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South Dakota Public Utilities Commission Meeting
November 15, 2018, at 1:30 P.M. CST
Room 413, Capitol Building
Pierre, South Dakota
MINUTES OF THE COMMISSION MEETING
Chairperson Kristie Fiegen called the meeting to order. Present were: Commissioner: Chris Nelson; Commission Attorneys: Karen Cremer and Adam de Hueck; Staff Attorneys: Kristen Edwards and Amanda Reiss; Staff Analysts: Darren Kearney, Jon Thurber, Patrick Steffensen, Brittany Mehlhaff, and Joseph Rezac; Consumer Affairs Manager: Deb Gregg; and Staff: Joy Lashley.
Present were:
Bob Mercer, reporter; Steve Wegman, self; James Madson, Willow Creek Wind Power LLC; Miles Schumacher, Lynn, Jackson, Shultz & Lebrun, P.C., representing Willow Creek Wind Power LLC; Brian Rounds, AESL Consulting; Chad Murphy, self; and Sheri Kersting, self.
Joining the meeting by telephone were:
Commissioner: Gary Hanson; Pipeline Safety Manager: Mary Zanter; John O’Meara, Wind Quarry, LLC; Brian Murphy, Crowned Ridge Wind, LLC; Dave Semerad, West River Electric Association, Inc; Haley Waller Pitts, Fredrickson & Byron, P.A., representing Dakota Range III, LLC; Cary Stephenson and Bryce Haugen, Otter Tail Power Company; Jesse Linebaugh, Faegre Baker Daniels LLP, representing CHS; Gary Schumacher, Wilkinson & Schumacher Law Firm, representing grain sellers; and Brian Rybarik, Mark Hoogwerfe and Alisha Knapp, MidAmerican Energy Company.
(NOTE: For the purpose of continuity, these minutes are not necessarily in chronological order.)
Administration
1. Approval of the minutes of the Commission meeting held on October 31, 2018. (Staff: Joy Lashley)
Commissioner Nelson moved to approve the minutes of the Commission meeting held on October 31, 2018. Motion carried 3-0..
Consumer Reports
1. Status Report on Consumer Utility Inquiries (Consumer Affairs: Deb Gregg)
The Commission received a total of 65 contacts since the last report was prepared for the October 31, 2018, Commission meeting.
Twelve contacts involved telecommunication services, 21 contacts were related to electrical services, three contacts were related to natural gas service, one contact was related to gas and electric service, one contact was related to wind energy, three contacts were related to wireless service, ten contacts were related to the Do Not Call Registry, two contacts were related to the TransCanada Keystone XL Project, five contacts were related to the Grain Warehouse Division and seven contacts were related to issues not regulated by the PUC.
Contacts received in 2018: 1,227 of the 1,241 have been resolved.
Electric
1. EL15-020 In the Matter of the Application by Wind Quarry Operations, LLC, for a Wind Energy Facility Permit for the Willow Creek Wind Energy Facility and Associated Facilities (Staff Analysts: Darren Kearney, Jon Thurber; Staff Attorney: Amanda Reiss)
Mr. Miles Schumacher, Lynn, Jackson, Shultz & Lebrun, P.C., representing Willow Creek Wind Power LLC (Willow Creek), asked that the Commission approve the transfer of the permit and acceptance of turbine and layout changes. Ms. Amanda Reiss, staff attorney, recommended that the Commission approve Willow Creek’s request.
Commissioner Hanson moved to grant Willow Creek Wind Power LLC’s Motion for Approval of Transfer of Permit and Acceptance of Turbine and Layout Changes. Motion carried 3-0.
2. EL17-050 In the Matter of the Application of Crowned Ridge Wind, LLC for a Facility Permit to Construct a 230 kV Transmission Line and Associated Facilities from Codington County to the Big Stone South Substation (Staff Analysts: Jon Thurber, Darren Kearney; Staff Attorneys: Kristen Edwards, Amanda Reiss)
A lengthy discussion took place regarding docket EL17-050. An audio of the discussion can be found on the PUC website under Commission Actions, Commission Meeting Archives, 2018, November 15, 2018, recording located at: https://puc.sd.gov/commission/media/2018/puc11152018.mp3.
Commissioner Fiegen moved to grant the Joint Motion for Approval of Settlement Stipulation and approve the terms and conditions of the Settlement Stipulation. Motion carried 3-0.
3. EL18-044 In the Matter of the Request for Approval of an Electric Service Territory Boundary Agreement between Black Hills Power, Inc. dba Black Hills Energy and West River Electric Association, Inc. (Staff Analyst: Joseph Rezac; Staff Attorney: Kristen Edwards)
Mr. Dave Semerad, West River Electric Association (WREA), asked that the Commission approve the electric service territory boundary agreement between WREA and Black Hills Power, Inc. dba Black Hills Energy. Mr. Joseph Rezac, staff analyst, recommended that the Commission approve the request.
Commissioner Nelson moved to approve the proposed electric service territory boundary agreement.Motion carried 3-0.
4. EL18-046 In the Matter of the Application of Dakota Range III, LLC for a Permit of a Wind Energy Facility and a 345-kV Transmission Line in Grant and Roberts Counties (Staff Analysts: Jon Thurber, Darren Kearney; Staff Attorney: Amanda Reiss)
Ms. Amanda Reiss, staff attorney, recommended that the Commission assess a filing fee not to exceed $300,000 with an initial deposit of $8,000 and authorize the executive director to enter into necessary consulting contracts. Ms. Haley Waller Pitts, Fredrickson & Byron, P.A., representing Dakota Range III, LLC, had no objections to staff's requests.
Commissioner Hanson moved to assess a filing fee not to exceed $300,000 with an initial deposit of $8,000 and authorize the executive director to enter into necessary consulting contracts.Motion carried 3-0.
5. EL18-048 In the Matter of the Petition of Otter Tail Power Company for Approval of the Transmission Cost Recovery Rider Rate (Staff Analysts: Joseph Rezac, Patrick Steffensen; Staff Attorney: Kristen Edwards)
Ms. Kristen Edwards, staff attorney, recommended that the Commission assess a filing fee in the amount of up to $50,000 to account for actual expenses incurred in review of this filing commencing from the filing date. Mr. Bryce Haugen, Otter Tail Power Company, had no objection to staff's request.
Commissioner Fiegen moved to assess a filing fee in the amount of up to $50,000 to account for actual expenses incurred in review of this filing commencing from the filing date.Motion carried 3-0.
Grain Warehouse
1. GW17-002 In the Matter of the Grain Buyer Bond of H & I Grain of Hetland, Inc. (Grain Warehouse Manager: Cody Chambliss; Staff Attorneys: Kristen Edwards, Amanda Reiss)
A lengthy discussion took place regarding docket GW17-002. An audio of the discussion can be found on the PUC website under Commission Actions, Commission Meeting Archives, 2018, November 15, 2018, recording located at: https://puc.sd.gov/commission/media/2018/puc11152018.mp3.
Commissioner Hanson moved to grant the petition to take receivership.
Commissioner Nelson made a substitute motion to apply to the circuit court for that court to appoint an independent receiver. Motion carried 3-0.
2. GW18-003 In the Matter of the PUC Staff’s Request to Release Hartford Farmers Elevator’s Grain Warehouse and Grain Buyers Bonds (Grain Warehouse Manager: Cody Chambliss; Staff Attorneys: Kristen Edwards, Amanda Reiss)
3. GW18-004 In the Matter of the PUC Staff’s Request to Release Carthage Farmers Elevator, Inc.’s Grain Warehouse and Grain Buyers Bonds (Grain Warehouse Manager: Cody Chambliss; Staff Attorneys: Kristen Edwards, Amanda Reiss)
4. GW18-005 In the Matter of the PUC Staff’s Request to Release Colton Farmers Elevator’s Grain Buyers Bond (Grain Warehouse Manager: Cody Chambliss; Staff Attorneys: Kristen Edwards, Amanda Reiss)
In dockets GW18-003, GW18-004 and GW18-005,Ms. Kristen Edwards, staff attorney, recommended that the Commission release the grain warehouse and grain buyer bonds.
Commissioner Nelson moved to release the grain buyer and grain warehouse bonds in dockets GW18-003, GW18-004 and GW18-005.Motion carried 3-0.
In dockets GW18-003, GW18-004 and GW18-005, the Commissioners found that it is not necessary to open a docket to release grain warehouse and grain buyer bonds as such releases can be done administratively.
Natural Gas
1. NG17-011 In the Matter of the Filing by MidAmerican Energy Company for Approval of Tariff Revisions regarding Farm Tap Service (Staff Analysts: Brittany Mehlhaff, Mary Zanter, Patrick Steffensen; Staff Attorneys: Kristen Edwards, Amanda Reiss)
A lengthy discussion took place regarding docket NG17-011. An audio of the discussion can be found on the PUC website under Commission Actions, Commission Meeting Archives, 2018, November 15, 2018, recording located at: https://puc.sd.gov/commission/media/2018/puc11152018.mp3.
Commissioner Nelson moved to approve MidAmerican’s inspection plan for existing farm tap customers with the conditions that MidAmerican inform customers of the possibility of an emergency shut off and provide customers the option of waiting until spring for an inspection.Motion carried 3-0.
Public Comment
Chairperson Kristie Fiegen opened the floor to public comments. Those offering public comments about H & I Grain included Chad Murphy.
There being no further business, at the hour of 2:39 p.m., the South Dakota Public Utilities Commission meeting adjourned.
/s/Joy Lashley .
Joy Lashley
Administrative Assistant
PUC Email
November 15, 2018
