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South Dakota Public Utilities Commission Meeting
Tuesday, January 18, 2000; 1:30 P.M.
State Capitol Building, Room 468
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, Commission Advisor Greg Rislov, General Counsel Rolayne Ailts Wiest, Deputy Executive Director Sue Cichos, Staff Attorneys Karen Cremer and Camron Hoseck, Utility Analysts Harlan Best, Dave Jacobson, Michele Farris, Keith Senger, Heather Forney and Leni Healy, Engineer Martin Bettmann and Administrative Secretary Shirleen Fugitt.

Also present were Rich Coit and Greg Dean, SDITC; Thomas Harmon, Sprint; Jim Robbennolt, Budget Call/Excel; Tom Berkelman, AT&T; Darla Pollman Rogers, Sully Buttes Telephone/Venture Communications; Jim Wilcox, NSP; and Colleen Sevold, U S WEST Communications.

Joining the meeting by phone were Ed Peters, Tom Welk and Alex Duarte, U S WEST; Glenn Stockton, NOS Communications; Andrew Jones, Sprint; Mary Lohnes and Tom Simmons, Midco Communications; Jerry Campbell, AT&T; Al Krug and Scott Wilensky, NSP; Marv Sorenson, MidAmerican Energy; and complainants Randy Kieffer, Dan Grider, Dennis Micko, Jennifer Klingbile, Rogert Fogg, Jr., William Kissel and Loretta Spear.

Administration

1. Approval Of The Minutes Of The Commission Meeting Held On January 6, 2000. (Staff: Shirleen Fugitt.)

Commissioner Nelson moved to approve the minutes of January 6, 2000. 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 Affairs: Leni Healy.)

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

2. 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. Staff Analyst: Leni Healy.)

Ms. Spear discussed the status of her complaint. Tom Welk, U S WEST, addressed the complaint. Ms. Wiest recommended the Commission go to hearing on the cost recovery aspect of the complaint, the implementation plan and the complainant's current service. She also recommended deferring action on U S WEST's request for reconsideration.

Chairman Burg moved to hold a hearing on cost recovery, U S WEST's implementation plan and the complainant's service. Commissioner Nelson seconded and Commissioner Schoenfelder concurred. Motion passed 3-0.

The Commission deferred action on U S WEST's motion to reconsider and motion to take judicial notice.

3. TC98-176 IN THE MATTER OF THE COMPLAINT FILED BY RANDY KIEFFER, STURGIS, SOUTH DAKOTA, AGAINST U S WEST COMMUNICATIONS, INC. REGARDING TELEPHONE SERVICE OUTAGES AND INADEQUATE SERVICE. (Staff Analyst: Leni Healy. Staff Attorney: Camron Hoseck.)

CT99-002 IN THE MATTER OF THE COMPLAINT FILED BY RANDY KIEFFER, STURGIS, SOUTH DAKOTA, AGAINST U S WEST COMMUNICATIONS, INC. REGARDING SERVICE PROBLEMS. (Staff Analyst: Leni Healy. Staff Attorney: Camron Hoseck.)

Mr. Kieffer reported that his telephone service has improved since his complaints were filed hat it was difficult to get repair service on a weekend. Colleen Sevold, U S WEST, said that a repairman did respond to a call from Mr. Kieffer on a Sunday. No action was taken.

4. CT99-087 IN THE MATTER OF THE COMPLAINT FILED BY JERRY OGAN ON BEHALF OF OGAN CONSTRUCTION, BLUNT, SOUTH DAKOTA, AGAINST SPRINT COMMUNICATIONS COMPANY L.P. REGARDING UNAUTHORIZED SWITCHING OF SERVICES. (Staff Analyst: Heather Forney. Staff Attorney: Camron Hoseck.)

Ms. Forney recommended amending the complaint to include Crusade Communications as a Respondent and finding probable cause. Tom Harmon noted that Sprint supports the amendment. Andrew Jones requested that Sprint be dismissed as a party in this complaint.

Chairman Burg moved to amend the complaint to add Crusade Communications as a Respondent and to find probable cause. Commissioner Nelson seconded and Commissioner Schoenfelder concurred. Motion passed 3-0.

5. CT00-002 IN THE MATTER OF THE COMPLAINT FILED BY DAN GRIDER, BALTIC, SOUTH DAKOTA, AGAINST QWEST COMMUNICATIONS, INC. REGARDING UNAUTHORIZED SWITCHING OF SERVICES. (Staff Analyst: Keith Senger. Staff Attorney: Camron Hoseck.)

Dan Grider explained the complaint against Qwest Communications. Ms. Senger recommended finding probable cause.

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

6. CT00-007 IN THE MATTER OF THE COMPLAINT FILED BY ROBERT FOGG, JR., MARTIN, SOUTH DAKOTA, AGAINST AT&T COMMUNICATIONS OF THE MIDWEST, INC. REGARDING PROMISED RATES WHICH WERE NOT ASSESSED. (Staff Analyst: Heather Forney. Staff Attorney: Camron Hoseck.)

Robert Fogg, Jr., explained his complaint against AT&T. Jerry Campbell representing AT&T addressed the complaint. Ms. Forney recommended finding no probable cause.

Chairman Burg moved to find no probable cause and to close the docket. Commissioner Schoenfelder seconded and Commissioner Nelson concurred. Motion passed 3-0.

7. CT00-008 IN THE MATTER OF THE COMPLAINT FILED BY BANNER ASSOCIATES, INC., BROOKINGS, SOUTH DAKOTA, AGAINST NOS COMMUNICATIONS, INC. REGARDING BILLING ISSUES. (Staff Analyst: Michele Farris. Staff Attorney: Camron Hoseck.)

Jennifer Klingbile, representing Banner Associates, explained the complaint against NOS Communications. Glenn Stockton, NOS Communications, addressed the complaint. Ms. Farris recommended finding probable cause.

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

8. CT00-012 IN THE MATTER OF THE COMPLAINT FILED BY WILLIAM G. KISSEL, YANKTON, SD, AGAINST QWEST COMMUNICATIONS, INC. REGARDING UNAUTHORIZED SWITCHING OF SERVICES. (Staff Analyst: Keith Senger. Staff Attorney: Camron Hoseck.)

William Kissel explained his complaint against Qwest Communications for unauthorized switching. Mr. Senger presented further explanation and recommended finding probable cause.

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

Telecommunications

1. TC98-187 IN THE MATTER OF THE PETITION FOR AN ORDER DIRECTING U S WEST COMMUNICATIONS, INC., TO FILE UPDATES TO ITS EXCHANGE AND NETWORK SERVICES CATALOG, ACCESS SERVICE CATALOG, ADVANCED COMMUNICATIONS SERVICES CATALOG, AND PRIVATE LINE TRANSPORT SERVICES CATALOG. (Staff Analyst: Harlan Best. Staff Attorney: Camron Hoseck.)

Commissioner Nelson moved that the Commission find as follows: (1) With respect to the issue of whether updates to tariffs and catalogs should be filed as paper copies with the Commission, the Commission finds that U S WEST's offer to furnish the Commission with paper copies of all tariff and catalog changes that it posts on its web-site within 30 days of the effective date of that rate change or service offering is an acceptable solution; (2) With respect to the issue of whether U S WEST is required to submit for pre-approval its tariffs and catalogs regarding the grant of discounts, incentives, services, or other business practices necessary to meet competition, the Commission finds that U S WEST is not required to submit them for pre-approval. The Commission recognizes that this allows U S WEST to make the initial determination of whether the tariff or catalog change is necessary to meet competition, however, the Commission finds that Commission staff, other interested persons, or the Commission on its own motion may open a docket to determine whether the tariff or catalog change or addition is necessary to meet competition; (3) With respect to the issue of how new services are classified, the Commission finds that if U S WEST does not request a different classification, intraLATA new products and services not functionally required to provide local exchange service will remain classified as noncompetitive pursuant to Docket F- 3743; (4) With respect to promotions that last ninety days or less, U S WEST shall inform the Commission of the beginning and ending date of the promotion in accordance with the public notice requirement of SDCL 49-31-86.

Chairman Burg further moved to add this language: At the hearing, the Commission took under advisement an objection by Staff to U S WEST's motion to admit Harlan Best's deposition. The Commission sustains the objection and Mr. Best's deposition is not admitted as an exhibit. Commissioner Nelson seconded and Commissioner Schoenfelder concurred. Motion passed 3-0.

2. TC99-102 IN THE MATTER OF THE APPLICATION OF NEXTLINK LONG DISTANCE SERVICES, INC. FOR A CERTIFICATE OF AUTHORITY TO PROVIDE TELECOMMUNICATIONS SERVICES IN SOUTH DAKOTA. (Staff Analyst: Heather Forney. Staff Attorney: Karen Cremer.)

Ms. Forney explained the application and recommended approval with the waiver of ARSD 20:10:24:02(8) and a continuous $25,000 surety bond.

Commissioner Schoenfelder moved to approve the application with the waiver of ARSD 20:10:24:02(8) and a continuous $25,000 surety bond. Commissioner Nelson seconded and Chairman Burg concurred. Motion passed 3-0.

3. TC99-105 IN THE MATTER OF THE APPLICATION OF PROMISEVISION TECHNOLOGY, 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 restrictions on prepaid calling cards, advance payments and deposits.

Commissioner Nelson moved to approve the application with the restrictions noted above. Commissioner Schoenfelder seconded and Chairman Burg concurred. Motion passed 3-0.

4. TC99-112 IN THE MATTER OF THE JOINT APPLICATION OF U S WEST COMMUNICATIONS, INC. AND SULLY ES TELEPHONE COOPERATIVE, INC. AND VENTURE COMMUNICATIONS, INC. REGARDING THE SALE BY U S WEST OF ITS SISSETON TELEPHONE EXCHANGE TO SULLY ES TELEPHONE COOPERATIVE, INC. AND VENTURE COMMUNICATIONS, INC. (Staff Analyst: Keith Senger. Staff Analyst: Karen Cremer.)

Ms. Wiest questioned whether this application for sale of an exchange should include requests for approval of an amended Certificate of Authority and designation as an ETC. The parties discussed those issues. No action was taken.

5. TC99-120 IN THE MATTER OF THE APPLICATION OF ARRIVAL COMMUNICATIONS, INC. FOR A CERTIFICATE OF AUTHORITY TO PROVIDE TELECOMMUNICATIONS SERVICES, INCLUDING LOCAL EXCHANGE SERVICES, IN SOUTH DAKOTA. (Staff Analyst: Michele Farris. Staff Attorney: Camron Hoseck.)

Rich Coit explained the request for intervention by SDITC.

Commissioner Schoenfelder moved to grant intervention. Chairman Burg seconded and Commissioner Nelson concurred. Motion passed 3-0.

Electric

1. EL99-021 IN THE MATTER OF THE PETITION FILED BY NORTHERN STATES POWER COMPANY FOR APPROVAL OF THE INCLUSION OF FINANCIAL INCENTIVES IN ITS FUEL CLAUSE. (Staff Analyst: Heather Forney. Staff Attorney: Camron Hoseck.)

Mr. Hoseck explained Staff's Motion to Disallow NSP's Petition and Bond Requirement. NSP agreed to not immediately implement the modifications to the fuel clause adjustment. With that assurance, Staff recommended that no hearing be set for a bond determination.

Miscellaneous

1. MS98-001 IN THE MATTER OF THE REQUEST FOR A SURVEY ON UTILITIES' YEAR 2000 READINESS. (Staff Analyst: Michele Farris. Staff Engineer: Martin Bettmann.)

Mr. Bettmann presented an update and recommended closing the docket.

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

Addendum

1. CT99-041 IN THE MATTER OF THE COMPLAINT FILED BY DONALD COOK, HURON, SOUTH DAKOTA, AGAINST BUDGET CALL LONG DISTANCE, INC. AND NOR COMMUNICATIONS, INC. REGARDING UNAUTHORIZED SWITCHING OF SERVICES. (Staff Analyst: Leni Healy. Staff Attorney: Karen Cremer.)

Jim Robbennolt reported that the matter has been settled and explained the request by Budget Call Long Distance, Inc., to amend the caption. Ms. Cremer noted that Staff is not opposed to amending the caption.

Chairman Burg moved to grant Budget's motion to amend the caption. Commissioner Nelson seconded and Commissioner Schoenfelder concurred. Motion passed 3-0.

2. CT99-048 IN THE MATTER OF THE COMPLAINT FILED BY DAVID AND LISA NEUHARTH, FORT PIERRE, SOUTH DAKOTA, AGAINST EXCEL TELECOMMUNICATIONS, INC. REGARDING UNAUTHORIZED SWITCHING OF SERVICES. (Staff Analyst: Leni Healy. Staff Attorney: Camron Hoseck.)

Rich Coit addressed the complaint and requested deferral.

Chairman Burg moved to grant a continuance and to defer making a decision on the addition of a third party defendant. Commissioner Nelson seconded and Commissioner Schoenfelder concurred. Motion passed 3-0.

The meeting was adjourned.

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Shirleen Fugitt
Administrative Secretary