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PUBLIC UTILITIES COMMISSION MEETING
Tuesday, January 20, 1998; 10:00 A.M.
State Capitol Building, Room 430
Pierre, South Dakota

MINUTES OF THE COMMISSION MEETING


Chairman Burg called the meeting to order. Present were Commissioner Pam Nelson, Commissioner Laska Schoenfelder, Executive Director Bill Bullard, General Counsel Rolayne Ailts Wiest, Staff Attorneys Karen Cremer and Camron Hoseck, Fixed Utilities Division Director Greg Rislov, Telecommunications Analyst Harlan Best, Utility Analysts Bob Knadle and Tammi Stangohr, Consumer Representative Leni Healy, Business Manager Sue Cichos and Administrative Secretary Shirleen Fugitt.

Also present were Jon Lehner, Colleen Sevold and Larry Toll, U S WEST; Dave Gerdes, MCI; Loren Hiatt, AT&T; Tom Harmon, Sprint; Rich Coit, SDITC; Bob Mercer, Rapid City Journal; Terry Woster, Argus Leader; and State Representative Mike Broderick.

Joining the meeting by phone were Robert Marmet, Dakota Telecommunications Group; Bill Heaston, U S WEST; Mary Lohnes and Tom Simmons, Midco Communications; Greg VonWald, TelServ; Neil Schmid, FirsTel; and Jim Wilcox and Mike Krikava, Northern States Power.

Administration


1. Approval Of The Minutes Of The Commission Meetings Held On January 8 and 12, 1998. (Staff: Shirleen Fugitt.)

Commissioner Nelson moved to approve the minutes of the January 8, 1998, and January 12, 1998, Commission meetings. Commissioner Schoenfelder seconded and Chairman Burg concurred. Motion passed 3-0.

Consumer Affairs


1. Status Report On Consumer Utility Inquiries And Complaints Recently Received By The Commission. (Consumer Representative: Leni Healy.)

Ms. Healy presented an update on inquiries and complaints received by the Commission since the last Commission meeting.

Gas/Electric


1. GE97-005 IN THE MATTER OF THE FILING BY MIDAMERICAN ENERGY COMPANY FOR APPROVAL OF REVISIONS TO ITS TARIFFS. (Staff Analyst: Dave Jacobson. Staff Attorney: Camron Hoseck.)

Mr. Hoseck requested deferral. Action was deferred.

Electricity


1. EL97-022 IN THE MATTER OF THE PETITION OF NORTHERN STATES POWER COMPANY FOR A STATEMENT TO THE SECURITIES AND EXCHANGE COMMISSION REGARDING INVESTMENT IN FOREIGN UTILITIES. (Staff Attorney: Camron Hoseck.)

Mike Krikava, NSP, explained the filing. Mr. Hoseck presented further explanation and recommended granting a letter of certification with the following conditions:

This certification is limited to the proposed NRG foreign utility company investments in the filing with a maximum amount to be spent thereon being five hundred million United States dollars.

In the event NSP acquires interests in foreign utility companies and the sum total of these acquisitions exceeds the amount of five hundred million United States dollars upon which this certification is premised, NSP shall provide advance notification to the South Dakota Public Utilities Commission of its intent to acquire those interests in foreign utility companies and it shall obtain separate certification for any such additional investment.

NSP will not encumber any South Dakota property because of these foreign investments.

Neither NSP nor any of its current or future subsidiaries or affiliates will ever seek to recover, either directly or indirectly, from South Dakota ratepayers through any regulated utility rates of any costs, expenses or losses of any nature whatsoever which may result from this or any other investment in foreign utility companies.

This certification is conditioned on and subject to being removed or withdrawn at any time by the Commission as to any future foreign utility company investments if the Commission deems such action is warranted.

Commissioner Schoenfelder moved to grant a letter of certification with the five conditions listed above. Chairman Burg seconded and Commissioner Nelson concurred. Motion passed 3-0.

Telecommunications


1. TC96-107 IN THE MATTER OF THE ESTABLISHMENT OF SWITCHED ACCESS RATES FOR U S WEST COMMUNICATIONS, INC. (Staff Analyst: Harlan Best. Staff Attorney: Karen Cremer.)

Jon Lehner, U S WEST, explained the filing. Mr. Best presented further explanation and recommended approval.

Commissioner Schoenfelder moved to approve the tariff filing. Commissioner Nelson seconded and Chairman Burg concurred. Motion passed 3-0.


2. TC96-160 IN THE MATTER OF THE PETITION FOR ARBITRATION ON BEHALF OF WESTERN WIRELESS CORPORATION WITH U S WEST COMMUNICATIONS, INC. (Staff Attorney: Camron Hoseck.)

Mr. Hoseck explained the petition and recommended approval.

Commissioner Schoenfelder moved to approve the amendment to the interconnection agreement. Chairman Burg seconded and Commissioner Nelson concurred. Motion passed 3-0.


3. TC97-032 IN THE MATTER OF THE FILING BY U S WEST COMMUNICATIONS, INC. FOR APPROVAL OF AGREEMENT FOR SERVICE RESALE BETWEEN FIRSTEL, INC. AND U S WEST COMMUNICATIONS, INC. (Staff Attorney: Camron Hoseck.)

Neil Schmid, FirsTel, explained the filing. Mr. Hoseck recommended approval.

Commissioner Nelson moved to approve the filing. Commissioner Schoenfelder seconded and Chairman Burg concurred. Motion passed 3-0.

4. TC97-044 IN THE MATTER OF THE FILING OF WIRELESS INTERCONNECTION AGREEMENT BETWEEN U S WEST COMMUNICATIONS, INC. AND COMMNET CELLULAR, INC. (Staff Attorney: Camron Hoseck.)

Mr. Hoseck recommended approval.

Commissioner Nelson moved to approve the filing. Commissioner Schoenfelder seconded and Chairman Burg concurred. Motion passed 3-0.

5. TC97-192 IN THE MATTER OF U S WEST COMMUNICATIONS, INC. AND ITS ABILITY TO SERVE SOUTH DAKOTA CUSTOMERS. (Staff Analyst: Harlan Best. Staff Attorney: Camron Hoseck.)

Commissioner Schoenfelder moved that the Commission issue an Order to Show Cause based on Staff's petition. In addition, she moved that the Commission add the following remedies:

1. That U S WEST be ordered to improve its planning and provisioning in growth areas;

2. That U S WEST be ordered to provision, in a timely manner, adequate and reliable service; and

3. That U S WEST be ordered to upgrade obsolete and non-functioning infrastructure.

Commissioner Schoenfelder further moved that the hearing be set for March 9-11, 1998, and that U S WEST file prefiled testimony on or before February 13, 1998, and Commission Staff file prefiled testimony on or before February 23, 1998. Commissioner Nelson seconded and Chairman Burg concurred. Motion passed 3-0.

6. IN THE MATTER OF AUTOMATIC CHARGES BORNE BY CUSTOMERS WITH CLASS SERVICES WHO DIAL THEIR PHONES WITHIN TWO SECONDS OF THEIR PREVIOUS CALL. (Consumer Representative: Leni Healy.)

Ms. Healy explained the issue and requested deferral. Action was deferred.

The meeting was adjourned.

____________________________
Shirleen Fugitt
Administrative Secretary