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South Dakota Public Utilities Commission Meeting
April 14, 2020, at 9:30 A.M. CDT
Conference Call
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. CDT on Thursday, April 9, 2020, to reserve a phone line.
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.
AGENDA OF COMMISSION MEETING
Administration
1. Approval of Minutes of the Commission Meeting Held on March 17, 2020 (Staff: Macy Jo Murren)
Consumer Reports
1. Status Report on Consumer Utility Inquiries (Consumer Affairs: Deb Gregg)
Telecommunications
1. TC20-003 In the Matter of CenturyLink QC's Petition for Approval of Amendments to the Qwest Performance Assurance Plan and Performance Indicator Definitions to Implement the FCC'S 2019 Forbearance Orders (Staff Analyst: Joseph Rezac; Staff Attorney: Kristen Edwards)
On February 25, 2020 the Commission received a filing from Qwest Corporation dba CenturyLink QC (CenturyLink) for Approval of Amendments to the Qwest Performance Assurance Plan (PAP) and Performance Indicator Definitions (PID) to Implement to FCC’s 2019 Forbearance Orders. CenturyLink requests that the Commission amend the existing PAP and PIDs by deleting references to products and network elements for which the FCC recently ruled that Regional Bell Operating Companies like CenturyLink will no longer be required to offer. CenturyLink requests an effective date of May 1, 2020.
TODAY, shall the Commission approve CenturyLink's revisions to its Performance Assurance Plan and Performance Indicator Definitions effective May 1, 2020? AND, shall the Commission deem all existing interconnection agreements that currently contain the Performance Assurance Plan be modified to incorporate these revisions, effective May 1, 2020, without further filings and approvals?
Administration
1. AA20-002 Establishment of the Gross Receipts Tax Levy for Fiscal Year 2021 (Finance Manager: Cindy Kemnitz; Staff Attorney: Kristen Edwards)
SDCL Chapter 49-1A establishes the South Dakota Public Utilities Commission Gross Receipts Tax Fund (Fund). This Fund is financed by assessing a tax on the annual intrastate gross receipts received by a utility. The Fund is used by the Commission to defray regulatory expenses related to the regulation of telecommunications, electricity, and natural gas. On April 1 of each year, all utilities and telecommunications companies doing business in South Dakota shall file with the Commission, on forms provided by the Commission, the amount of its gross receipts derived from customers within South Dakota during the preceding calendar year pursuant to SDCL 49-1A-4. The report shall be sworn to and verified by an officer of the company. The Commission shall, by order, establish the rate and assess the tax authorized in SDCL 49-1A-3 which, together with any funds remaining from the current fiscal year and the $250 minimum gross receipt tax, will fund the Commission’s budget for the next fiscal year and provide a contingency reserve in an amount not to exceed the prior year’s budget. In accordance with SDCL 49-1A-5, the tax is due and payable on July 15 of each year. On April 6, 2020, staff filed a letter requesting a docket be opened in this matter.
TODAY, shall the Commission establish the rate and assess the Gross Receipts Tax as authorized in SDCL 49-1A-3?
Electric
1. EL18-038 In the Matter of the Complaint of Energy of Utah, LLC and Fall River Solar, LLC Against Black Hills Power Inc. dba Black Hills Energy for Determination of Avoided Cost (Staff Analysts: Jon Thurber, Darren Kearney, Brittany Mehlhaff; Staff Attorney: Kristen Edwards)
On September 14, 2018, Energy of Utah and Fall River Solar, LLC (Fall River Solar) filed a Complaint against Black Hills Power Inc. dba Black Hills Energy (BHE) for determination of avoided cost pursuant to the Public Utility Regulatory Policy Act of 1978 (PURPA). The Complaint relates to a planned 80-megawatt solar facility Fall River Solar is developing in Fall River County, South Dakota. BHE filed an answer on October 4, 2018. On March 9, 2020, an Order For and Notice of Evidentiary Hearing on April 14, 2020, was issued. On March 16, 2020, BHE filed a Motion for Order Compelling Responses to Discovery Requests and For Extension of Pre-Hearing Motion Deadline. On March 31, 2020, the Commission deferred the docket. On April 1, 2020, the Commission granted the Stipulation and Joint Motion for Continuance of Procedural Schedule, canceling the evidentiary hearing scheduled for April 14, 2020.
TODAY, shall the Commission grant Black Hill Energy’s Motion for Order Compelling Responses to Discovery Requests? OR, how shall the Commission proceed?
2. EL20-002 In the Matter of Commission Staff’s Request for an Order to Show Cause regarding Crowned Ridge Wind, LLC (Staff Analysts: Darren Kearney, Jon Thurber, Eric Paulson; Staff Attorneys: Kristen Edwards, Amanda Reiss)
On July 26, 2019, in Docket EL19-003, the Commission issued to Crowned Ridge, LLC (Crowned Ridge) a Final Decision and Order Granting Permit to Construct Facility; Notice of Entry with Permit Conditions (Permit) for the Crowned Ridge Wind facility in Grant and Codington Counties. On January 13, 2020, staff filed a Petition to Show Cause requesting the Commission to issue an Order to Show Cause requiring Crowned Ridge to come forward and show cause as to why it should not be found in violation of SDCL 49-41B-25.2 and Permit Condition 2 for failure to equip the Crowned Ridge Wind facility with an aircraft detection lighting system (ADLS). On March 23, 2020, the Commission issued an Order to Show Cause. On March 27, 2020, the parties filed a Settlement Stipulation and Joint Motion for Approval of Settlement Stipulation.
TODAY, shall the Commission grant the Joint Motion for Approval of Settlement Stipulation and approve the terms and conditions stipulated therein? OR, how shall the Commission proceed?
3. EL20-010 In the Matter of the Filing by Montana-Dakota Utilities Co., a Subsidiary of MDU Resources Group Inc., for Approval of the Annual Update to Its Transmission Cost Recovery Rider Rate (Staff Analyst: Brittany Mehlhaff; Staff Attorney: Amanda Reiss)
On February 28, 2020, Montana-Dakota Utilities Co. (MDU) filed for approval of its annual update to its Transmission Cost Recovery (TCR) Rider Rate. MDU states the proposed tariff change is necessary to reflect the projected 2020 charges assessed to MDU for transmission-related services provided by the Midcontinent Independent System Operator (MISO) and Southwest Power Pool (SPP), along with the projected revenues and/or credits received by MDU for transmission-related services. In addition, MDU is including the projected 2020 revenue requirements for two transmission projects in its projected 2020 TCR update. MDU proposes a TCR Rider Rate of $0.00513 per kWh which is a decrease of $0.00002 per kWh from that currently authorized.
TODAY, shall the Commission approve the revised Transmission Cost Recovery Rider Rate and revised tariff sheet with an effective date of May 1, 2020?
Gas and Electric
1. GE17-003 In the Matter of Staff’s Request to Investigate the Effects of the Tax Cuts and Jobs Act on South Dakota Utilities (Staff Analysts: Brittany Mehlhaff, Patrick Steffensen; Staff Attorney: Kristen Edwards, Amanda Reiss)
On December 21, 2017, the Commission received a filing from Commission staff (staff) requesting a docket be opened to investigate the Tax Cuts and Jobs Act 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 Tax Cuts and Jobs Act (Act) will have on South Dakota utilities and requested the Commission issue an order requiring utilities to submit comments on the effect the Act will have on each utility. Additionally, staff requested the Commission issue an order that any adjustment to rates due to the Act 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 February 1, 2018, MidAmerican Energy Company (MidAmerican) submitted initial comments in the Docket. On May 2, 2019, staff and MidAmerican filed a Joint Motion for Approval of Settlement Stipulation and Settlement Stipulation. On May 3, 2019, staff filed its Memorandum Supporting Settlement Stipulation. On May 15, 2019, the Commission issued an Order Granting Joint Motion for Approval of Settlement Stipulation Between staff and MidAmerican Energy Company. On March 25, 2020, MidAmerican filed a letter regarding its electric and natural gas Tax Expense Refund Mechanism (TERM) reconciliations and revised tariff pages. MidAmerican proposes a May 1, 2020, effective date for the revised TERM factors.
TODAY, shall the Commission approve MidAmerican’s TERM reconciliations and revised tariff pages effective May 1, 2020?
Items for Commission Discussion
Public Comment
Individuals who wish to make public comments to the commission may do so during this time. All who offer public comment are requested to let the commission know of their wish to speak when they call in to reserve a phone line. Time limits for comments may be determined at the discretion of the commission.
Announcements
1. Due to concerns surrounding COVID-19, the South Dakota Public Utilities Commission office in the State Capitol building will be closed through May 1, 2020. PUC commissioners and staff will telework during this period. If you need to reach the PUC, please email PUC@state.sd.us or call (605) 773-3201.
2. The PUC office will be closed April 10 and 13, 2020, in observance of Easter.
3. Commissioners and staff will hold a virtual meeting via Zoom with representatives of NorthWestern Energy on Wednesday, April 15, 2020, at 2:00 p.m. CDT. The agenda is to discuss NorthWestern Energy’s operations in response to COVID-19. To attend the meeting, please call the PUC at (605) 773-3201 for instructions by 1:00 p.m. CDT, April 15.
4. The next regular commission meeting will be held telephonically, Wednesday, April 29, 2020, at 9:30 a.m. CDT.
5. Commission meetings are scheduled for May 12 and 26, 2020.
\s\Cindy Kemnitz .
Cindy Kemnitz
Finance Manager
PUC Email
April 7, 2020
