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South Dakota Public Utilities Commission Meeting
Tuesday, October 17, 2000; 9:30 A.M.
State Capitol Building, Room 412
Pierre, South Dakota

MINUTES OF THE COMMISSION MEETING

Chairman Burg called the meeting to order. Present were Commissioner Nelson; Commissioner Schoenfelder; Executive Director Bill Bullard; Commission Advisor Greg Rislov, Commission Counsel Rolayne Ailts Wiest; Deputy Executive Director Sue Cichos; Staff Attorneys Karen Cremer and Kelly Frazier; Utility Analysts Charlene Lund, Dave Jacobson, Harlan Best, Heather Forney, Keith Senger, Leni Healy, and Michele Farris; and Administrative Secretary Mary Giddings.

Also present were Tom Harmon, Sprint; and Lori Grode, court reporter.

Joining the meeting by phone were Alex Duarte, Qwest; Tom Simmons and Mary Lohnes, MidContinent Cable; Paula Herrin and Steve Weigler, AT&T; and Janice St. Gemme and Diane Pourier, complainants.

Administration

1. Approval Of The Minutes Of The Commission Meetings Held On September 26 and October 3, 2000. (Staff: Mary Giddings.)

Commissioner Schoenfelder moved to approve the minutes of the meetings held on September 26, 2000, and the October 3, 2000. Chairman Burg 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. Leni Healy requested that the first paragraph in the agenda of the Status Report on Consumer Utility Inquiries and Complaints be stricken because it was from the October 3, 2000, report. She then presented an update on inquiries and complaints received since the last Commission meeting.

2. IN THE MATTER OF DISMISSING COMPLAINTS CT00-089, CT00-096 and CT00-103.

CT00-089 IN THE MATTER OF THE COMPLAINT FILED BY HELEN CHRISTENSEN, COLTON, SOUTH DAKOTA, AGAINST SPRINT COMMUNICATIONS COMPANY L.P. AND BUSINESS OPTIONS, INC., REGARDING UNAUTHORIZED SWITCHING OF SERVICES. (Staff Analyst: Leni Healy. Staff Attorney: Karen Cremer.)

CT00-096 IN THE MATTER OF THE COMPLAINT FILED BY THERMO BOND BUILDINGS INT'L, INC., ELK POINT, SOUTH DAKOTA, AGAINST QWEST CORPORATION, FORMERLY KNOWN AS U S WEST COMMUNICATIONS, INC., MCI WORLDCOM AND USBI REGARDING UNAUTHORIZED CHARGES AND EXORBITANT RATES AFTER SWITCHING ITS LONG DISTANCE SERVICES TO MCI. (Staff Analyst: Charlene Lund. Staff Attorney: Karen E. Cremer.)

CT00-103 IN THE MATTER OF THE COMPLAINT FILED BY KATHY MEYER, SELBY, SOUTH DAKOTA, AGAINST S&S COMMUNICATIONS REGARDING A DISPUTED BILLING AND CHARGES FOR LONG DISTANCE SERVICES. (Staff Analyst: Charlene Lund. Staff Attorney: Karen E. Cremer.)

Ms. Cremer noted that the matters in dockets CT00-089, CT00-096 and CT00-103 had been settled and recommended dismissing the complaints and closing the dockets.

Commissioner Schoenfelder moved to dismiss the complaints and close the dockets in
CT00-089, CT00-096 and CT00-103. Chairman Burg seconded and Commissioner Nelson concurred. Motion passed 3-0.

3. CT99-006 IN THE MATTER OF THE COMPLAINT OF TELE-TECH, INC. AND LONG LINE, INC. OF SIOUX FALLS, SOUTH DAKOTA, AGAINST U S WEST COMMUNICATIONS, INC. CONCERNING OVERCHARGES FOR TELECOMMUNICATIONS SERVICES. (Staff Analyst: Leni Healy. Staff Attorney: Karen Cremer.)

Alex Duarte, representing U S WEST/Qwest, explained Qwest's position and responded to questions.

Chairman Burg moved to deny the petition for rehearing or reconsideration. Commissioner Nelson seconded. Commissioner Schoenfelder dissented. Motion passed 2-1.

4. CT00-085 IN THE MATTER OF THE COMPLAINT FILED BY FR. YVON SHEEHY, SCJ, ON BEHALF OF ST. MARY'S CATHOLIC CHURCH, LOWER BRULE, SOUTH DAKOTA, AGAINST BUSINESS OPTIONS, INC. REGARDING UNAUTHORIZED SWITCHING OF SERVICES AND UNAUTHORIZED BILLING FOR SERVICES. (Staff Analyst: Charlene Lund. Staff Attorney: Karen Cremer.)

Diane Pourier, representing St. Mary's Catholic Church, explained the complaint. Tom Harmon, representing Sprint, stated that Sprint was not involved and should not be added as a party to the complaint. Ms. Cremer recommended that CEO Telecom and Sprint be added as parties to the complaint.

Chairman Burg moved to add CEO Telecom and Sprint as parties to the complaint. Commissioner Nelson seconded and Commissioner Schoenfelder concurred. Motion passed 3-0.

5. CT00-090 IN THE MATTER OF THE COMPLAINT FILED BY ED AND JANICE ST. GEMME, DAKOTA DUNES, SOUTH DAKOTA, AGAINST AT&T COMMUNICATIONS OF THE MIDWEST, INC., REGARDING UNAUTHORIZED SWITCHING OF SERVICES. (Staff Analyst: Leni Healy. Staff Attorney: Karen Cremer.)

Addendum

2. CT00-090 IN THE MATTER OF THE COMPLAINT FILED BY ED AND JANICE ST. GEMME, DAKOTA DUNES, SOUTH DAKOTA, AGAINST AT&T COMMUNICATIONS OF THE MIDWEST, INC., REGARDING UNAUTHORIZED SWITCHING OF SERVICES. (Staff Analyst: Leni Healy. Staff Attorney: Karen Cremer.)

Alex Duarte, representing Qwest, explained why Qwest's motion to dismiss should be granted and Steve Weigler, representing AT&T, explained why AT&T's motion to dismiss should be granted. Complainant Janice St. Gemme stated that the motions to dismiss should not be granted to either Qwest or AT&T. Ms. Cremer recommended that both the Qwest and the AT&T motion to dismiss be denied.

Commissioner Schoenfelder moved to deny both Qwest's motion to dismiss and AT&T's motion to dismiss. Chairman Burg seconded and Commissioner Nelson concurred. Motion passed 3-0.

Telecommunications

2. TC00-091 IN THE MATTER OF U S WEST COMMUNICATIONS, INC.'S CLASSIFICATION OF CERTAIN SERVICES. (Staff Analyst: Harlan Best. Staff Attorney: Karen Cremer.)

Alex Duarte, representing Qwest, explained Qwest's position. Ms. Cremer presented Staff's position. Ms. Wiest recommended that action be deferred. Action was deferred.

3. TC00-104 IN THE MATTER OF THE APPLICATION OF PT-1 COUNSEL INC. FOR A CERTIFICATE OF AUTHORITY TO PROVIDE TELECOMMUNICATIONS SERVICES IN SOUTH DAKOTA. (Staff Analyst: Heather Forney. Staff Attorney: Karen Cremer.)

Ms. Forney recommended that the certificate of authority be granted with the a waiver of ARSD 20:10:24:02 (8) and with a $25,000 surety bond.

Commissioner Schoenfelder moved to grant a certificate of authority to PT-1 Counsel with the waiver and bond as noted above. Commissioner Nelson seconded and Chairman Burg concurred. Motion passed 3-0.

4. TC00-135 IN THE MATTER OF THE FILING BY MIDCONTINENT COMMUNICATIONS, INC. FOR APPROVAL OF ITS INTRASTATE SWITCHED ACCESS TARIFF AND FOR AN EXEMPTION FROM DEVELOPING COMPANY SPECIFIC COST-BASED SWITCHED ACCESS RATES. (Staff Analyst: Harlan Best. Staff Attorney: Karen Cremer.)

Mr. Best explained the exemption and recommended that it be granted.

Chairman Burg moved to grant the exemption to Midcontinent Communications. Commissioner Schoenfelder seconded and Commissioner Nelson concurred. Motion passed 3-0.

Addendum

Consumer Issues

1. IN THE MATTER OF DISMISSING COMPLAINTS CT00-100 and CT00-105.

CT00-100 IN THE MATTER OF THE COMPLAINT FILED BY EARL A. ELIASON ON BEHALF OF EARL'S BARBER SHOP, PHILIP, SOUTH DAKOTA, AGAINST AT&T COMMUNICATIONS OF THE MIDWEST, INC. REGARDING UNAUTHORIZED SWITCHING OF SERVICES. (Staff Analyst: Charlene Lund. Staff Attorney: Karen Cremer.)

CT00-105 IN THE MATTER OF THE COMPLAINT FILED BY ARNOLD DEUTSCH ON BEHALF OF DEUTSCH CONSTRUCTION, INC., SISSETON, SOUTH DAKOTA, AGAINST QWEST CORPORATION REGARDING UNAUTHORIZED SWITCHING OF SERVICES. (Staff Analyst: Leni Healy. Staff Attorney: Karen Cremer.)

Ms. Cremer noted that the matters in dockets CT00-100 and CT00-105 had been settled and recommended dismissing the complaints and closing the dockets.

Commissioner Schoenfelder moved to dismiss the complaints and close the dockets in
CT00-100 and CT00-105. Chairman Burg seconded and Commissioner Nelson concurred. Motion passed 3-0.

Telecommunications

1. 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: Karen Cremer.)

Ms. Farris explained the application and recommended that the certificate of authority be granted with a waiver from ARSD 20:10:24:02 (8), restrictions from offering prepaid calling cards, from accepting customer deposits or advanced payments and subject to rural safeguards.

Commissioner Nelson moved to grant a certificate of authority to Arrival Communications, Inc. with the waivers and restrictions as noted above. Commissioner Schoenfelder seconded and Chairman Burg concurred. Motion passed 3-0.

2. TC00-125 IN THE MATTER OF THE APPLICATION OF TELERA COMMUNICATIONS, INC. FOR A CERTIFICATE OF AUTHORITY TO PROVIDE TELECOMMUNICATIONS SERVICES, INCLUDING LOCAL EXCHANGE SERVICES, IN SOUTH DAKOTA. (Staff Analyst: Keith Senger.)

Mr. Senger explained the application and recommended that the certificate of authority be granted with waivers of ARSD 20:10:24:02 (8) and ARSD 20:10:32:03 (11) and restrictions from offering prepaid calling cards, from accepting customer deposits or advanced payments and subject to rural safeguards.

Chairman Burg moved to grant a certificate of authority to Telera Communications, Inc. with the waivers and restrictions as noted above. Commissioner Nelson seconded and Commissioner Schoenfelder concurred. Motion passed 3-0.

3. TC00-138 IN THE MATTER OF THE APPLICATION OF T-NETIX INTERNET SERVICES, INC. FOR A CERTIFICATE OF AUTHORITY TO PROVIDE TELECOMMUNICATIONS SERVICES IN SOUTH DAKOTA. (Staff Analyst: Keith Senger.)

Mr. Senger explained the application and recommended that the certificate of authority be granted with a waiver of ARSD 20:10:24:02 (8) and restrictions from offering prepaid calling cards, from accepting customer deposits or advanced payments and effective November 22, 2000, to comply with the 60-day rule.

Chairman Burg moved to grant a certificate of authority to T-NETIX Internet Services, Inc. with the waiver and restrictions as noted above with an effective date of November 22, 2000. Commissioner Nelson seconded and Commissioner Schoenfelder concurred. Motion passed 3-0.

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: Karen Cremer.)

Alex Duarte, representing U S WEST, recommended that action be deferred. Ms. Wiest recommended that the petition for reconsideration be denied.

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

Meeting adjourned.

Mary R. Giddings, Executive Secretary