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South Dakota Public Utilities Commission Meeting
June 28, 2011, at 9:30 A.M. CDT
Room 413, Capitol Building
Pierre, South Dakota
MINUTES OF THE COMMISSION MEETING
Vice Chairman Gary Hanson called the meeting to Order. Present were: Commissioner Chris Nelson; Commission Counsel: John Smith and Rolayne Wiest; Commission Advisor: Greg Rislov; Staff Attorneys: Kara Semmler, Karen Cremer, and Ryan Soye; Staff Analysts: Dave Jacobson, Brittany Mehlhaff, Jon Thurber, Chris Daugaard, Ross Pedersen, and Brian Rounds; Consumer Affairs Supervisor: Deb Gregg and Staff: Demaris Axthelm and Lennis Axdahl.
Also present were: Glynda Rahn, Jan Kirsch, Chuck Loomis, Jim Keck, and Julio Usera, Black Hills Power, Co.; Margo Northrup, Riter Rogers Wattier & Brown LLP representing TrioTel Communications, Inc., Venture Communications Cooperative, and RC Communications, Inc.; Rod Bower, Kennebec Telephone Company; and Rich Coit, South Dakota Telecommunications Association.
Joining the meeting by telephone were: Bob Obeiter, Applied Energy Group representing Black Hills Power, Inc.; Ryan Taylor, Cutler Law Firm, representing Hills Telephone Company, Inc.; Tim Ecklund and Kim Stumpp, Consortia Consulting; Kathryn Ford, Davenport Evans Hurwitz & Smith LLP., representing RC Communications, Inc.; Robin Thoreson and Scott Bostrom, RC Communications, Inc.; Robert Towers, Chesapeake Regulatory Consultants, Inc., representing South Dakota Public Utilities Commission; Randy Houdek, Venture Communications Cooperative; Chris Kilpatrick, Black Hills Power, Corp.; James Wilcox, Sara Cardwell, John Felling, and Kari Valley, Xcel Energy; Kari Flannigan, Alliance Communications representing Hills Telephone Company, Inc.; Bryan Roth, TrioTel Communications, Inc.
Administration
1. Approval of the Minutes of the Commission Meetings held on May 17, 2011, and May 31, 2011, were deferred until the next regularly scheduled meeting on July 12, 2011.
Consumer Reports
1. Status Report on Consumer Utility Inquiries and Complaints Received by the Commission. (Consumer Affairs: Deb Gregg)
The Commission received a total of 96 contacts since the last report was prepared for the June 14, 2011 Commission meeting.
27 of the contacts involved telecommunication services, 17 of the contacts involved electrical services, 13 contacts involved natural gas service, 16 contacts involved cell phone service, 13 contacts were related to the Do Not Call Registry, and 10 contacts were related to issues not regulated by the PUC.
1497 of the 1571 complaints received in 2011 have been resolved.
Electric
1. EL10-012 In the Matter of the Petition of Northern States Power Company dba Xcel Energy Regarding the 2011 Environmental Cost Recovery Rider and 2010 ECR Tracker Report (Staff Analysts: Jon Thurber, Brittany Mehlhaff, Staff Attorney: Ryan Soye)
Mr. Jon Thurber, staff analyst stated Xcel Energy's environmental cost recovery filing makes two requests. The Company requests approval of the actual costs and recoveries through December 31, 2010 related to the pollution control measures at the King generation facility. The Commission ruled that these costs were eligible for recovery in Docket EL07-026. The company requests recovery of two new environmental controls for 2011. Mercury control systems were installed at the Sherco and King units to comply with state laws. During discovery, the company also indicated that the systems will satisfy the mercury requirements under the proposed EPA Air Toxics MACT rule. Staff recommended the Commission grant the joint motion for approval of the stipulation and adopt the attached stipulation without modification for docket EL10-012. The stipulation incorporates a July 1, 2011 effective date for the revised environmental cost recovery rider.
Commissioner Hanson moved to grant the Joint Motion for Approval of the Settlement Stipulation and approve the rates, terms, and conditions stipulated with a January 1, 2011 effective date. Motion carried 2-0.
A lengthy discussion took place regarding the Application of Black Hills Power, Inc. for Approval of Energy Efficiency Programs, Tariffs, and Cost Recovery Mechanism which can be found on the PUC website under Commission Actions, Commission Meeting Archives, 2011, June 28, 2011, recording located at: http://puc.sd.gov/Archives/2011/default.aspx.
Commissioner Hanson moved to approve Black Hills Power's Energy Efficiency Solutions Plan and authorize the Energy Efficiency Solutions Adjustment rate, effective September 1, 2011, as set forth in the proposed tariff sheets. Motion carried 2-0.
Mr. James Wilcox, Xcel Energy, provided a brief history regarding the request for an Electric Service Rights Exception between Xcel Energy, Inc. and Central Electric Cooperative, Inc. and requested Commission approval. Mr. Ryan Soye, staff attorney, recommended approval for the agreement for an exception to the established service territories.
Commissioner Nelson moved to approve the agreement for an exception to the established service territories of Xcel Energy and Central Electric Cooperative. Motion carried 2-0.
Telecommunications
On April 25, 2011, ONLINE SAVINGS, INC. (ONLINE) filed an application for a certificate of authority to provide intrastate interexchange telecommunications services within South Dakota through the resale of similar services offered by other interexchange carriers in the state. ONLINE intends to operate exclusively as a reseller to provide interexchange services on a statewide basis.
TC11-016 was deferred until the next regularly scheduled Commission Meeting scheduled for July 12, 2011.
2. TC11-024 In the Matter of the Request of Hills Telephone Company, Inc. for Certification Regarding Its Use of Federal Universal Service Support (Staff Analyst: Brittany Mehlhaff, Staff Attorney: Kara Semmler)
Ms. Brittany Mehlhaff, staff analyst, stated the Company filed the request according to the administrative rules, and Staff recommended the Commission provide certification to the FCC and USAC.
Commissioner Nelson moved to provide a Certification to the Federal Communications Commission and to the Universal Service Administration Company regarding the Plan for the Use of federal Universal Services Support. Motion carried 2-0.
3. TC11-028 In The Matter of the Request of Kennebec Telephone Company, Inc. for Certification Regarding its use of Federal Universal Service Support (Staff Analyst: Brittany Mehlhaff, Staff Attorney: Kara Semmler)
Ms. Brittany Mehlhaff, staff analyst, stated the Company filed the request according to the administrative rules and Staff recommended the Commission provide certification to the FCC and USAC.
Commissioner Nelson moved to provide a Certification to the Federal Communications Commission and to the Universal Service Administration Company regarding the Plan for the Use of federal Universal Services Support. Motion carried 2-0.
4. TC11-031 In the Matter of the Request of TrioTel Communications, Inc. for Certification Regarding its Use of Federal Universal Service Support (Staff Analyst: Jon Thurber, Staff Attorney: Kara Semmler)
Ms. Margo Northrup, Riter Rogers Wattier & Brown LLP., requested of the Commission approval for the certification regarding is use of Federal Universal Service Support. Mr. Jon Thurber, staff analyst, recommended approval to the Commission for certification.
Commissioner Nelson moved to provide a Certification to the Federal Communications Commission and to the Universal Service Administration Company regarding the Plan for the Use of federal Universal Services Support. Motion carried 2-0.
Ms. Margo Northrup, Riter Rogers Wattier & Brown LLP., requested of the Commission approval for the certification regarding is use of Federal Universal Service Support. Ms. Brittany Mehlhaff, staff analyst, stated the Company filed the request according to the administrative rules and Staff recommended the Commission provide certification to the FCC and USAC.
Commissioner Nelson moved to provide a Certification to the Federal Communications Commission and to the Universal Service Administration Company regarding the Plan for the Use of federal Universal Services Support. Motion carried 2-0.
6. TC11-050 In the Matter of the Filing by Knology of the Plains, Inc. for Approval of its Intrastate Switched Access Tariff (Staff Analyst: Chris Daugaard, Staff Attorney: Karen Cremer)
Ms. Kathryn Ford, Davenport Evans Hurwitz & Smith LLP., requested Commission approval of the petition of Knology of the Plains, Inc. intrastate switched access tariff rates. Mr. Chris Daugaard, staff analyst, stated the Company has filed an amended tariff in compliance with Commission Order RM05-002. The amended rates mirror Qwest rates. Commission Staff recommended approval.
Commissioner Nelson moved to approve the revised intrastate switched access tariff. Motion carried 2-0.
Mr. Chris Daugaard, staff analyst, stated the Company had filed an amended tariff in compliance with Commission Order RM05-002. The amended rates mirror Qwest rates. Commission Staff recommended approval.
Commissioner Nelson moved to approve the revised intrastate switched access tariff. Motion carried 2-0.
Leadership
1. Election of a Chairperson of the Commission. (General Counsel: John Smith)
South Dakota Codified Law 49-1-8 states in part that, "The members of the Commission shall elect a chairperson by majority vote and prescribe his duties." SDCL 49-1-12 requires that, "Every vote and official action of the Public Utilities Commission shall be entered of record and its proceedings shall be public upon the request of either party or any person interested." Accordingly, the election of the Commission's leadership structure is made at a public commission meeting. Vice Chairman Hanson stated for the past few years, the Commissioners have elected a Chairperson and a Vice Chairperson annually.
Commissioner Nelson moved to nominate Commissioner Hanson for the position of Chairman. Motion carried 2-0.
Commissioner Hanson moved to nominate Commissioner Nelson for the position of Vice Chairman. Motion carried 2-0.
There being no further business, at the hour of 10:29 a.m. the South Dakota Public Utilities Commission meeting adjourned. The next Commission meeting is scheduled for July 12, 2011.
/S/ Lennis Axdahl
Lennis Axdahl
Administrative Secretary
June 28, 2011
