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South Dakota Public Utilities Commission Meeting
Tuesday, June 22, 1999; 10:30 A.M.
State Capitol Building, Room 412
Pierre, South Dakota
MINUTES OF THE COMMISSION MEETING
Chairman Jim Burg called the meeting to order. Present were Commissioner Pam Nelson, Commissioner Laska Schoenfelder, Executive Director Bill Bullard, Deputy Director Sue Cichos, General Counsel Rolayne Ailts Wiest, Commission Advisor Greg Rislov, Staff Attorneys Karen Cremer and Camron Hoseck, Telecommunications Analyst Harlan Best, Utility Analysts Bob Knadle, Dave Jacobson, and Keith Senger, Consumer Representative Leni Healy, Legal Intern Jeff Koerselman and Administrative Secretary Shirleen Fugitt.
Others present were Kyle White, Ev Hoyt and John Nooney, Black Hills Power & Light; Rich Coit, SDITC; Jennifer Stalley, SDREA; Rusty Molstad, Northwestern Public Service; and Chet Brokaw, Associated Press.
Joining the meeting by phone were Michele Singer and Mary Jane Rasher, AT&T; Neil Schmid, FirsTel; Colleen Sevold and Alex Duarte, U S WEST; Mary Lohnes and Tom Simmons, Midco Communications; Don Johnson and Curt Dieren, City of Flandreau; Don Ball and Tamie Aberle, Montana-Dakota Utilities; Jo Froysted, Heartland Telecommunications of Iowa; Burnie Snoddy and Jim McKenna, Fibercomm L.C; and Loretta Calabro, Telec Consulting.
Administration
1. Approval Of The Minutes Of The Commission Meetings Held On May 28, June 1, June 8 and June 15, 1999. (Staff: Shirleen Fugitt.)
Commissioner Nelson moved to approve the minutes of May 28, June 1, June 8 and June 15, 1999. Chairman Burg seconded and Commissioner Schoenfelder concurred. Motion passed 3-0.
Consumer Issues
1. Status Report On Consumer Utility Inquiries And Complaints Recently Received By The Commission. (Consumer Affairs: Leni Healy.)
Ms. Healy presented an update on consumer inquiries and complaints received since the last Commission meeting.
Jerry Noonan, Tele-Tech, Inc., explained the complaint against U S WEST Communications for an unreasonable overcharge. Ms. Sevold suggested that probable cause be found.
Commissioner Schoenfelder moved to find probable cause. Commissioner Nelson seconded and Chairman Burg concurred. Motion passed 3-0.
Electric
Don Johnson representing the City of Flandreau explained the petition. Ms. Cremer presented further explanation and recommended that the Commission find that the proposed project does not meet the definition of a transmission line and associated facility and therefore is not subject to the Commission's siting jurisdiction.
Chairman Burg moved to find that the proposed project does not meet the definition of a transmission line and associated facility and therefore is not subject to the Commission's siting jurisdiction. Commissioner Nelson seconded and Commissioner Schoenfelder concurred. Motion passed 3-0.
Tamie Aberle, Montana-Dakota Utilities, explained the filing with further explanation from Dave Jacobson.
Commissioner Nelson moved to approve the filing. Commissioner Schoenfelder seconded and Chairman Burg concurred. Motion passed 3-0.
Natural Gas
Mr. Jacobson recommended a July 22, 1999, intervention deadline; suspending the imposition of the tariff for 90 days; and assessing a filing fee for actual expenses not to exceed $100,000.
Chairman Burg moved to adopt Staff's recommendations listed above. Commissioner Nelson seconded and Commissioner Schoenfelder concurred. Motion passed 3-0.
Telecommunications
Mr. Best explained the application and recommended approval subject to the company furnishing a corrected surety bond.
Commissioner Nelson moved to grant a Certificate of Authority subject to the company furnishing a corrected surety bond. Commissioner Schoenfelder seconded and Chairman Burg concurred. Motion passed 3-0.
On June 15, the Commission voted to require 11 changes be made to the filed dialing parity plans. U S WEST has requested rehearing of three of the changes: items (1), (3) and (8). Ms. Wiest recommended granting U S WEST's request for rehearing.
Commissioner Nelson moved to grant U S WEST's request for rehearing. Commissioner Schoenfelder seconded and Chairman Burg concurred. Motion passed 3-0.
With regard to item (1), Alex Duarte, U S WEST Communications, explained the request to extend the PIC freeze. Ms. Wiest recommended denial of the request. Mary Jane Rasher, AT&T, and Tom Simmons, Midco Communications, spoke in opposition to the request.
Commissioner Nelson moved to deny U S WEST's request to extend the PIC freeze. Commissioner Schoenfelder seconded and Chairman Burg concurred. Motion passed 3-0.
Chairman Burg moved to deny U S WEST's request to change the requirement in item (3) pertaining to LEC's marketing their products or services. Commissioner Nelson seconded and Commissioner Schoenfelder concurred. Motion passed 3-0.
Chairman Burg moved to change the language at the beginning of item (8) from "In addition to" to "Along with". Commissioner Nelson seconded and Commissioner Schoenfelder concurred. Motion passed 3-0.
Jane Rasher explained AT&T's request for a waiver of item number (6) of the Commission's June 15, 1999, Dialing Parity Order. Ms. Wiest feels that AT&T's request should be directed to the FCC.
Chairman Burg moved to deny AT&T's request for a waiver based on the Commission's lack of jurisdiction. Commissioner Nelson seconded and Commissioner Schoenfelder concurred. Motion passed 3-0.
Ms. Wiest read the list of companies that have filed dialing parity plans and recommended approval of the plans subject to completion of several changes as recommended by Staff.
Chairman Burg moved to approve the plans that have been filed subject to the completion of Staff's recommended changes. Commissioner Nelson seconded and Commissioner Schoenfelder concurred. Motion passed 3-0.
Burnie Snoddy, Fibercomm, L.C., explained the request for an exemption from the requirement of developing intrastate switched access rates based on company specific costs. Mr. Best presented further explanation and recommended approval.
Commissioner Nelson moved to grant Fibercomm, L.C. an exemption as explained above. Chairman Burg seconded and Commissioner Schoenfelder concurred. Motion passed 3-0.
Mr. Jacobson explained the application and recommended approval.
Commissioner Nelson moved to approve the application. Commissioner Schoenfelder seconded and Chairman Burg concurred. Motion passed 3-0.
Mr. Jacobson explained the application and recommended approval with restrictions on prepaid calling cards, deposits and advance payments.
Commissioner Schoenfelder moved to approve the application with the restrictions noted above. Chairman Burg seconded and Commissioner Nelson concurred. Motion passed 3-0.
Ms. Cremer noted that the North Dakota Commission had to delay its hearing until July so had not ruled on the issue yet.
Commissioner Nelson moved to grant a suspension to September 15, 1999. Commissioner Schoenfelder seconded and Chairman Burg concurred. Motion passed 3-0.
Commissioner Nelson moved to grant a suspension to September 15, 1999. Commissioner Schoenfelder seconded and Chairman Burg concurred. Motion passed 3-0.
Ms. Cremer recommended approval of a dialing parity plan even though a suspension has been granted.
Chairman Burg moved to approve the filing. Commissioner Nelson seconded and Commissioner Schoenfelder concurred. Motion passed 3-0.
Mr. Jacobson explained the application and recommended approval subject to the filing of a corrected surety bond.
Chairman Burg moved to approve the application subject to the filing of a corrected surety bond. Commissioner Schoenfelder seconded and Commissioner Nelson concurred. Motion passed 3-0.
Ms. Wiest recommended approval of the filing.
Commissioner Schoenfelder moved to approve the filing. Commissioner Nelson seconded and Chairman Burg concurred. Motion passed 3-0.
Ms. Cremer recommended approval of the filing.
Chairman Burg moved to approve the filing. Commissioner Nelson seconded and Commissioner Schoenfelder concurred. Motion passed 3-0.
Ms. Wiest recommended granting intervention to U S WEST Communications.
Commissioner Nelson moved to grant intervention to U S WEST. Commissioner Schoenfelder seconded and Chairman Burg concurred. Motion passed 3-0.
Addendum
Natural Gas
Tamie Aberle explained the filing. Mr. Senger recommended approval of the filing with the requirement that MDU file a report with Staff listing terms and conditions anytime that this tariff is applied.
Commissioner Nelson moved to approve the filing with a reporting requirement and an effective date on and after the date of this order. Commissioner Schoenfelder seconded and Chairman Burg concurred. Motion passed 3-0.
Addendum
Telecommunications
Mr. Senger explained the filing and recommended approval with restrictions on prepaid calling cards, advance payments and deposits, rural safeguards and a temporary waiver to ARSD 20:10:33:(13).
Commissioner Nelson moved to approve the application with the conditions noted above. Commissioner Schoenfelder seconded and Chairman Burg concurred. Motion passed 3-0.
John Nooney, Black Hills Power and Light, explained the contract with deviations. Mr. Hoseck recommended approval. This matter was considered in a closed session due to a request by Black Hills Power & Light for the treatment of proprietary information.
Chairman Burg moved to approve the contract with a January 1, 1999, effective date. Commissioner Nelson seconded and Commissioner Schoenfelder concurred. Motion passed 3-0.
The Commission opened the meeting for consideration of the following issue. John Nooney addressed the issue of a conditional rate freeze of Black Hills Power and Light's electric rates for the residential and small business customers for five years beyond January 1, 2000. Mr. Hoseck recommended a waiver of the requirement for a comparison class cost of service study for general service large customers and approval of the stipulated settlement regarding a conditional rate freeze.
Chairman Burg moved to approve a waiver of the requirement for a comparison class cost of service study for general service large customers and approval of a stipulated settlement regarding a conditional rate freeze. Commissioner Nelson seconded and Commissioner Schoenfelder concurred. Motion passed 3-0.
The meeting was adjourned.
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Shirleen Fugitt
Administrative Secretary
