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South Dakota Public Utilities Commission Meeting
Wednesday, January 17, 2001; 2:30 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; Staff Attorneys Karen Cremer and Kelly Frazier; Utility Analysts Charlene Lund, Dave Jacobson, Harlan Best, Heather Forney, Keith Senger, Leni Healy, Martin Bettmann and Michele Farris; Assistant Executive Director Sue Cichos; and Administrative Secretary Mary Giddings.
Also present were Bob Miller, SD Electric Utility Companies; Warren Lotsberg, Rod Leyendecker, Alan Dietrich and Tom Hitchcock, NorthWestern Public Service; Jim Wilcox, Xcel Energy; Dave Gerdes, WorldCom; Larry Toll and Colleen Sevold, Qwest Corporation; Jim Robbennolt, Comm South Comp; and Cheri Wittler, court reporter.
Joining the meeting by telephone were Dave Saville and Don Lee, Martin Group; Mary Lohnes and Tom Simmons, Midcontinent Communications; Steve Weigler and Sandy Hofstetter, AT&T; Tim Geraghty, Global Telelink Services, Inc.; Barb Berkenpas, McLeodUSA Telecommunications Services, Inc.; Tom Welk, Qwest Corporation; and Cindy Grosvenor and Wendel Aanerud, Telec.
Administration
1. Approval Of The Minutes Of The Commission Meeting Held On January 4, 2001. (Staff: Mary Giddings.)
Commissioner Schoenfelder moved to approve the minutes of the January 4, 2001, Commission meeting. Commissioner Nelson 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 inquiries and complaints received since the last Commission meeting.
2. CT00-110 IN THE MATTER OF THE COMPLAINT FILED BY GERALD AND EVELYN HOLDHUSEN, ABERDEEN, SOUTH DAKOTA, AGAINST TALK.COM HOLDING CORP. D/B/A THE PHONE COMPANY REGARDING UNAUTHORIZED SWITCHING OF SERVICES. (Staff Analyst: Charlene Lund. Staff Attorney: Kelly Frazier.)
Ms. Lund noted that the matter had been settled and recommended dismissing the complaint and closing the docket.
Commissioner Schoenfelder moved to dismiss the complaint and close the docket. Commissioner Nelson seconded and Chairman Burg concurred. Motion passed 3-0.
Colleen Sevold, representing Qwest Communications (Qwest), explained that Qwest should not be added as a party because repairs to the complainant's telephone system had been made in a timely manner. Ms. Lund recommended that Qwest be added as a party because the Qwest repair data is needed to resolve the matter. Barb Berkenpas, McLeodUSA, also noted that McLeodUSA had been unable to access Qwest repair information. Tom Welk, Qwest, explained that a subpoena served on Qwest would access the repair data. Mr. Frazier stated that the repair data from Qwest was essential. After dissenting, Commissioner Nelson noted that a party had been added to a complaint in similar dockets.
Commissioner Schoenfelder moved to deny the request to add Qwest Communications as a party. Chairman Burg seconded. Commissioner Nelson dissented. Motion passed 2-1.
Dave Gerdes, representing MCI WorldCom, explained why Ionex, Inc. should be added as a party. Mr. Frazier recommended that Ionex, Inc. be added as a party.
Chairman Burg moved to join Ionex, Inc. as a party. Commissioner Schoenfelder seconded and Commissioner Nelson concurred. Motion passed 3-0.
Dave Gerdes, representing MCI WorldCom, explained why Ionex, Inc. should be added as a party. Mr. Frazier recommended that Ionex, Inc. be added as a party.
Chairman Burg moved to join Ionex, Inc. as a party. Commissioner Schoenfelder seconded and Commissioner Nelson concurred. Motion passed 3-0.
Ms. Healy noted that the matter had been settled and recommended that the complaint be dismissed and the docket closed.
Chairman Burg moved to dismiss the complaint and close the docket. Commissioner Nelson seconded and Commissioner Schoenfelder concurred. Motion passed 3-0.
Natural Gas
Ms. Cremer noted that NWPS intentionally did not comply with the compliance filing. Alan Dietrich and Tom Hitchcock, representing NWPS, disagreed. Mr. Jacobson stated that NWPS did not meet the Commission order.
Commissioner Nelson moved that the Commission define the word "proportionate" as used in the Commission's order as "properly related to the characteristics of the service being rendered' or, in other words, a recognition of the fact that a firm capacity right is different than an interruptible right. Given this definition, the company may use the 100% load factor method of assigning costs for off-system interruptible sales for the Aberdeen pipeline. Commissioner Nelson further moved that, with respect to property taxes, the Commission restates that it allowed $23,000 in property taxes, which was the number presented by NWPS to the Commission at the hearing. Commissioner Nelson further moved that the Commission take under advisement the question of whether the pipeline is an intrastate natural gas pipeline as defined by 49-34A-1(9A). Chairman Burg seconded and Commissioner Schoenfelder concurred. Motion passed 3-0.
Telecommunications
Tom Simmons, representing Midcontinent Communications, clarified its position. Chairman Burg recommended that the Commission put this docket on the agenda within the next few months to determine the status of other proceedings in other states and to be further updated by the parties concerning their positions on how and when to proceed. Tom Welk, representing Qwest Communications (Qwest), stated that Qwest will keep the Commission updated. Steve Weigler, representing AT&T, stated that AT&T will file for reconsideration.
Chairman Burg moved that the Commission neither approve nor disapprove Qwest's SGAT filing at this time but allow the SGAT filing to go into effect subject to future Commission approval or disapproval. Chairman Burg further moved that the Commission set a procedural schedule at a later date. Commissioner Schoenfelder seconded and Commissioner Nelson concurred. Motion passed 3-0.
Chairman Burg moved to dismiss and close the docket. Commissioner Schoenfelder seconded and Commissioner Nelson concurred. Motion passed 3-0.
Mr. Senger recommended that the certificate of authority be granted subject to a continuous $25,000 surety bond and subject to rural safeguards. He further noted that Comm South withdrew its request for a waiver and its petition for declaratory ruling.
Chairman Burg moved to grant a certificate of authority to Comm South Companies, Inc. subject to the stipulations as noted above. Commissioner Schoenfelder seconded and Commissioner Nelson concurred. Motion passed 3-0.
Administration
At this time, Chairman Burg excused himself from the Commission meeting and Vice Chair Nelson became the acting Chair for the remainder of the Commission meeting.
Telecommunications
Ms. Forney recommended that the proposed revenue requirement for Midstate Communications, Inc. be approved. Don Lee, from the Martin Group, explained the filing.
Commissioner Schoenfelder moved to approve the proposed revenue requirement. Vice Chair Nelson seconded. Motion passed 2-0.
Mr. Senger recommended that the Union Telephone Company revenue requirement be approved. Wendell Aanerud, Telec, explained the filing.
Vice Chair Nelson moved to approve the proposed revenue requirement. Commissioner Schoenfelder seconded. Motion passed 2-0.
Ms. Forney recommended that the Vivian Telephone Company proposed revenue requirement be approved. Don Lee, Martin Group, explained the filing.
Commissioner Schoenfelder moved to approve the proposed revenue requirement. Vice Chair Nelson seconded. Motion passed 2-0.
Mr. Senger recommended that the Local Exchange Carrier Association (LECA) revised switched access rate be approved with an effective date of February 1, 2001.
Vice Chair Nelson moved to approve the revised LECA switched access rate with an effective date of February 1, 2001. Commissioner Schoenfelder seconded. Motion passed 2-0.
Ms. Cremer recommended that the resale agreement be approved.
Vice Chair Nelson moved to approve the resale agreement. Commissioner Schoenfelder seconded. Motion passed 2-0.
Commissioner Schoenfelder recommended that action be deferred. Action was deferred.
Mr. Jacobson recommended that the certificate of authority be granted with a waiver of ARSD 20:10:24:02(8).
Commissioner Schoenfelder moved to grant a certificate of authority to Telephone Associates, Inc. with the waiver as noted above. Vice Chair Nelson seconded. Motion passed 2-0.
Ms. Forney recommended that Global TeleLink Services, Inc. (Global) be granted a certificate of authority with restrictions from offering prepaid calling cards, accepting advance payments and customer deposits and subject to rural safeguards.
Vice Chair Nelson moved to grant a certificate of authority to Global TeleLink Services, Inc. with restrictions as noted above. Commissioner Schoenfelder seconded. Motion passed 3-0.
Mr. Senger recommended that KMC Telecom V, Inc. be granted a certificate of authority with waivers of ARSD 20:10:24:02(8) and ARSD 20:10:32:03(10) and(11); restrictions from offering basic local dial tone service to the end users, offering prepaid calling cards or requiring advance deposits or advance payments; subject to rural safeguards; and with an effective date of February 15, 2001.
Commissioner Schoenfelder moved to grant a certificate of authority to KMC Telecom V with waivers and restrictions as noted above, subject to rural safeguards and with an effective date of February 15, 2001. Vice Chair Nelson seconded. Motion passed 2-0.
Colleen Sevold, representing Qwest, explained the proposed tariff revisions.
Commissioner Schoenfelder moved to approve the proposed tariff revisions. Vice Chair Nelson seconded. Motion passed 2-0.
Mr. Frazier recommended that the seventh amendment to the interconnection agreement between Qwest Corporation and McLeodUSA Telecommunications Services, Inc. be approved.
Vice Chair Nelson moved to approve the seventh amendment to the interconnection agreement between McLeodUSA Telecommunications Services, Inc. and Qwest Corporation. Commissioner Schoenfelder seconded. Motion passed 2-0.
Meeting adjourned.
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Mary R. Giddings
Administrative Secretary
