South Dakota Public Utilities Commission Meeting
June 6, 2023, 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 Tuesday, June 6, 2023, 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 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 May 23, 2023 (Deputy Executive Director: Leah Mohr)
Consumer Reports
1. Status Report on Consumer Utility Inquiries (Consumer Affairs: Deb Gregg)
Telecommunications
1. TC23-007 In the Matter of the Petition of Fiber Ring Revenue-Pooling Association for Approval of a Tiered Rate Structure for Certain Traffic Classes (Staff Analyst: Joseph Rezac, Staff Attorney: Amanda Reiss)
On May 11, 2023, the Commission received a petition from the Fiber Ring Revenue-Pooling Association for approval of several revised Internet and Public Network Switched (PNS) rates. The purpose of this filing is to seek Commission approval of the tiered rate structure of Internet and PNS traffic classes for the years of 2023-2026
TODAY, shall the Commission approve the proposed tiered rate structure in Attachment A?
Hydrocarbon and Carbon Dioxide Pipeline
1. 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 (Staff Analysts: Darren Kearney, Jon Thurber; Staff Attorney: Kristen Edwards)
On September 27, 2022, the Commission received an Application for a Permit under the South Dakota Energy Conversion and Transmission Facilities Act to Construct the Heartland Greenway Pipeline in South Dakota (Application) from Navigator Heartland Greenway, LLC, a limited liability company owned by Navigator CO2 Ventures LLC (Navigator or Applicant). Applicant proposes to construct and operate a carbon dioxide (CO2) transmission pipeline (Project). The Project is approximately 1,300 miles of pipelines for the transportation of CO2 from more than 21 ethanol and fertilizer plants across five states, including three ethanol plants in South Dakota, that will transport captured carbon dioxide for permanent and secure underground sequestration in Illinois and/or to off-take facilities for commercial/industrial use. The Project consists of 111.9 miles of carbon dioxide pipeline in South Dakota that will cross the counties of Brookings, Moody, Minnehaha, Lincoln, and Turner. On November 21 and 22, 2022, the Commission held public input meetings in Canton, Flandreau and Sioux Falls. Party status has been granted to numerous individuals and entities. On May 30, 2023, Timothy Scherb filed a Request to Withdraw as an Intervenor.
TODAY, shall the Commission grant Timothy Scherb’s Request to Withdraw as an Intervenor?
Natural Gas
1. NG23-012 In the Matter of the Petition by Montana-Dakota Utilities Co., a Subsidiary of MDU Resources Group Inc., for Extension of Test Period (Staff Analysts: Brittany Mehlhaff, Patrick Steffensen, Eric Paulson, Joseph Rezac; Staff Attorney: Amanda Reiss)
On May 19, 2023, the Commission received a Petition for Extension of Test Period from Montana-Dakota Utilities Co., a Subsidiary of MDU Resources Group Inc. (MDU), requesting extension of time beyond test period to file an application for increase in its natural gas rates. MDU requests to be allowed to file a general rate increase application in August 2023, based on a 2022 calendar year test period. ARSD 20:10:13:44 requires the use of a test period consisting of 12 months of actual experience ending no earlier than six months before the date of filing unless good cause for extension is shown.
TODAY, shall the Commission approve the Petition for Extension of Test Period?
Electric
1. EL23-012 In the Matter of Otter Tail Power Company’s 2022 South Dakota Energy Efficiency Plan Status Report and 2023 Annual Filing to Update the Energy Efficiency Adjustment Rider (Staff Analyst: Joseph Rezac; Staff Attorney: Amanda Reiss)
On May 1, 2023, Otter Tail Power Company (Otter Tail) filed its 2022 Energy Efficiency Plan Status Report and 2023 Annual Filing to update the Energy Efficiency Adjustment Rider. Specifically, Otter Tail requests that the Commission approve its 2022 Status Report, the 2022 financial incentive of $157,500, and its proposal that the Energy Efficiency Adjustment Factor be lowered to $0.00160/kWh for July 2023 through June 2024.
TODAY, shall the Commission approve Otter Tail Power Company’s 2022 Energy Efficiency Plan Status Report? AND shall the Commission approve the 2022 Financial Incentive of $157,500? AND shall the Commission approve the proposal that the Energy Efficiency Adjustment Factor be lower to $0.00160/kWh for July 2023 through June 2024?
2. EL23-014 In the Matter of the Petition by Montana-Dakota Utilities Co., a Subsidiary of MDU Resources Group Inc., for Extension of Test Period (Staff Analysts: Brittany Mehlhaff, Patrick Steffensen, Eric Paulson, Joseph Rezac; Staff Attorney: Amanda Reiss)
On May 19, 2023, the Commission received a Petition for Extension of Test Period from Montana-Dakota Utilities Co., a Subsidiary of MDU Resources Group Inc. (MDU), requesting extension of time beyond test period to file an application for increase in its electric rates. MDU requests to be allowed to file a general rate increase application in August 2023, based on a 2022 calendar year test period. ARSD 20:10:13:44 requires the use of a test period consisting of 12 months of actual experience ending no earlier than six months before the date of filing unless good cause for extension is shown.
TODAY, shall the Commission approve the Petition for Extension of Test Period?
Grain Warehouse
1. GW23-001 In the Matter of PUC Staff’s Complaint Against Banghart Properties, LLC, Gettysburg, South Dakota (Grain Warehouse Program Manager: Cody Chambliss; Staff Attorney: Amanda Reiss)
On January 30, 2023, staff filed a Complaint against Banghart Properties, LLC, Gettysburg, South Dakota (Banghart), alleging Banghart operated as a grain buyer without a license in both license years, 2022 and 2023, among other allegations. On February 17, 2023, Banghart filed an Answer to the Complaint. On April 4, 2023, Banghart filed a Motion for Expedited Order Granting Class A Grain Buyer License. On April 5, 2023, staff filed a letter of denial of the Grain Buyer/Grain Warehouse Application. On April 17, 2023, the Commission issued an Order for and Notice of Evidentiary Hearing on Less than 10 Days’ Notice. On April 27, 2023, the Commission held an evidentiary hearing on this matter. On May 9, 2023, the Commission found good cause for staff to deny Banghart’s Class A grain buyer license. On May 22, 2023, staff filed a letter to Banghart and a letter to the Commission stating on May 11, 2023, staff received an application from Banghart for a Class B grain buyer license, and that based on the Commission’s May 9, 2023, oral decision, any further action on this matter should be at the Commission level. On May 23, 2023, the Commission issued an Order Granting Motion to Reopen the Record and Allow Additional Testimony; Order Denying Class A License; Order Setting Post-Hearing Procedural Schedule. On May 26, 2023, Banghart submitted a written request for a hearing for approval of a Class B Grain Buyer License.
TODAY, how shall the Commission proceed?
Electric Continued
3. EL22-017 In the Matter of the Application of Northern States Power Company dba Xcel Energy for Authority to Increase its Electric Rates (Staff Analysts: Brittany Mehlhaff, Patrick Steffensen, Eric Paulson, Joseph Rezac; Staff Attorney: Amanda Reiss)
On June 30, 2022, the Commission received an application by Northern States Power Company dba Xcel Energy (Xcel) for approval to increase rates for electric service to customers in its South Dakota service territory by approximately $44.1 million annually or approximately 17.9% based on Xcel’s 2021 historic test year. Xcel states a typical residential electric customer using 750 kWh per month would see an increase of $19.58 per month. The proposed changes affect approximately 97,500 customers. On September 29, 2022, the Commission issued and Order Granting Intervention to Steve Wegman. On May 24, 2023, Xcel and staff filed a Joint Motion for Approval of Settlement Stipulation, and a Settlement Stipulation, including Xcel’s Interim Refund Plan, and staff filed a Staff Memorandum Supporting Settlement Stipulation.
TODAY, shall the Commission grant the Joint Motion for Approval of Settlement Stipulation and approve the rates, tariff sheets, terms and conditions stipulated therein? AND shall the Commission approve Xcel’s Interim Refund Plan? 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. The PUC office will be closed Monday, June 19, 2023, in observance of Juneteenth.
2. The next regular commission meeting will be Tuesday, June 20, 2023, at 1:30 p.m. CDT in Room 413 at the State Capitol Building, Pierre, South Dakota.
3. The PUC office will be closed Tuesday, July 4, 2023, in observance of Independence Day.
4. Commission meetings are scheduled for July 11 and 28, 2023.
/s/ Cindy Kemnitz .
Cindy Kemnitz
Finance Manager
puc@state.sd.us
May 31, 2023