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South Dakota Public Utilities Commission Meeting
November 18, 2022, at 1:00 P.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 10:00 a.m. CST on Friday, November 18, 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 Commission Meeting Held on October 27, 2022 (Deputy Executive Director: Leah Mohr)

Consumer Reports

1.      Status Report on Consumer Utility Inquiries (Consumer Affairs: Deb Gregg)

Telecommunications

1.      In the Matter of the Failure of Certain Telecommunications Companies to Timely Pay their Gross Receipts Tax (Finance Manager: Cindy Kemnitz)

The following companies have failed to timely pay their gross receipts tax as required by SDCL 49-1A:

Business Network Long Distance Inc.
CINTEX WIRELESS LLC dba Sfone Wireless
Multiline Long Distance Inc.
National Access Long Distance Inc.
Nationwide Long Distance Services Inc.
NewPhone Wireless, LLC
Opex Communications Inc. dba TCI Long Distance
Reduced Rate Long Distance, LLC
Total Holdings Inc. dba GTC Communications

         TODAY, shall the Commission issue an Order to Show Cause as to why the Commission should not fine, and/or suspend or revoke the Certificates of Authority of each of these companies for failure to pay the requisite gross receipts tax?

2.      TC19-052        In the Matter of the Filing by Northern Valley Communications, LLC for Approval of Revisions to Its Access Service Tariff No. 1 (Staff Analyst: Patrick Steffensen; Staff Attorney: Kristen Edwards)

         On December 27, 2019, the Commission received a filing from Northern Valley Communications, LLC requesting approval of revisions to its switched access services Tariff No. 1 in response to the Federal Communications Commission’s Order regarding Updating the Intercarrier Compensation Regime to Eliminate Access Arbitrage. On January 17, 2020, Sprint and AT&T Corp. filed petitions to intervene, and on February 6, 2020, the Commission issued an Order Granting Intervention. On March 9, 2020, the parties filed an agreement to stay the proceeding and leave the docket open pending a final determination by the Federal Communications Commission, and on March 9, 2020, the Commission issued an Order Approving Settlement Stipulation to Stay Proceedings. On November 4, 2022, Northern Valley Communications, LLC filed a motion to withdraw the tariff revisions filed in this docket, approve its proposed refund plan, and close the docket.

         TODAY, shall the Commission approve Northern Valley Communications, LLC’s motion to withdraw the tariff revisions filed in this docket, approve its proposed refund plan, and close the docket?

3.      TC22-057        In the Matter of the Application of Beresford Municipal Telephone Company for an Amended Certificate of Authority (Staff Analyst: Brittany Mehlhaff; Staff Attorney: Kristen Edwards)

On October 25, 2022, Beresford Municipal Telephone Company (BMTC) filed an application to amend its Certificate of Authority to provide local exchange services pursuant to SDCL 49-31-69. BMTC states the purpose of this filing is to expand BMTC’s local exchange service territory area so that it includes all geographic areas that have over the past few years been properly annexed by the Beresford City Council and made part of the municipality of Beresford. BMTC states that up until recently, the referenced annexed areas have been unoccupied and at present BMTC does not believe that Clarity Telecom, LLC dba Vast Broadband is providing any of its wireline local exchange services to locations within these areas. BMTC further asks the Commission waive the provisions of ARSD Sections 20:10:32:03 (1-8), (10-22), and (24) as being inapplicable and unnecessary to address this filing for amendment of BMTC’s existing certificate of authority for local exchanges services.

TODAY, shall the Commission approve the request for waiver? AND shall the Commission approve the request for an Amended Certificate of Authority?

4.      TC22-058        In the Matter of the Approval of an FCC Modernizing Unbundling and Resale Requirements Amendment to the Interconnection Agreement between Qwest Corporation dba CenturyLink QC and Consolidated Communications Enterprises Services, Inc. (fka Enventis Telecom Inc.) for the State of South Dakota (Staff Analyst: Eric Paulson; Staff Attorney: Amanda Reiss)

         On October 27, 2022, the Commission received a filing pursuant to 47 U.S.C. § 252 for approval of the FCC Modernizing Unbundling and Resale Requirements Amendment to the Interconnection Agreement between Qwest Corporation dba CenturyLink QC (CenturyLink) and Consolidated Communications Enterprises Services, Inc. (fka Enventis Telecom Inc.).

         TODAY, shall the Commission approve the amendment to the interconnection agreement?

5.      TC22-059        In the Matter of the Approval of an FCC Modernizing Unbundling and Resale Requirements Amendment to the Interconnection Agreement between Qwest Corporation dba CenturyLink QC and Consolidated Communications Enterprises Services, Inc. (fka Crystal Communications) for the State of South Dakota (Staff Analyst: Eric Paulson; Staff Attorney: Amanda Reiss)

         On October 27, 2022, the Commission received a filing pursuant to 47 U.S.C. § 252 for approval of the FCC Modernizing Unbundling and Resale Requirements Amendment to the Interconnection Agreement between Qwest Corporation dba CenturyLink QC (CenturyLink) and Consolidated Communications Enterprises Services, Inc. (fka Crystal Communications).

         TODAY, shall the Commission approve the amendment to the interconnection agreement?

6.      TC22-060        In the Matter of the Approval of an Unbundled Network Elements (UNEs) – Resale Forbearance Amendment to the Interconnection Agreement between Qwest Corporation dba CenturyLink QC and Consolidated Communications Enterprises Services, Inc. (fka Enventis Telecom Inc.) for the State of South Dakota (Staff Analyst: Eric Paulson; Staff Attorney: Amanda Reiss)

         On October 27, 2022, the Commission received a filing pursuant to 47 U.S.C. § 252 for approval of an Amendment to an Interconnection Agreement between Qwest Corporation dba CenturyLink QC and Consolidated Communications Enterprises Services, Inc. (fka Enventis Telecom Inc.). The amendment incorporates forbearance orders FCC 19-66 and FCC 19-72, which were released by the Federal Communications Commission in 2019.

         TODAY, shall the Commission approve the amendment to the interconnection agreement?

7.      TC22-061        In the Matter of the Approval of an Unbundled Network Elements (UNEs) – Resale Forbearance Amendment to the Interconnection Agreement between Qwest Corporation dba CenturyLink QC and Consolidated Communications Enterprises Services, Inc. (fka Crystal Communications) for the State of South Dakota (Staff Analyst: Joseph Rezac; Staff Attorney: Amanda Reiss)

         On October 27, 2022, the Commission received a filing pursuant to 47 U.S.C. § 252 for approval of an Amendment to an Interconnection Agreement between Qwest Corporation dba CenturyLink QC and Consolidated Communications Enterprises Services, Inc. The amendment incorporates FCC Orders FCC 19-66 and FCC 19-72, which were released by the Federal Communications Commission in 2019.

         TODAY, shall the Commission approve the amendment to the interconnection agreement?

8.      TC22-062        In the Matter of the Approval of an FCC Modernizing Unbundling and Resale Requirements Amendment to the Interconnection Agreement between Qwest Corporation dba CenturyLink QC and Granite Telecommunications, LLC for the State of South Dakota (Staff Analyst: Joseph Rezac; Staff Attorney: Amanda Reiss)

         On October 27, 2022, the Commission received a filing pursuant to 47 U.S.C. § 252 for approval of an Amendment to an Interconnection Agreement between Qwest Corporation dba CenturyLink QC and Granite Telecommunications, LLC. The amendment incorporates FCC Order 20-152 a Report and Order in WC Docket 19-308 for the Modernizing Unbundling and Resale Requirements in an Era of Next Generation Networks and Services, which were released by the Federal Communications Commission in 2020 and became effective February 8, 2021.

         TODAY, shall the Commission approve the amendment to the interconnection agreement?

9.      TC22-063        In the Matter of the Approval of an FCC Modernizing Unbundling and Resale Requirements Amendment to the Interconnection Agreement between Qwest Corporation dba CenturyLink QC and Metropolitan Telecommunications of South Dakota Inc. for the State of South Dakota (Staff Analyst: Joseph Rezac; Staff Attorney: Amanda Reiss)

         On October 27, 2022, the Commission received a filing pursuant to 47 U.S.C. § 252 for approval of an Amendment to an Interconnection Agreement between Qwest Corporation dba CenturyLink QC and Metropolitan Telecommunications of South Dakota Inc. The amendment incorporates FCC Order 20-152 a Report and Order in WC Docket 19-308 for the Modernizing Unbundling and Resale Requirements in an Era of Next Generation Networks and Services, which were released by the Federal Communications Commission in 2020 and became effective February 8, 2021.

         TODAY, shall the Commission approve the amendment to the interconnection agreement?

10.    TC22-064        In the Matter of the Approval of an Unbundled Network Elements (UNEs) – Resale Forbearance Amendment to the Interconnection Agreement between Qwest Corporation dba CenturyLink QC and Granite Telecommunications, LLC for the State of South Dakota (Staff Analyst: Joseph Rezac; Staff Attorney: Amanda Reiss)

         On October 27, 2022, the Commission received a filing pursuant to 47 U.S.C. § 252 for approval of an Amendment to an Interconnection Agreement between Qwest Corporation dba CenturyLink QC and Granite Telecommunications, LLC. The amendment incorporates FCC Orders FCC 19-66 and FCC 19-72, which were released by the Federal Communications Commission in 2019.

         TODAY, shall the Commission approve the amendment to the interconnection agreement?

Electric

1.      EL22-025          In the Matter of Otter Tail Power Company’s Petition for Approval of Tariff Revisions to Rate Schedule, Section 13.01 Energy Adjustment Rider (Staff Analyst: Brittany Mehlhaff; Staff Attorney: Amanda Reiss)

On September 30, 2022, the Commission received a Petition from Otter Tail Power Company (Otter Tail) requesting approval of tariff revisions to its Energy Adjustment Rider (EAR). Otter Tail requests approval to modify the calculation of costs included in Otter Tail’s EAR to account for Minnesota customers paying for 100% of the Hoot Lake Solar Project. Otter Tail states the proposed modification maintains consistency in the EAR rate calculation as if Hoot Lake Solar was not included in Otter Tail’s generation fleet. Otter Tail also requests approval of other miscellaneous revisions to its EAR tariff. Otter Tail proposes an effective date of January 1, 2023.

TODAY, shall the Commission approve Otter Tail’s requested tariff changes effective January 1, 2023?   

Natural Gas

1.      NG22-009       In the Matter of the Filing by NorthWestern Corporation dba NorthWestern Energy for Approval of its Refund Plan regarding Its Recovery of Manufactured Gas Plant Site Remediation Costs (Staff Analyst: Brittany Mehlhaff; Staff Attorney: Kristen Edwards)

         On October 14, 2022, the Commission received a filing from NorthWestern Corporation dba NorthWestern Energy (NorthWestern) for approval of its refund plan regarding its recovery of the manufactured gas plant (MGP) site remediation costs. The purpose of this filing is to update the refund mechanism established in docket NG16-010 where NorthWestern credited customers an over-collection related to MGP remediation allowed in docket NG11-003. The credit rate was subsequently adjusted annually, most recently in docket NG21-009. With two months remaining in the current refund plan, the over-recovered balance is $586,411. NorthWestern has refunded approximately $1.6 million in the first 10 months of the current plan, however, actual remediation costs are lower than the amount recovered through the tracker. NorthWestern proposes to continue the refund plan for an additional 12 months at higher credit rates than are currently in effect. NorthWestern proposes a December 1, 2022, effective date for the new credit rates.

         TODAY, shall the Commission approve NorthWestern Energy’s refund plan regarding its recovery of Manufactured Gas Plant Site remediation costs with an effective date of December 1, 2022?

2.      NG22-010       In the Matter of the Filing by NorthWestern Corporation dba NorthWestern Energy for Approval of a Contract with Deviations with Ace Ready Mix, Inc. (Staff Analyst: Brittany Mehlhaff; Staff Attorney: Kristen Edwards)

         On November 9, 2022, the Commission received a filing from NorthWestern Corporation dba NorthWestern Energy for approval of a contract with deviations with Ace Ready Mix, Inc. (Customer). Customer desires to have natural gas service extended to property it is developing south of its current location. Based on the cost of the project, NorthWestern requires security for the capital investment cost and a monthly surcharge in order to protect its legacy customers. The agreement with Customer includes recovery of the pipeline project costs over a 15-year period. Project costs and tariff delivery charges will be recovered through tariff rates and a fixed monthly surcharge. NorthWestern proposes an effective date of November 19, 2022. In order to meet Customer’s desire for natural gas for construction heating during the upcoming winter, NorthWestern requests approval of this contract with deviations on less than 30 days’ notice.

         TODAY, shall the Commission approve NorthWestern Energy’s contract with deviations with Ace Ready Mix, Inc. and the associated tariff revisions with an effective date of November 19, 2022, on less than 30 days’ notice?

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. Five public input meetings were held between March 22 and March 25, 2022. Party status has been granted to numerous persons (Intervenors). On June 13, 2022, the Commission issued an Order Granting, in part, Motion to Extend Final Decision Deadline; Order Denying Landowners’ Motion to Dismiss and, in the Alternative, Motion for Stay. On October 13, 2022, Applicant filed Applicant’s Supplemental Application. On November 4, 2022, Applicant filed a Motion for Scheduling Order. Staff subsequently contacted the parties requesting that at or prior to the November 18 Commission Meeting each party weigh in as to the amount of time they predict they will need for the evidentiary hearing. This information will help inform the Commission and parties in contemplating the Motion for Scheduling Order, which will be heard at a later date. On November 8, 2022, Applicant filed a Motion for Protective Order.  

         TODAY, how shall the Commission proceed with respect to the Motion for Scheduling Order? Shall the Commission grant the Motion for Protective Order? 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.   Public input meetings for docket HP22-002 - In the Matter of the Application of Navigator Heartland Greenway, LLC for a Permit Under The South Dakota Energy Conversion and Transmission Facilities Act to Construct the Heartland Greenway Pipeline in South Dakota will be held:

  • Monday, November 21, 2022, beginning at 5:30 p.m. CST in the Canton Performing Arts Center, 800 N. Main, Canton, South Dakota.
  • Tuesday, November 22, 2022, beginning at 11:30 a.m. CST in the William J. Janklow Community Center, 800 W. Community Dr., Flandreau, South Dakota.
  • Tuesday, November 22, 2022, beginning at 5:30 p.m. CST in the Washington Room, Ramkota Conference Center, 3200 W. Maple Street, Sioux Falls, South Dakota.

2.   The PUC office will be closed November 24-25, 2022, in observance of the Thanksgiving holiday.

3.   A public input meeting for docket EL22-017 - In the Matter of the Application of Northern States Power Company dba Xcel Energy for Authority to Increase its Electric Rates will be held Monday, November 28, 2022, beginning at 6:30 p.m. CST in the HUB Auditorium on the campus of Southeast Technical College, 2001 N. Career Avenue, Sioux Falls, South Dakota.

4.   The next regular commission meeting will be Tuesday, December 6, 2022, at 9:30 a.m. CST in Room 413 at the State Capitol Building, Pierre, South Dakota.

5.   An evidentiary hearing for docket EL21-018 - In the Matter of the Application by North Bend Wind Project, LLC for a Permit to Construct and Operate the North Bend Wind Project in Hyde County and Hughes County, South Dakota will be held December 13-14, 2022, beginning at 9:00 a.m. CST, December 13, in Room 414 at the State Capitol Building, Pierre, South Dakota.

6.   A commission meeting is scheduled for December 20, 2022.

 

  /s/ Cindy Kemnitz                 .

Cindy Kemnitz
Finance Manager
puc@state.sd.us
November 14, 2022