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South Dakota Public Utilities Commission Meeting
February 1, 2011, at 2:30 P.M. CDT
Room 413, Capitol Building
Pierre, South Dakota

MINUTES OF THE COMMISSION MEETING 

Chairman Kolbeck called the meeting to Order. Present were: Vice Chair Gary Hanson and Commissioner Chris Nelson; Commission General Counsel: John Smith and Rolayne Wiest; Commission Advisor: Greg Rislov; Staff Attorneys: Kara Semmler, Karen Cremer and Ryan Soye; Staff Analysts: Dave Jacobson, Bob Knadle, Jon Thurber and Brian Rounds; and Staff: Deb Gregg,  Demaris Axthelm and Seanna Regynski. 

Also present were: Rich Coit, South Dakota Telecommunications Association; Darla Pollman Rogers, Riter, Rogers, Wattier & Northrup, representing South Dakota Network and Local Exchange Carriers Association; Otter Tail Power Company Representatives, Kevin Kouba, Bruce Gerhardson, Ron Spangler Jr., and Pete Beithon; Brett Koenecke, May, Adam, Gerdes, and Thompson, representing Verizon Business Services; Dan Nelson and Doug Hajek, Midcontinent. 

Joining the meeting by telephone were: Talbot Wieczorek, Gunderson, Palmer, Goodsell and Nelson, representing Sprint Communications Company L.P.; Meredith Moore, Cutler and Donahoe, LLP, representing Splitrock Properties, Inc.; Mary Lohnes, representing Midcontinent; James Cremer, Bantz, Gosch and Cremer, LLC, representing Northern Valley; and Kathy Ford, Davenport, Evans, Hurwitz, & Smith, representing Midcontinent and Knology of the Plains, Inc., and Knology of the Black Hills, LLC.

(NOTE: For the purpose of continuity, these minutes are not necessarily in chronological order.)

Administrative

1.     Approval of the Minutes of the Commission Meeting Held on January 4, 2011. (Staff: Seanna Regynski) 

Commissioner Hanson moved to approve the minutes of the January 4, 2011, Commission meeting. Motion passed 3-0. 

Consumer Reports 

1.     Status Report on Consumer Utility Inquiries and Complaints Received by the Commission. (Consumer Affairs: Deb Gregg) 

Ms. Deb Gregg, Consumer Affairs, reported that the Commission received a total of 121 contacts since the last report was prepared for the January 18, 2011, Commission meeting. 37 of the contacts involved telecommunication services, 24 of the contacts involved electrical services, 14 contacts involved natural gas service, 15 contacts involved cell phone service, 16 contacts were related to the Do Not Call Registry, 2 contacts were related to Wind Energy, 2 contacts were related to the Keystone XL Pipeline, and 11 contacts were related to issues not regulated by the PUC. In 2011, 193 of the 222 complaints received have been resolved.

Electric

1.     EL10-011     In the Matter of the Application by Otter Tail Power Company for Authority to Increase Rates for Electric Service in South Dakota. (Staff Analysts: Jon Thurber, Bob Knadle, Dave Jacobson, Brittany Mehlhaff, Staff Attorneys: Kara Semmler, Ryan Soye) 

Mr. Bruce Gerhardson, Otter Tail Power Company, provided a brief history on the filing and requested the Commission grant the request for authority to use the current rate design and implement an interim rate increase at a level lower than the rate increase identified in Otter Tail's initial application.  Mr. Ryan Soye, Staff Attorney, stated that Staff recommends the Commission grant the request for authority to use current rate design when implementing an interim rate increase and to implement an interim rate increase at a level lower than the rate increase identified in Otter Tail's initial application and recommends the Commission require Otter Tail to keep an accurate account in detail of all amounts received by reason of the increase, specifying by whom and in whose behalf the amounts are paid. 

Chairman Kolbeck moved to grant the request for authority to use current rate design when implementing an interim rate increase and to implement an interim rate increase at a level lower than the rate increase identified in Otter Tail's initial application and to require Otter Tail to keep an accurate account in detail of all amounts received by reason of the increase,  specifying by whom and in whose behalf the amounts are paid. Motion carried 3-0.

Miscellaneous

1.     MS11-001     In the Matter of the Petition to Terminate the Ongoing Information Requirements in Docket F-3860 (Staff Analyst: Bobbi Bourk, Staff Attorney: Karen Cremer)

Ms. Karen Cremer, Staff Attorney, stated that Staff has reviewed the information requirements ordered in Docket F-3860 and has determined they are no longer needed and asked the Commission to grant the petition to terminate the ongoing information requirements in F-3860.  Representatives from South Dakota Network, Inc. and South Dakota Centralized Equal Access, Inc. both agreed with Staff's request to terminate the requirements.

Commissioner Hanson moved to grant the Petition to Terminate the Ongoing Information Requirements in Docket F-3860.  Motion carried 3-0.

Telecommunications

1.     TC09-098     In the Matter of the Complaint filed by South Dakota Network, LLC against Sprint Communications Company L.P. Regarding Failure to Pay Intrastate Centralized Equal Access Charges and to Immediately Pay Undisputed Portions of SDN's Invoices (Staff Analyst: Bobbi Bourk, Staff Attorney: Karen Cremer)        

Mr. Talbot Wieczorek, representing Sprint, provided a brief history on the filing and requested the Commission grant Sprint's motion for a protection order requiring the parties to comply with a confidentiality agreement. Ms. Darla Pollman Rogers, representing SDN, concurred with Mr. Wieczorek and asked that the Commission grant the motion.

Commissioner Nelson moved to grant Sprint's Motion for a Protective Order Requiring the Parties Comply with a Confidentiality Agreement. Motion carried 3-0.

2.     TC10-096     In the Matter of the Complaint Filed by Midcontinent Communications, Knology of the Plains, Inc., and Knology of the Black Hills, LLC, Against MCI Communications Services, Inc. d/b/a Verizon Business Services for Unpaid Access Charges (Staff Analyst: Bobbi Bourk, Staff Attorney: Kara Semmler)        

A lengthy discussion took place between the parties regarding the petition for intervention by South Dakota Network, LLC, (SDN), South Dakota Telecommunications Association (SDTA), and Local Exchange Carriers Association (LECA). An audio of the discussion can be found on the PUC Web site under Commission Actions, Commission Meeting Archives, 2011, February 1, 2011, Recording located at: http://puc.sd.gov/Archives/2011/default.aspx

Commissioner Hanson moved to grant intervention to all parties that have petitioned for intervention.  Motion carried 2-1. (Nelson dissenting) 

3.     TC10-099     In the Matter of the Application by Midcontinent Communications for Eligible Telecommunications Carrier Designation Within Certain Additional Qwest Service Areas (Staff Analysts: Brian Rounds/Bobbi Bourk, Staff Attorney: Kara Semmler) 

Ms. Kathy Ford, representing Midcontinent, provided a brief history on the filing and requested the Commission grant their application for eligible telecommunications carrier designation. Mr. Brian Rounds, Staff Analyst, stated that Staff recommends the Commission grant ETC designation in the Qwest service areas of Meckling, Summerset, Vermillion, Whitewood and Yankton. 

Commissioner Nelson moved to grant the application by Midcontinent Communications for Eligible Telecommunications Carrier Designation in Certain Additional Qwest Service Areas of Meckling, Summerset, Vermillion, Whitewood and Yankton.  Motion carried 3-0.

4.     TC11-001     In the Matter of the Application of WiMacTel, Inc. for a Certificate of Authority to Provide Interexchange Long Distance Services and Local Exchange Services in South Dakota (Staff Analyst: Chris Daugaard, Staff Attorney: Kara Semmler)        

Mr. Rich Coit, SDTA, provided a brief history on the request for intervention and requested Commission grant intervention to SDTA in this matter. Ms. Kara Semmler, Staff Attorney, stated that Staff supports SDTA's Petition to Intervene. 

Commissioner Nelson moved to grant intervention to SDTA. Motion carried 3-0. 

There being no further business, at the hour of 3:50 p.m. the South Dakota Public Utilities Commission meeting adjourned. The next Commission meeting is scheduled for February 15, 2011.

 

/S/ Seanna Regynski       
Seanna Regynski
Administrative Secretary
February 1, 2011