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South Dakota Public Utilities Commission Meeting
Wednesday, February 2, 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, Commission Counsel Rolayne Ailts Wiest, Deputy Executive Director Sue Cichos, Utility Analysts Harlan Best, Dave Jacobson, Michele Farris, Keith Senger, Heather Forney, Leni Healy, and Charlene Lund, and Administrative Secretary Shirleen Fugitt.

Also present were Colleen Sevold, U S WEST Communications; Jeff Barth, Sioux Falls, SD; Rich Coit, SDITC; and Tom Harmon, Sprint.

Joining the meeting by phone were Rusty Molstad, NWPS; Denny Law, Sioux Valley Telephone; Darren Sears, One Star Long Distance; Suzan Stewart, MidAmerican Energy; Wendy Rosen, Telephone Billing Services; Rebecca DeCook, Paula Heeren, Arlene Starr and Sandy Hofstetter, AT&T; Maria Bertacchi, Qwest Communications; Kurtis Kintzel, Crusade Communications; Regina Harris, OLS; Mary Lohnes, Midco Communications; Alex Duarte, U S WEST; and complainants Hai Nguyen, Shannon Naser; Angela Berget; Cosette Mau; Elizabeth Ewald, Jeanette Moes; and Juel Fee.

Administration

1. Approval Of The Minutes Of The Commission Meeting Held On January 18, 2000. (Staff: Shirleen Fugitt.)

Chairman Burg moved to approve the January 18, 2000, minutes. Commissioner Schoenfelder seconded and Commissioner Nelson 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.

1. CT00-024 IN THE MATTER OF THE COMPLAINT FILED BY HAI NGUYEN, SIOUX FALLS, SOUTH DAKOTA, AGAINST QWEST COMMUNICATIONS, INC. REGARDING UNAUTHORIZED SWITCHING OF SERVICES. (Staff Analyst: Heather Forney. Staff Attorney: Camron Hoseck.)

Mr. Nguyen explained his complaint against Qwest Communications. Maria Bertacchi, Qwest Communications, addressed the complaint. Ms. Forney recommended finding probable cause.

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

2. CT99-004 IN THE MATTER OF THE COMPLAINT FILED BY JAMES FRANKENSTEIN, REDFIELD, SOUTH DAKOTA, AGAINST U S WEST COMMUNICATIONS, INC. REGARDING POOR SERVICE AND REQUEST TO HAVE LINES UPDATED. (Staff Analyst: Leni Healy. Staff Attorney: Camron Hoseck.)

Mr. Hoseck reported that the complaint has been resolved and recommended dismissing the complaint and closing the docket.

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

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

Ms. Cremer reported that the complaint has been resolved he complainant is awaiting reimbursement. Action was deferred.

4. CT99-046 IN THE MATTER OF THE COMPLAINT FILED BY SHIRLEY J. NOBLE, RAPID CITY, SOUTH DAKOTA, AGAINST PREFERRED BILLING REGARDING UNAUTHORIZED BILLING FOR SERVICES. (Consumer Representative: Leni Healy. Staff Attorney: Camron Hoseck.)

Mr. Hoseck reported that a settlement has been reached and recommended dismissing the complaint and closing the docket.

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

5. 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.)

Mr. Hoseck reported that the complaint has been resolved and recommended dismissing the complaint and closing the docket.

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

6. CT99-076 IN THE MATTER OF THE COMPLAINT FILED BY RICHARD L. DIXON, DESMET, SOUTH DAKOTA, AGAINST TELEPHONE BILLING SERVICES AND RTR CONSULTANTS REGARDING UNAUTHORIZED SWITCHING OF SERVICES. (Staff Analyst: Heather Forney. Staff Attorney: Camron Hoseck.)

Ms. Forney reported that a settlement has been reached and recommended dismissing the complaint and closing the docket.

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

7. CT99-081 IN THE MATTER OF THE COMPLAINT FILED BY MYRNA MORK, PIERPONT, SOUTH DAKOTA, AGAINST ONE STAR LONG DISTANCE, INC. REGARDING UNAUTHORIZED SWITCHING OF SERVICES. (Staff Analyst: Keith Senger. Staff Attorney: Camron Hoseck.)

Mr. Senger reported that a settlement has been reached and recommended dismissing the complaint and closing the docket.

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

8. CT00-001 IN THE MATTER OF THE COMPLAINT FILED BY JEANETTE MOES, WATERTOWN, SOUTH DAKOTA, AGAINST OLS, INC. REGARDING SWITCHING TELECOMMUNICATIONS SERVICES THROUGH DECEPTIVE TACTICS. (Staff Analyst: Leni Healy. Staff Attorney: Karen Cremer.)

Jeanette Moes explained her complaint against OLS. Ms. Healy recommended a finding of probable cause.

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

9. CT00-003 IN THE MATTER OF THE COMPLAINT FILED BY ELAINE M. INGALLS, WATERTOWN, SOUTH DAKOTA, AGAINST OLS, INC. REGARDING SWITCHING TELECOMMUNICATIONS SERVICES THROUGH DECEPTIVE TACTICS. (Staff Analyst: Leni Healy. Staff Attorney: Karen Cremer.)

Ms. Cremer recommended a finding of probable cause.

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

10. CT00-004 IN THE MATTER OF THE COMPLAINT FILED BY JEANNE STICH, MCCOOK LAKE, SOUTH DAKOTA, AGAINST OLS, INC. REGARDING PROMISED RATES WHICH WERE NOT ASSESSED. (Staff Analyst: Leni Healy. Staff Attorney: Karen Cremer.)

Ms. Cremer recommended a finding of probable cause.

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

11. CT00-005 IN THE MATTER OF THE COMPLAINT FILED BY WILLIAM L. FROST, WATERTOWN, SOUTH DAKOTA, AGAINST OLS, INC. REGARDING SWITCHING TELECOMMUNICATIONS SERVICES THROUGH DECEPTIVE TACTICS. (Staff Analyst: Leni Healy. Staff Attorney: Karen Cremer.)

Ms. Cremer recommended a finding of probable cause.

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

12. CT00-006 IN THE MATTER OF THE COMPLAINT FILED BY EARL AND PAULINE DEHOOGH, SIOUX FALLS, SOUTH DAKOTA, AGAINST OLS, INC. REGARDING SWITCHING TELECOMMUNICATIONS SERVICES THROUGH DECEPTIVE TACTICS. (Staff Analyst: Leni Healy. Staff Attorney: Karen Cremer.)

Ms. Cremer recommended a finding of probable cause.

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

 

13. CT00-009 IN THE MATTER OF THE COMPLAINT FILED BY ELIZABETH A. EWALD, WATERTOWN, SOUTH DAKOTA, AGAINST OLS, INC. REGARDING SWITCHING OF SERVICES THROUGH DECEPTIVE PRACTICES. (Staff Analyst: Leni Healy. Staff Attorney: Karen Cremer.)

Elizabeth Ewald explained the complaint against OLS. Ms. Cremer recommended a finding of probable cause.

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

14. CT00-010 IN THE MATTER OF THE COMPLAINT FILED BY EDWARD C. FRITZ, WATERTOWN, SOUTH DAKOTA, AGAINST OLS, INC. REGARDING SWITCHING TELECOMMUNICATIONS SERVICES THROUGH DECEPTIVE TACTICS. (Staff Analyst: Leni Healy. Staff Attorney: Karen Cremer.)

Ms. Cremer recommended a finding of probable cause.

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

15. CT00-011 IN THE MATTER OF THE COMPLAINT FILED BY HERMAN H. SCHAMBER, YANKTON, SOUTH DAKOTA, AGAINST OLS, INC. REGARDING UNAUTHORIZED SWITCHING OF SERVICES. (Staff Analyst: Leni Healy. Staff Attorney: Karen Cremer.)

Ms. Cremer recommended a finding of probable cause.

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

16. CT00-013 IN THE MATTER OF THE COMPLAINT FILED BY MARY ANN BECKER, MADISON, SOUTH DAKOTA, AGAINST OLS, INC. REGARDING SWITCHING TELECOMMUNICATIONS SERVICES THROUGH DECEPTIVE TACTICS. (Staff Analyst: Leni Healy. Staff Attorney: Karen Cremer.)

Ms. Cremer recommended a finding of probable cause.

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

17. CT00-014 IN THE MATTER OF THE COMPLAINT FILED BY JULIE ROESLER ON BEHALF OF SLEEP INN, SIOUX FALLS, SOUTH DAKOTA, AGAINST SPRINT COMMUNICATIONS COMPANY L.P. REGARDING UNAUTHORIZED DISCONNECTION AND UNAUTHORIZED SWITCHING OF SERVICES. (Staff Analyst: Michele Farris. Staff Attorney: Karen Cremer.)

Ms. Cremer recommended a finding of probable cause. Tom Harmon representing Sprint suggested that the complaint is actually against McLeod rather than Sprint.

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

18. CT00-015 IN THE MATTER OF THE COMPLAINT FILED BY EDWARD AND MARVEL HINKELMAN, WATERTOWN, SOUTH DAKOTA, AGAINST OLS, INC. REGARDING SWITCHING TELECOMMUNICATIONS SERVICES THROUGH DECEPTIVE TACTICS. (Staff Analyst: Leni Healy. Staff Attorney: Karen Cremer.)

Ms. Cremer recommended a finding of probable cause.

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

19. CT00-016 IN THE MATTER OF THE COMPLAINT FILED BY ANGELA L. BERGET, ABERDEEN, SOUTH DAKOTA, AGAINST OLS, INC. REGARDING UNAUTHORIZED SWITCHING OF SERVICES. (Staff Analyst: Leni Healy. Staff Attorney: Karen Cremer.)

Angela Berget explained her complaint against OLS. Ms. Cremer recommended a finding of probable cause.

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

20. CT00-017 IN THE MATTER OF THE COMPLAINT FILED BY JUEL D. FEE, SIOUX FALLS, SOUTH DAKOTA, AGAINST PREFERRED BILLING REGARDING UNAUTHORIZED SWITCHING OF SERVICES. (Staff Analyst: Heather Forney. Staff Attorney: Karen Cremer.)

Juel Fee explained his complaint against Preferred Billing. Ms. Cremer recommended a finding of probable cause.

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

21. CT00-018 IN THE MATTER OF THE COMPLAINT FILED BY MARGARET E. HOWELL, ABERDEEN, SOUTH DAKOTA, AGAINST OLS, INC. REGARDING UNAUTHORIZED SWITCHING OF SERVICES. (Staff Analyst: Leni Healy. Staff Attorney: Karen Cremer.)

Ms. Cremer recommended a finding of probable cause.

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

22. CT00-019 IN THE MATTER OF THE COMPLAINT FILED BY GARY M. JOHNSON, SIOUX FALLS, SOUTH DAKOTA, AGAINST SPRINT COMMUNICATIONS COMPANY L.P. REGARDING UNAUTHORIZED SWITCHING OF SERVICES. (Staff Analyst: Keith Senger. Staff Attorney: Camron Hoseck.)

Mr. Senger presented background information and recommended the complaint be dismissed and the docket be closed.

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

23. CT00-021 IN THE MATTER OF THE COMPLAINT FILED BY PATRICIA LANDSTROM ON BEHALF OF POTTER SHOE CO., HURON, SOUTH DAKOTA, AGAINST U S REPUBLIC COMMUNICATIONS, INC., ACCUTEL COMMUNICATIONS, INC., ZERO PLUS DIALING AND AMERICAN TELECOM NETWORK COMMUNICATIONS REGARDING UNAUTHORIZED SWITCHING OF SERVICES AND BILLING ISSUES. (Staff Analyst: Michele Farris. Staff Attorney: Karen Cremer.)

Ms. Farris requested deferral. Action was deferred.

24. CT00-022 IN THE MATTER OF THE COMPLAINT FILED BY SHANNON AND SHELLY NASER, SIOUX FALLS, SOUTH DAKOTA, AGAINST SPRINT COMMUNICATIONS COMPANY L.P. AND CRUSADE COMMUNICATIONS REGARDING UNAUTHORIZED SWITCHING OF SERVICES. (Staff Analyst: Heather Forney. Staff Attorney: Camron Hoseck.)

Shannon Naser explained his complaint against Sprint Communications and Crusade Communications. Tom Harmon representing Sprint noted that he feels the complaint is with Crusade Communications only. Kurtis Kintzel, Crusade Communications, addressed the complaint. Ms. Forney recommended a finding of probable cause. Ms. Wiest recommended a finding of probable cause against both Sprint Communications and Crusade Communications.

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

25. CT00-023 IN THE MATTER OF THE COMPLAINT FILED BY GARY AND COSETTE MAU, MILBANK, SOUTH DAKOTA, AGAINST QWEST COMMUNICATIONS, INC. REGARDING UNAUTHORIZED SWITCHING OF SERVICES. (Staff Analyst: Keith Senger. Staff Attorney: Karen Cremer.)

Cosette Mau explained her complaint against Qwest Communications. Maria Bertacchi addressed the complaint on behalf of Qwest.

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

27. CT00-025 IN THE MATTER OF THE COMPLAINT FILED BY CHARLES GUSTAFSON, SIOUX FALLS, SOUTH DAKOTA, AGAINST PREFERRED BILLING REGARDING UNAUTHORIZED SWITCHING OF SERVICES. (Staff Analyst: Michele Farris. Staff Attorney: Karen Cremer.)

Ms. Farris reported that the complainant wishes to dismiss the complaint.

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

Natural Gas

1. NG99-010 IN THE MATTER OF THE FILING BY MIDAMERICAN ENERGY COMPANY FOR APPROVAL OF ITS 1999 ECONOMIC DEVELOPMENT REPORT AND ITS 2000 ECONOMIC DEVELOPMENT PLAN. (Staff Analyst: Michele Farris. Staff Attorney: Karen Cremer.)

Suzan Stewart explained the filing. Ms. Farris presented further explanation and recommended approval of the filing.

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

Telecommunications

1. TC99-055 IN THE MATTER OF THE PETITION FOR EXTENDED AREA SERVICE BETWEEN THE HUMBOLDT-MONTROSE EXCHANGE AND SIOUX FALLS, SOUTH DAKOTA. (Staff Analyst: Harlan Best. Staff Attorney: Camron Hoseck.)

Mr. Best presented an update and recommended the petition be denied. Alex Duarte, U S WEST, spoke in support of denial.

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


2. TC99-091 IN THE MATTER OF THE APPLICATION OF TRANS NATIONAL COMMUNICATIONS INTERNATIONAL, INC. FOR A CERTIFICATE OF AUTHORITY TO PROVIDE TELECOMMUNICATIONS SERVICES IN SOUTH DAKOTA. (Staff Analyst: Keith Senger. Staff Attorney: Camron Hoseck .)

Mr. Senger explained the application. Discussion followed on the length of time the Commission waited to receive certain information required in order to approve this application. Mr. Senger recommended approval with restrictions on prepaid calling cards, advance payments and deposits.

Chairman Burg moved to approve the application with the restrictions noted above. Commissioner Schoenfelder seconded. Commissioner Nelson dissented. Motion passed 2-1.

3. TC99-106 IN THE MATTER OF THE ESTABLISHMENT OF DIFFERENT RATES FOR INTERCONNECTION AND UNBUNDLED NETWORK ELEMENTS IN AT LEAST THREE GEOGRAPHIC AREAS. (Staff Analyst: Harlan Best. Staff Attorneys: Karen Cremer and Camron Hoseck.)

Ms. Wiest asked for additional comments from the parties. Alex Duarte, U S WEST, recommended a rulemaking proceeding. Becky DeCook, AT&T, recommended a contested case hearing. Staff recommended a contested case hearing. Ms. Wiest recommended: (1) that the proceeding be limited to nonrural companies since the rural companies in South Dakota are currently exempt from 47 U.S.C. ' 251(c) requirements; (2) that the Commission proceed with a contested case type proceeding as opposed to a rulemaking; and (3) that the Commission use the rates as established in the U S WEST/AT&T interconnection agreement as the bases for the setting of deaveraged rates. Ms. Wiest also recommended a procedural schedule.

Chairman Burg moved to adopt Ms. Wiest's recommendations noted above. Commissioner Nelson seconded and Commissioner Schoenfelder concurred. Motion passed 3-0.

4. TC99-119 IN THE MATTER OF THE APPLICATION OF W2COM INTERNATIONAL, LLC FOR A CERTIFICATE OF AUTHORITY TO PROVIDE TELECOMMUNICATIONS SERVICES IN SOUTH DAKOTA. (Staff Analyst: Heather Forney. Staff Attorney: Camron Hoseck.)

Ms. Forney 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.

5. TC99-123 IN THE MATTER OF THE FILING FOR APPROVAL OF A TYPE 2 WIRELESS INTERCONNECTION AGREEMENT BETWEEN U S WEST COMMUNICATIONS, INC. AND TW WIRELESS, L.L.C. (Staff Attorney: Camron Hoseck.)

Mr. Hoseck explained the filing and recommended approval.

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

Rule Making

1. RM99-002 IN THE MATTER OF THE ESTABLISHMENT OF REVISED RULES. (Staff Attorney: Camron Hoseck.)

Mr. Hoseck recommended adoption of the rules as amended.

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

The meeting was adjourned.

________________________________
Shirleen Fugitt
Administrative Secretary