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South Dakota Public Utilities Commission Meeting
Thursday, July 29, 1999; 10:00 A.M.
State Capitol Building, Room LCR1
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, Commission Advisor Greg Rislov, Acting General Counsel Mike Myers, Staff Attorneys Karen Cremer and Camron Hoseck, Telecommunications Analyst Harlan Best, Utility Analysts Dave Jacobson, Michele Farris and Keith Senger, Consumer Representative Legal Intern Jeff Koerselman, and Administrative Secretary Shirleen Fugitt.

Also present were Colleen Sevold, U S WEST; Mutch Usera, Black Hills Power & Light; Dave Gerdes, McLeodUSA; and Jennifer Stalley, South Dakota Rural Electric Association.

Joining the meeting by phone were Neil Schmid, FirsTel; Sam Kerr and Don Jiracek, GSA; Rusty Molstad, Northwestern Public Service; Jim Wilcox, Northern States Power and Alan Peterson, Basec.Net.

Administration

1. Approval Of The Minutes Of The Commission Meeting Held On July 13, 1999. (Staff: Shirleen Fugitt.)

Commissioner Nelson moved to approve the minutes of July 13, 1999, with one minor change. Commissioner Schoenfelder seconded and Chairman Burg concurred. Motion passed 3-0.

Consumer Issues

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

Leni Healy presented an update on consumer inquiries and complaints received since the last Commission meeting.

Telecommunications

5. TC98-196 IN THE MATTER OF THE COMPLAINT FILED BY DON JIRACEK ON BEHALF OF GSA, INC., RAPID CITY, SOUTH DAKOTA, AGAINST MCLEODUSA, REGARDING INADEQUATE SERVICE. (Consumer Representative: Leni Healy. Staff Attorney: Camron Hoseck.)


Commissioner Schoenfelder made the following three part motion:

1. Pursuant to ARSD 20:10:07:05 McLeodUSA Telecommunications Services, Inc. shall pay GSA, Inc. $4.38 for the main line service outage that began on September 25, 1998, and continued to September 28, 1998;

2. McLeod shall pay GSA $1,083.54 for prematurely switching GSA's long distance service, thus depriving GSA of one month of free service from N.O.S.; and

3. McLeod shall pay GSA $2,000 for substandard service and failure to respond in a timely manner to GSA's requests, both of which cost GSA time and money.

Chairman Burg seconded and Commissioner Nelson concurred. Motion passed 3-0.

2. TC98-142 IN THE MATTER OF THE COMPLAINT FILED BY W. JOSEPH CLAFLIN, RAPID CITY, SOUTH DAKOTA, AGAINST U S WEST COMMUNICATIONS, INC. REGARDING UPDATING LINES. (Consumer Representative: Leni Healy. Staff Attorney: Karen Cremer.)

Colleen Sevold, U S WEST, reported that the system has been replaced. Ms. Healy reported that the complainant is satisfied and would not object to having his complaint dismissed.

Chairman Burg moved to dismiss the complaint and close the docket. Commissioner Schoenfelder seconded and Commissioner Nelson concurred. Motion passed 3-0.

3. TC98-155 IN THE MATTER OF THE COMPLAINT FILED BY LORETTA SPEAR, HILL CITY, SOUTH DAKOTA, AGAINST U S WEST COMMUNICATIONS, INC. REGARDING UPDATING LINES. (Staff Attorney: Karen Cremer. Consumer Representative: Leni Healy.)

Ms. Cremer recommended that the anaconda system currently serving the Spear residence be replaced or in the alternative, the customer be given a reduction in charges. Colleen Sevold, U S WEST, reported that the customer is experiencing good quality voice grade service.

Commissioner Nelson moved that U S WEST be ordered to provide Ms. Spear with the same service capability, including digital services and an acceptable internet speed, as that which is being received by her neighbors who are not on an analog carrier system. She further moved that U S WEST file within 90 days a plan to provide those services, the estimated costs of the plan, and a proposal for recovery of those costs, all subject to the Commission's further approval. Commissioner Schoenfelder seconded and Chairman Burg concurred. Motion passed 3-0.

4. TC98-194 IN THE MATTER OF THE COMPLAINT FILED BY BASEC.NET, HURON, SOUTH DAKOTA, AGAINST U S WEST COMMUNICATIONS AND FIRSTEL, INC. REGARDING BILLING ISSUES. (Consumer Representative: Leni Healy. Staff Attorney: Karen Cremer.)

Alan Peterson representing Baset.Net reported that a settlement has been reached and requested the complaint be dismissed with prejudice.

Chairman Burg moved to dismiss the complaint with prejudice. Commissioner Schoenfelder seconded and Commissioner Nelson concurred. Motion passed 3-0.

6. CT99-009 IN THE MATTER OF THE COMPLAINT FILED BY THELMA "SALLY" FOX, HURON, SOUTH DAKOTA, AGAINST TOUCHTONE COMMUNICATIONS REGARDING UNAUTHORIZED BILLING FOR SERVICES AND LACK OF A CERTIFICATE OF AUTHORITY. (Consumer Representative: Leni Healy. Staff Attorney: Camron Hoseck.)

Ms. Healy recommended finding probable cause. Mr. Hoseck also recommended finding probable cause.

Commissioner Schoenfelder moved to find probable cause. Commissioner Nelson seconded and Chairman Burg concurred. Motion passed 3-0.

Gas/Electric

1. GE99-004 IN THE MATTER OF THE FILING BY NORTHWESTERN PUBLIC SERVICE FOR APPROVAL OF REVISED CUSTOMER INFORMATION HANDBOOK. (Staff Analyst: Michele Farris. Legal Intern: Jeff Koerselman.)

Rusty Molstad, Northwestern Public Service, explained the changes made to the Customer Handbook.

Chairman Burg moved to approve the revised Customer Information Handbook. Commissioner Nelson seconded and Commissioner Schoenfelder concurred. Motion passed 3-0.

Electric

1. EL99-007 IN THE MATTER OF THE FILING BY BLACK HILLS POWER AND LIGHT COMPANY FOR APPROVAL OF ITS 1998 ECONOMIC DEVELOPMENT PLAN ANNUAL REPORT AND 1999 ECONOMIC DEVELOPMENT PLAN. (Staff Analyst: Michele Farris. Staff Attorney: Camron Hoseck.)

Mutch Usera, Black Hills Power & Light, explained the filing. Michele Farris noted some differences in this year's plan from the plan approved last year.

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

2. EL99-009 IN THE MATTER OF THE FILING BY NORTHERN STATES POWER COMPANY FOR APPROVAL OF ITS 1998 ECONOMIC DEVELOPMENT REPORT AND 1999 ECONOMIC DEVELOPMENT PLAN. (Staff Analyst: Michele Farris. Staff Attorney: Camron Hoseck.)

Jim Wilcox, Northern States Power, explained the filing. Michele Farris presented further explanation and recommended approval of the plan and the budget.

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

Natural Gas

1. NG99-002 IN THE MATTER OF THE APPLICATION OF NORTHWESTERN PUBLIC SERVICE FOR AUTHORITY TO INCREASE RATES FOR NATURAL GAS SERVICE. (Staff Analyst: Dave Jacobson. Staff Attorney: Karen Cremer.)

Mr. Jacobson explained the contract.

Chairman Burg moved to approve the proposed contract. Commissioner Nelson seconded. Commissioner Schoenfelder stated that while she opposes hiring consultants, she will concur in this instance because the Commission is training new staff. Motion passed 3-0.

Telecommunications

1. TC99-021 IN THE MATTER OF THE APPLICATION OF PROMISE-NET INTERNATIONAL, LTD. FOR A CERTIFICATE OF AUTHORITY TO PROVIDE TELECOMMUNICATIONS SERVICES IN SOUTH DAKOTA. (Staff Analyst: Keith Senger. Staff Attorney: Karen Cremer.)

Mr. Senger explained the application and recommended approval with a waiver of ARSD 20:10:24:02(8) and restrictions on prepaid calling cards, advance payments and deposits.

Commissioner Schoenfelder moved to approve the application with a waiver of ARSD 20:10:24:02(8) and restrictions on prepaid calling cards, advance payments and deposits. Commissioner Nelson seconded and Chairman Burg concurred. Motion passed 3-0.

2. TC99-040 IN THE MATTER OF THE APPLICATION OF CABLE & WIRELESS GLOBAL MARKETS, INC. FOR A CERTIFICATE OF AUTHORITY TO PROVIDE TELECOMMUNICATIONS SERVICES IN SOUTH DAKOTA. (Staff Analyst: Keith Senger. Staff Attorney: Karen Cremer.)

Mr. Senger explained the application and recommended approval with a waiver of ARSD 20:10:24:02(8) and restrictions on prepaid calling cards, advance payments and deposits.

Chairman Burg moved to approve the application with a waiver of ARSD 20:10:24:02(8) and restrictions on prepaid calling cards, advance payments and deposits. Commissioner Schoenfelder seconded and Commissioner Nelson concurred. Motion passed 3-0.

3. TC99-075 IN THE MATTER OF THE ESTABLISHMENT OF SWITCHED ACCESS REVENUE REQUIREMENT FOR MOBRIDGE TELECOMMUNICATIONS COMPANY. (Staff Analysts: Harlan Best/Keith Senger. Staff Attorney: Karen Cremer.)

Ms. Cremer explained Mobridge Telecommunications Company's request to use the GVNW cost study model.

Chairman Burg moved to allow Mobridge Telecommunications Company to use the GVNW cost study model. Commissioner Nelson seconded and Commissioner Schoenfelder concurred. Motion passed 3-0.

The meeting was adjourned.

_____________________________
Shirleen Fugitt
Administrative Secretary