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South Dakota Public Utilities Commission Meeting
Tuesday, June 8, 1999; 2:00 P.M.
State Capitol Building, Room 412
Pierre, South Dakota

MINUTES OF THE COMMISSION MEETING

Vice-Chair Pam Nelson called the meeting to order. Present were Commissioner Laska Schoenfelder, Executive Director Bill Bullard, Deputy Director Sue Cichos, General Counsel Rolayne Ailts Wiest, Commission Advisor Greg Rislov, Staff Attorney Karen Cremer, Telecommunications Analyst Harlan Best, Utility Analysts Bob Knadle and Dave Jacobson, Consumer Representative Leni Healy, Legal Intern Jeff Koerselman and Administrative Secretary Shirleen Fugitt. Chairman Jim Burg was absent and not voting.

Also present were Tom Berkelman, AT&T; Tom Welk, Ed Peters and Colleen Sevold, U S WEST; Rich Coit, SDITC; Dennis Nincehelser, Bureau of Telecommunications; Al Lundy, Capital Journal; Mike Meyers, University of South Dakota; and Cheri Wittler, Precision Reporting.

Joining the meeting by phone were Tom Forte, Technologies Management; Michele Singer, Jerry Campbell and Sandy Hofstetter, AT&T; Greg Schaefer and Deb Martin, MidAmerican Energy; Beth Lewis and Will Gault, Williams Communications; Bill Heaston, DTG; Roxann Basham, Black Hills Corporation; Denny Law, Sioux Valley Telephone; Loretta Calabro, Telec Consulting; Amy Ibis, FirsTel; Mary Lohnes, Midco Communications; Loretta Spear, Hill City, South Dakota; Sheryl Klein, Lawrence Klein, and Milton Klein, Valentine, Nebraska; Margaret Figert, Mission, South Dakota; and Lynn Peterson and Ed Berreth, Humboldt/Montrose exchange in South Dakota.

Administration

1. Approval Of The Minutes Of The Commission Meeting Held On May 12, 1999. (Staff: Shirleen Fugitt.)

Commissioner Schoenfelder moved to approve the minutes of May 12, 1999. Commissioner Nelson seconded. Motion passed 2-0.

Consumer Issues

1. Status Report On Consumer Utility Inquiries And Complaints Recently Received By The Commission. (Consumer Affairs: Leni Healy.)

Ms. Healy presented an update on consumer inquiries and complaints received since the last Commission meeting.

2. TC98-155 IN THE MATTER OF THE COMPLAINT FILED BY LORETTA SPEAR, HILL CITY, SOUTH DAKOTA, AGAINST U S WEST COMMUNICATIONS, INC. REGARDING UPDATING LINES. (Staff Attorney: Karen Cremer. Consumer Representative: Leni Healy.)

After being sworn in, Ed Peters, U S WEST Communications, provided an update on the work being done to resolve this complaint. Ms. Spear reported satisfaction with her recent telephone service but had concerns about her inability to have Caller ID. Ms. Cremer recommended replacing the anaconda system. The matter was taken under advisement.

3. TC98-183 IN THE MATTER OF THE COMPLAINT FILED BY SHERYL L. KLEIN, VALENTINE, NEBRASKA, AGAINST U S WEST COMMUNICATIONS, INC. REGARDING POOR SERVICE AND REQUEST TO HAVE LINES UPDATED. (Consumer Representative: Leni Healy. Staff Attorney: Camron Hoseck.)

4. TC98-184 IN THE MATTER OF THE COMPLAINT FILED BY JOANN C. KLEIN, VALENTINE, NEBRASKA, AGAINST U S WEST COMMUNICATIONS, INC. REGARDING POOR SERVICE AND REQUEST TO HAVE LINES UPDATED. (Consumer Representative: Leni Healy. Staff Attorney: Camron Hoseck.)

5. TC98-199 IN THE MATTER OF THE COMPLAINT FILED BY LAWRENCE KLEIN, VALENTINE, NEBRASKA, AGAINST U S WEST COMMUNICATIONS, INC. REGARDING POOR SERVICE AND REQUEST TO HAVE LINES UPDATED. (Consumer Representative: Leni Healy. Staff Attorney: Camron Hoseck.)

7. TC98-212 IN THE MATTER OF THE COMPLAINT FILED BY MARGARET FIGERT, MISSION, SOUTH DAKOTA, AGAINST U S WEST COMMUNICATIONS, INC. REGARDING POOR SERVICE AND REQUEST TO HAVE LINES UPDATED. (Consumer Representative: Leni Healy. Staff Attorney: Camron Hoseck.)

With regard to the four complaints listed above, Tom Welk addressed U S WEST's motion to extend the deadline to July 30, 1999. After being sworn in, Ed Peters, U S WEST, provided an update on the work being done by the company toward resolution of these complaints. Mr. Peters answered questions from the Commissioners and Staff. He explained that the company has completed the work that was ordered by the Commission to be completed by today hat through the course of testing, the company has discovered additional work that needs to be done and an extension of the deadline is requested in order to complete that additional work. Ms. Cremer recommended that a fine of $1,000 per day be imposed after today until U S WEST has the work completed.

Following a five minute recess, Commissioner Schoenfelder moved to grant U S WEST an extension to July 30, 1999, hat as of July 30, 1999, if the work and testing have not been completed, a show cause shall be issued as to why U S WEST shouldn't be fined $1,000 per day for each of the four complaints. Commissioner Schoenfelder further moved that a hearing be held after July 30, 1999, for testimony from the complainants as to their quality of service. Commissioner Nelson seconded. Motion passed 2-0.

6. TC98-200 IN THE MATTER OF THE COMPLAINT FILED BY DON FINN ON BEHALF OF LAKE AREA HOSPITAL, WEBSTER, SOUTH DAKOTA, AGAINST AT&T COMMUNICATIONS OF THE MIDWEST, INC. REGARDING OVERCHARGES. (Consumer Representative: Leni Healy. Staff Attorney: Karen Cremer.)

Ms. Cremer reported that the complainant has requested withdrawal of this complaint.

Commissioner Schoenfelder moved to allow the withdrawal of the complaint and to close the docket. Commissioner Nelson seconded. Motion passed 2-0.

8. CT99-001 IN THE MATTER OF THE COMPLAINT FILED BY VINCE WIENK ON BEHALF OF ALL STAR TRAVELERS INN, SPEARFISH, SOUTH DAKOTA, AGAINST AT&T COMMUNICATIONS OF THE MIDWEST, INC. REGARDING ACCESS TO BLOCKED LINES. (Staff Attorney: Camron Hoseck. Consumer Representative: Leni Healy.)

Ms. Healy reported that the complaint has been resolved.

Commissioner Nelson moved to dismiss the complaint and close the docket. Commissioner Schoenfelder seconded. Motion passed 2-0.

9. CT99-003 IN THE MATTER OF THE COMPLAINT FILED BY CONSTANCE JOHNSON, SIOUX FALLS, SOUTH DAKOTA, AGAINST U S WEST COMMUNICATIONS, INC. REGARDING DISPUTED BILLING. (Consumer Representative: Leni Healy. Staff Attorney: Camron Hoseck.)

Ms. Healy requested deferral. Action was deferred.

Gas/Electric

1. GE99-003 IN THE MATTER OF THE FILING BY MIDAMERICAN ENERGY COMPANY FOR APPROVAL OF REVISED RESIDENTIAL AND COMMERCIAL INFORMATIONAL PAMPHLETS. (Staff Analyst: Keith Senger. Legal Intern: Jeff Koerselman.)

Mr. Jacobson recommended approval with the latest revisions.

Commissioner Schoenfelder moved to approve the filing with the latest revisions. Commissioner Nelson seconded. Motion passed 2-0.

Electric

1. EL99-004 IN THE MATTER OF THE FILING BY MIDAMERICAN ENERGY COMPANY FOR APPROVAL OF A NEW STREET LIGHTING SERVICE. (Staff Analyst: Keith Senger. Staff Attorney: Karen Cremer.)

Mr. Jacobson explained the filing and recommended approval.

Commissioner Schoenfelder moved to approve the filing. Commissioner Nelson seconded. Motion passed 2-0.

2. EL99-006 IN THE MATTER OF THE APPLICATION OF BLACK HILLS CORPORATION FOR AN ORDER AUTHORIZING THE ISSUANCE OF STOCK OPTIONS UNDER BLACK HILLS CORPORATION'S 1999 STOCK OPTION PLAN. (Staff Analyst: Bob Knadle. Staff Attorney: Karen Cremer.)

Roxann Basham explained Black Hills Corporation's 1999 stock option plan. Mr. Knadle presented further explanation and recommended approval.

Commissioner Schoenfelder moved to approve the issuance of stock options under Black Hills Corporation's 1999 stock option plan. Commissioner Nelson seconded. Motion passed 2-0.

Natural Gas

1. NG97-020 IN THE MATTER OF THE APPLICATION OF MONTANA-DAKOTA UTILITIES CO., A DIVISION OF MDU RESOURCES GROUP, INC. FOR APPROVAL OF A PLAN TO DEVIATE FROM PURCHASED GAS COST ADJUSTMENT RATE 88. (Staff Analyst: Dave Jacobson. Staff Attorney: Camron Hoseck.)

Mr. Jacobson recommended the docket be closed.

Commissioner Schoenfelder moved to close the docket. Commissioner Nelson seconded. Motion passed 2-0.

Telecommunications

1. TC99-003 IN THE MATTER OF THE FILING BY U S WEST COMMUNICATIONS, INC. FOR APPROVAL OF RESALE AGREEMENT BETWEEN U S WEST COMMUNICATIONS, INC. AND TOPP COMM, INC. (Staff Attorney: Camron Hoseck.)

Ms. Cremer presented written comments on behalf of Mr. Hoseck who is absent from the meeting today, which included a recommendation to deny the filing.

Commissioner Nelson moved to deny the filing. Commissioner Schoenfelder seconded. Motion passed 2-0.

2. TC99-010 IN THE MATTER OF THE APPLICATION OF WILLIAMS COMMUNICATION, INC. FOR A CERTIFICATE OF AUTHORITY TO PROVIDE TELECOMMUNICATIONS SERVICES IN SOUTH DAKOTA. (Staff Analyst: Keith Senger. Staff Attorney: Camron Hoseck.)

Mr. Best recommended approval with no restrictions.

Commissioner Schoenfelder moved to approve the application. Commissioner Nelson seconded. Motion passed 2-0.


3. TC99-011 IN THE MATTER OF THE APPLICATION OF CENTURYTEL LONG DISTANCE, INC. FOR A CERTIFICATE OF AUTHORITY TO PROVIDE TELECOMMUNICATIONS SERVICES IN SOUTH DAKOTA. (Staff Analyst: Michele Farris. Staff Attorney: Karen Cremer.)

Tom Forte representing Centurytel Long Distance requested the removal of the original bond requirement in this filing. Ms. Cremer recommended the Commission reconsider its previous decision in this matter.

Commissioner Schoenfelder moved to reconsider the decision in this matter. Commissioner Nelson seconded. Motion passed 2-0.

Commissioner Schoenfelder moved to approve an amended Certificate of Authority with restrictions on prepaid calling cards, advance payments and deposits. Commissioner Nelson seconded. Motion passed 2-0.

4. TC99-030 IN THE MATTER OF THE FCC ORDER ESTABLISHING NEW DEADLINES FOR IMPLEMENTATION OF INTRALATA DIALING PARITY BY LOCAL EXCHANGE CARRIERS. (Staff Analyst: Harlan Best. Staff Attorney: Karen Cremer.)

Ms. Wiest recommended approval of the carrier notification letters in advance of final Commission action to AT&T.

Commissioner Schoenfelder moved to approve the notification letters in advance of final Commission action to AT&T. Commissioner Nelson seconded. Motion passed 2-0.

Ms. Cremer recommended the Commission grant advance approval of Jefferson Telephone Company's customer letter. Ms. Wiest recommended the same.

Commissioner Schoenfelder moved to grant advance approval of Jefferson Telephone Company's customer letter. Commissioner Nelson seconded. Motion passed 2-0.

5. TC99-035 IN THE MATTER OF THE APPLICATION OF BLACKSTONE COMMUNICATIONS COMPANY FOR A CERTIFICATE OF AUTHORITY TO PROVIDE TELECOMMUNICATIONS SERVICES IN SOUTH DAKOTA. (Staff Analyst: Keith Senger. Staff Attorney: Karen Cremer.)

Ms. Cremer explained the application and recommended approval with bond requirements and a waiver of ARSD 20:10:24:02(08).

Commissioner Schoenfelder moved to approve the application with bond requirements and a waiver of ARSD 20:10:24:02(08). Commissioner Nelson seconded. Motion passed 2-0.

6. TC99-041 IN THE MATTER OF THE FILING BY DICKEY RURAL TELEPHONE COOPERATIVE AND ITS WHOLLY OWNED SUBSIDIARY, DICKEY RURAL COMMUNICATIONS, INC. FOR APPROVAL OF PETITION FOR SUSPENSION AND MODIFICATION OF DIALING PARITY. (Staff Analyst: Harlan Best. Staff Attorney: Karen Cremer.)

Ms. Cremer requested deferral. Action was deferred.


7. TC99-042 IN THE MATTER OF THE FILING BY CONSOLIDATED TELEPHONE COOPERATIVE AND ITS WHOLLY OWNED SUBSIDIARY, CONSOLIDATED TELCOM, INC. FORMERLY KNOWN AS CTC COMMUNICATIONS, INC. FOR APPROVAL OF PETITION FOR SUSPENSION AND MODIFICATION OF DIALING PARITY. (Staff Analyst: Harlan Best. Staff Attorney: Karen Cremer.)

Ms. Cremer requested deferral. Action was deferred.

8. TC99-043 IN THE MATTER OF THE FILING BY KENNEBEC TELEPHONE COMPANY FOR APPROVAL OF DIALING PARITY IMPLEMENTATION PLAN AND PETITION FOR SUSPENSION AND MODIFICATION OF DIALING PARITY. (Staff Analyst: Harlan Best. Staff Attorney: Karen Cremer.)

Ms. Cremer recommended approval. Action was deferred.

9. TC99-046 IN THE MATTER OF THE FILING BY WESTERN TELEPHONE COMPANY FOR APPROVAL OF DIALING PARITY IMPLEMENTATION PLAN AND PETITION FOR SUSPENSION AND MODIFICATION OF DIALING PARITY. (Staff Analyst: Harlan Best. Staff Attorney: Karen Cremer.)

No action was taken.

10. TC99-047 IN THE MATTER OF THE FILING BY BERESFORD MUNICIPAL TELEPHONE COMPANY FOR APPROVAL OF DIALING PARITY IMPLEMENTATION PLAN AND PETITION FOR SUSPENSION AND MODIFICATION OF DIALING PARITY. (Staff Analyst: Harlan Best. Staff Attorney: Karen Cremer.)

No action was taken.

11. TC99-053 IN THE MATTER OF THE FILING BY U S WEST COMMUNICATIONS, INC. FOR APPROVAL OF TARIFF PAGES FOR ITS ACCESS SERVICE TARIFF IMPLEMENTING ITS INTRALATA TOLL DIALING PARITY PLAN. (Staff Analyst: Harlan Best. Staff Attorney: Karen Cremer.)

Ms. Wiest recommended granting intervention to SDITC and AT&T.

Commissioner Schoenfelder moved to grant intervention to SDITC and AT&T. Commissioner Nelson seconded. Motion passed 2-0.

12. TC99-055 IN THE MATTER OF THE PETITION FOR EXTENDED AREA SERVICE BETWEEN THE HUMBOLDT-MONTROSE EXCHANGE, AND SIOUX FALLS, SOUTH DAKOTA. (Staff Analyst: Harlan Best. Staff Attorney: Camron Hoseck.)

Ms. Wiest recommended granting intervention to U S WEST Communications.

Commissioner Schoenfelder moved to grant intervention to U S WEST Communications. Commissioner Nelson seconded. Motion passed 2-0.

The meeting was adjourned.

________________________________
Shirleen Fugitt
Administrative Secretary