South Dakota Public Utilities Commission Meeting
February 18, 2020, at 1:30 P.M. CST
Matthew Training Center, Foss 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. CST on Tuesday, February 18, 2020, 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
Consumer Reports
1. Status Report on Consumer Utility Inquiries (Consumer Affairs: Deb Gregg)
Electric
1. EL18-046 In the Matter of the Application of Dakota Range III, LLC for a Permit of a Wind Energy Facility and a 345-kV Transmission Line in Grant and Roberts Counties (Staff Analysts: Darren Kearney, Jon Thurber; Staff Attorney: Amanda Reiss)
On October 26, 2018, Dakota Range III, LLC (Dakota Range III) filed an application to construct an approximately 8-mile 345-kilovolt interconnection transmission line and an up-to 151.2-megawatt wind energy conversion facility (Project). The Project will be in Grant County and Roberts County, South Dakota, with the wind portion in an 18,717-acre area. The transmission line will run from the Project’s substation located in section 13 of Blooming Valley Township, outside the public right of way along 455th Avenue, turning east on Farmington Township’s 150th Street to the Otter Tail Power Company switchyard located in section 14 of Mazeppa Township. The Project is expected to be in service by December 31, 2020, with a total of up to 42 wind turbines and associated facilities. Dakota Range III estimates the total cost of the proposed Project to be approximately $200 million. On February 7, 2019, Dakota Range III and staff filed a Joint Motion for Approval of a Settlement Stipulation and a Settlement stipulation. On February 22, 2019, the Commission issued an Order Granting Joint Motion of Approval of Settlement Stipulation and Granting Permits to Construct Facilities (Permit). On January 27, 2020, Dakota Range III filed a Letter and Affidavit of Jonathan Koehn in Support of Request for Approval of Turbine Model Change, requesting that the Commission approve a material change pursuant to Condition 22 of the Permit to allow the use of the Nordex N149-4.8 turbine model.
TODAY, shall the Commission grant Dakota Range III’s Request for a material change and allow the change of turbine model?
2. EL19-002 In the Matter of the Petition of Northern States Power Company dba Xcel Energy for Approval of a Credit Mechanism for Payments from the Second Extended Department of Energy Settlement (Staff Analysts: Patrick Steffensen, Joseph Rezac; Staff Attorney: Amanda Reiss)
On January 22, 2019, Northern States Power Company dba Xcel Energy (NSP) filed for approval of a credit mechanism for funds received pursuant to an extended Settlement with the United States Department of Energy (DOE) for DOE’s partial breach of its contract to take spent nuclear fuel. On February 22, 2019, the Commission issued an order approving continuation of the credit mechanism and associated bill credit. This order allowed for a delay in the bill credits associated with the 9th DOE payment but ordered the credits for the 10th and 11th DOE payments be made in a timely manner consistent with the Commission’s orders in Docket EL11-023 and Docket EL16-001. On January 22, 2020, NSP petitioned for a waiver to allow for an additional 90 days to complete the return of the 10th DOE refund due to NSP’s previously scheduled refunds and its billing system’s ability to handle only one refund at a time. The gross amount available for credit in the 10th payment is approximately $31.1 million on a total NSP system basis, or $1,709,442 on a South Dakota jurisdictional basis.
TODAY, shall the Commission approve Northern States Power's waiver request for an additional 90 days to complete the 10th DOE refund?
3. EL19-003 In the Matter of the Application by Crowned Ridge Wind, LLC for a Permit of a Wind Energy Facility in Grant and Codington Counties (Staff Analysts: Darren Kearney, Jon Thurber, Eric Paulson; Staff Attorneys: Kristen Edwards, Amanda Reiss)
On January 30, 2019, Crowned Ridge Wind, LLC (Crowned Ridge or Applicant) filed an application for a permit to construct a wind energy conversion facility to be located in Grant County and Codington County, South Dakota (Project). The Project would be situated on approximately 53,186 acres in the townships of Waverly, Rauville, Leola, Germantown, Troy, Stockholm, Twin Brooks, and Mazeppa, South Dakota. The total installed capacity of the Project would not exceed 300 megawatts of nameplate capacity. The proposed Project includes up to 130 wind turbine generators, access roads to turbines and associated facilities, underground 34.5-kilovolt (kV) electrical collector lines, underground fiber-optic cable, a 34.5-kV to 345-kV collection substation, one permanent meteorological tower, and an operations and maintenance facility. The Project will utilize the Crowned Ridge 34-mile 230-kV generation tie line and a new reactive power compensation substation to transmit the generation from the Project’s collector substation to the Project’s point of interconnection located at the Big Stone South 230-kV Substation, which is owned by Otter Tail Power Company. Applicant has executed a power purchase agreement with Northern States Power Company (NSP) to sell NSP the full output of the Project. On July 26, 2019, the Commission issued a Final Decision and Order Granting Permit to Construct Facility; Notice of Entry (Permit). On January 9, 2020, the Commission issued an Order Granting Temporary Waiver that approved Crowned Ridge to operate temporarily without low noise trailing edge blade attachments installed on all turbine blades subject to the curtailment of certain turbines and Crowned Ridge conducting post construction noise compliance testing in accordance with Condition 26 of the Permit. Pursuant to Condition 26, the post construction noise compliance test protocol must be approved by the Commission.
TODAY, shall the Commission approve the post construction noise compliance test protocol? OR, how shall the Commission proceed?
4. EL19-039 In the Matter of the Petition of Otter Tail Power Company for Approval of the Transmission Cost Recovery Rider Rate (Staff Analyst: Patrick Steffensen; Staff Attorney: Kristen Edwards)
On October 31, 2019, Otter Tail Power Company (OTP) filed a petition for approval of its 2020 Transmission Cost Recovery (TCR) Rider. The update includes the tracker balance estimated for the end of the current recovery period so that no over- or under-recovery of TCR costs occurs. OTP’s petition proposed a March 1, 2020, effective date. On January 29, 2020, OTP filed a Supplemental Filing with revised Attachments 1 through 20.
TODAY, shall the Commission approve Otter Tail Power Company’s TCR rate factors and revised tariff sheet with an effective date of March 1, 2020?
5. EL19-043 In the Matter of the Joint Request for Approval of an Amended Electric Service Territory Boundary Agreement between Northern States Power Company dba Xcel Energy and Sioux Valley Southwestern Electric Cooperative, Inc. (Staff Analyst: Lorena Reichert; Staff Attorney: Kristen Edwards)
On December 16, 2019, the Commission received a joint request from Northern States Power Company dba Xcel Energy and Sioux Valley Southwestern Electric Cooperative, Inc. dba Sioux Valley Energy seeking to modify existing service territory boundaries near Crooks, Renner, and Ellis, South Dakota. On January 29, 2020, the companies filed revised exhibits to account for corrections requested by Commission staff.
TODAY, shall the Commission approve the Amended Service Territory Line Agreement between Xcel Energy and Sioux Valley Energy?
6. EL20-001 In the Matter of the Joint Request for Approval of an Amended Electric Service Territory Boundary Agreement between Black Hills Electric Cooperative, Inc. and Black Hills Power, Inc. dba Black Hills Energy (Staff Analyst: Lorena Reichert; Staff Attorney: Amanda Reiss)
On January 7, 2020, the Commission received a joint request from Black Hills Electric Cooperative, Inc. and Black Hills Power, Inc. dba Black Hills Energy seeking to modify existing service territory boundaries near Hill City, South Dakota. On January 27, 2020, Commission staff filed an addendum signed by both companies agreeing to amend the existing electric service territory boundary agreement from EL19-001.
TODAY, shall the Commission approve the Amended Electric Service Territory Boundary Agreement between Black Hills Electric Cooperative, Inc. and Black Hills Energy?
7. EL20-004 In the Matter of the Filing by MidAmerican Energy Company for Approval of Tariff Revisions regarding Expansion of Electric Distribution System (Staff Analyst: Brittany Mehlhaff; Staff Attorney: Kristen Edwards)
On February 7, 2020, MidAmerican Energy Company (MidAmerican) filed for approval of tariff revisions regarding electric distribution system expansion. MidAmerican proposes to expand the language regarding refundable advances to allow for refunds when a new distribution system expansion is proposed off of a previous non-refunded distribution system expansion. MidAmerican makes this filing in accordance with the settlement approved by the Commission in docket CE19-001. In order to apply these new tariff provisions to a pending expansion project, MidAmerican requests approval of these changes on less than 30 days’ notice with an effective date of February 21, 2020.
TODAY, shall the Commission approve the proposed tariff revisions on less than 30 days’ notice with an effective date of February 21, 2020?
Natural Gas
1. NG20-001 In the Matter of the Filing by Montana-Dakota Utilities Co. for Approval of Its Revised Conservation Tracking Adjustment (Staff Analyst: Lorena Reichert; Staff Attorney: Amanda Reiss)
On January 29, 2020, the Commission received an application by Montana-Dakota Utilities Co. (Company) for approval of a revised Conservation Tracking Adjustment (CTA), pursuant to the terms of the Company’s Conservation Program Tracking Mechanism Rate 90 tariff. The Company proposed a CTA rate, applicable to service under Rates 60, 70 and 72, of $0.008 per dk to be effective March 1, 2020. The proposed CTA rate is a decrease of $0.014 per dk from the currently authorized CTA rate.
TODAY, shall the Commission grant Montana-Dakota Utilities Co.’s request for approval of the revised Conservation Tracking Adjustment of $0.008 per dk and the associated Conservation Program Tracking Mechanism Rate 90 tariff sheet, with an effective date of March 1, 2020?
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 commission.
Announcements
1. PUC Commissioners will attend the South Dakota State Federation of Labor Legislative Conference on Thursday, February 20, 2020, at 3:00 p.m. CST at the Ramkota Conference Center, Pierre, South Dakota.
2. PUC commissioners and staff will meet with consumers at the Sioux Empire Home Show, February 21-23, 2020, at the Sioux Falls Convention Center & Arena, Sioux Falls, South Dakota.
3. The next regular commission meeting will be Friday, March 6, 2020, at 9:30 a.m. CST in Room 413 at the State Capitol Building, Pierre, South Dakota.
4. Commission meetings are scheduled for March 17 and 31, 2020.
/s/Cindy Kemnitz .
Cindy Kemnitz
Finance Manager
PUC Email
February 11, 2020