with Northern States Power Company dba Xcel Energy (NSP) to sell NSP the Project upon commercial operation. CRW II estimates the total construction cost to be $425 million. On July 31, 2019, Amber Christenson, Allen Robish, and Kristi Mogen were granted Party Status. On August 6, 2019, Garry Ehlebracht, Steven Greber, Mary Greber, Richard Rall, Amy Rall and Laretta Kranz filed an Application for Party Status. On August 6, 2019, CRW II requested that pages 3-6 of the Application for Party Status be redacted pursuant to ARSD 20:10:01:39 (4) and SDCL 15-6-26 (c) (7). On August 7, 2019, the proposed intervenors filed a letter in response to CRW II’s redaction request.

     TODAY, shall the Commission grant party status to those who have filed? OR, how shall the Commission proceed?

Telecommunications

1.      In the Matter of the Request for Certification Regarding the Use of Federal Universal Service Support in Dockets TC19-032, TC19-033 and TC19-035

     TC19-032     In the Matter of the Request of West River Cooperative Telephone Company Certification Regarding Its Use of Federal Universal Service Support (Study Area 391689) (Staff Analyst: Lorena Reichert; Commission Attorney: Adam de Hueck)

On June 27, 2019, the Commission received an application from West River Cooperative Telephone Company (Company) 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. On July 22 and 30, 2019, the Company responded to staff’s data request.

     TC19-033     In the Matter of the Request of Midcontinent Communications for Certification Regarding Its Use of Federal Universal Service Support (Study Area: 399005) (Staff Analyst: Lorena Reichert; Commission Attorney: Karen Cremer)

On June 27 and 28, 2019, the Commission received an application from Midcontinent Communications (Company) 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. On July 26, 2019, the Company responded to staff’s data request.

     TC19-035     In the Matter of the Request of RC Technologies for Certification Regarding Its Use of Federal Universal Service Support (Study Area: 391674) (Staff Analyst: Lorena Reichert; Commission Attorney: Karen Cremer)

On June 28, 2019, the Commission received an application from RC Technologies (Company) 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. On July 24, 2019, the Company responded to staff’s data request.

     TODAY, shall the Commission provide a certification to the Federal Communications Commission and to the Universal Service Administration Company regarding the use of Federal Universal Service Support in each of the above dockets?

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. PUC commissioners and staff will meet with representatives of Xcel Energy on Thursday, August 22, 2019, at 9:00 a.m. CDT in Room 413 the State Capitol Building, Pierre, South Dakota. The agenda includes discussion about Xcel’s integrated resource plan, a nuclear update and new Xcel leadership introductions.

  2. A public input meeting for docket EL19-027 – In the Matter of the Application by Crowned Ridge Wind II, LLC for a Permit of a Wind Energy Facility in Deuel, Grant and Codington Counties will be held Monday, August 26, 2019, at 5:30 p.m. CDT in the Whitewood Room at the Watertown Event Center, 1901 Ninth Avenue SW, Watertown, South Dakota.

  3. Commissioners and staff will meet with consumers at the PUC booth in the Expo Building at the South Dakota State Fair, August 29–September 2, 2019, in Huron, South Dakota.

  4. The PUC office will be closed Monday, September 2, 2019, in observance of the Labor Day holiday.

  5. The next regular commission meeting will be Tuesday, September 3, 2019, at 1:30 p.m. CDT in Room 413 at the State Capitol Building, Pierre, South Dakota.

  6. Commission meetings are scheduled for September 17 and October 1, 2019.


/s/Cindy Kemnitz       .
Cindy Kemnitz
Finance Manager
PUC Email
August 14, 2019