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South Dakota Public Utilities Commission
June 19, 2012, at 9:30 A.M. CDT
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. CDT on Monday, June 18, 2012. 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 website www.puc.sd.gov and click on the LIVE link on the home page. The Commission requests 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 website under the Commission Actions tab, Click on "Commission Meeting Archives," to access the recordings.

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

Administration

1.     Approval of the Minutes of the Commission Meetings Held on May 22, 2012, and June 5, 2012 (Staff: Joy Irving)

Consumer Reports

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

Electric

1.     EL11-019     In the Matter of the Application of Northern States Power Company dba Xcel Energy for Authority to Increase its Electric Rates (Staff Analysts: Jon Thurber, David Jacobson, Brittany Mehlhaff, Brian Rounds, Matthew Tysdal; Staff Attorney: Karen Cremer)

On June 30, 2011, the Commission received an application by Northern States Power Company dba Xcel Energy (Xcel) for approval to increase rates for electric service to customers in its South Dakota service territory by approximately $14.6 million annually or approximately 9.28% based on Xcel's 2010 test year. In addition, Xcel is proposing to recover approximately $1 million of ongoing investments in its Monticello nuclear generating plant through a Nuclear Cost Recovery Rider to go into effect with the final rates. The Company states a typical residential electric customer using 750 kWh per month would see an increase of 9.48%, or $6.93 per month. The proposed rates may potentially affect approximately 84,000 customers in Xcel's South Dakota service territory. On May 8, 2012, the Commission received a Joint Motion for Approval of Settlement Stipulation. At its regular meeting on May 22, 2012, the Commission considered the Joint Motion and on May 24, 2012, issued an Order Granting Joint Motion for Approval of Settlement Stipulation resolving many of the issues in the case and an Order for and Notice of Hearing setting the remaining issues in the matter for hearing on June 13-14, 2012.

     TODAY, how shall the Commission rule on any issues that remain undecided following the hearing on June 13-14, 2012?

2.     EL12-034     In the Matter of the Filing by Otter Tail Power Company Regarding Its 2011 Report and 2012 Energy Efficiency Plan Update (Staff Analysts: Brian Rounds, Ross Pedersen, Staff Attorney: Ryan Soye)

On April 30, 2012, the Commission received a filing from Otter Tail Power Company (Otter Tail) requesting approval of the financial incentive for the 2011 Energy Efficiency Plan and approval to increase the energy adjustment surcharge as part of its 2012 Energy Efficiency Plan update.

     TODAY, shall the commission approve Otter Tail Power Company's 2011 EEP Report and accompanying Financial Incentive? AND shall the Commission approve the company's 2012 EEP Update and the corresponding surcharge adjustment and tariff changes?

Gas & Electric

1.     GE12-003     In the Matter of the Filing by Montana-Dakota Utilities Co. for Approval of Tariff Revisions (Staff Analyst: David Jacobson, Staff Attorney: Karen Cremer)

On May 21, 2012, Montana-Dakota Utilities Co. filed for Commission approval of tariff revisions to its gas rate schedule and electric rate schedule "Agreement by Property Owner or Agent to Pay Utility Bills during Periods when Property is Unoccupied." Montana-Dakota is proposing revisions modifying this agreement commonly referred to as the Landlord Agreement including changing the name of the agreement to "Continuous Service Agreement."

     TODAY, shall the Commission approve the requested tariff changes?

Grain

1.     GW12-002     In the Matter of the Grain Dealer's Bond of Anderson Seed Co., Inc. (Staff Analyst: Jim Mehlhaff, Staff Attorney: Kara Semmler)

On April 5, 2012, as a result of the Commission's April 4, 2012, Order, Commission Staff filed a Petition for Receivership, a proposed Order, Notice of Hearing, and a Certificate of Service with the Spink County Clerk of Court. The documents were also served on parties and on known Anderson Seed Co. Inc. patrons. On May 1, 2012, the Fifth Circuit Court heard the Commission's Petition and issued an Order Appointing South Dakota Public Utilities Commission as Receiver over the proceeds of the grain buyer's bond. On June 6, 2012, Commission staff filed a proposal regarding Commission adjudication and distribution of said bond. 

     TODAY, shall the Commission approve the recommendations offered by Staff and establish the procedures to be followed in administering claims and determining entitlement to bond proceeds, including notice to claimants and publication of notice, deadline for the filing of claims, and hearing on claims?

Telecommunications

1.     TC09-009     In the Matter of the Filing by Midstate Telecom, Inc. for an Extension of an Exemption from Developing Company Specific Cost-Based Switched Access Rates (Staff Analyst: Jon Thurber, Staff Attorney: Karen Cremer)

On March 9, 2009, Midstate Telecom, Inc. (Midstate) requested an extension of its exemption from filing a switched access cost study for a period of six months after the effective date of the new rules adopted by the Commission in RM05-002. Midstate further requested approval of its intrastate switched access rate of 11.5 cents per minute. On April 7, 2009, Midcontinent Communications (Midcontinent) filed a Petition for Intervention. On April 14, 2009, a Joint Motion and a Settlement Stipulation was filed. On April 20, 2009, Midstate filed an Objection of Midcontinent's Petition to Intervene. Midcontinent's Intervention was approved and Midstate's Objection of Midcontinent's Petition to Intervene was denied at the April 21, 2009, Commission Meeting. On May 14, 2009, Midstate filed a Motion for Temporary Approval of Switched Access Rates. On May 21, 2009, Midcontinent filed a Motion to Disapprove Settlement Stipulation and for an Evidentiary Hearing. On June 18, 2009, Midcontinent filed a Motion for Uniformity in Switched Access Rates and for Evidentiary Hearing. At its June 23, 2009, meeting, the Commission Granted the Motion for Temporary Approval of Switched Access Rates. On August 7, 2009, Midstate filed a Response to Midcontinent Communication's Motion for Evidentiary Hearing and Uniformity. On August 25, 2009, the Commission denied the Motion for Uniformity in Switched Access Rates and for Evidentiary Hearing. On November 9, 2010, the Commission voted unanimously to proceed to a formal rulemaking with regards to switched access rules for competitive local exchange carriers.  The rules in RM05-002 were effective May 30, 2011. On June 22, 2011, Midstate Telecom, Inc. (Midstate) filed a petition for approval of its new intrastate switched access rates (TC11-075). Per ARSD 20:10:27:02.02, Midstate requested the Commission approve a higher rate than allowed under ARSD 20:10:27:02.01 and filed a cost study in support of the higher rate. Midstate also requested a phase-in period in which their current rate would be approved until November 30, 2011, after which the requested rate would go into effect. On May 25, 2012, Midstate Telecom filed a letter requesting the Commission to close docket TC11-075 as it anticipates filing a transitional rate filing for its terminating intrastate access rate, in conformance with FCC Order 11-161.

     TODAY, shall the Commission dismiss and close the docket?

2.     TC11-071     In the Matter of the Application of New Cingular Wireless PCS, LLC, a subsidiary of AT&T Mobility LLC, for Designation as an Eligible Telecommunications Carrier in Rural Study Areas (Staff Analyst: Chris Daugaard, Staff Attorney: Kara Semmler )

On June 13, 2011, the Commission received an application by New Cingular Wireless PCS, LLC, a subsidiary of AT&T Mobility LLC, (AT&T Mobility) requesting approval to designate AT&T Mobility as an eligible telecommunications carrier pursuant to SDCL §49-31-78 and Section 214(e) of the Federal Communications Act of 1934, as amended, for the purpose of qualifying to obtain all available federal universal service support including, but not limited to, support for rural, insular and high costs areas, and for low-income customers. On June 4, 2012, the Commission received a request from New Cingular Wireless, PCS, LLC, to dismiss and close the docket.

     TODAY, shall the Commission dismiss and close the docket?

3.     TC11-072     In the Matter of the Application of New Cingular Wireless PCS, LLC, a subsidiary of AT&T Mobility LLC, for Designation as an Eligible Telecommunications Carrier in Non-Rural Study Areas  (Staff Analyst: Chris Daugaard, Staff Attorney: Kara Semmler)

On June 13, 2011, the Commission received an application by New Cingular Wireless PCS, LLC, a subsidiary of AT&T Mobility LLC, (AT&T Mobility) requesting approval to designate AT&T Mobility as an eligible telecommunications carrier pursuant to SDCL §49-31-78 and Section 214(e) of the Federal Communications Act of 1934, as amended, for the purpose of qualifying to obtain all available federal universal service support including, but not limited to, support for non-rural, insular and high costs areas, and for low-income customers. On June 4, 2012, the Commission received a request from New Cingular Wireless, PCS, LLC, to dismiss and close the docket.

     TODAY, shall the Commission dismiss and close the docket?

4.     TC11-090     In the Matter of the Application of Wholesale Carrier Services, Inc., for a Certificate of Authority to Provide Interexchange Long Distance Services and Local Exchange Services in South Dakota (Staff Analyst: David Jacobson, Staff Attorney: Karen Cremer)

On November 16, 2011, the Commission received an application from Wholesale Carrier Services, Inc., (Wholesale) for a certificate of authority to provide interexchange long distance service and local exchange services in South Dakota.

     TODAY, how shall the Commission proceed?

5.     TC11-100     In the Matter of the Filing by Fort Randall Telephone Company for Approval of its Intrastate Switched Access Services and Facilities Tariff (Staff Analyst: Chris Daugaard, Staff Attorney: Karen Cremer)

On December 28, 2011, Fort Randall Telephone Company filed an application for Approval of its Intrastate Switched Access Services and Facilities Tariff.  This filing is intended to comply with the Federal Communications Commission's Report and Order and Further Notice of Proposed Rulemaking, in Docket Nos. WC Docket No. 10-90, et al., FCC 11-161, by implementing provisions governing Voice over Internet Protocol telephony - Public Switched Telephone Network ("VoIP-PSTN") Traffic.

     TODAY, shall the Commission approve the tariff revision?

6.     TC12-039     In the Matter of the Approval of an Amendment to an Interconnection Agreement between Qwest Corporation dba CenturyLink QC and USA Mobility Wireless, Inc. for the State of South Dakota (Staff Analyst: Patrick Steffensen, Staff Attorney: Karen Cremer)

On May 17, 2012, the Commission received a filing pursuant to 47 U.S.C. §252 for approval of an ICC Bill and Keep Amendment to an Interconnection Agreement between Qwest Corporation dba CenturyLink QC, and USA Mobility Wireless, Inc. for the State of South Dakota.

     TODAY, shall the Commission approve the amendment to the interconnection agreement?

7.     TC12-065     In the Matter of the Joint Application of the OrbitCom, Inc., Knology of the Plains, Inc. and Knology of the Black Hills, LLC for Waiver of ARSD §§ 20:10:29:10, 20:10:29:12 and 20:10:29:16 (Staff Analyst: David Jacobson, Staff Attorney: Karen Cremer)

On May 29, 2012, the Commission received a joint application from OrbitCom, Inc., Knology of the Plains, Inc., and Knology of the Black Hills, LLC, requesting waiver or suspension of ARSD §§ 20:10:29:10, 20:10:29:12 and 20:10:29:16. The applicants state that these rules govern the establishment of intrastate switched access charges and a waiver/suspension is requested from the provisions in each rule indicating that local exchange carriers should tariff equal rates for originating and terminating traffic. On June 4, 2012, Midcontinent Communications (Midcontinent) filed a Petition to Intervene and to Join in Application of Waiver. On June 7, 2012, the Commission included MidContinent's request to intervene and join in the application in its weekly notice filing and also extended the intervention deadline in this docket to June 18, 2012.

     TODAY, shall the Commission grant Midcontinent's Petition to Intervene and join in the application for waiver? AND, shall the Commission suspend or waive the requirements identified in ARSD 20:10:29:10, 20:10:29:12, and 20:10:29:16?

Items for Commission Discussion

Announcements

  1. A hearing in Docket EL11-019 will be held beginning at 1 p.m. CDT Wednesday, June 13, 2012, and continuing on Thursday, June 14, 2012, at 8 a.m., in Room 413 at the State Capitol Building in Pierre, S.D.

  2. Commissioners and staff will meet with representatives of Montana-Dakota Utilities Co. on Tuesday, June 19, 2012, at 1:30 p.m. CDT in Room 413 at the State Capitol Building, Pierre, S.D. The agenda is to discuss a company informational update.

  3. Commissioners and staff will meet with representatives of Missouri River Energy Services on Monday, June 25, 2012, at 1:30 p.m. CDT in Room 412 at the State Capitol Building, Pierre, S.D. The agenda is to discuss a periodic information exchange.

  4. Commissioners and staff will attend the 2012 Governor's Ag Development Summit on Wednesday, June 27, 2012, at the Ramkota, Pierre, S.D.

  5. The next regularly scheduled commission meeting will be held Tuesday, July 3, 2012, at 9:30 a.m. CDT, in Room 413 at the State Capitol Building, Pierre, S.D.

  6. The PUC offices will be closed Wednesday, July 4, 2012, in observance of Independence Day.

  7. Commission meetings are scheduled for July 17 and 31, 2012.


/S/ Cindy Kemnitz
Cindy Kemnitz
Finance Manager
puc@state.sd.us
June 12, 2012