Top Banner
WYOMING PUBLIC SERVICE COMMISSION Minutes of Regular Open Meeting Thursday, August 7, 2014 1:30 p.m. Commissioners: Chairman Alan B. Minier Deputy Chairman William F. Russell Commissioner Kara Brighton Jane Montoya, Energy and Customer Operations Director, Cheyenne Light Fuel & Power Company (CLFP) Vicky Penaflor, Customer Service Supervisor, CLFP Alan Stoinski, Energy Services Specialist, CLFP Donna Beaman, Supervisor of Energy Efficiency and Marketing, CLFP Jane France, Sundahl, Powers Kapp and Martin, LLP, Local Counsel for CLFP Wendy Moser, Vice President of Regulatory Affairs, CLFP Brandon Dittman, Internal Regulatory Affairs, CLFP Walter Eggers, Holland &Hart, LLP, Counsel for MGTC, Inc. Rob Oyler, President, WANRack, LLC Douglas Law, Senior Counsel, Black Hills Corporation (by telephone) Jim Dillon, Manager of Energy Efficiency DSM Implementation Program, Black Hills Corporation (by telephone) Matt Cinquanti, Vice President Utility Programs, Smart Watt Energy, Inc. (Small Business Direct Install consultant) (by telephone) Art Olson, Business Development Director Utility Programs, Smart Watt Energy, Inc. (by telephone) Mark Stege, Vice President of Operations, CLFP Lisa Seaman, Resource Planning Project Manager, Black Hills Corporation (by telephone) Office of Consumer Advocate (OCA): Chris Leger Commission Staff (CS): Michelle Bohanan, John Burbridge, Art Schmidt, Don Biedermann, and Chris Petrie REGULAR AGENDA 1. Docket No. 70244-1-TA-14 (Record No. 13882). Application of WANRack, LLC for a Certificate of Public Convenience and Necessity (CPCN) to provide local telecommunications services in Wyoming. Commission to consider and act on Application and Petition for Confidential Treatment of WANRack, LLC’s Financial Statements (Petition). Art Schmidt, CS, provided a technical Memo dated July 28, 2014. Rob Oyler, WANRack’s President, explained the application to obtain Competitive Local Exchange Carrier (CLEC) status and stated the Company would construct and lease fiber
12

WYOMING PUBLIC SERVICE COMMISSIONpsc.state.wy.us/htdocs/minutes/Aug2014Minutes.pdfDonna Beaman, Supervisor of Energy ... Jim Dillon, Manager of Energy Efficiency DSM Implementation

Mar 12, 2018

Download

Documents

phungcong
Welcome message from author
This document is posted to help you gain knowledge. Please leave a comment to let me know what you think about it! Share it to your friends and learn new things together.
Transcript
Page 1: WYOMING PUBLIC SERVICE COMMISSIONpsc.state.wy.us/htdocs/minutes/Aug2014Minutes.pdfDonna Beaman, Supervisor of Energy ... Jim Dillon, Manager of Energy Efficiency DSM Implementation

WYOMING PUBLIC SERVICE COMMISSION

Minutes of Regular Open Meeting

Thursday, August 7, 2014

1:30 p.m.

Commissioners: Chairman Alan B. Minier

Deputy Chairman William F. Russell

Commissioner Kara Brighton

Jane Montoya, Energy and Customer Operations Director, Cheyenne Light Fuel

& Power Company (CLFP)

Vicky Penaflor, Customer Service Supervisor, CLFP

Alan Stoinski, Energy Services Specialist, CLFP

Donna Beaman, Supervisor of Energy Efficiency and Marketing, CLFP

Jane France, Sundahl, Powers Kapp and Martin, LLP, Local Counsel for CLFP

Wendy Moser, Vice President of Regulatory Affairs, CLFP

Brandon Dittman, Internal Regulatory Affairs, CLFP

Walter Eggers, Holland &Hart, LLP, Counsel for MGTC, Inc.

Rob Oyler, President, WANRack, LLC

Douglas Law, Senior Counsel, Black Hills Corporation (by telephone)

Jim Dillon, Manager of Energy Efficiency DSM Implementation Program,

Black Hills Corporation (by telephone)

Matt Cinquanti, Vice President Utility Programs, Smart Watt Energy, Inc.

(Small Business Direct Install consultant) (by telephone)

Art Olson, Business Development Director – Utility Programs, Smart Watt

Energy, Inc. (by telephone)

Mark Stege, Vice President of Operations, CLFP

Lisa Seaman, Resource Planning Project Manager, Black Hills Corporation (by

telephone)

Office of Consumer Advocate (OCA): Chris Leger

Commission Staff (CS): Michelle Bohanan, John Burbridge, Art Schmidt,

Don Biedermann, and Chris Petrie

REGULAR AGENDA

1. Docket No. 70244-1-TA-14 (Record No. 13882). Application of WANRack, LLC for

a Certificate of Public Convenience and Necessity (CPCN) to provide local

telecommunications services in Wyoming. Commission to consider and act on

Application and Petition for Confidential Treatment of WANRack, LLC’s Financial

Statements (Petition). Art Schmidt, CS, provided a technical Memo dated July 28, 2014.

Rob Oyler, WANRack’s President, explained the application to obtain Competitive Local

Exchange Carrier (CLEC) status and stated the Company would construct and lease fiber

Page 2: WYOMING PUBLIC SERVICE COMMISSIONpsc.state.wy.us/htdocs/minutes/Aug2014Minutes.pdfDonna Beaman, Supervisor of Energy ... Jim Dillon, Manager of Energy Efficiency DSM Implementation

Open Meeting Minutes Thursday, August 7, 2014 Page 2

optic networks for schools served by CenturyLink. Oyler also stated WANRack intended

to offer private line (IP and non-IP) services in Wyoming in the future. Deputy Chairman

Russell asked Oyler to clarify what services it was proposing to provide that required a

CPCN. Oyler reiterated the initial need is to allow WANRack to attach equipment and

material to existing CenturyLink poles associated with installation of fiber-optics in

schools located in the Douglas, Wyoming area. Schmidt asked if WANRack anticipated

a move to traditional switched access services in addition to the services it was providing

to the schools. Oyler responded that WANRack wants to be able to offer full services in

Wyoming. Oyler further explained WANRack would like to give customers the option of

paying only one provider for telecom and data. Schmidt asked if the construction will be

self-financed. Oyler said it would be initially, but because construction is capital

intensive, at some point the company would have to take on debt to finance future projects.

There were no further questions or comments. John Burbridge, Commission Counsel,

recommended approval of the application and granting of the Petition by Order only,

effective immediately. Deputy Chairman Russell moved to act as recommended,

Commissioner Brighton seconded the motion and Chairman Minier concurred.

2. Docket Nos. 30003-63-GA-14 & 30013-292-GA-14 (Record No. 13913). Application

of MGTC, Inc., for authority to serve a customer outside of its designated service area

of Montana-Dakota Utilities Company (MDU), the TA Ranch located in the southwest

quarter of section 2 township 48 north, range 82 west, Johnson County, Wyoming.

Commission to consider and act on application. Don Biedermann, CS, provided a

technical Memo dated August 1, 2014. Walter Eggers, MGTC’s local counsel, explained

MGTC is seeking authority to provide natural gas service to one customer, TA Ranch,

located within MDU’s service area. He stated MDU would have to provide a pipeline of

approximately two miles to serve TA Ranch. Eggers stated MGTC, the customer, and

MDU executed a Memorandum of Understanding in order for MGTC to provide service to

TA Ranch through MDU’s service area. Commissioner Brighton asked if Cheyenne

Light, Fuel & Power Company (CLFP) supports the proposed service because the transfer

of MGTC from Anadarko to CLFP is pending with the Commission. Eggers responded

yes, CLFP has communicated it is in agreement with the proposed resolution. Steve Mink,

Commission Counsel, recommended approval of the application by Order only, effective

immediately. Deputy Chairman Russell moved to act as recommended, Commissioner

Brighton seconded the motion and Chairman Minier concurred.

3. Docket Nos. 20003-137-ET-14 and 30005-186-GT-14 (Record No. 13817).

Application of Cheyenne Light, Fuel and Power Company for approval of Demand

Side Management Program changes for Year 4 Tariffs and Cost Recovery

Mechanism. Commission to consider approval of the Company’s Small Business

Direct Install (SBDI) program and Petition for Confidential Treatment of Confidential

Information (Petition). Don Biedermann and Michelle Bohanan, CS, provided a

technical Memo dated August 1, 2014. Donna Beaman, CLFP’s Supervisor of Energy

Efficiency and Marketing, explained the Company was following up on its May 22nd

request for approval to continue offering energy efficiency programs using the Small

Business Direct Install program (SBDI). She stated the SBDI program is intended to

increase CLFP customer participation. She stated CLFP submitted documents on June

Page 3: WYOMING PUBLIC SERVICE COMMISSIONpsc.state.wy.us/htdocs/minutes/Aug2014Minutes.pdfDonna Beaman, Supervisor of Energy ... Jim Dillon, Manager of Energy Efficiency DSM Implementation

Open Meeting Minutes Thursday, August 7, 2014 Page 3

16th providing details about SBDI and responding to staff questions. Deputy Chairman

Russell asked for clarification as to who would be paying for the installs. Beaman

responded that once SmartWatt, CLFP’s proposed SBDI contractor, has permission to

install, the customer will be provided with an agreement showing total project cost. She

said SmartWatt will invoice CLFP up to a maximum of 60% of the total cost and the CLFP

customer will be responsible for the balance. Art Olson, SmartWatt’s Business

Development Director, explained if a customer audit finds code or safety deficiencies, the

cost of repairing those issues will be the customer’s responsibility, solely. Commissioner

Brighton asked for a step by step explanation of the payment calculations, which Beaman

provided. Brighton also asked about the status of the contract with SmartWatt. Beaman

stated no contract would be completed or signed without Commission approval. Brighton

then asked about the term of the intended contract with SmartWatt. Beaman replied the

contract would terminate at the end of December 2015. Brighton asked about the

mechanism for recouping original investment costs if SmartWatt defaulted on the contract.

Beaman said the contract did not include a clause addressing that issue, but that one could

be added. There were no further questions or comments. Lori Brand, Commission

Counsel, recommended approval of the application and granting of the Petition, by Order

only, effective immediately. Deputy Chairman Russell moved to act as recommended,

Commissioner Brighton seconded the motion and Chairman Minier concurred.

4. Docket No. 20003-102-ET-08 (Record No. 12017). Application of Cheyenne Light,

Fuel and Power Company to extend the voluntary renewable energy rider tariff.

Commission to receive information regarding the ordered review of the renewable

energy rider program and take such action as the public interest may require. Wendy Moser, CLFP’s Vice President of Regulatory Affairs, provided drafts of the

proposed tariff rider and explained the tariff will allow customers to support using

renewable energy beyond merely being a customer of a renewable energy friendly utility.

Moser said due to the Commission’s past concerns about conflicting information on the

company’s website and language in the current tariff, CLFP was working with Bonneville

Environmental Foundation (Bonneville) to market its Renewable Energy Credits (REC).

Moser said Bonneville’s proposal was for CLFP to charge $1.24 per REC, which is

reflected in its proposed tariff effective October 1, 2014. She explained that in 18 months,

CLFP would reevaluate the market price for the RECs, update the tariff price and use a

balancing account to balance the costs and revenues associated with the program. Moser

said references to the proposed tariff in the current Purchase Power Cost Adjustment tariff

(PCA) will be eliminated. Deputy Chairman Russell asked if approval of the tariff was

expected today. Moser responded that CLFP was only seeking comments, not approval

of the tariff at this meeting. Russell also asked if participation was still low and if the new

tariff would encourage participation. Moser replied the Company will only purchase

enough RECs to meet customer interest. Commissioner Brighton asked if there was a

balancing account in the previous tariff and Moser said no. However, she explained that

all net revenues flowed through to the PCA account and the tariff accounted for how the

revenue was rolled into the PCA. With the proposed tariff projecting out the RECs and

estimated purchases, Moser stated CLFP would need balancing account language to keep

track of REC purchases. Brighton asked about administrative costs. Moser responded

those costs would not change. Michelle Bohanan, CS, asked about the location of

Page 4: WYOMING PUBLIC SERVICE COMMISSIONpsc.state.wy.us/htdocs/minutes/Aug2014Minutes.pdfDonna Beaman, Supervisor of Energy ... Jim Dillon, Manager of Energy Efficiency DSM Implementation

Open Meeting Minutes Thursday, August 7, 2014 Page 4

Bonneville’s renewable energy projects and if Bonneville provides reports about the

projects it has invested. Moser said Bonneville chose the projects and that it reported

information about the projects on its website. Bohanan further asked about the timeframe

for the Company to purchase RECs. Moser answered that CLFP could buy them now for

availability on October 1. Moser stated no further solicitation was anticipated until 2016.

Bohanan asked what would happen if CLFP ran short of RECs and Moser said they could

buy more. Russell asked what happens to the current customers paying more than the

proposed price and Moser said the price would drop for them. He confirmed the new price

would show on their bill in addition to them receiving a copy of the tariff filing notice.

There were no further questions or comments. No action was required by the

Commission.

Prepared by: Barbara Tomlinson

Date of Next Open Meeting: August 12, 2014

APPROVED and ACCEPTED by the Commission on September 2, 2014.

_________________________________

Chairman Alan B. Minier

Page 5: WYOMING PUBLIC SERVICE COMMISSIONpsc.state.wy.us/htdocs/minutes/Aug2014Minutes.pdfDonna Beaman, Supervisor of Energy ... Jim Dillon, Manager of Energy Efficiency DSM Implementation

WYOMING PUBLIC SERVICE COMMISSION

Minutes of Regular Open Meeting

Tuesday, August 12, 2014

1:30 p.m.

Commissioners: Chairman Alan B. Minier

Deputy Chairman William F. Russell

Commissioner Kara Brighton

Crystal McDonough, Pathfinder Law Offices, LLC, Local Counsel for

Northern Laramie Range Alliance (NLRA)

Wade Hirschi, Chief Financial Officer, Lower Valley Energy, Inc. (LVE)

Christine Mikell, President, Wasatch Wind

Brent Kunz, Hathaway & Kunz, P.C., Local Counsel for Rocky Mountain

Power (RMP) (by telephone)

Bruce Griswold, Director of Short Term Marketing & Research, PacifiCorp

(by telephone)

Daniel Solander, Senior Counsel for RMP and PacifiCorp (by telephone)

Stacy Splittstoesser, Senior Regulatory Analyst, Cheyenne Light Fuel &

Power (CLFP) and Black Hills Power (BHP) (by telephone)

Nic Stoffel, Holland & Hart, LLP, Local Counsel for Pioneer Wind Park I,

LLC (by telephone)

Commission Staff (CS): John Burbridge, Chris Petrie, Lori Brand, Marci

Norby, and Don Biedermann

REGULAR AGENDA

1. Docket No. 10012-60-CA-14 (Record No. 13819). Application of Lower Valley

Energy, Inc. (LVE), for approval of its Prepaid Meter payment option. Commission

to consider and act on Application. Don Biedermann, CS, provided a technical Memo

dated May 7, 2014. Wade Hirschi, LVE’s Chief Financial Officer, generally described

LVE’s application. He also explained how technological innovations and the use of

“smart meters” have improved prepaid programs. He stated the prepaid program option

provides its customers with more control and payment options. Hirschi addressed staff

concerns about notification of low account balances or disconnections. He stated that the

customer’s in-home device will indicate a low balance and an email will be sent. He said

customers will only be disconnected Monday through Friday, but not on holidays. Hirschi

explained power reconnects will typically take about 10 minutes once a customer restores

a positive balance. Deputy Chairman Russell expressed concern that LVE’s tariff is in

direct violation of the Commission rule 242 which conforms to Public Utility Regulatory

Policies Act (PURPA) procedures for service disconnections. Commissioner Brighton

noted LVE’s tariff will likely need to be revised due to the upcoming changes in

Commission rules. Chairman Minier expressed his appreciation that LVE has worked

with staff to redefine language in the Prepaid Power Agreement regarding customer

notification and disconnection. He said he is inclined to approve the program under the

Page 6: WYOMING PUBLIC SERVICE COMMISSIONpsc.state.wy.us/htdocs/minutes/Aug2014Minutes.pdfDonna Beaman, Supervisor of Energy ... Jim Dillon, Manager of Energy Efficiency DSM Implementation

Open Meeting Minutes for Tuesday, August 12, 2014 Page 2

condition that future changes to the tariff must be made to conform to any rule changes.

Deputy Chairman Russell proposed a trial period before fully approving the application.

Hirschi explained the expense of a trial period is not warranted if LVE is not assured of

being able to go forward with the program. There were no further questions or comments.

Lori Brand, Commission Counsel, recommended approval of the application as amended

with [1] the updated Prepaid Power Agreement; [2] updated notification language

regarding disconnection; [3] to include the Commission’s toll free number; and [4]

including a commitment by the Company to provide a status report of the program in one

year, by Order only, effective immediately. Chairman Minier moved to act as

recommended, adding he would like to hear of any difficulties arising from disconnections.

Commissioner Brighton seconded the motion and Deputy Chairman Russell abstained with

the comment that while he believes the program is good, he is concerned about the non-

conforming disconnect policy in LVE’s tariff to Commission rules.

2. Docket No: 20000-450-EK-14 (Record No. 13843). Application of Rocky Mountain

Power (RMP) for approval of its Power Purchase Agreement between PacifiCorp and

Pioneer Wind Park I. Commission to consider and act on:

a. Pioneer Park I, LLC’s Brief in Support of Confidential Treatment for Certain

Provisions in the Power Purchase Agreement (Brief)

b. Northern Laramie Range Alliance Response to Pioneer Wind Park I, LLC’s Brief in

Support of Confidential Treatment for Certain Provisions in the Power Purchase

Agreement (Reply Brief).

Lori Brand, Commission Counsel, began this item with a procedural matter. She stated

that Nic Stoffel’s Motion for Admission Pro Hac Vice was filed after this agenda was

published and suggested the Commission consider granting his Motion for purposes of this

proceeding and placing the Motion on the next open meeting agenda. Chairman Minier

moved to act as recommended, Deputy Chairman Russell seconded the motion and

Commissioner Brighton concurred.

With regard to the docketed item, Nic Stoffel, Pioneer Wind Park’s local counsel,

explained when RMP originally filed its Petition for Confidential Treatment (Petition) in

May, 2014, NLRA opposed the Petition. NLRA’s opposition prompted the Commission

to ask RMP to review its Purchase Power Agreement (PPA) and identify specific items that

warranted confidential treatment as opposed to making the entire PPA confidential. He

explained that seven provisions were identified in the review process and he provided

justification for each of those items. Deputy Chairman Russell asked Stoffel to explain

the need for confidential treatment of Exhibit H (relating to the list of required permits both

acquired and not yet acquired). Stoffel explained that identifying the list of permits

needed would create an unfair advantage to RMP’s competitors by saving them money or

by interfering with RMP’s permitting process. Commissioner Brighton asked Stoffel to

clarify whether Section 8.2.2 of the PPA and Exhibit 8.2.2 should be confidential and

Stoffel replied just Section 8.2.2. Brighton also asked why Exhibit H should be

confidential if competitors or opponents could request the same information from any

agency processing these permits and Stoffel said keeping Exhibit H would make it more

Page 7: WYOMING PUBLIC SERVICE COMMISSIONpsc.state.wy.us/htdocs/minutes/Aug2014Minutes.pdfDonna Beaman, Supervisor of Energy ... Jim Dillon, Manager of Energy Efficiency DSM Implementation

Open Meeting Minutes for Tuesday, August 12, 2014 Page 3

difficult for RMP’s competitors. Chairman Minier questioned whether Exhibit H required

confidential treatment and asked for additional justification. Stoffel explained the

competitive advantage created by disclosure of the list of permits to its competitors which

saves them money and, as such, there is value to RMP in having Exhibit H being

confidential. Crystal McDonough, NLRA’s local counsel, argued the provisions do not

meet the requirements for confidential treatment and referred to the Wyoming Public

Records Act (WPRA) and the federal Freedom of Information Act (FOIA). She argued

that RMP has not shown evidence that there would be substantial competitive injury or any

realized competition by denying RMP’s Petition. She also argued that RMP failed to

identify its competitors that should be denied access to the information for which

confidential treatment was requested. Chairman Minier disagreed with her argument that

a party must identify its competitors in a petition for confidential treatment. McDonough

also claimed the Commission had an advantage in seeing confidential information. Minier

stated access to this information is a duty and an obligation of the Commission, not an

advantage, and the Commission has never required competitors to be named and it is not

going to require such disclosures now. Brighton asked McDonough if she agreed that the

Commission has the responsibility and discretion to review the briefs and determine

whether the information should be protected. McDonough agreed but continued to restate

her previous arguments. Deputy Chairman Russell moved to grant the Motion with the

exception of Paragraph F (Exhibit 3.2.8 (voluntarily withdrawn)), and Paragraph E (Exhibit

H (8.4.1)), Commissioner Brighton seconded the motion, and Chairman Minier concurred.

Prepared by: Robin Hoskins

Date of Next Open Meeting: August 19, 2014

APPROVED and ACCEPTED by the Commission on September 2, 2014.

______________________________

Chairman Alan B. Minier

Page 8: WYOMING PUBLIC SERVICE COMMISSIONpsc.state.wy.us/htdocs/minutes/Aug2014Minutes.pdfDonna Beaman, Supervisor of Energy ... Jim Dillon, Manager of Energy Efficiency DSM Implementation

WYOMING PUBLIC SERVICE COMMISSION

Minutes of Regular Open Meeting

Tuesday, August 19, 2014

1:30 p.m.

Commissioners: Chairman Alan B. Minier

Deputy Chairman William F. Russell

Commissioner Kara Brighton

Commission Staff (CS): John Burbridge and Lori Brand

CONSENT AGENDA

1. Undocketed: Open meeting minutes for review by the Commission for the regular open

meetings of June 10, July 1, and July 8, 2014 as prepared by Barbara Tomlinson.

2. Docket No: 80007-36-WR-14 (Record No. 13909). Application of Vista West Water

Company for a general rate increase in the amount of $78,692.69 per annum. Commission

to consider issuance of a Special Order Authorizing One Commissioner and/or Hearing

Examiner to Conduct Public Hearing. Commission Advisory Staff: John Burbridge.

3. Docket No: 20000-450-EK-14 (Record No. 13843). Power Purchase Agreement between

Rocky Mountain Power/PacifiCorp and Pioneer Wind Park I. Commission to consider

and act on Motion for Admission for Pro Hac Vice of Nikolas S. Stoffel. Commission staff:

Lori Brand and Dave Walker.

Chairman Minier introduced the consent agenda items. For Items 2 and 3, John

Burbridge, Commission Counsel, recommended approval by Order only, effective

immediately. Deputy Chairman Russell moved to act as recommended, Commissioner

Brighton seconded the motion and Chairman Minier concurred. For Item 1, Deputy

Chairman Russell moved to approve the Minutes as written, Commissioner Brighton

seconded the motion and Chairman Minier concurred.

Prepared by: Barbara Tomlinson

Date of Next Open Meeting: August 26, 2014

APPROVED and ACCEPTED by the Commission on September 4, 2014.

_________________________________

Chairman Alan B. Minier

Page 9: WYOMING PUBLIC SERVICE COMMISSIONpsc.state.wy.us/htdocs/minutes/Aug2014Minutes.pdfDonna Beaman, Supervisor of Energy ... Jim Dillon, Manager of Energy Efficiency DSM Implementation

WYOMING PUBLIC SERVICE COMMISSION

Minutes of Regular Open Meeting

Thursday, August 28, 2014

1:30 p.m.

Commissioners: Chairman Alan B. Minier

Deputy Chairman William F. Russell

Commissioner Kara Brighton

Tammy L. Chatfield, Regulatory Affairs Senior Manager, TW Telecom

Data Services, LLC (by telephone)

Jerrad Hammer, Director - Rates and Regulatory, SourceGas Distribution,

LLC (SourceGas) (by telephone)

Susan Rubner, Associate General Counsel, Regulatory Law, SourceGas (by

telephone)

Gary Abbate, Manager - Rates and Regulatory, SourceGas (by telephone)

Margaret McGill, Manager of Adjustment Clauses, Black Hills Power, Inc.

(by telephone)

Travis Jacobsen, Manager Regulatory Affairs, Montana Dakota Utilities

Co. (MDU) (by telephone)

Commission Staff (CS): Jess Bottom, John Burbridge, Don Biedermann,

Marci Norby, Steve Mink, Chris Petrie, Lori Brand and Art Schmidt.

CONSENT AGENDA

1. Undocketed: Open meeting minutes for review by the Commission for the regular

open meetings of July 10 and 17, 2014, as prepared by Barbara Tomlinson.

Chairman Minier introduced the consent item. Deputy Chairman Russell moved to

approve the minutes as written, Commissioner Brighton seconded the motion and

Chairman Minier concurred.

REGULAR AGENDA

1. Docket No. 70245-1-TA-14 (Record No. 13888). Application of TW Telecom Data

Services, LLC, (Company) for a Certificate of Public Convenience and Necessity to

provide local telecommunications services in Wyoming. Commission to consider

and act on application. Art Schmidt, CS, provided a technical Memo dated August 21,

2014. Tammy L. Chatfield, Regulatory Affairs Senior Manager, presented the application

stating the Company is requesting approval to provide local exchange and interexchange

services in Wyoming. Chatfield explained the Company provides, nearly nationwide,

local exchange, VOIP services, data services and internet access to enterprise and business

customers. The Company is certified in all states except Wyoming and Alaska and does

not serve residential customers. After questioning, Chatfield stated the Company has a

pending merger agreement with Level 3 and the transition, possibly in the 4th quarter, will

Page 10: WYOMING PUBLIC SERVICE COMMISSIONpsc.state.wy.us/htdocs/minutes/Aug2014Minutes.pdfDonna Beaman, Supervisor of Energy ... Jim Dillon, Manager of Energy Efficiency DSM Implementation

Open Meeting Minutes for Thursday, August 28, 2014 Page 2

be seamless to all customers. There were no further questions or comments. Lori Brand,

Commission Counsel, recommended approval of the application by Order only, effective

immediately. Deputy Chairman Russell moved to act as recommended, Commissioner

Brighton seconded the motion and Chairman Minier concurred.

2. Docket No. 30022-232-GT-14 (Record No. 13931). Application of SourceGas

Distribution, LLC (SourceGas) for authority to allow calculation methodology to use

a twelve month forecast period for all future pass-on rate calculations. Commission

to consider and act on application. Michelle Bohanan, CS, provided a technical Memo

dated August 19, 2014. Jerrad Hammer, Director of Rates and Regulatory for SourceGas,

presented the application stating SourceGas met with Staff to determine a different method

to calculate quarterly pass-ons. Hammer explained that adopting a 12 month rolling

forecast period would reduce the magnitude of any increases or decreases due to the

balancing account in future pass-on applications. There were no questions or comments.

Steve Mink, Commission Counsel, recommended approval by Notice and Order, effective

immediately. Deputy Chairman Russell moved to act as recommended, Commissioner

Brighton seconded the motion and Chairman Minier concurred.

3. Docket No. 30022-234-GP-14 (Record No. 13942). Application of SourceGas

Distribution, LLC (Casper Division) for authority to pass on through its commodity

balancing account a decrease of $0.0529 per therm to its pass-on rate [Regulated

Rate] customers. Commission to consider and act on application and petition for

confidential treatment of Exhibit D (Petition). Brittney Brinkmeier, CS, provided a

technical Memo dated August 23, 2014. Gary Abbate, SourceGas’ Manager of Rates and

Regulatory, presented the application stating the Casper Division’s regularly scheduled

pass-on application is comprised of three components: [i] the commodity rate adjustment;

[ii] the surcharge rate adjustment; and [iii] the working gas storage adjustment. Abbate

explained the three components result in a proposed decrease from current rates. There

were no questions or comments. Chris Petrie, Chief Counsel, recommended approving

the application on an interim basis due to the pending Order in Sub 232 and granting the

Petition. Deputy Chairman Russell moved to act as recommended, Commissioner

Brighton seconded the motion and Chairman Minier concurred.

4. Docket No. 30022-235-GP-14 (Record No. 13943). Application of SourceGas

Distribution, LLC (Gillette Division) for authority to pass on through its commodity

balancing account a decrease of $0.1251 per therm to its pass-on rate [Regulated

Rate] customers. Commission to consider and act on application and petition for

confidential treatment of Exhibit D (Petition). Jess Bottom, CS, provided a technical

Memo dated August 23, 2014. Gary Abbate, SourceGas’ Manager of Rates and

Regulatory, presented the application stating the Gillette Division’s regularly scheduled

pass-on application is comprised of two components: [i] the commodity rate adjustment;

and [ii] the surcharge rate adjustment. Abbate explained the two components result in a

proposed decrease from current rates. There were no questions or comments. Chris

Petrie, Chief Counsel, recommended approving the application on an interim basis due to

the pending Order in Sub 232 and granting the Petition. Deputy Chairman Russell moved

Page 11: WYOMING PUBLIC SERVICE COMMISSIONpsc.state.wy.us/htdocs/minutes/Aug2014Minutes.pdfDonna Beaman, Supervisor of Energy ... Jim Dillon, Manager of Energy Efficiency DSM Implementation

Open Meeting Minutes for Thursday, August 28, 2014 Page 3

to act as recommended, Commissioner Brighton seconded the motion and Chairman

Minier concurred.

5. Docket No. 30022-236-GP-14 (Record No. 13944). Application of SourceGas

Distribution, LLC (Torrington Division) for authority to pass on through its

commodity balancing account a decrease of $0.0561 per therm to its pass-on rate

[Regulated Rate] customers. Commission to consider and act on application and

petition for confidential treatment of Exhibit D (Petition). Don Biedermann, CS,

provided a technical Memo dated August 23, 2014. Gary Abbate, SourceGas’ Manager

of Rates and Regulatory, presented the application stating the Torrington Division’s

regularly scheduled pass-on application is comprised of three components:[i] the

commodity rate adjustment; [ii] the surcharge rate adjustment; and [iii] the working gas

storage adjustment. Abbate explained the three components result in a proposed decrease

from current rates. There were no questions or comments. Chris Petrie, Chief Counsel,

recommended approving the application on an interim basis due to the pending Order in

Sub 232 and granting the Petition. Deputy Chairman Russell moved to act as

recommended, Commissioner Brighton seconded the motion and Chairman Minier

concurred.

6. Docket No. 20002-94-EP-14 (Record No. 13921). Application of Black Hills Power,

Inc., (BHP) for authority to pass on to its customers an energy cost adjustment

increase of $0.0032 per kWh. Commission to consider and act on application. Don

Biedermann, CS, provided a technical Memo dated August 22, 2014. Margaret McGill,

BHP’s Manager of Adjustment Clauses, presented the application stating the primary

reason for the increase is its purchased power costs. McGill explained the energy cost

adjustment is calculated annually based on actual delivered energy costs for the 12 month

period ending May 31, 2014, compared to the base year delivered energy costs and includes

an over and under recovery through a balancing account. BHP’s surcharge was designed

to collect any shortfall and accrued interest charges. There were no questions or

comments. John Burbridge, Commission Counsel, recommended approval of the

application by Notice and Order, effective immediately. Deputy Chairman Russell moved

to act as recommended, Commissioner Brighton seconded the motion and Chairman

Minier concurred.

7. Docket No. 30013-293-GP-14 (Record No. 13946). Application of Montana-Dakota

Utilities Co. (MDU) for authority to pass on a wholesale gas cost decrease of $0.717

per Dth for residential, firm general service, small and large interruptible customers,

and a decrease of $0.720 per Dth for seasonal customers. Commission to consider

and act on application, Petition for Confidential Treatment of Exhibit 3a, and Petition

to Implement Rates on less than 30 days’ Notice (Petitions). Jess Bottom, CS, provided

a technical Memo dated August 22, 2014. Travis Jacobsen, Manager of Regulatory

Affairs for MDU, presented the application stating the reason for the proposed change is

due to a decrease in the overall commodity price. Jacobsen requested approval of the

application with an effective date of September 1, 2014, and granting the two Petitions.

There were no questions or comments. Steve Mink, Commission Counsel, recommended

Page 12: WYOMING PUBLIC SERVICE COMMISSIONpsc.state.wy.us/htdocs/minutes/Aug2014Minutes.pdfDonna Beaman, Supervisor of Energy ... Jim Dillon, Manager of Energy Efficiency DSM Implementation

Open Meeting Minutes for Thursday, August 28, 2014 Page 4

approval of the application by Notice and Order, effective immediately, and to grant the

Petitions. Deputy Chairman Russell moved to act as recommended, Commissioner

Brighton seconded the motion and Chairman Minier concurred.

8. Undocketed. Commission to consider issuance of an Order for Examination and/or

Production of Records of Verizon Wireless (Verizon) pursuant to W.S. §§ 37-2-115

and 116 and 37-15-408 to facilitate the audit of the Wyoming Universal Service Fund

by McBride Lock & Associates, LLC and take such action as the public interest may

require. Lori Brand, Commission Counsel, explained that Commission Staff had been in

contact with Verizon regarding their release of random samples of customer bills that

contain CPNI, which is considered confidential pursuant to federal law. Verizon initially

requested an administrative subpoena prior to producing requested customer bills.

However, pursuant to Wyoming statutes, an administrative subpoena is not applicable to

telecommunication companies. After further research, Brand stated that pursuant to W.S.

§§ 37-2-115 and 116, the Commission is allowed to issue an Order for production and

examination of records. Brand discussed this option with Verizon counsel who indicated

they were amenable to receiving an Order from the Commission and would then release

requested records to the auditor. There were no questions or comments. Lori Brand

recommended the Commission issue an Order pursuant to W.S. §§ 37-2-115, 37-2-116 and

37-15-408 to facilitate the production and examination of records. Deputy Chairman

Russell moved to act as recommended, Commissioner Brighton seconded the motion and

Chairman Minier concurred.

Prepared by: Angie Elliott

Next Regular Open Meeting: Tuesday, September 2, 2014.

ACCEPTED and APPROVED by the Commission on September 11, 2014.

_________________________________________

Chairman Alan B. Minier