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South Dakota Public Utilities Commission Meeting
September 22, 2009 at 9:30 AM.
Room 413, Capitol Building
Pierre, South Dakota
MINUTES OF THE COMMISSION MEETING
Chairman Dusty Johnson called the meeting to order. Present were: Vice Chairman Steve Kolbeck; Commissioner Gary Hanson; Executive Director Patty Van Gerpen; Deputy Executive Director Heather Forney; Commission Advisor Greg Rislov; Commission Attorneys John Smith and Rolayne Wiest; Staff Attorney Kara Semmler; Staff Analysts Bob Knadle, Brian Rounds, and Nathan Solem; Consumer Affairs Supervisor Deb Gregg; and Administrative Secretary Anissa Grambihler.
Also present were: Dave Gerdes, May, Adam, Gerdes and Thompson, representing Montana Dakota Utilities; Justin Bell, Montana Dakota Utilities; and Gordon Woods, South Dakota Intrastate Pipeline.
Joining the meeting by telephone were: Terry Westergaard, Bangs and McCullen Law Office, representing Midwest Clutch and Midwest Family Mutual Insurance Co., and Tamie Aberle, Montana-Dakota Utilities.
Administration
- Approval of the Minutes of the Commission Meetings Held on June 9 and July 29, 2009. (Staff: Demaris Axthelm)
Commissioner Hanson moved to approve the Commission Minutes of the June 9 and July 29, 2009, meetings. Motion passed 3-0.
Consumer Reports
- Status Report on Consumer Utility Inquiries and Complaints Received by the Commission. (Consumer Affairs: Deb Gregg)
Ms. Deb Gregg reported that the Commission received a total of 113 contacts since the last report was prepared for the September 8, 2009, commission meeting. 46 contacts involved telecommunications services; 22 contacts involved electrical services; 8 contacts involved natural gas services; 7 contacts involved cell phone services; 13 contacts involved the Do Not Call Registry; 2 contacts involved the Keystone Pipeline; 3 contacts involved wind energy; 2 contacts involved the Grain Warehouse Division; and 10 contacts involved issues not regulated by the Public Utilities Commission. In 2009, 1,767 of the 1,826 complaints registered have been resolved.
Natural Gas
Docket NG09-001 was taken up in the Addendum to the Agenda, Natural Gas item 1.
Pipeline Safety
Mr. Terry Westergaard, representing Midwest Clutch and Auto Repair (Midwest Clutch) and Midwest Family Mutual Insurance Company (Midwest Family), stated that they had nothing further to add to their Petition to Intervene. Mr. Dave Gerdes, representing Montana-Dakota Utilities Co. stated that the Commission does not have jurisdiction in this matter and the Petition to Intervene should be denied. Ms. Kara Semmler stated that Staff believes the Commission does have a custodial and investigative responsibility under the pipeline safety statutes and recommend granting the Petition to Intervene.
Vice Chairman Kolbeck moved to grant intervention to Midwest Clutch and Midwest Family. Motion passed 3-0.
Mr. Terry Westergaard stated that Midwest Clutch and Midwest Family would like to work together with MDU to have the pipes tested and requested the Commission to approve its participation in the testing of the pipe. Mr. Dave Gerdes stated that MDU is opposed to the Commission's involvement in the testing of the pipe as the Commission does not have jurisdiction in this issue and it should be up to a circuit court to decide. Ms. Kara Semmler stated that the pipe hasn't been completely tested and would recommend the parties work together on a protocol, location and the type of testing needed. Mr. Nathan Solem stated that the results of the test would be beneficial to Staff as MDU's data indicates this is an inside non-jurisdictional leak and further testing would help Staff determine if a jurisdictional incident.
Chairman Johnson moved to deny Midwest Clutch and Midwest Family's request to test the gas line and instructed the parties to jointly develop a protocol for testing and if they cannot agree mutually on testing protocol, then this would come back before the Commission. Motion passed 3-0.
Telecommunications
Ms. Kara Semmler stated that on April 25, 2002, Staff received a letter from Easton Telecom Services, LLC requesting to withdraw their application for a certificate of authority. Therefore Staff recommends denying the request for a resale agreement.
Vice Chairman Kolbeck moved to deny the resale agreement between Qwest Corporation and Easton Telecom Services, LLC. Motion passed 3-0.
Ms. Kara Semmler stated that this Docket was put on the Agenda in error, and no action is needed by the Commission.
ADDENDUM TO THE
AGENDA OF COMMISSION MEETING
Natural Gas
Ms. Tamie Aberle stated that Montana-Dakota Utilities Co. (MDU) requires more time to finalize its proposal with regard to the calendar year 2010 conservation programs. Ms. Aberle then asked the Commission to approve the tariff revisions that will continue the existing programs through October 31, 2009,and also requested approval on less than 30 days notice. Mr. Brian Rounds stated that Staff recommends approving the proposed tariff sheets and extend the currently effective conservation programs.
Chairman Johnson moved to approve the proposed tariff sheets and extend the current conservation program through October 31, 2009, with less than 30 days notice. Motion passed 3-0.
Pipeline Safety
Mr. Nathan Solem stated that at this time he can offer the commission two alternatives. The first alternative is based on the purpose of a fine being to assist in compliance, in this case, the short bolts have been corrected, compliance has now been achieved, and a fine may not be necessary. Mr. Solem further stated that in this year's federal pipeline program audit, the Pipeline Safety Program was penalized for not closing out compliance items in a timely fashion. Mr. Solem stated that this docket is an example of that. Therefore, Mr. Solem stated that assessing a small penalty may demonstrate to the auditor and the operators that we intend to follow compliance deadlines. Mr. Solem stated that Staff recommends assessing a fine of $50.00 for non-compliance to South Dakota Intrastate Pipeline (SDIP). Mr. Gordy Woods stated that SDIP has corrected the compliance issue and that this was merely a timing issue for SDIP in getting the job done and asked the Commission to dismiss.
Vice Chairman Kolbeck moved to access a fine of $50.00 for non-compliance against South Dakota Intrastate Pipeline. Motion passed 3-0.
There being no further business, at the hour of 10:22 a.m., the South Dakota Public Utilities Commission Meeting adjourned. The next Commission meeting is scheduled for October 6, 2009.
/S/Demaris Axthelm
Demaris Axthelm
Administrative Secretary
