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South Dakota Public Utilities Commission Meeting

Tuesday, October 12, 2004 at 10:00 A.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 9:00 a.m. on October 12, 2004. 

 

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 Commission Meeting Held on September 14, 2004 and the Ad Hoc Meetings Held on September 22, and September 30,  2004.  (Staff:  Tina Douglas.)

 

Consumer Issues

 

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

 

2.         CN04-001        In the Matter of the Complaint filed by Dan Larson, Meckling, South Dakota, against MidAmerican Energy Company Regarding Improper Disconnection and Requirement to Replace Furnace. (Staff Analyst: Jim Mehlhaff, Staff Attorney: Karen Cremer)

 

Complainant alleges that MidAmerican Energy (MidAmerican) was negligent by not taking a carbon monoxide reading before turning the gas off to his house and red-tagging his furnace. Complainant is requesting that MidAmerican reimburse him for the cost of a new furnace, labor, and two electric heaters. On July 27, 2004, MidAmerican filed a Motion to Dismiss. The Commission denied MidAmerican's Motion to Dismiss a August 17, 2004, meeting.  An Order for and Notice of Hearing was issued on August 26, 2004, setting a hearing date of October 26, 2004.  MidAmerican filed an Answer and Supplemental Motion to Dismiss on September 27, 2004. 

 

TODAY, shall the Commission grant MidAmerican's Motion to Dismiss?

 

3.         CT04-002        In the Matter of the Complaint filed by Jerry Galloway on behalf of Bold Venture, LLC, Sioux Falls, South Dakota, against McLeodUSA Telecommunications Services, Inc. Regarding Over Billing for Services. (Staff Analyst: Jim Mehlhaff, Staff Attorney: Karen Cremer)

 

Complainant's representative states that he signed an addendum to his contract on 10/19/00. Since that time he has been charged a per line rate that is over the contracted amount and he has been charged for features that according to the contract were to be included at no additional charge. The complainant seeks a refund of all monies paid to the respondent for services that were billed over the contracted amount.

 

TODAY, if the above matter is resolved, shall the Commission Dismiss the Complaint and Close the Docket?

 

Electric

 

1.         EL04-016         In the Matter of the Filing by Superior Renewable Energy LLC et al. against Montana-Dakota Utilities Co. Regarding the Java Wind Project. (Staff Analysts: Michele Farris and Keith Senger, Staff Attorney: Karen Cremer)

 

On May 12, 2004, Superior Renewable Energy LLC (Superior) and its wholly owned subsidiary, Java LLC, filed a complaint requesting the Commission to settle a dispute regarding the long term purchase price of electricity generated from a Qualified Facility pursuant to the Public Utility Regulatory Policy Act of 1978. On May 27, 2004, Montana-Dakota Utilities Co. (MDU) filed a Petition to Intervene. The Commission granted intervention to MDU a June 8, 2004 meeting. On June 15, 2004, MidAmerican Energy Company (MidAmerican) filed a Petition to Intervene Out of Time. On June 17, 2004, NorthWestern Corporation (NorthWestern) filed a Petition to Intervene. On June 18, 2004, Black Hills Power, Inc. (Black Hills) filed a Petition to Intervene. The Commission granted intervention to MidAmerican, NorthWestern, and Black Hills a June 22, 2004 meeting. On July 16, 2004, Northern States Power Company d/b/a Xcel Energy (Xcel) filed a Petition to Intervene.  The Commission granted intervention to Xcel a August 17, 2004 meeting.  On September 1, 2004, Superior filed a Motion for Notice and Order.  On September 30, 2004, Superior  moved for an order from the Commission to compel MDU to respond to certain interrogatories served upon MDU by the Complainants on or about July 16, 2004. 

 

TODAY, shall the Commission grant the Motion to Compel?  AND, shall the Commission assess a filing fee under SDCL 49-1A-11 as requested by Staff?

 

2.         EL04-027         In the Matter of the Application of Black Hills Power, Inc. for an Order Authorizing it to Enter into Loan Agreements to Assume Liability of the Payment of Pollution Control Revenue Refunding Bonds Issued by Pennington County, South Dakota, Weston County, Wyoming and Campbell County, Wyoming.   (Staff Analyst:  Dave Jacobson, Staff Attorney:  Karen Cremer)

 

In 1977 and 1984, the South Dakota Public Utilities Commission approved applications by Black Hills Power, Inc. (BHP) allowing assumption of the obligation to pay principal, interest and premium due on bonds issued by Pennington County, South Dakota, Weston and Campbell Counties in Wyoming and the City of Gillette.  The bond proceeds were used to pay for pollution control equipment on generating units located within the area of the issuer's jurisdiction.  The initial bonds were subsequently refunded by BHP and new bonds were issued.  In 1992, the Commission approved BHP's assumption of obligation under the new bonds.  BHP now requests to refund the new bonds by entering into loan agreements to assume the liability for bonds to be issued by the above Counties which will be used to refund the bonds which were the subject of the Commission's 1992 Orders.

 

TODAY, shall the Commission Issue an Order Authorizing Black Hills Power, Inc. to Enter into Loan Agreements and Assume Liability of the Payment of Pollution Control Revenue Refunding Bonds?

 

Natural Gas

 

1.         NG04-003        In the Matter of the Filing by MidAmerican Energy Company for Approval of Tariff Revisions. (Staff Analyst: Dave Jacobson, Staff Attorney: Karen Cremer)

 

On June 1, 2004, MidAmerican Energy Company (MidAmerican) filed an Interruptible Gas Rate Plan with the Commission as a result of the Commission's Order in Docket NG02-003 which directed MidAmerican to file a plan with the Commission to phase out interruptible natural gas tariffs within a two year time period. This plan proposes to address the Commission's concerns expressed in Docket NG02-003. In the Gas Rate Plan, MidAmerican proposes to retain interruptible rates o change the methodology used in its determination so as to increase these rates. MidAmerican's Plan also proposes to add new optional rates for customers, including those who may wish to switch rates as a result of the increase to interruptible rates. The new Gas Rate Plan is proposed to become effective 60 days after the effective date of tariffs approved in MidAmerican's rate increase proceeding NG04-001, which is November 29, 2004.

 

TODAY, shall the Commission approve the Interruptible Gas Rate Plan?

 

2.         NG04-010         In the Matter of the Request of MidAmerican Energy Company to Withdraw its IGSPP Six Month Filing for November 2003 through April 2004 and Replace with Revised Report.  (Staff Analyst:  Dave Jacobson, Staff Attorney:  Karen Cremer)

 

Application by MidAmerican Energy Company to revise the calculation of actual costs in the November 2003 through April 2004 Incentive Gas Supply Procurement Program.  MidAmerican proposes to utilize estimated final interstate pipeline rates for Northern Natural Gas Company in place of actual interim rates now in effect in an effort to more accurately reflect costs that will result from Northern's current rate case proceeding before the FERC.

 

TODAY, shall the Commission grant MidAmerican's request to Withdraw its IGSPP Six Month Filing and Replace with a Revised Report?

 

Telecommunications

 

1.         TC04-076        In the Matter of the Application of Cognigen Networks, Inc. for a Certificate of Authority to Provide Interexchange Telecommunications Services in South Dakota. (Staff Analyst: Steve Wegman, Staff Attorney: Karen Cremer)

 

On April 12, 2004, Cognigen Networks, Inc. (Cognigen) filed an application for a Certificate of Authority to provide resold interexchange telecommunication services in South Dakota. Cognigen Networks, Inc. intends to provide resold interexchange long distance services throughout South Dakota.  On June 22, 2004, the Commission denied Cognigen Networks, Inc.'s request for a Certificate of Authority.   Cognigen filed a Motion For Reconsideration Of Decision In Docket TC04-076 and Waiver of 30-Day Deadline on August 27, 2004.  A September 14, 2004 meeting, the Commission reconsidered its decision and reopened the docket.  On September 28, 2004, Cognigen filed a letter requesting withdrawal of the application.

 

TODAY, shall the Commission grant the Request to Withdraw?

 

2.         TC04-142        In the Matter of the Application of Intandem Communications Corp. for a Certificate of Authority to Provide Interexchange Telecommunications Services in South Dakota.  (Staff Analyst:  Michele Farris,  Staff Attorney:  Karen Cremer)

 

On August 2, 2004, Intandem Communications Corp. filed an application for a Certificate of Authority to provide interexchange telecommunications services in South Dakota. The applicant seeks authority to operate as a reseller of intrastate telecommunications services on a statewide basis. The applicant intends to provide MTS, in-WATS, out-WATS, and calling card services throughout South Dakota.

 

TODAY, shall the Commission grant the Certificate of Authority to Intandem Communications Corp.?

 

3.         TC04-144        In the Matter of the Filing for Approval of a Master Services Agreement between Qwest Corporation and MCImetro Access Transmission Services, LLC.  (Staff Attorney:  Rolayne Ailts Wiest)

 

On August 2, 2004, the Commission received a filing for approval of an Elimination of UNE-P and Implementation of Batch Hot Cut Process and Discounts Amendment (Discounts Amendment) between Qwest Corporation (Qwest) and MCImetro Access Transmission Services, LLC (MCImetro). In addition, the Commission received a "Master Services Agreement," which attached as Exhibit 1 the "Qwest Platform PlusTM Service," which together are referred to as the "QPPTM Agreement." The QPP agreement was also entered into between Qwest and MCImetro. The Discounts Amendment and QPP Agreement were both submitted by MCImetro. However, Qwest had already submitted the Discounts Amendment and that is docketed as TC04-135. Qwest had also submitted the QPP Agreement but for informational purposes only. Based on this informational filing, the Commission did not docket the QPP Agreement but instead requested comments on whether the QPP Agreement should be submitted for approval. Since MCImetro has now submitted the QPP Agreement for filing, the Commission will accept comments on that Agreement in this docket. The Commission will accept comments on the Discounts Amendment in Docket TC04-135. Therefore, any party wishing to comment on the QPP Agreement may do so by filing written comments with the Commission and the parties to the Agreement no later than August 23, 2004. Parties to the QPP Agreement may file written responses to the comments no later than twenty days after the service of the initial comments.  On August 17, 2004, Qwest filed a Motion to Dismiss filing for Approval of Negotiated Commercial Agreement. 

 

TODAY, shall the Commission grant Qwest's Motion to Dismiss?

 

4.  In the Matter of Approving Amendments and Agreements in TC04-180, TC04-185, TC04-186, TC04-191, TC04-192, TC04-193, and TC04-196

 

TC04-180        In the Matter of the Filing for Approval of an Amendment to an Interconnection Agreement between Qwest Corporation and Midcontinent Communications.  (Staff Attorney:  Rolayne Ailts Wiest)

 

On August 10, 2004, the Commission received a filing for approval of a Resale and Local Switching Amendment to the Interconnection Agreement between Qwest Corporation and Midcontinent Communications. The parties state that the Amendment adds terms, conditions, and rates for Resale and Local Switching. 

 

TC04-185        In the Matter of the Filing for Approval of an Amendment to an Interconnection Agreement between Qwest Corporation and Granite Telecommunications, LLC. (Staff Attorney:  Rolayne Ailts Wiest)

 

On August 24, 2004, the Commission received a filing for approval of an Elimination of UNE-P and Implementation of Batch Hot Cut Process and Discounts Amendment between Qwest Corporation and Granite Telecommunications, LLC.

 

TC04-186        In the Matter of the Filing for Approval of an Amendment to an Interconnection Agreement between Qwest Corporation and McLeodUSA Telecommunications Services, Inc. (Staff Attorney:  Rolayne Ailts Wiest)

 

On August 25, 2004, the Commission received a Filing for Approval of a DC Power Measuring Amendment between Qwest Corporation and McLeodUSA Telecommunications Services, Inc. According to the parties, the amendment adds terms, conditions, and rates for DC Power Measuring.

 

TC04-191        In the Matter of the Filing for Approval of Terms and Conditions for Interconnection, Unbundled Network Elements, Ancillary Services and Resale of Telecommunications Services between Qwest Corporation and Qwest Communications Corporation.  (Staff Attorney:  Rolayne Ailts Wiest)

 

On September 1, 2004, the Commission received a filing for approval of Terms and Conditions for Interconnection, Unbundled Network Elements, Ancillary Services, and Resale of Telecommunication Services Agreement between Qwest Corporation (Qwest) and Qwest Communications Corporation (QCC). The parties state that the Agreement "sets forth the terms, conditions and prices under which Qwest will provide services for resale to QCC for the provision of local exchange services."

 

TC04-192         In the Matter of the Filing for Approval of an Adoption Agreement between Qwest Corporation and Southwestern Bell Communications Services, Inc. d/b/a SBC Long Distance.  (Staff Attorney:  Rolayne Ailts Wiest)

 

On September 2, 2004, the Commission received a Filing for Approval of an Adoption Agreement between Qwest Corporation and Southwestern Bell Communications Services, Inc. d/b/a SBC Long Distance (Southwestern).  According to the parties, Southwestern has chosen "to adopt, in its entirety, the terms and conditions of Qwest Corporation's Statement of Generally Accepted Terms (SGAT) and Associated Exhibits for the State of South Dakota."  

 

TC04-193         In the Matter of the Filing for Approval of an Adoption Agreement between Qwest Corporation and Talk America Inc. (Staff Attorney:  Rolayne Ailts Wiest)

 

On September 2, 2004, the Commission received a Filing for Approval of an Adoption Agreement between Qwest Corporation and Talk America Inc. (Talk America).  According to the parties, Talk America has chosen "to adopt, in its entirety, the terms and conditions of Qwest Corporation's Statement of Generally Accepted Terms (SGAT) and Associated Exhibits for the State of South Dakota." 

 

TC04-196        In the Matter of the Filing for Approval of a Reciprocal Interconnection, Transport and Termination Agreement between WWC License LLC and Sioux Valley Telephone Company.  (Staff Attorney:  Rolayne Ailts Wiest)

 

On September 8, 2004, the Commission received a Filing for Approval of a Reciprocal Interconnection, Transport and Termination Agreement between Sioux Valley Telephone Company and WWC License LLC.  According to the parties, the "Agreement sets forth the terms, conditions and prices under which (a) the Parties agree to directly interconnect the networks of the CMRS Provider and the Telephone Company for the purposes of the exchange of telecommunications traffic between the Parties' networks or (b) the Parties will transport and terminate the telecommunications traffic originated by the other Party and delivered via the network of a Third Party Provider." 

 

TODAY, shall the Commission approve the proposed amendments and agreements?

 

5.         TC04-181        In the Matter of the Application of VCI Company for a Certificate of Authority to Provide Local Exchange Services in South Dakota.  (Staff Analyst:   Christine Hibbeler,  Staff Attorney:  Karen Cremer)

 

On August 10, 2004, VCI Company filed an application for a Certificate of Authority to provide facilities-based and resold local exchange, and intra-LATA toll services within the State of South Dakota. Applicant's services include, but are not limited to, basic local exchange services, intraLATA toll and customer calling features. Applicant also intends to provide exchange access services to interconnecting carriers pursuant to the rates, terms and conditions in an access services tariff to be filed with the Commission after Applicant's Certificate of Authority has been issued. Applicant proposes to provide facilities-based local exchange services using Unbundled Network Elements-Platform (UNE-P) leased or purchased from South Dakota certificated facilities-based local exchange carriers. Applicant may further resell the local exchange services of other South Dakota certificated local exchange carriers. Applicant proposes to provide service throughout the area in South Dakota currently served by Qwest Corporation.

 

TODAY, shall the Commission grant a Certificate of Authority to VCI Company?

 

6.         TC04-200        In the Matter of the Filing by Level 3 Communications, LLC for Approval of Revisions to its Intrastate Switched Access Tariff.   (Staff Analyst:  Keith Senger,  Staff Attorney:  Karen Cremer/Sara Harens)

 

On September 5, 2003, Level 3 Communications LLC filed a petition asking for exemption from developing company-specific cost-based switched access rates.  On November 13, 2003, the Commission issued an Order granting Level 3 an exemption and approved a request to mirror the Qwest Corporation tariffed intrastate access rates.  On January 20, 2004, Qwest Corporation filed to reduce the Carrier Common Line rate.  On May 13, 2004, the Commission issued an Order approving Qwest's rate reduction.  On August 27, 2004, Level 3 filed tariff revisions to reduce its Carrier Common Line rate to mirror Qwest's rate.

 

TODAY, shall the Commission approve the Revisions to the Intrastate Switched Access Tariff for Level 3 Communications, LLC?

 

7.         TC04-203        In the Matter of the Filing by Kadoka Telephone Company for Approval of Revisions to its Intrastate Switched Access Rates.   (Staff Analyst:  Harlan Best,  Staff Attorney:  Karen Cremer/Sara Harens)

 

On September 21, 2004, Kadoka Telephone Company, Kadoka, South Dakota, filed revised Switched Access Tariff rates with a proposed effective date of October 20, 2004.  In accordance with ARSD 20:10:27:12, the switched access rates are the average of all cost companies (for the year ended December 31, 2003) in South Dakota, excluding Qwest Corporation.

TODAY, shall the Commission approve the Revisions to the Intrastate Switched Access Rates for Kadoka Telephone Company?

 

Announcements

 

1. The next regularly scheduled Commission meeting will be held October 26, 2004, at 9:30 a.m. in Room 412, at Pierre, South Dakota.

2. Commission meetings are scheduled for November 9 and 30, 2004.

3. The PUC offices will be closed October 11, 2004, in observance of Native American Day

4  Hearings in docket TC03-193 are scheduled for October 13 - 15, 2004, in Pierre, South Dakota.

5. A hearing in docket CN04-001 is scheduled for October 26, 2004, in Pierre, South Dakota.

6. The PUC offices will be closed November 11, 2004 in observance of Veterans''' Day.

7. Commissioners and Staff will be attending the NARUC  meetings in Nashville, TN  November 13 - 18, 2004.

8. The PUC offices will be closed November 25 and 26, 2004, in observance of Thanksgiving.

______________________

Heather K. Forney

Deputy Executive Director

heather.forney@state.sd.us

October 7, 2004