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South Dakota Public Utilities Commission Meeting
June 8, 2022, at 9:30 A.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 5:00 p.m. CDT on Tuesday, June 7, 2022, 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 Ad Hoc Commission Meeting Held on May 13, 2022 (Staff: Janeth Merriman)
Consumer Reports
1. Status Report on Consumer Utility Inquiries (Consumer Affairs: Deb Gregg)
Natural Gas
1. NG22-005 In the Matter of the Application of MidAmerican Energy Company for Authority to Increase its Natural Gas Rates (Staff Analysts: Brittany Mehlhaff, Patrick Steffensen, Eric Paulson, Joseph Rezac; Staff Attorney: Amanda Reiss)
On May 18, 2022, the Commission received an application by MidAmerican Energy Company (MidAmerican) for approval to increase rates for natural gas service to customers in its South Dakota service territory by approximately $7.037 million based on MidAmerican's test year ending December 31, 2021. MidAmerican states a typical residential natural gas customer using 52 therms per month would see an increase of $4.16 per month. The proposed changes may potentially affect approximately 104,000 customers.
TODAY, shall the Commission suspend the imposition of the tariff for 180 days beyond May 18, 2022? AND shall the Commission assess a filing fee for actual expenses not to exceed $250,000? AND shall the Commission give the Executive Director authority to enter into necessary consulting contracts?
Electric
1. EL22-011 In the Matter of Otter Tail Power Company’s 2021 South Dakota Energy Efficiency Plan Status Report and 2022 Annual Filing to Update the Energy Efficiency Adjustment Rider (Staff Analyst: Eric Paulson; Staff Attorney: Kristen Edwards)
On May 2, 2022, Otter Tail Power Company (Otter Tail) filed its 2021 Energy Efficiency Plan Status Report and 2022 Annual Filing to update the Energy Efficiency Adjustment Rider. Specifically, Otter Tail requests that the Commission approve its 2021 Status Report, the 2021 financial incentive of $278,101, and its proposal that the Energy Efficiency Adjustment Factor remain at $0.00195/kWh for July 2022 through June 2023. On May 18, 2022, Otter Tail filed responses to staff’s data requests.
TODAY, shall the Commission approve Otter Tail Power Company’s 2021 Energy Efficiency Plan Status Report? AND shall the Commission approve the 2021 Financial Incentive of $278,101? AND shall the Commission approve the proposal that the Energy Efficiency Adjustment Factor remain at $0.00195/kWh for July 2022 through June 2023?
2. EL22-012 In the Matter of the Application of Black Hills Power, Inc. dba Black Hills Energy for Approval to Implement a Revision to its Standard Forms (Staff Analyst: Eric Paulson; Staff Attorney: Kristen Edwards)
On May 19, 2022, the Commission received a filing from Black Hills Power, Inc. dba Black Hills Energy (BHE) requesting approval of revisions to its Standard Bill Forms. Specifically, BHE has proposed revisions to Section 6.00, Sheet Nos. 2, 3, 4, and 5. BHE requests an effective date of June 13, 2022.
TODAY, shall the Commission approve the tariff revisions with an effective date of June 13, 2022?
Gas and Electric
1. GE20-002 In the Matter of Investor-Owned Utilities’ Joint Request for Deferred Treatment of the Financial Effects of COVID-19 and the Creation of Regulatory Assets (Staff Analysts: Brittany Mehlhaff, Patrick Steffensen, Eric Paulson; Staff Attorney: Kristen Edwards)
On May 1, 2020, the Commission received a Joint Request for Deferred Treatment of the Financial Effects of COVID-19 and the Creation of Regulatory Assets from Northern States Power Company dba Xcel Energy, MidAmerican Energy Company (MidAmerican), NorthWestern Energy (NorthWestern), Otter Tail Power Company (Otter Tail), and Montana-Dakota Utilities Company, a Division of MDU Resources Group (Montana-Dakota) (collectively, Petitioners). Petitioners requested approval for deferred accounting treatment to allow for the recognition of the costs associated with the response to COVID-19 as a regulatory asset beginning from the date the emergency was declared, March 13, 2020. On August 19, 2020, the Commission issued an Order Granting Joint Request for Deferred Accounting Treatment of the Financial Effects of COVID-19 and Creation of Regulatory Assets. As part of this order, the Petitioners were required to provide quarterly reporting of the known and estimated increases and decreases to costs and revenues that the Petitioners plan to include or have included in their regulatory assets as well as additional detailed information regarding bad debt. On August 27, 2021, the Commission issued an Order Granting Requests to Withdraw and Cease Quarterly Reporting for MidAmerican, Montana-Dakota, and NorthWestern. On May 31, 2022, the Commission received a letter from Otter Tail stating it has no plans at this time to seek recovery of expenses related to COVID-19. Thus, Otter Tail requests the Commission allow them to withdraw from the docket and cease quarterly reporting requirements.
TODAY, shall the Commission grant the request of Otter Tail to withdraw from the docket and cease quarterly reporting requirements?
Grain Warehouse
1. GW22-002 In the Matter of Roslyn Elevator, Roslyn, South Dakota (Grain Warehouse Manager: Cody Chambliss; Staff Attorney: Amanda Reiss)
On February 3, 2022, staff filed a Petition to Suspend the Grain Buyer License pursuant to SDCL 49-45-16 and to seek receivership pursuant to SDCL 49-45-16.1 of Roslyn Elevator, Roslyn, South Dakota (Roslyn). The filing stems from a change in Roslyn’s financial position and resulting acts of insolvency that require immediate action. On February 15, 2022, the Commission issued an Order Suspending Grain Buyer License; Order to Apply to the Circuit Court to Appoint a Receiver. Roslyn submitted a complete application for a FY23 grain buyer license.
TODAY, shall the Commission take action on Roslyn’s FY22 grain buyer license? Shall the Commission grant Roslyn a FY23 grain buyer license? OR how shall the Commission proceed?
Hydrocarbon and Carbon Dioxide Pipeline
1. HP22-001 In the Matter of the Application by SCS Carbon Transport LLC for a Permit to Construct a Carbon Dioxide Transmission Pipeline (Staff Analysts: Darren Kearney, Jon Thurber; Staff Attorney: Kristen Edwards)
On February 7, 2022, the Commission received an Application for a Permit to Construct a Carbon Dioxide Transmission Pipeline (Application) from SCS Carbon Transport LLC (Applicant). Applicant proposes to construct and operate a carbon dioxide (CO2) transmission pipeline (Project). The Project is approximately 2,000 miles of pipelines for the transportation of CO2 from more than 30 ethanol plants across five states, including seven ethanol plants in South Dakota, to underground injection control facilities in North Dakota. The proposed route of the main line enters South Dakota in Lincoln County at the Iowa/South Dakota border and extends in a northwesterly direction, exiting the state at the South Dakota/North Dakota border in McPherson County. In addition to the main line, the proposed Project includes lateral and trunk lines connecting ethanol plants to the main line. The proposed length of pipelines through South Dakota would be approximately 469 miles and would cross the counties of Beadle, Brown, Clark, Codington, Edmunds, Hamlin, Hand, Hyde, Kingsbury, Lake, Lincoln, McCook, McPherson, Minnehaha, Miner, Spink, Sully, and Turner. Five public input meetings were held between March 22 and March 25, 2022. Party status has been granted to numerous persons (Intervenors). On April 8, 2022, Applicant filed a letter and overview map indicating a number of reroutes. On May 10, 2022, Applicant filed maps detailing the reroutes. On April 28, 2022, Domina Law Group, representing several Intervenors, filed Affected Landowners’ Motion for Approval of Party Status Applications Filed After April 8, 2022, and Motion for Extension of Intervention Deadline or in the Alternative Motion for Stay of All Proceedings. On May 9, 2022, Applicant filed Motion to Extend Deadline to June 15, 2023, for a Scheduling Order and for Pre-Filed Testimony. On May 17, 2022, the Intervenors represented by Domina Law Group filed Landowners’ Motion to Dismiss and in the Alternative Motion for Stay and Objection to Summit’s Motion to Extend Deadlines and for Scheduling Order and Motion to Extend Deadlines.
TODAY, shall the Commission grant Applicant’s Motion to Extend Deadline to June 15, 2023, for a Scheduling Order and for Pre-Filed Testimony? AND shall the Commission grant Intervenors’ (represented by Domina Law Group) Motion to Dismiss and in the Alternative Motion for Stay? AND shall the Commission grant Affected Landowners’ (represented by Domina Law Group) Motion for Approval of Party Status Applications Filed After April 8, 2022, and Motion for Extension of Intervention Deadline or in the Alternative Motion for Stay of All Proceedings? 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 during this time. All who offer public comments are requested to sign in at the commission meeting or 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. Commissioners will attend the ribbon cutting ceremony of NorthWestern Energy’s Bob Glanzer Generating Station on Monday, June 6, 2022, at 1:00 p.m. CDT in Huron, South Dakota.
2. Commissioners will attend the Sioux Valley Energy Annual Meeting on Tuesday, June 7, 2022, at 7:00 p.m. CDT at the Sioux Falls Convention Center, Sioux Falls, South Dakota.
3. Commissioners will attend the Southeastern Electric Cooperative Annual Meeting on Thursday, June 9, 2022, at 7:00 p.m. CDT at the Lennox High School, Lennox, South Dakota.
4. Commissioners will make a presentation at the South Dakota Rural Electric Cooperative Association’s Managers Meeting and Legal Seminar on Tuesday, June 28, 2022, at 4:00 p.m. CDT at Arrowwood Cedar Shore Resort, Oacoma, South Dakota.
5. The next regular commission meeting will be Thursday, June 16, 2022, at 1:30 p.m. CDT in Room 413 at the State Capitol Building, Pierre, South Dakota.
6. The PUC office will be closed Monday, June 20, 2022, in observance of Juneteenth.
7. The PUC office will be closed Monday, July 4, 2022, in observance of Independence Day.
8. Commission meetings are scheduled for July 5 and 19, 2022.
/s/ Cindy Kemnitz .
Cindy Kemnitz
Finance Manager
puc@state.sd.us
June 1, 2022
