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South Dakota Public Utilities Commission Meeting
Tuesday, September 13, 2005, at 2:30 P.M.
Brookings Swiftel Center
Brookings, South Dakota
MINUTES OF THE COMMISSION MEETING
Chairman Gary Hanson called the meeting to order. Also present were Vice Chairman Bob Sahr; Commissioner Dustin Johnson; Executive Director Pamela Bonrud; Commission Attorney John Smith; Commission Advisor Greg Rislov; Staff Attorney Karen Cremer; and Staff Analysts Steve Wegman, Bob Knadle, Michele Farris, and Keith Senger.
Also present was Jim Wilcox, Xcel Energy.
Joining the meeting by telephone were Commission Attorney Rolayne Ailts Wiest; Staff Analyst Harlan Best; Colleen Sevold and Larry Toll, Qwest Corporation; Rodney Thiemann, Great Plains Communications; John Tormoehler and Marsha Huber, Valley Telco; and Administrative Secretary Tina Douglas.
Electric
1. EL05-023 In the Matter of the Application of Xcel Energy for a Construction Permit to Build 9.6 Miles of the Split Rock to Lakefield Junction 345 kV Transmission Line and Add Facilities to the Split Rock Substation.
Ms. Michele Farris stated that on August 26, 2005, Xcel Energy filed an application for its proposed Split Rock to Lakefield Junction 345 kilovolt Transmission Line and Split Rock Substation Project. The project consists of constructing approximately 9.6 miles of 345 kV transmission as well as making upgrades to the Split Rock substation. The estimated cost of the project is $7.9 million. In accordance with SDCL 49-41B-12 the maximum fee chargeable by the Commission may not exceed ¼ of 1% of the estimated construction cost. Therefore, the maximum fee allowed is $19,750. SDCL 49-41B-12 also states the minimum total fee chargeable may not be less than $8,000. Ms. Farris recommended the Commission assess a filing fee not to exceed $19,750 with an initial deposit of $8,000.00.
Commissioner Johnson moved to assess a filing fee not to exceed $19,750.00 with an initial deposit of $8,000.00 in Docket EL05-023. Commissioner Sahr seconded and Chairman Hanson concurred. Motion passed 3-0.
Telecommunications
1. In the Matter of the Request for Certification Regarding its Use of Federal Universal Service Support in dockets TC05-126, TC05-138, TC05-152, TC05-154, TC05-162, and TC05-163.
Mr. Best stated that each of these companies filed a request estimating how much Universal Service Support it may receive in the coming year and also showed estimated expenses. In each docket the expenses exceeded the monies the company may receive for Universal Service Support. In each docket the company stated all the monies it receives for Universal Service Support will be used in the appropriate manner as required by the FCC. Mr. Best recommended that the Commission grant certification in each docket as filed.
Commissioner Sahr moved that the Commission provide a letter of certification to the Federal Communications Commission and to the Universal Service Administration Company regarding the plan for the use of federal universal services support as proposed in dockets TC05-126, TC05-138, TC05-152, TC05-154, TC05-162, and TC05-163. Commissioner Johnson seconded and Chairman Hanson concurred. Motion passed 3-0.
Larry Toll, Qwest Corporation (Qwest), stated that Qwest has been working with Mr. Harlan Best, and that its rural area rates are below nationwide urban rates. Mr. Best stated that on August 12, 2005, Qwest provided information constituting its plan for the use of its federal universal service support and certify that Qwest will use all federal universal service support received in a manner that is consistent with the federal universal service provisions of 47 U.S.C. Section 254. Mr. Best stated that Qwest's residential rates in rural areas are reasonably comparable to the urban rates nationwide. Qwest has agreed to file the correct tax amount which applies to the Qwest, rural residential service in its highest rate group and will show that the total rural residential rate is below the nationwide average benchmark rate of $34.21. Mr. Best recommended that the Commission certify that Qwest's residential rates in rural areas are reasonably comparable to the urban rates nationwide and also that the Commission grant certification to Qwest.
Chairman Hanson moved that the Commission certify that Qwest's residential rates in the rural areas are reasonably comparable to the urban rates nationwide and also to provide a letter of certification to the Federal Communications Commission and to the Universal Service Administration Company regarding the plan for the use of federal universal services support as proposed in docket TC05-156. Commissioner Sahr seconded and Commissioner Johnson concurred. Motion passed 3-0.
Ms. Michele Farris stated that Onvoy, Inc. had submitted an Application for an Amendment to its Certificate of Authority. The applicant is certificated to provide local service and is requesting authority to provide interexchange service. The applicant intends to provide resold and facilities based interexchange services including, 1+ intrastate toll calling, toll free service and operator services to business and wholesale markets throughout South Dakota. It has made all staff recommended changes to the tariff. The applicant has agreed to restrictions from offering pre-paid services and collecting deposits and advance payments. Ms. Farris recommended the Commission approve the request for an Amended Certificate of Authority for Onvoy, Inc. with restrictions on deposits, advance payments, and pre-paid calling cards.
Chairman Hanson moved to grant Onvoy Inc.'s Amended Certificate of Authority with restrictions from offering prepaid calling cards or accepting customer deposits or advance payments. Commissioner Johnson seconded and Commissioner Sahr concurred. Motion passed 3-0.
Ms. Michele Farris stated that Acceris Management and Acquisition, LLC, had submitted an Application for a Certificate of Authority to provide interexchange service. The applicant intends to provide resold interexchange long distance services including, MTS, in-WATS, out-WATS, and calling card services throughout South Dakota. It has made all staff recommended changes to the tariff. The applicant has agreed to restrictions from offering pre-paid services and collecting deposits and advance payments. The applicant is a start-up company and is requesting a waiver from submitting a balance sheet, cash flow statement and income statement. Ms. Farris recommended the Commission approve the request for a waiver from the requirement to submit the financial information and approve a Certificate of Authority for Acceris Management and Acquisition, LLC, with restrictions on deposits, advance payments, and pre-paid calling cards.
Chairman Hanson moved to grant a waiver of ARSD 20:10:24:02(8) and grant Acceris Management and Acquisition LLC 's Certificate of Authority with restrictions from offering prepaid calling cards or accepting customer deposits or advance payments. Commissioner Johnson seconded and Commissioner Sahr concurred. Motion passed 3-0.
5. In the Matter of Approving Amendments to Agreements in TC05-114 and TC05-147.
Ms. Karen Cremer stated that the Amendments to the Agreements have been properly filed, have been properly executed and do not appear to contain discriminatory provisions, no comments were filed, and recommended approval of the Amendments to the Agreements.
Commissioner Sahr moved to approve the Amendments to the Agreements in TC05-114 and TC05-147. Commissioner Johnson seconded and Chairman Hanson concurred. Motion passed 3-0.
Meeting adjourned.
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Tina Douglas
Administrative Secretary
