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South Dakota Public Utilities Commission Meeting
Tuesday, February 17, 2004 at 1:30 P.M.
Capital Building, Room 468
Pierre, South Dakota
MINUTES OF THE COMMISSION MEETING
Chairman Bob Sahr called the meeting to order. Also present were Vice Chairman Gary Hanson; Commissioner Jim Burg Executive Director Pamela Bonrud; Deputy Executive Director Heather Forney; Commission Advisor Greg Rislov; Commission Attorneys Rolayne Ailts Wiest and John Smith; Staff Attorneys Kelly Frazier and Karen Cremer; Staff Analysts Michele Farris, Harlan Best, Dave Jacobson, Jim Mehlhaff, and Sue Schaefer.
Also present were Jim Wilson, MidAmerican Energy; Brett Koenecke, May, Adam, Gerdes & Thompson, representing Midcontinent Communications; Rich Coit, South Dakota Telecommunications Association; and Tom Simmons, Midcontinent Communications.
Joining the meeting by telephone were Ron Spangler, Otter Tail Power Co.; Marv Truhe and Kyle White, Black Hills Corporation; Colleen Sevold, and Tim Goodwin, Qwest Corporation; Mary Lohnes, Midcontinent Communications; and Mary Steele, AT&T Communications of the Midwest, Inc.
Administration
1. Approval of the Minutes of the Commission Meeting Held on January 20, 2004. (Staff: Tina Douglas.)
Commissioner Hanson moved to approve the minutes of the Commission meeting held on January 20, 2004. Commissioner Burg seconded and Chairman Sahr concurred. Motion passed 3-0.
Consumer Issues
1. Status Report on Consumer Utility Inquiries and Complaints Received by the Commission. (Consumer Affairs: Jim Mehlhaff.)
Mr. Mehlhaff reported that the Commission received a total of 293 consumer contacts during 2004. Since the last report was prepared for the January 20, 2004, Commission meeting, 179 of these contacts had been received; 73 contacts involved telecommunications services; 23 contacts involved electricity issues; 17 contacts involved natural gas issues; 12 contacts involved gas and electric services; 11 contacts involved cellular phone issues; 30 contacts involved the do not call registry; and 13 contacts involved miscellaneous services not regulated by the PUC. In 2004, 210 of the 293 complaints registered have been resolved informally. In 2003, 1941 of the 2579 complaints registered have been resolved informally.
Ms. Cremer recommended that action be deferred until March 2, 2004.
Chairman Sahr moved that action be deferred. Commissioner Burg seconded and Commissioner Hanson concurred. Motion passed 3-0.
Mr. Marv Truhe, Black Hills FiberCom, L.L.C. , explained the pre-hearing conference call that was on February 12, 2004. Mr. Frazier stated that the parties had come to an agreement during a pre-hearing conference attended by Staff and Commission Counsel John Smith. Since an agreement had been reached, Staff recommended that the Commission vote not to set a procedural schedule regarding the issue of subject matter jurisdiction.
Chairman Sahr moved not to set a procedural schedule on the issue of subject matter jurisdiction. Commissioner Hanson seconded and Commissioner Burg concurred. Motion passed 3-0.
Electric
Mr. Ron Spangler, Otter Tail Power Company, stated that an application was filed by Otter Tail Power Company for approval to revise its tariffed Summary List of Contracts with Deviations. The existing contract with the Village of White Rock will expire on March 1, 2004. Otter Tail Power Company stated the new agreement does not contain any deviations from Otter Tail Power Company's currently filed tariff and therefore requested that reference to a contract with the Village of White Rock be removed from the Summary List of Contracts with Deviations. Otter Tail Power Company also is requesting the application be approved with less than 30 days notice. Mr. Jacobson recommended approval of the tariff revisions with less than 30 days notice.
Commissioner Burg moved to approve the tariff revisions in EL04-002 with less than 30 days notice. Chairman Sahr seconded and Commissioner Hanson concurred. Motion passed 3-0.
Telecommunications
1. TC02-176 In the Matter of the Petition for Arbitration on behalf of WWC License L.L.C. with Certain Independent Local Exchange Companies. (Staff Analyst: Harlan Best, Staff Attorney: Karen Cremer)
Ms. Cremer stated that all parties had reached an agreement and recommended that the docket be dismissed and closed.
Commissioner Burg moved to dismiss and close docket TC02-176. Commissioner Hanson seconded and Chairman Sahr concurred. Motion passed 3-0.
Tom Simmons, Midcontinent Communications, explained the Petition for Waiver. Rich Coit, SDTA, supported granting the waiver. Ms. Cremer recommended that the Commission approve the Stipulation and grant the Petition for Waiver in accordance with the terms of the Stipulation.
Commissioner Burg moved to approve the Stipulation and grant the Waiver in accordance with the terms of the Stipulation. Commissioner Hanson seconded and Chairman Sahr concurred. Motion passed 3-0.
Mr. Frazier stated that on December 4, 2003, Touchtone Communications, Inc. filed an application seeking a Certificate of Authority to provide interexchange telecommunications services. The applicant is a reseller which intends to offer direct and dial around services, toll free, directory assistance, data services and travel card services. The applicant has requested a waiver from filing financial statements as required by ARSD 20:10:24:02(8) and has agreed to restrictions from offering any prepaid services and from accepting customer deposits and advance payments. Mr. Frazier recommended to grant the waiver from filing financial statements and approve Touchtone Communications Inc.'s Certificate of Authority subject to restrictions.
Chairman Sahr moved to grant Touchtone Communications, Inc.'s Certificate of Authority with restrictions from accepting customer deposits and advance payments and offering prepaid services, and grant a waiver from filing financial statements as required by ARSD 20:10:24:02(8). Commissioner Hanson seconded and Commissioner Burg concurred. Motion passed 3-0.
Ms. Cremer stated that on December 15, 2003, Lightyear Communications, Inc. and Lightyear Network Solutions, LLC. filed a joint application for a transfer of an interexchange Certificate of Authority from Lightyear Communications, Inc. to Lightyear Network Solutions, LLC. Lightyear Communications, Inc. has filed for bankruptcy and requested that the Certificate of Authority be transferred to the company emerging from bankruptcy, Lightyear Network Solutions, LLC. The applicant emerging from bankruptcy is a new company and does not have historical financial statements, thus has requested a waiver from filing financial statements as required by ARSD 20:10:24:02(8). The applicant has agreed to restrictions from offering any prepaid services and from accepting customer deposits and advance payments. Ms. Cremer recommended granting the waiver from filing financial statements and approving the transfer of the interexchange Certificate of Authority from Lightyear Communications, Inc. to Lightyear Network Solutions, LLC, subject to restrictions.
Chairman Sahr moved to transfer Lightyear Communications, Inc.'s Certificate of Authority to Lightyear Network Solutions, LLC. with restrictions from accepting customer deposits and advance payments and offering prepaid services, and to grant a waiver from filing financial statements as required by ARSD 20:10:24:02(8). Commissioner Hanson seconded and Commissioner Burg concurred. Motion passed 3-0.
Ms. Farris stated that Phonetec PCS, LLC (Phoentec) had submitted an application for a Certificate of Authority in accordance with the administrative rules of SD. Phonetec intends to provide resold interexchange services including, 1+ and 101XXXX outbound dialing, incoming 800/888, directory assistance, data services, and postpaid calling card services throughout South Dakota. Phonetec has made all staff recommended changes to the tariff. Phonetec has requested a waiver from ARSD 20:10:24:02(8) which requires them to submit a current balance sheet, income statement, and cash flow statement. The Company does not accept deposits, advance payments or offer pre-paid calling cards. Phonetec filed its application on December 24, 2003, therefore Phonetec is restricted from offering service until February 23, 2004. Ms. Farris recommended that the Commission approve the request for a waiver of the financial information and also approve the Certificate of Authority for Phonetec PCS, LLC with restrictions on deposits, advance payments, and pre-paid calling cards with an effective date of February 23, 2004
Chairman Sahr moved to grant Phonetec PCS, LLC's Certificate of Authority with restrictions from accepting customer deposits and advance payments and offering prepaid services with an effective date of February 23, 2004, and to grant a waiver from filing financial statements as required by ARSD 20:10:24:02(8). Commissioner Hanson seconded and Commissioner Burg concurred. Motion passed 3-0.
6. In the Matter of Approving Agreements in TC04-002, TC04-004, TC04-005, TC04-007, TC04-008, and TC04-009
Mr. Frazier stated that the Agreements have been properly filed, have been properly executed and do not appear to contain discriminatory provisions, no comments were filed, and recommended approval of the Agreements.
Commissioner Burg moved to approve the Agreements in TC04-002, TC04-004, TC04-005, TC04-007, TC04-008. Commissioner Hanson seconded and Chairman Sahr concurred. Motion passed 3-0.
Mr. Frazier stated that the Amendment has been properly filed, has been properly executed and does not appear to contain discriminatory provisions, no comments were filed, and recommended approval of the Amendment.
Commissioner Burg moved to approve the Amendment in TC04-009. Commissioner Hanson seconded and Chairman Sahr concurred. Motion passed 3-0.
ADDENDUM
Kyle White and Marv Truhe, Black Hills FiberCom requested intervention in this docket. Mary Steele, AT&T requested intervention in this docket. Tim Goodwin, Qwest Corporation, had no objection to the interventions. Mr. Frazier recommended that interventions be granted to Black Hills FiberCom and AT&T.
Commissioner Burg moved to find good cause for granting late intervention to Black Hills FiberCom and to grant intervention to Black Hills FiberCom and AT&T in docket TC04-010. Commissioner Hanson seconded and Chairman Sahr concurred. Motion passed 3-0.
Meeting adjourned.
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Tina Douglas
Administrative Secretary
