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South Dakota Public Utilities Commission Meeting
Tuesday, January 31, 2006, at 12:30 P.M.
State Capitol Building, Room 468
Pierre, South Dakota
MINUTES OF THE COMMISSION MEETING
Chairman Bob Sahr called the meeting to order. Also present were Vice Chairman Dustin Johnson; Commissioner Gary Hanson; Executive Director Patty Van Gerpen; Deputy Executive Director Heather Forney; Commission Attorney Rolayne Ailts Wiest; Commission Advisor Greg Rislov; Staff Attorneys Karen Cremer and Sara Greff; Staff Analysts Dave Jacobson, Harlan Best, Bob Knadle, Nathan Solem and Keith Senger; Deb Gregg, Consumer Affairs Supervisor; and Administrative Secretary Tina Douglas.
Also present was Brett Koenecke, May, Adam, Gerdes & Thompson, representing Montana-Dakota Utilities Co.
Joining the meeting by telephone were Colleen Sevold, Qwest Corporation; Suzan Stewart and Melanie Acord, MidAmerican Energy Company; Beth Goodpaster, Minnesota Center Environmental Advocacy; Brad Schardin, Southeastern Electric Cooperative, Inc.; Marv Sorenson, MidAmerican Energy; Tim Eklund, Telec Consulting; Doug Eidahl, Vantage Point; Christopher Twomey, representing CommPartners, LLC; Joanne Haase, Boyce, Greenfield, Pashby & Welk, representing Otter Tail Power Company; Dean Powlowski, Otter Tail Power Company; and Tamie Aberle, Montana-Dakota Utilities Co.
Consumer Reports
1. Status Report on Consumer Utility Inquiries and Complaints Received by the Commission. (Consumer Affairs: Deb Gregg)
Ms. Deb Gregg reported that the Commission had received a total of 176 consumer contacts during 2006. Since the last report was prepared for the January 17, 2006, Commission meeting, 97 of these contacts had been received; 19 contacts involved telecommunications services; 15 contacts involved electricity issues; 19 contacts involved natural gas issues; 1 contact involved gas and electric services; 8 contacts involved cellular phone issues; 14 contacts involved do not call issues; and 21 contacts involved issues not regulated by the Public Utilities Commission. In 2006, 118 of the176 complaints registered have been resolved informally. In 2005, 1,647 of the 1,882 complaints registered have been resolved informally.
Electricity
Mr. Bob Knadle stated that in accordance with SDCL 49-41B-12 the maximum fee chargeable by the Commission may not exceed $102,500.00 and the minimum fee chargeable by the Commission may not be less than $8,000.00. Mr. Knadle recommended that the Commission access a filing fee not to exceed $102,500.00 with an initial deposit of $8,000.00 which the company has already provided and that the company shall from time to time make such additional deposits up to the total amount of the assessment as requested by the Deputy Executive Director. Mr. Dean Powlowski stated that Otter Tail Power Company agreed with the assessment and has already paid the initial deposit to the Public Utilities Commission.
Commissioner Hanson moved to assess a filing fee against Otter Tail Power Company in Docket EL06-002 not to exceed $102,500.00 with an initial deposit of $8,000.00 and that the company shall from time to time make such additional deposits up to the total amount of the assessment as invoiced by the Deputy Executive Director. Commissioner Johnson seconded and Chairman Sahr concurred. Motion passed 3-0.
Mr. Brad Schardin, Southeastern Electric Cooperative Inc., stated that on January 18, 2006, Southeastern Electric Cooperative, Inc. (Southeastern) had requested that the Commission transfer the existing territorial agreements of McCook Electric Cooperative, Inc. (McCook) to Southeastern to become effective January 1, 2006. McCook has merged into Southeastern and have completed all of the preauthorized requirements to merge the two Cooperatives. Mr. Bob Knadle recommended approval of the territorial transfer.
Chairman Sahr moved to approve the territory transfer of McCook Electric Cooperative, Inc. to Southeastern Electric Cooperative, Inc. Commissioner Johnson seconded and Commissioner Hanson concurred. Motion passed 3-0.
Natural Gas
Ms. Tami Aberle, Montana-Dakota Utilities Co. (MDU) stated that MDU has revised the program which would include only: 1) Customer Conservation Starter Kits; 2) High-Efficiency Furnace Incentives; and 3) Programmable Thermostat incentives. MDU would be willing to cap how many customers can participate in the program. This program could be considered a pilot program (this request was not in application but MDU would be willing to stipulate to that) to see what the reaction to the program is and how many people are participating. Mr. Dave Jacobson stated that the company provided updated information regarding its cost/benefit analysis including results of the rate adjustment that would occur if 2x times and ½ the number of customers in the original filing participated. The cap has not been decided and that would greatly rely on the promotion of this program. Staff comments remain the same as stated at the last meeting. Mr. Jacobson stated that if the program were approved it could be for a three year pilot project and the company could conduct a survey of the customers that participate in the program. The questions will be decided at a later time with the help of staff and MDU. The questions could be submitted to the Commission if the Commission would like it to be handled that way. Considering a three-year period, Ms. Tami Aberle would like an effective date to be the heating season starting October 2006.
Chairman Sahr moved to approve the revised Natural Gas Conservation Program and Conservation Tracking Adjustment as a pilot program for three years with the start of October 2006 heating season and also that Montana-Dakota Utilities Co. should work with staff to establish questions which will be on the survey. Commissioner Hanson seconded and Commissioner Johnson concurred. Motion passed 3-0.
Ms. Melanie Acord, MidAmerican Energy Company, stated that MidAmerican Energy Company filed revisions to its Firm and Interruptible Monthly Metered Transportation Gas Pilot to allow customers to switch pool operators in any month of the year. Currently customers can only switch pool operators during the month of September. Customers would still have to stay with a pool operator for a minimum 12 month period but could change pool operators during any month. Mr. Dave Jacobson stated this would allow greater flexibility for MidAmerican Energy Company customers and recommended approval of the tariff revisions.
Chairman Sahr moved to approve the tariff revisions in NG05-017. Commissioner Johnson seconded and Commissioner Hanson concurred. Motion passed 3-0.
Telecommunications
Chairman Sahr moved to defer Docket TC05-060. Commissioner Johnson seconded and Commissioner Hanson concurred. Motion passed 3-0.
Mr. Bob Knadle stated that at a previous meeting the Commission had questions regarding the provisions of E911 service and CALEA. Mr. Knadle sent out a data request regarding E911 and CALEA. CommPartners, LLC had responded and the response was filed. Mr. Chris Twomey, CommPartners, LLC, stated CommPartners, LLC is in the process of building an Internet Protocol-based (IP) communications network for the provision of voice and data services. The network is designed to connect public and private IP networks with the Public Switched Telephone Network and intends to provide local service in the areas served by Qwest and interexchange services throughout South Dakota. Mr. Twomey also stated that the Commission does not have authority to regulate voice over IP and so CommPartners is not seeking certification for that. CommPartners is in the process of providing E911 service and all customers will have access to E911 per FCC Orders. Mr. Knadle recommended the Commission approve the Certificate of Authority for local exchange and interexchange services for CommPartners, LLC subject to restrictions from accepting deposits or advance payments and from offering prepaid services without prior approval of the Commission and to comply with the rural safeguards, and to also grant waivers of ARSD 20:10:24:02 (8) and 20:10:32:03(11).
Chairman Sahr moved to grant waivers of ARSD 20:10:24:02 (8) and 20:10:32:03(11) and to grant CommPartners, LLC's Certificate of Authority subject to rural safeguards, with restrictions from offering prepaid calling services or accepting customer deposits or advance payments. Commissioner Hanson seconded and Commissioner Johnson concurred. Motion passed 3-0.
Mr. Harlan Best stated that Budget Phone, Inc. is petitioning the Commission to be exempt from developing intrastate switched access rates based on company–specific costs in accordance with 20:10:27:11 and for approval of its access service tariff. Budget Phone, Inc. is also requesting approval to mirror the Qwest Corporation tariffed access rates in accordance with ARSD 20:10:27:12 and a waiver from filing company-specific cost data as required by ARSD 20:10:27:07. The company proposes mirroring Qwest's current rates and thus is also requesting a waiver from filing rates based on the costs of all the telecommunications companies with less than 100,000 access lines as required by ARSD 20:10:27:12. The company is also requesting a waiver of the calculation of billing and collection costs as set forth in ARSD 20:10:27:13. Mr. Best recommended the Commission grant the request for waivers from ARSD 20:10:27:07, 20:10:27:11, 20:10:27:12 and 20:10:27:13 and to allow Budget Phone, Inc. to mirror Qwest current rates and to allow the company to file adjustments to its switched access rates so long as such rates either equal or are lower than Qwest's rates or until the Commission shall otherwise order.
Commissioner Johnson moved to approve the intrastate switched access tariff and grant an exemption from filing company-specific cost data and a waiver from having to file rates based on the cost of all telecommunication companies with less than 100,000 access lines and to allow Budget Phone, Inc., to mirror Qwest rates and to allow the company to file adjustments to its switched access rates so long as such rates either equal or are lower than Qwest's rates or until the Commission shall otherwise order. Chairman Sahr seconded and Commissioner Hanson concurred. Motion passed 3-0.
Mr. Harlan Best stated that Trinsic Communications, Inc. is petitioning the Commission to be exempt from developing intrastate switched access rates based on company–specific costs in accordance with 20:10:27:11 and for approval of its access service tariff. Trinsic Communications, Inc. is also requesting approval to mirror the Qwest Corporation tariffed access rates in accordance with ARSD 20:10:27:12 and a waiver from filing company-specific cost data as required by ARSD 20:10:27:07. The company proposes mirroring Qwest's current rates and thus is also requesting a waiver from filing rates based on the costs of all the telecommunications companies with less than 100,000 access lines as required by ARSD 20:10:27:12. The company is also requesting a waiver of the calculation of billing and collection costs as set forth in ARSD 20:10:27:13. Mr. Best recommended the Commission grant the request for waivers from ARSD 20:10:27:07, 20:10:27:11, 20:10:27:12 and 20:10:27:13 and to allow Trinsic Communications, Inc. to mirror Qwest current rates and to allow the company to file adjustments to its switched access rates so long as such rates either equal or are lower than Qwest's rates or until the Commission shall otherwise order.
Chairman Sahr moved to approve the intrastate switched access tariff and grant an exemption from filing company-specific cost data and a waiver from having to file rates based on the cost of all telecommunication companies with less than 100,000 access lines and to allow Trinsic Communications, Inc., to mirror Qwest rates and to allow the company to file adjustments to its switched access rates so long as such rates either equal or are lower than Qwest's rates or until the Commission shall otherwise order. Commissioner Johnson seconded and Commissioner Hanson concurred. Motion passed 3-0.
Meeting adjourned.
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Tina Douglas
Administrative Secretary
