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South Dakota Public Utilities Commission Meeting
Wednesday, October 10, 2001; 1:30 P.M.
State Capitol Building, Room 412
Pierre, South Dakota

MINUTES OF THE COMMISSION MEETING

Chairman Jim Burg called the meeting to order. Present were Commissioner Pam Nelson; Commission Advisor Greg Rislov; Commission Counsel Rolayne Ailts Wiest; Staff Attorneys Karen Cremer and Kelly Frazier; Staff Analysts Dave Jacobson, Harlan Best, Heather Forney, Keith Senger, Leni Healy, Mary Healy, and Michele Farris; Executive Director Deb Elofson; Deputy Executive Director Sue Cichos; and Administrative Secretary Mary Giddings.

Also present were Kyle White, Black Hills Corporation; Jim Wilcox, Xcel Energy; Rich Coit, South Dakota Telecommunications Association; and Bob Miller, South Dakota Electric Utility Companies.

Joining the meeting by telephone were Cindy Grosvenor, TELEC Consulting; Al Lundy, Yankton Press & Dakotan; Tom Welk and Colleen Sevold, Qwest Corporation; Mark Ayotte, GCC License Corp.; Suzan Stewart, Marv Sorenson, and Greg Schaefer, MidAmerican Energy Company; John Gors and Paul Roberts, Clay Union Electric; Steve Helmer and Greg Bernard, Black Hills Corporation; and Wayne Akland, Beresford Municipal Telephone Company.

Administration

1. Approval Of The Minutes Of The Commission Meetings Held On September 7, 18 and 28, 2001. (Staff: Mary Giddings.)

Chairman Burg moved to approve the minutes of the Commission meetings held on September 7, 18 and 28, 2001. 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: Mary Healy.)

Ms. Mary Healy presented an update on inquiries and complaints received since the last Commission meeting. It was noted that the Office of Energy Assistance is taking applications for the upcoming heating season.

2. 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. (Staff Analyst: Leni Healy.)

3. 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. (Staff Analyst: Leni Healy.)

4. 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. (Staff Analyst: Leni Healy.)

5. 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. (Staff Analyst: Leni Healy.)

Ms. Leni Healy noted that she had recently contacted Sheryl Klein, JoAnn Klein, Lawrence Klein, and Margaret Figert. All the complainants stated that service was much improved and they wished to have the dockets closed and the complaints dismissed. Ms. Healy added that she had assured the complainants that a new docket could be opened if there were problems later.

Chairman Burg moved to dismiss the complaints and close the dockets in TC98-183, TC98- 184, TC98-199 and TC98-212. Commissioner Nelson seconded. Motion passed 2-0.

6. IN THE MATTER OF DISMISSING DOCKETS CN01-001, CT01-034, CT01-037, and CT01-038.

CN01-001 IN THE MATTER OF THE COMPLAINT FILED BY BETTY BEST ON BEHALF OF BEST BUSINESS PRODUCTS, SIOUX FALLS, SOUTH DAKOTA, AGAINST MIDAMERICAN ENERGY COMPANY REGARDING THE UNAUTHORIZED USE OF PERSONAL PROPERTY. (Staff Analyst: Mary Healy. Staff Attorney: Karen Cremer.)

CT01-034 IN THE MATTER OF THE COMPLAINT FILED BY HOLZWARTH SALES & SERVICE, INC., GETTYSBURG, SOUTH DAKOTA, AGAINST EXCEL TELECOMMUNICATIONS, INC. REGARDING UNAUTHORIZED BILLING FOR SERVICES. (Staff Analyst: Mary Healy. Staff Attorney: Kelly Frazier.)

CT01-037 IN THE MATTER OF THE COMPLAINT FILED BY GERALD LARSON, BERESFORD, SOUTH DAKOTA, AGAINST BERESFORD MUNICIPAL TELEPHONE COMPANY, AT&T COMMUNICATIONS OF THE MIDWEST, INC. AND T-NETIX TELECOMMUNICATIONS SERVICES, INC. REGARDING UNAUTHORIZED COLLECT CALL CHARGES. (Staff Analyst: Charlene Lund. Staff Attorney: Karen Cremer.)

CT01-038 IN THE MATTER OF THE COMPLAINT FILED BY CALVIN L. PLIENIS, SIOUX FALLS, SOUTH DAKOTA, AGAINST DIRECT ONE COM.LONG DISTANCE REGARDING UNAUTHORIZED BILLING FOR SERVICES. (Staff Analyst: Mary Healy. Staff Attorney: Kelly Frazier.)

Chairman Burg moved to dismiss the complaints and close the dockets in CN01-001, CT01- 034, CT01-037, and CT01-038. Commissioner Nelson seconded. Motion passed 2-0.

Electric

1. EL01-020 IN THE MATTER OF THE JOINT REQUEST FOR AN ELECTRIC SERVICE TERRITORY BOUNDARY CHANGE BETWEEN THE CITY OF VERMILLION AND CLAY-UNION ELECTRIC CORPORATION. (Staff Analyst: Michele Farris. Staff Attorney: Kelly Frazier.)

Paul Roberts, representing Clay-Union Electric Corporation, explained the boundary change. Ms. Farris recommended that the boundary change be approved.

Chairman Burg moved to approve the boundary change. Commission Nelson seconded. Motion passed 2-0.

2. EL01-023 IN THE MATTER OF THE FILING BY XCEL ENERGY FOR APPROVAL OF ITS 2000 ECONOMIC DEVELOPMENT ANNUAL REPORT AND 2001 ECONOMIC DEVELOPMENT PLAN. (Staff Analyst: Dave Jacobson. Staff Attorney: Karen Cremer.)

Jim Wilcox, Xcel Energy, explained the economic development report and proposed budget. Mr. Jacobson recommended that they be approved.

Commissioner Nelson moved to approve the 2000 economic development annual report and the 2001 economic development budget. Chairman Burg seconded. Motion passed 2-0.

Natural Gas

1. NG01-010 IN THE MATTER OF THE APPLICATION OF MIDAMERICAN ENERGY COMPANY FOR AUTHORITY TO INCREASE RATES FOR NATURAL GAS SERVICE. (Staff Analyst: Dave Jacobson/Michele Farris/Keith Senger/Heather Forney/Martin Bettmann. Staff Attorney: Kelly Frazier.)

Suzan Stewart, representing MidAmerican Energy Company, stated that it had no objection to the suspension. Mr. Jacobson recommended that a filing fee be deposited by MidAmerican as established by the Executive Director and that additional amounts be deposited as requested by the Executive Director up to the statutory limit of $100,000. He further recommended that the Commission suspend the proposed rates of MidAmerican filed in this case for 90 days beyond October 26, 2001. Mr. Jacobson also stated that the intervention deadline was established as November 9, 2001, in the weekly filing notice but Staff requests it be placed in the order for informational purposes.

Chairman Burg moved to suspend the imposition of the tariff for 90 days beyond October 26, 2001. Commissioner Nelson seconded. Motion passed 2-0.

Chairman Burg moved to assess a filing fee for actual expenses not to exceed $100,000. Commissioner Nelson seconded. Motion passed 2-0.

Telecommunications

1. TC97-181 IN THE MATTER OF THE SETTING OF PERMANENT PRICES, TERMS, AND CONDITIONS FOR INTERCONNECTION WITH U S WEST COMMUNICATIONS, INC. (Staff Attorney: Karen Cremer.)

Ms. Cremer recommended that, with the filing of TC01-096 by Qwest Corporation, this docket be closed. Tom Welk, representing Qwest Corporation, stated that it had no objection to closing the docket.

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

2. TC98-146 IN THE MATTER OF THE FILING BY GCC LICENSE CORPORATION FOR DESIGNATION AS AN ELIGIBLE TELECOMMUNICATIONS CARRIER. (Staff Analyst: Harlan Best. Staff Attorney: Karen Cremer.)

Ms. Wiest recommended that an order be issued in accordance with the court's decision.

Commissioner Nelson moved to designate GCC as an ETC for nonrural telephone exchange areas consistent with the court's decision. Chairman Burg seconded. Motion passed 2-0.

3. TC00-190 IN THE MATTER OF THE FILING BY BLACK HILLS FIBERCOM, LLC FOR APPROVAL OF ITS INTRASTATE SWITCHED ACCESS TARIFF AND FOR AN EXEMPTION FROM DEVELOPING COMPANY SPECIFIC COST-BASED SWITCHED ACCESS RATES. (Staff Analyst: Heather Forney. Staff Attorney: Kelly Frazier.)

Kyle White, representing Black Hills FiberCom, explained the stipulation and agreement and requested an effective date of October 10, 2001. Ms. Forney explained to the Commission where the filed rates came from and recommended an exemption for three years. Tom Welk, Qwest Corporation, concurred.

Chairman Burg moved to approve the stipulation and agreement with an effective date of October 10, 2001, and with an exemption from filing cost-based rates for three years. Commissioner Nelson seconded. Motion passed 2-0.

4. TC00-193 IN THE MATTER OF THE FILING FOR APPROVAL OF A RESALE AGREEMENT BETWEEN QWEST CORPORATION AND NEW ACCESS COMMUNICATIONS, LLC. (Staff Attorney: Kelly Frazier.)

Mr. Frazier recommended that the Commission reconsider the decision to approve the agreement and further recommended that the agreement be denied.

Commissioner Nelson moved to reconsider the decision to approve the agreement. Chairman Burg seconded. Motion passed 2-0.

Commissioner Nelson moved to deny the agreement and close the docket. Chairman Burg seconded. Motion passed 2-0.

5. TC01-056 IN THE MATTER OF THE APPLICATION OF GLOBAL CREST COMMUNICATIONS, INC. FOR A CERTIFICATE OF AUTHORITY TO PROVIDE INTEREXCHANGE TELECOMMUNICATIONS SERVICES IN SOUTH DAKOTA. (Staff Analyst: Heather Forney. Staff Attorney: Kelly Frazier.)

Ms. Forney recommended that Global Crest Communications, Inc. be granted a certificate of authority with restrictions from offering prepaid calling cards, accepting advance payments and customer deposits.

Commissioner Nelson moved to grant a certificate of authority to Global Crest Communications, Inc. with the restrictions as noted above. Chairman Burg seconded. Motion passed 2-0.

6. TC01-066 IN THE MATTER OF THE ESTABLISHMENT OF SWITCHED ACCESS REVENUE REQUIREMENT FOR WESTERN TELEPHONE COMPANY. (Staff Analyst: Harlan Best. Staff Attorney: Karen Cremer.)

Mr. Best recommended that the amended revenue requirement be approved.

Chairman Burg moved to approve the amended revenue requirement. Commissioner Nelson seconded. Motion passed 2-0.

7. TC01-092 IN THE MATTER OF THE FILING FOR APPROVAL OF AN AGREEMENT FOR TERMS AND CONDITIONS FOR INTERCONNECTION, UNBUNDLED NETWORK ELEMENTS, ANCILLARY SERVICES AND RESALE OF TELECOMMUNICATION SERVICES BETWEEN QWEST CORPORATION AND NOS COMMUNICATIONS, INC. (Staff Attorney: Kelly Frazier.)

Mr. Frazier recommended that the agreement be approved.

Chairman Burg moved to approve the agreement. Commissioner Nelson seconded. Motion passed 2-0.

8. TC01-138 IN THE MATTER OF THE FILING OF A JOINT PETITION FOR APPROVAL OF A RECIPROCAL TRANSPORT AND TERMINATION AGREEMENT BETWEEN CERTAIN LOCAL EXCHANGE CARRIERS AND CERTAIN CMRS PROVIDERS. (Staff Attorney: Kelly Frazier.)

Rich Coit, representing the South Dakota Telecommunications Association, explained the agreements and how they were executed. Mr. Frazier recommended approval, noting that he had examined all the agreements and all were properly executed. Ms. Wiest recommended that a list of the agreements be attached to the order.


Chairman Burg moved to approve the agreement. Commissioner Nelson seconded. Motion passed 2-0.

9. TC01-144 IN THE MATTER OF THE FILING FOR APPROVAL OF AN AMENDMENT TO AN INTERCONNECTION AGREEMENT BETWEEN QWEST CORPORATION AND INTEGRA TELECOM OF SOUTH DAKOTA, INC. (Staff Attorney: Kelly Frazier.)

Mr. Frazier recommended that the agreement be approved.

Chairman Burg moved to approve the agreement. Commissioner Nelson seconded. Motion passed 2-0.

10. TC01-146 IN THE MATTER OF THE FILING FOR APPROVAL OF A RECIPROCAL TRANSPORT AND TERMINATION AGREEMENT AND TYPE 2 WIRELESS AGREEMENT BETWEEN BROOKINGS MUNICIPAL UTILITIES D/B/A SWIFTEL COMMUNICATIONS AND BERESFORD MUNICIPAL TELEPHONE COMPANY. (Staff Attorney: Kelly Frazier.)

Rich Coit, representing the South Dakota Telecommunications Association, recommended that the agreement between the Brookings Municipal Utilities d/b/a Swiftel Communications and Beresford Municipal Telephone Company be approved. Mr. Frazier recommended that the agreement be approved.

Commissioner Nelson moved to approve the agreement. Chairman Burg seconded. Motion passed 2-0.

Meeting adjourned.

____________________________________________
Mary R. Giddings
Administrative Secretary