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South Dakota Public Utilities Commission Meeting
Tuesday, August 4, 1998; 1:30 P.M.
State Capitol Building, Room 412
Pierre, South Dakota

NOTE: If you wish to join this meeting by conference call, please contact the Commission at 605-773- 3201 by 5:00 p.m. on August 3, 1998.

NOTE: Notice is further given to persons with disabilities that this Commission meeting is being held in a physically accessible place. If you have special needs, please notify the Commission and we will make all necessary arrangements.

AGENDA OF THE COMMISSION MEETING

Administration

1. Approval Of The Minutes Of The Two Commission Meetings Held On July 23, 1998. (Staff: Shirleen Fugitt.)

Consumer Affairs

Charlene "Char" Lund has joined the Commission's Consumer Affairs Division. Char will be assisting with consumer complaints and inquiries.

Electric

1. EL98-002 IN THE MATTER OF THE COMPLAINT FILED BY PAUL MUTH, MITCHELL, SOUTH DAKOTA, AGAINST NORTHWESTERN PUBLIC SERVICE COMPANY REGARDING AN ACCOUNTING OF COSTS. (Staff Analyst: Dave Jacobson. Staff Attorney: Karen Cremer.)

On January 14, 1998, Paul Muth, Mitchell, SD, filed a complaint against Northwestern Public Service (NWPS) regarding an accounting of costs. The complaint states: "NWPS was at the Palace Mall in Mitchell at 3:50pm on January 8, 1998. They were using a utility pickup with a bucket on it to work on the parking lot lights. We want to see the accounting in writing to show what they charged the private side of their business. They were actually there all day we were told later. Just show us the accounting procedure in writing - nothing more, nothing less." The complainant requests that actual accounting of cost in the books for the utility versus the private venture side of their business are being allocated correctly.

TODAY, does the Commission find probable cause of an unlawful or unreasonable act, rate, practice or omission to go forward with this complaint and serve it upon the Respondent?

2. EL98-005 IN THE MATTER OF THE COMPLAINT FILED BY DOUGLAS L. KUPER, LENNOX, SOUTH DAKOTA, AGAINST LINCOLN-UNION ELECTRIC COMPANY REGARDING STRAY VOLTAGE. (Consumer Representative: Leni Healy. Staff Attorney: Karen Cremer.)

On March 6, 1998, Douglas L. Kuper, Lennox, SD, filed a complaint against Lincoln-Union Electric Company regarding stray voltage. The complaint "has been and still is neglect in fixing the stray voltage that has ruined my dairy herd and livestock operation. It has been found to be coming from the down grounds on the poles and is leaking or crossing my farm. By this expert engineers and a physics professor have found the problem to be Lincoln-Union's through numerous tests and also by myself... It has also been felt in our house when taking a shower or bath. It's also being felt in the barn at various times. I have spent thousands of dollars rewiring my farm place which the power company suggested and no relief was accomplished. We did not see any relief until the ground wires along the power company lines were cut. This case has gone to court twice and I have won both times..." Mr. Kuper is asking the Commission to order Lincoln-Union Electric Company to update the system and has given several options. In an order dated April 28, 1998, the Commission made a finding of Probable Cause. On July 17, 1998, the Commission received a Motion to Dismiss from Lincoln-Union Electric Company. The Commission heard the matter a July 23, 1998 Ad Hoc Commission Meeting.

TODAY, shall the Commission grant the Motion to Dismiss?

Natural Gas

1. NG98-003 IN THE MATTER OF THE COMPLAINT FILED BY DUANE MUXEN, DOLAND, SOUTH DAKOTA, AGAINST PEOPLES NATURAL GAS REGARDING SALES TAX EXEMPTION. (Staff Analyst: Dave Jacobson. Legal Intern: Ethan Meaney.)

On May 5, 1998, the Commission received a complaint from Duane Muxen, Doland, South Dakota, against People's Natural Gas regarding sales tax exemption. The complainant explains that he has filed the certificate of [tax] exemption and has a letter from the Department of Revenue indicating that all requirements were met to qualify for sales tax exemption. The company has indicated that a separate meter is required. The complainant is asking for sales tax exemption.

TODAY, does the Commission find probable cause of an unlawful or unreasonable act, rate, practice or omission to go forward with this complaint and serve it upon the Respondent?

Telecommunications

1. TC97-173 IN THE MATTER OF THE APPLICATION OF VISTA COMMUNICATIONS, INC. FOR A CERTIFICATE OF AUTHORITY TO PROVIDE TELECOMMUNICATIONS SERVICES IN SOUTH DAKOTA. (Staff Analyst: Tammi Stangohr. Staff Attorney: Camron Hoseck.)

On October 31, 1997, Vista Communications, Inc. filed for a Certificate of Authority to operate as a telecommunications company within the state of South Dakota. "Applicant seeks authority to offer a full range of 1+ interexchange telecommunications services on a resale basis. Specifically, Applicant seeks authority to provide MTS, out-WATS, in-WATS and Calling Card services. Applicant does not intend to provide operator services, 900 or 700 services." On July 24, 1998, the company requested withdrawal of the application.

TODAY, shall the Commission grant the withdrawal and close the docket?

2. TC98-070 IN THE MATTER OF THE APPLICATION OF PRIMECALL, INC. FOR A CERTIFICATE OF AUTHORITY TO PROVIDE TELECOMMUNICATIONS SERVICES IN SOUTH DAKOTA. (Staff Analyst: Tammi Stangohr. Staff Attorney: Karen Cremer.)

On April 16, 1998, PRIMECALL, Inc. filed for a Certificate of Authority to operate as a telecommunications company within the state of South Dakota. "Applicant seeks authority to offer a full range of "1+" interexchange telecommunications services on a resale basis. Specifically, Applicant seeks authority to provide debit card and calling card services. Applicant does not intend to provide operator services, 900 or 700 services."

TODAY, shall the Commission grant a Certificate of Authority to PRIMECALL, Inc.?

3. TC98-077 IN THE MATTER OF THE APPLICATION OF ELIAS VENTURES, INC., D/B/A AMERICAN FREEWAY100 FOR A CERTIFICATE OF AUTHORITY TO PROVIDE TELECOMMUNICATIONS SERVICES IN SOUTH DAKOTA. (Staff Analyst: Tammi Stangohr. Staff Attorney: Camron Hoseck.)

On April 27, 1998, Elias Ventures, Inc. d/b/a American Freeway100 filed for a Certificate of Authority to operate as a telecommunications company within the state of South Dakota. "American Freeway100 offers direct dialed (1+) service, inbound Toll-Free number service, travel card and prepaid calling card services...."

TODAY, shall the Commission grant a Certificate Of Authority to American Freeway100?

4. TC98-103 IN THE MATTER OF THE ESTABLISHMENT OF SWITCHED ACCESS REVENUE REQUIREMENT FOR BERESFORD MUNICIPAL TELEPHONE COMPANY. (Staff Attorney: Karen Cremer. Staff Analyst: Bob Knadle.)

On May 27, 1998, Beresford Municipal Telephone Company filed a switched access cost study developing a revenue requirement that is included in the revenue requirement used to determine the switched access rates for the Local Exchange Carrier Association. No companies filed to intervene.

TODAY, shall the Commission assess a filing fee for actual expenses not to exceed $100,000?

5. TC98-104 IN THE MATTER OF THE ESTABLISHMENT OF SWITCHED ACCESS REVENUE REQUIREMENT FOR UNION TELEPHONE COMPANY. (Staff Attorney: Karen Cremer. Staff Analyst: Greg Rislov.)

On May 27, 1998, Union Telephone Company filed a switched access cost study developing a revenue requirement that is included in the revenue requirement used to determine the switched access rates for the Local Exchange Carrier Association. No companies filed to intervene.

TODAY, shall the Commission assess a filing fee for actual expenses not to exceed $100,000?

6. TC98-105 IN THE MATTER OF THE ESTABLISHMENT OF SWITCHED ACCESS REVENUE REQUIREMENT FOR BALTIC TELEPHONE COOPERATIVE. (Staff Attorney: Karen Cremer. Staff Analyst: Harlan Best.)

On May 27, 1998, Baltic Telephone Cooperative filed a switched access cost study developing a revenue requirement that is included in the revenue requirement used to determine the switched access rates for the Local Exchange Carrier Association. No companies filed to intervene.

TODAY, shall the Commission assess a filing fee for actual expenses not to exceed $100,000?

7. TC98-106 IN THE MATTER OF THE ESTABLISHMENT OF SWITCHED ACCESS REVENUE REQUIREMENT FOR GOLDEN WEST TELECOMMUNICATIONS COOPERATIVE, INC. (Staff Attorney: Karen Cremer. Staff Analyst: Bob Knadle.)

On May 27, 1998, Golden West Telecommunications Cooperative, Inc. filed a switched access cost study developing a revenue requirement that is included in the revenue requirement used to determine the switched access rates for the Local Exchange Carrier Association. No companies filed to intervene.

TODAY, shall the Commission assess a filing fee for actual expenses not to exceed $100,000?

8. TC98-109 IN THE MATTER OF THE REQUEST FOR PUBLIC COMMENTS ON PUBLIC INTEREST PAYPHONES. (Staff Attorney: Karen Cremer. Staff Analyst: Harlan Best.)

A April 22, 1998, regularly scheduled meeting, the Public Utilities Commission (Commission) voted to open a docket concerning the Federal Communications Commission's (FCC) Implementation of the Pay Telephone Reclassification and Compensation Provisions of the Telecommunications Act of 1996 Report and Order (Report and Order) of September 20, 1996, which required the Commission to establish a policy on public interest payphones by September 20, 1998. The FCC concluded that the primary responsibility for administering and funding of public interest payphone programs should be left to the states. The FCC's definition of a "public interest telephone" is a payphone which (1) fulfills a public policy objective in health, safety, or public welfare, (2) is not provided for a location provider with an existing contract for the provision of a payphone, and (3) would not otherwise exist as a result of the operation of the competitive marketplace. Report and Order, FCC 96-388, ΒΆ 282. To initiate this procedure, the Commission requested written comments from telecommunications companies and other interested persons and entities on whether the Commission needs to take any measures to ensure that payphones serving important public interests will continue to exist in light of the elimination of subsidies and other competitive provisions established pursuant to Section 276 of the 1996 Act. Written comments were due with the Commission on or before June 19, 1998.

TODAY, how shall the Commission proceed?

9. TC98-125 IN THE MATTER OF THE FILING BY U S WEST COMMUNICATIONS, INC., FOR APPROVAL OF REVISIONS TO ITS ACCESS SERVICE TARIFF. (Staff Analyst: Harlan Best. Legal Intern: Ethan Meaney.)

On July 1, 1998, U S WEST Communications filed "to remove the availability of three digit Carrier Identification Codes (CICs) from the Access Services Tariff per the Federal Communications Commission's order in Docket CC92-237....Effective July 1, 1998, only four digit CICs, 10XXXX and 101XXXX dialing patterns will be permitted."

TODAY, shall the Commission approve the tariff revisions?

10. TC98-126 IN THE MATTER OF THE APPLICATION OF U.S. NETWORK SERVICES, INC. FOR A CERTIFICATE OF AUTHORITY TO PROVIDE TELECOMMUNICATIONS SERVICES IN SOUTH DAKOTA. (Staff Analyst: Tammi Stangohr. Staff Attorney: Camron Hoseck.)

On July 6, 1998, the Commission received an application by U.S. Network Services, Inc. for a Certificate of Authority to operate as a telecommunications company within the state of South Dakota. "The Applicant proposes to offer 1+ and 101XXXX direct dialing, 800/888 inbound Toll-Free, and travel card

service through the resale of telephone services provided by facilities-based interexchange carriers."

TODAY, shall the Commission grant a Certificate Of Authority to U.S. Network Services, Inc.?

11. TC98-137 IN THE MATTER OF THE COMPLAINT FILED BY BRENT AND DAWN BARTON, MINA, SOUTH DAKOTA, AGAINST U S WEST COMMUNICATIONS, INC. REGARDING UPDATING LINES. (Consumer Representative: Leni Healy. Legal Intern: Ethan Meaney.)

On July 24, 1998, Brent and Dawn Barton, Mina, SD, filed a complaint against U S WEST Communications, Inc. regarding updating lines. "We have lived in this area for 14 years and had problems for several years...we don't have a phone for 2-3 days at a time. ...when the phone is working, there's so much static you can't hear the person talking." The complainant requested the following relief: "U S WEST needs to put in new phone lines. Also, to be compensated for the many years of problems with our phone lines, by the phone company."

TODAY, does the Commission find probable cause of an unlawful or unreasonable act, rate, practice or omission to go forward with this complaint and serve it upon the Respondent?

News

Commissioner Pam Nelson has been appointed to the NARUC Committee on Energy Resources and the Environment. On the Committee, she will have vital input into energy resources and environmental issues affecting public regulation.

Announcements
  1. Commissioners and staff will be attending the NARUC meeting in Seattle from July 25-30, 1998.
  2. Camron Hoseck will be attending the NARUC Regulatory Studies Program in Michigan from August 1-14, 1998.
  3. On August 3, 1998, Kylie Tracy begins work at the Commission as an Analyst Intern.
  4. August 19, 1998, is Tammi Stangohr's last day with the Commission.
  5. The next regularly scheduled Commission meeting will be held Tuesday, August 18, 1998, at 10:00 a.m. in Room 412 of the State Capitol Building.

_______________
Sue Cichos
Deputy Executive Director
July 28, 1998