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South Dakota Public Utilities Commission Meeting
Tuesday, July 10, 2001; 1:30 P.M.
State Capitol Building, Room 412
Pierre, South Dakota

MINUTES OF THE COMMISSION MEETING

Chairman Jim Burg called the meeting to order. Present were Commissioner Pam Nelson; Executive Director Debra Elofson; Commission Advisor Greg Rislov; Commission Counsel Rolayne Ailts Wiest; Staff Attorneys Karen Cremer and Kelly Frazier; Utility Analysts Dave Jacobson, Harlan Best, Heather Forney, Keith Senger, and Michele Farris; Education and Outreach Director Leni Healy; Consumer Affairs Mary Healy; Deputy Executive Director Sue Cichos; Summer Legal Intern Sarah Sharp; and Administrative Secretary Mary Giddings.

Also present were Neil Fulton, MCI WorldCom; Les Sumption, John Burke and Nicole Nachtigal, S&S Communications; Grady Kickul, State Department of Human Services; and Bob Miller, SD Electric Utility Companies.

Joining the meeting by telephone were Colleen Sevold, Qwest Corporation; Dick Tieszen, Sprint; Janet Kittams-Lalley, HELP! Line Center; Pat Mastel, McLeodUSA Telecommunications Services, Inc.; Mary Lohnes, Midcontinent Communications; and Don Ball, Montana-Dakota Utilities Co.

Administration

1. Approval Of The Minutes Of The Commission Meetings Held On June 19, 20, and 26, 2001. (Staff: Mary Giddings.)

Chairman Burg moved to approve the minutes of the Commission meetings held on June 19, 20, and 26, 2001. Commissioner Nelson seconded. Motion passed 2-0.

Consumer Issues

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


Ms. Mary Healy presented an update on inquiries and complaints received since the June 26, 2001, Commission meeting.

14. TC01-059 IN THE MATTER OF THE FILING BY QWEST CORPORATION FOR APPROVAL OF REVISIONS TO ITS EXCHANGE AND NETWORK SERVICES CATALOG. (Staff Analyst: Heather Forney. Staff Attorney: Karen Cremer.)

Dick Tieszen, representing Sprint, explained the motion to intervene. Ms. Cremer stated that the SD Department of Human Services had filed a motion to intervene. Colleen Sevold, representing Qwest, stated that Qwest had no objections to Sprint's motion to intervene or SD Department of Human Services' motion to intervene.

Chairman Burg moved to grant the motions to intervene to Sprint and to SD Human Services. Commissioner Nelson seconded. Motion passed 2-0.

2. IN THE MATTER OF DISMISSING CT01-017 and CT01-022.

CT01-017 IN THE MATTER OF THE COMPLAINT FILED BY DONALD E. LIPP, BOX ELDER, SOUTH DAKOTA, AGAINST WEBNET COMMUNICATIONS, INC. REGARDING UNAUTHORIZED SWITCHING OF SERVICES. (Staff Analyst: Mary Healy. Staff Attorney: Karen Cremer.)

CT01-022 IN THE MATTER OF THE COMPLAINT FILED BY JUDY C. FOSTER, SIOUX FALLS, SOUTH DAKOTA, AGAINST WEBNET COMMUNICATIONS, INC. AND ILD TELESERVICES, INC. REGARDING UNAUTHORIZED SWITCHING OF SERVICES. (Staff Analyst: Charlene Lund. Staff Attorney: Kelly Frazier.)

Chairman Burg moved to dismiss the complaints and close the dockets on CT01-017 and CT01-022. Commissioner Nelson seconded. Motion passed 2-0.

3. CT01-014 IN THE MATTER OF THE COMPLAINT FILED BY S&S COMMUNICATIONS, ABERDEEN, SOUTH DAKOTA, AGAINST MCIWORLDCOM REGARDING BILLING, POOR SERVICE AND UNETHICAL BEHAVIOR. (Staff Analyst: Heather Forney. Staff Attorney: Karen Cremer.)

Neil Fulton, representing MCIWorldCom (MCI), explained that the motion to dismiss should be approved because the contract dispute between MCI and S&S Communications (S&S) should be settled by arbitration and he further explained that any consumer complaints would be brought before the SDPUC by individual consumers. John Burke, representing S&S, explained the complaint against MCI and requested that the motion to dismiss be denied. Ms. Cremer requested that a copy of the contract between MCI and S&S be submitted. Ms. Wiest recommended that the matter be taken under advisement until the July 24, 2001, Commission meeting. The matter was taken under advisement.

Electric

1. EL01-011 IN THE MATTER OF THE FILING BY MONTANA-DAKOTA UTILITIES CO., A DIVISION OF MDU RESOURCES GROUP, INC. FOR APPROVAL OF REVISIONS TO ITS OCCASIONAL POWER PURCHASE NON-TIME DIFFERENTIATED RATE 95, SHORT-TERM POWER PURCHASE TIME DIFFERENTIATED RATE 96 AND LONG-TERM POWER PURCHASE TIME DIFFERENTIATED RATE 97. (Staff Analyst: Dave Jacobson. Staff Attorney: Karen Cremer.)

Don Ball, representing Montana-Dakota Utilities Co., explained the annual review and revision of the purchase time rates. Mr. Jacobson recommended that the tariff revisions be approved.

Commissioner Nelson moved to approve the revised tariffs. Chairman Burg seconded. Motion passed 2-0.

Telecommunications

1. TC01-018 IN THE MATTER OF THE FILING FOR APPROVAL OF A FIRST AMENDMENT TO AN INTERCONNECTION AGREEMENT BETWEEN QWEST CORPORATION AND COMMCHOICE, LLC. (Staff Attorney: Kelly D. Frazier.)

Mr. Frazier recommended that the amendment to the interconnection agreement be approved.

Commissioner Nelson moved to approve the amendment to the interconnection agreement. Chairman Burg seconded. Motion passed 2-0.

2. TC01-020 IN THE MATTER OF THE FILING FOR APPROVAL OF AN AGREEMENT FOR INTERCONNECTION, UNBUNDLED NETWORK ELEMENTS, ANCILLARY SERVICES AND RESALE OF TELECOMMUNICATIONS SERVICES BETWEEN QWEST CORPORATION AND FIBERCOMM, L.C. (Staff Attorney: Kelly Frazier.)

Mr. Frazier recommended that the interconnection agreement be approved.

Chairman Burg moved to approve the interconnection agreement. Commissioner Nelson seconded. Motion passed 2-0.

3. TC01-028 IN THE MATTER OF THE APPLICATION OF COMTEL NETWORK, LLC FOR A CERTIFICATE OF AUTHORITY TO PROVIDE INTEREXCHANGE TELECOMMUNICATIONS SERVICES IN SOUTH DAKOTA. (Staff Analyst: Heather Forney. Staff Attorney: Kelly Frazier.)

Ms. Forney explained the application of Comtel Network, LLC for a certificate of authority and recommended that it be approved with a waiver of ARSD 20:10:24:02(8) and restrictions from offering prepaid calling cards, accepting advance payments and customer deposits.

Chairman Burg moved to grant a certificate of authority to Comtel Network, LLC. with the waiver and restrictions as noted above. Commissioner Nelson seconded. Motion passed
2-0.

4. TC01-030 IN THE MATTER OF THE FILING FOR APPROVAL OF A RESALE AGREEMENT BETWEEN QWEST CORPORATION AND DIGITAL TELECOMMUNICATIONS, INC. (Staff Attorney: Kelly Frazier.)

Mr. Frazier noted that a certificate of authority had not been filed and recommended that the resale agreement be denied.

Chairman Burg moved to deny the resale agreement. Commissioner Nelson seconded. Motion passed 2-0.

5. TC01-031 IN THE MATTER OF THE FILING FOR APPROVAL OF AN AGREEMENT FOR TERMS AND CONDITIONS FOR INTERCONNECTION, UNBUNDLED NETWORK ELEMENTS, ANCILLARY SERVICES AND RESALE OF TELECOMMUNICATIONS SERVICES BETWEEN QWEST CORPORATION AND TELEPHONE COMPANY OF CENTRAL FLORIDA, INC. (Staff Attorney: Kelly Frazier.)

Mr. Frazier noted that the certificate of authority had not been filed and recommended that the application be denied.

Chairman Burg moved to deny the interconnection agreement. Commissioner Nelson seconded. Motion passed 2-0.

6. TC01-042 IN THE MATTER OF THE FILING FOR APPROVAL OF A RESALE AGREEMENT BETWEEN QWEST CORPORATION AND AMERICAN PREPAID TELEPHONE SERVICE, LLC D/B/A SOUTH DAKOTA PREPAID TELEPHONE SERVICE.. (Staff Attorney: Kelly Frazier.)

Mr. Frazier noted that the certificate of authority had not been filed and recommended that the agreement be denied.

Chairman Burg moved to deny the resale agreement. Commission Nelson seconded. Motion passed 2-0.

7. TC01-046 IN THE MATTER OF THE FILING FOR APPROVAL OF A SPOP AMENDMENT TO AN INTERCONNECTION AGREEMENT BETWEEN QWEST CORPORATION AND SPRINT COMMUNICATIONS COMPANY L.P. (Staff Attorney: Kelly Frazier.)

Mr. Frazier recommended that the amendment to the interconnection agreement be approved.

Commissioner Nelson moved to approve the amendment to the interconnection agreement. Chairman Burg seconded. Motion passed 2-0.

8. TC01-047 IN THE MATTER OF THE APPLICATION OF MCLEODUSA TELECOMMUNICATIONS SERVICES, INC. FOR APPROVAL TO OFFER A DIFFERENT LOCAL CALLING AREA. (Staff Analyst: Keith Senger. Staff Attorney: Karen Cremer.)

Pat Mastel, representing McLeodUSA, explained the toll free offering and answered Staff questions. Mr. Senger recommended that the local calling area be approved.

Chairman Burg moved to approve the local calling area. Commissioner Nelson seconded. Motion passed 2-0.

9. TC01-048 IN THE MATTER OF THE FILING FOR APPROVAL OF TRANSFER OF CERTIFICATE OF AUTHORITY FROM GE CAPITAL COMMUNICATION SERVICES CORPORATION TO GE CAPITAL TELEMANAGEMENT SERVICES CORPORATION. (Staff Analyst: Keith Senger. Staff Attorney: Karen Cremer.)

Mr. Senger explained the certificate of authority transfer and recommended that it be approved with a waiver of ARSD 20:10:24:02(8) and subject to a continuous $25,000 surety bond.

Chairman Burg moved to grant a certificate of authority to GECTS with the waiver as noted above and subject to a continuous $25,000 surety bond. Commissioner Nelson seconded. Motion passed 2-0.

10. TC01-049 IN THE MATTER OF THE FILING FOR APPROVAL OF AN AMENDMENT TO AN INTERCONNECTION AGREEMENT BETWEEN QWEST CORPORATION AND INTEGRA TELECOM OF SOUTH DAKOTA, INC. (Staff Attorney: Kelly Frazier.)

Mr. Frazier recommended that the amendment to the interconnection agreement be approved.

Chairman Burg moved to approve the amendment to the interconnection agreement. Commissioner Nelson seconded. Motion passed 2-0.

11. TC01-054 IN THE MATTER OF THE FILING FOR APPROVAL OF AN AGREEMENT FOR TERMS AND CONDITIONS FOR INTERCONNECTION, UNBUNDLED NETWORK ELEMENTS, ANCILLARY SERVICES, AND RESALE OF TELECOMMUNICATION SERVICES BETWEEN QWEST CORPORATION AND 360NETWORKS (USA) INC. (Staff Attorney: Kelly Frazier.)

Mr. Frazier recommended that the interconnection agreement be approved.

Chairman Burg moved to approve the interconnection agreement. Commissioner Nelson seconded. Motion passed 2-0.

12. TC01-055 IN THE MATTER OF THE APPLICATION OF KMC DATA, LLC FOR A CERTIFICATE OF AUTHORITY TO PROVIDE INTEREXCHANGE TELECOMMUNICATIONS SERVICES AND LOCAL EXCHANGE SERVICES IN SOUTH DAKOTA. (Staff Analyst: Keith Senger. Staff Attorney: Karen Cremer.)

Mr. Senger explained the application of KMC Data, LLC for a certificate of authority and recommended that it be approved with waivers of ARSD 20:10:24:02(8) and ARSD 20:10 32:03 (11); restrictions from offering prepaid calling cards, accepting advance payments and customer deposits; subject to rural safeguards; and with an effective date of August 7, 2001.

Commissioner Nelson moved to grant a certificate of authority to KMC Data, LLC. with the waivers and restrictions as noted above, subject to rural safeguards and with an effective date of August 7, 2001. Chairman Burg seconded. Motion passed 2-0.

13. TC01-057 IN THE MATTER OF THE APPLICATION OF NETWORK US, INC. D/B/A CA AFFINITY FOR A CERTIFICATE OF AUTHORITY TO PROVIDE INTEREXCHANGE TELECOMMUNICATIONS SERVICES IN SOUTH DAKOTA. (Staff Analyst: Heather Forney. Staff Attorney: Kelly Frazier.)

Ms. Forney explained the application of Network US, Inc. d/b/a CA Affinity for a certificate of authority and recommended that it be approved with restrictions from offering prepaid calling cards, accepting advance payments and customer deposits, and with an effective date of August 7, 2001.

Chairman Burg moved to grant a certificate of authority to Network US, Inc. with restrictions as noted above and with an effective date of August 7, 2001. Commissioner Nelson seconded. Motion passed 2-0.

15. TC01-060 IN THE MATTER OF THE APPLICATION OF REDUCED RATE LONG DISTANCE, LLC FOR A CERTIFICATE OF AUTHORITY TO PROVIDE INTEREXCHANGE TELECOMMUNICATIONS SERVICES IN SOUTH DAKOTA. (Staff Analyst: Keith Senger. Staff Attorney: Kelly Frazier.)

Mr. Senger recommended that the application of Reduced Rate Long Distance, LLC for a certificate of authority be approved with restrictions from offering prepaid calling cards, accepting advance payments and customer deposits and with an effective date of August 11, 2001.

Chairman Burg moved to grant a certificate of authority to Reduced Rate Long Distance, LLC with restrictions as noted above and with an effective date of August 11, 2001. Commissioner Nelson seconded. Motion passed 2-0.

16. TC01-063 IN THE MATTER OF THE FILING FOR APPROVAL OF A SPOP AMENDMENT TO AN INTERCONNECTION AGREEMENT BETWEEN QWEST CORPORATION AND MCLEODUSA TELECOMMUNICATIONS SERVICES, INC. (Staff Attorney: Kelly Frazier.)

Mr. Frazier recommended that the amendment to the interconnection agreement be approved.

Chairman Burg moved to approve the amendment to the interconnection agreement. Commissioner Nelson seconded. Motion passed 2-0.

Meeting adjourned.

________________________________________
Mary R. Giddings
Administrative Secretary