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South Dakota Public Utilities Commission Meeting
March 24, 2009, at 9:30 A.M.
Room 413, Capitol Building
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 March 23, 2009.  Lines are limited and are given out on a first come, first served basis, subject to possible reassignment to accommodate persons who must appear in a proceeding. Ultimately, if you wish to participate in the Commission Meeting and a line is not available you may have to appear in person.  

NOTE:  To listen to the Commission Meeting live please go to the PUC's Web site www.puc.sd.gov and click on the LIVE button on the home page. The Commission requests that persons who will only be listening to proceedings and not actively appearing in a case listen via the web cast to free phone lines for those who have to appear.  The Commission meetings are archived on the PUC's Web site under the Commission Actions tab and then click on the LISTEN button on the page.

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 COMMISSION MEETING

Consumer Reports

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

Consumer Complaints

1.      CT07-001        In the Matter of the Complaint filed by Ingram Pest Service, Fort Pierre, South Dakota, against Reduced Rate Long Distance, LLC Regarding Unauthorized Long Distance Charges. (Staff Analyst: Deb Gregg, Staff Attorney: Kara Semmler)

         On October 31, 2007, Ingram Pest Service filed a Complaint against Reduced Rates Long Distance regarding the unauthorized long distance charges billed to it.  Ingram Pest Service contends Reduced Rates, through the use of outside billing services, charged it for services it neither ordered nor authorized.  Ingram Pest Service requests reimbursement in addition to any other statutory fine. November 20, 2007, Reduced Rates filed an answer to the complaint. On March 5, 2009, Reduced Rates filed a Motion to Dismiss the Complaint.

         TODAY, shall the Commission Dismiss the Complaint and Close the Docket?

2.      CT07-002        In the Matter of the Complaint filed by Black Hills Shooters Supply, Rapid City, South Dakota, against Reduced Rate Long Distance, LLC, Regarding Unauthorized Long Distance Charges. (Staff Analyst: Deb Gregg, Staff Attorney: Kara Semmler)

         On November 5, 2007, Black Hills Shooters Supply filed a Complaint against Reduced Rate Long Distance, LLC, regarding the unauthorized long distance charges billed to it. Black Hills Shooters Supply contends Reduced Rate charged it for services it neither ordered nor authorized. Black Hills Shooters Supply requests reimbursement in addition to corrective action to remedy any negative affect the unauthorized bills may have had on its credit history and further requests the PUC order Reduced Rate to pay any other statutory  fines the PUC deems appropriate.  November 26, 2007, Reduced Rates filed an answer to the complaint. On March 5, 2009, Reduced Rates filed a Motion to Dismiss the Complaint.

         TODAY, shall the Commission Dismiss the Complaint and Close the Docket?
        
3.      CT07-003        In the Matter of the Complaint filed by Patricia Byrne, Sioux Falls, South Dakota, against Reduced Rate Long Distance, LLC, Regarding Unauthorized Long Distance Charges.. (Staff Analyst: Deb Gregg, Staff Attorney: Kara Semmler)

         On November 5, 2007, Patricia Byrne of the Argus Barber Shop filed a Complaint against Reduced Rate Long Distance, LLC, regarding the unauthorized long distance charges billed to it.  Ms Byrne contends Reduced Rate, charged her business for services it neither ordered nor authorized.  Ms. Byrne requests reimbursement in addition to corrective action to remedy any negative affect the unauthorized bills may have had on her business' credit history and further requests the PUC order Reduced Rate to pay any other statutory fines the PUC deems appropriate. November 26, 2007, Reduced Rates filed an answer to the complaint. November 26, 2007, Reduced Rates filed an answer to the complaint. On March 5, 2009, Reduced Rates filed a Motion to Dismiss the Complaint.

         TODAY, shall the Commission Dismiss the Complaint and Close the Docket?

4.      CT07-004        In the Matter of the Complaint filed by Hebron Brick/Dakota Masonry, Rapid City, South Dakota, against Reduced Rate Long Distance, LLC, Regarding Unauthorized Long Distance Charges. (Staff Analyst: Deb Gregg, Staff Attorney: Kara Semmler)

         On November 13, 2007, Hebron Brick, formerly known as Dakota Masonry, filed a Complaint against Reduced Rate Long Distance, LLC, regarding the unauthorized long distance charges billed to it.  The Complainant contends Reduced Rate, charged it for services it neither ordered nor authorized.  The Complainant requests any outstanding bills be cleared in addition to corrective action to remedy any negative affect the unauthorized bills may have had on its credit history and further requests the PUC Order Reduced Rate to pay any statutory fines the PUC deems appropriate.  December 3, 2007, Reduced Rates filed an answer to the complaint. On March 5, 2009, Reduced Rates filed a Motion to Dismiss the Complaint.

         TODAY, shall the Commission Dismiss the Complaint and Close the Docket?

5.      CT07-005        In the Matter of the Complaint filed by Patrick Cassidy, Lead, South Dakota, against Reduced Rate Long Distance, LLC, Regarding Unauthorized Long Distance Charges. (Staff Analyst: Deb Gregg, Staff Attorney: Kara Semmler)

         On November 19, 2007, Patrick Cassidy filed a Complaint against Reduced Rate Long Distance, LLC regarding the unauthorized long distance charges billed to him.  The Complainant contends Reduced Rate charged him for services he neither ordered nor authorized.  The Complainant requests any outstanding bills be cleared, in addition to corrective action to remedy any negative affect the unauthorized bills may have had on his credit history and further requests the PUC Order Reduced Rate to pay any statutory fines the PUC deems appropriate.  December 10, 2007, Reduced Rates filed an answer to the complaint. On March 5, 2009, Reduced Rates filed a Motion to Dismiss the Complaint.

         TODAY, shall the Commission Dismiss the Complaint and Close the Docket?

6.      CT08-001        In the Matter of the Complaint filed by Chris Weber/Pico's Garage Inc., Sioux Falls, South Dakota, against Reduced Rate Long Distance, LLC, Regarding Unauthorized Long Distance Charges. (Staff Analyst: Deb Gregg, Staff Attorney: Kara Semmler)

         February 15, 2008, the Commission received a Complaint filed by Chris Weber of Pico's Garage Inc. against Reduced Rates Long Distance regarding unauthorized long distance charges billed to his business.  The Complainant contends Reduced Rates charged him for services it neither ordered nor authorized.  The Complainant requests corrective action as authorized according to South Dakota statutes.  On February 29, 2008, Midcontinent Communications filed a Petition to Intervene as a Complainant. March 5, 2008, Reduced Rates filed an answer to the complaint. Intervention was granted at the March, 11, 2008, commission meeting.  On March 5, 2009, Reduced Rates filed a Motion to Dismiss the Complaint.

         TODAY, shall the Commission Dismiss the Complaint and Close the Docket?

Electric

1.      EL07-015        In the Matter of the Filing by MidAmerican Energy Company for Approval of its Proposed Energy Efficiency Plan for 2008. (Staff Analysts: Brian Rounds/Dave Jacobson/Bob Knadle, Staff Attorney: Karen Cremer)

         On April 18, 2007, MidAmerican Energy filed an application for Commission consideration of its Efficiency Plan. The Plan contains programs designed for MidAmerican's gas and electric customers in South Dakota, phased in over a three-year period. For each program, MidAmerican has included design, implementation, costs, projected energy savings, and cost-effectiveness data. The Plan also includes a phase-in of particular programs over a three-year period commencing in January 2008, annual reporting to the Commission and a cost recovery mechanism.  On February 25, 2009, MidAmerican submitted a Revised Energy Efficiency Plan.       

         TODAY, shall the Commission Approve MidAmerican Energy Company's Revised Energy Efficiency Plan?

Hydrocarbon Pipeline

1.      HP09-001        In the Matter of the Application by TransCanada Keystone, LP for a Permit under the South Dakota Energy Conversion and Transmission Facility Act to Construct the Keystone XL Project. (Staff Analysts: Bob Knadle/Nathan Solem/Stacy Splittstoesser/Tim Binder, Staff Attorney: Kara Semmler)

         On March 12, 2009, TransCanada Keystone Pipeline, LP, (Keystone) filed a siting permit application for the South Dakota portion of the proposed Keystone XL Project (Project). The Project will transport crude oil starting in Hardisty, Alberta, Canada and ending in Port Arthur and East Houston areas of Texas.  The proposed 36 inch diameter pipeline will have a nominal capacity of 900,000 barrels of oil per day (bpd).  The proposed route will enter South Dakota at the Montana/South Dakota border in Harding County. It will extend in a southeasterly direction through portions of Harding, Butte, Perkins, Meade, Pennington, Haakon, Jones, Lyman, and Tripp counties. It will exit the state at the South Dakota/Nebraska border in Tripp County. The length of pipeline through South Dakota is approximately 313 miles.  The Project also includes seven pump stations in South Dakota located in Harding (2), Meade, Haakon, Jones, and Tripp (2) counties along with 16 mainline valves.  Mainline valves are proposed at each pump station and along the right-of-way with spacing intervals based upon the location of the pump stations, water bodies greater than 100 feet in width, high consequence areas and other considerations.

         TODAY, shall the Commission Assess a Filing Fee not to Exceed $660,700 with an Initial Deposit of $8,000? AND, shall the Commission Authorize the Executive Director to Hire Consultants and Enter into Contracts with the Consultants?

Pipeline Safety

1.      PS07-001        In the Matter of the Filing by Montana-Dakota Utilities Co., a Division of MDU Resources Group, Inc. for Approval of Waiver (Staff Analysts: Nathan Solem, Staff Attorney: Kara Semmler)

         On January 18, 2007, the Commission received for approval a filing from Montana-Dakota Utilities Co. (MDU) requesting a waiver of a portion of 49 CFR Part 192.479 and 192.481(a). MDU requests a specific waiver of Part 192.481(a) to allow atmospheric corrosion inspection frequency at least once every 4 calendar years, but with intervals not to exceed 51 months. Section 192.481 subsection (a) requires inspection of onshore pipe exposed to atmosphere for evidence of corrosion at least once every 3 calendar years, but with intervals not exceeding 39 months. This waiver would apply to exposed natural gas pipelines according to Part 192.479.  On March 13, 2009, Commission Staff received a letter from PHMSA encouraging the addition of PUC conditions on MDU's original waiver request.  On March 17, 2009, Commission Staff filed a Motion to Amend the Commission's Order.

         TODAY, shall the Commission grant the Motion to Amend the Commission's Order?

Rulemaking

1.      RM09-001       In the Matter of the Adoption of Rules Regarding Pipeline Safety.  (Staff Analysts: Nathan Solem/Stacy Splittstoesser, Staff Attorney: Kara Semmler)

         Commission pipeline safety staff filed a request to open a rulemaking docket and receive public comment on 3/9/09.  Staff requests that the Commission allow a 30 day formal comment period for operators and a 10 day staff reply opportunity prior to the scheduling of a hearing mid-summer 2009. Staff's proposed rules may be found on the Public Utilities Commission's home page at the following address: http://www.puc.sd.gov/Dockets/Rulemaking/2009/rm09-001.aspx

         TODAY, how shall the Commission Proceed?

Telecommunications

1.      TC08-127       In the Matter of the Application of Qwest Corporation to Modify the Jurisdictional Report Requirements in Section 2 by Establishing a Percent Interstate Usage (PIU) Floor for Unidentified Feature Group D (FGD) Terminating Traffic. (Staff Analysts: Terri LaBrie Baker/Jon Thurber, Staff Attorney: Karen Cremer)

         On October 31, 2008, Qwest filed a request to modify the Jurisdictional Report Requirements in Section 2, by establishing a Percent Interstate Usage (PIU) floor for unidentified Feature Group D (FGD) terminating traffic.  Terminating FGD traffic that does not contain sufficient call detail to identify the jurisdiction (unidentified traffic) will be assigned jurisdiction as follows:

•     The first 5% of unidentified terminating traffic will continue to be jurisdictionally assigned based on the carrier's PIU report or, if the carrier has not filed a PIU report, a PIU of 50 (50% interstate – 50% intrastate) will be assigned per the current terms in Section 2.3.10.B.2.c.

•     Unidentified traffic in excess of the 5% floor will be designated intrastate traffic and charged at Qwest's current South Dakota rates.

            There is no change to currently effective rates. Notification has been sent to customers. Qwest is requesting that the proposed tariff revisions become effective on December 1, 2008.  On November 21, 2008, AT&T Communications of the Midwest, Inc. (ATT) filed a Petition for Intervention and a Request to Suspend Qwest's proposed revisions to Tariff Section 2 pending a hearing on the matter. MCI Communications Services, Inc. d/b/a Verizon Business Services (Verizon), the Local Exchange Carriers Association (LECA), and Level 3 Communications, LLC (Level 3) filed Petitions for Intervention on November 21, 2008. On November 24, 2008, the South Dakota Telecommunications Association (SDTA) filed for Intervention. Intervention was granted to ATT, Verizon, LECA, and SDTA at the November 25, 2008, commission meeting and the tariff revisions were suspended for 120 days beyond the December 1, 2008.  On December 5, 2008, Level 3 filed a Motion to Withdraw. The Commission granted Level 3 Communications, LLC's Motion to Withdraw, at its December 30, 2008, commission meeting.  On March 17, 2009, Verizon filed a Motion to Extend Suspension and also requested that the Commission direct the parties to develop a procedural schedule.

         TODAY, shall the Commission approve the request for an additional 60 day extension of the suspension? AND, how shall the Commission proceed?

2.      TC09-006        In the Matter of the Filing for Approval of an Interconnection Agreement between Qwest Corporation and DSLnet Communications, LLC n/k/a MegaPath, Inc.  (Staff Attorney: Kara Semmler)

         On February 20, 2009, the Commission received a filing for approval of an Interconnection Agreement between Qwest Corporation and DSLnet Communictions, LLC n/k/a MegaPath, Inc. 

         TODAY, shall the Commission Approve the Interconnection Agreement?

3.      TC09-007        In the Matter of the Application of EnTelegent Solutions, Inc. for a Certificate of Authority to Provide Interexchange Telecommunications Services and Local Exchange Services in South Dakota. (Staff Analyst: Tim Binder, Staff Attorney: Karen Cremer)

         On February 24, 2009, EnTelegent Solutions, Inc. filed an application for a certificate of authority to provide Local Exchange and Interexchange Services throughout South Dakota in Qwest Exchanges pursuant to interconnection and or commercial agreements, for primarily business customers. 

             TODAY, shall the Commission Grant a Certificate of Authority to EnTelegent Solutions, Inc?

4.      TC09-008           In the Matter of the Application of Norlight, Inc. for a Certificate of Authority to Provide Interexchange Telecommunications Services in South Dakota. (Staff Analyst: Tim Binder, Staff Attorney: Kara Semmler)

         On February 25, 2009, Norlight, Inc. filed an application for a certificate of authority to provide Interexchange Services to select residential and business customers in various South Dakota markets. The company intends to provide resold services.

         TODAY, shall the Commission Grant a Certificate of Authority to Norlight, Inc.?     

Announcements

  1. The next regularly scheduled Commission meeting will be held April 7, 2009, at 9:30 a.m. in Room 413 of the State Capitol Building, Pierre, SD.
  2. Commission meetings are scheduled for April 21 and May 5, 2009.
  3. A hearing in docket EL08-030 will be held April 14 – April 15, 2009, in Room 413, State Capitol Building, Pierre, SD.  The hearing will begin at 9:30 a.m. on April 14.
  4. A hearing in docket CT08-002 will be held May 5, 2009, in room 413, State Capitol Building, Pierre, SD. The hearing will begin at 1:30 p.m.
  5. The Commission offices will be closed Monday, May 25, 2009, in observance of Memorial Day.

 

/S/ Heather K. Forney____
Heather K. Forney
Deputy Executive Director
heather.forney@state.sd.us
March 17, 2009