GPSC news [Vol. 12, no. 4 (Fall 2012)]

Georgia Public Service Commission

GPSC News Fall

Fall

2012

2012

Volume 11 Issue 4 *Hearings held in Taylor,

Commission Listens to Rural

Chickamauga and Ringgold *Rate increases requested

Telecommunications Consumers

*Customers oppose any

increase

T *Rate case proceedings held
August 14

he Commission listened to custom-

In this issue

ers of three rural telecommunications compa-

More Budget Cuts Looming 2 nies during public com-

ment hearings in Taylor

Telecom Rate Case Proceeding Held

on August 9, and in

3 Chickamauga

and

Ringgold, Georgia on Au-

gust 13. The hearings

were part of the Com-

Natural Gas Team Visits Pipeline Construction Sites

4

mission's rate case proceedings involving Public

Service Telephone Com-

Natural Gas Team Visit

5 pany, Chickamauga Tel-

ephone Company and

Ringgold

Telephone

A standing room only crowd in Chickamauga

Natural Gas Team Visit

Company in Docket

35568.

Public officials from all All five Commissioners

6 Local citizens packed the three jurisdictions also attended the hearings.

packed the rooms where attended and expressed As expected, the consum-

the meetings were held. their opinions to the ers and officials unani-

Commission.

(Continued on page 3)

Employee News

7

Commission Approves Nuclear Plant

Commission Calendar 8 Vogtle Construction Monitoring Report

Next Issue February 2013

The Commission

August 21 approved the

Sixth semi-annual Plant

Vogtle

Construction

Monitoring Report. The

Commission unanimous-

ly adopted a Commis-

sion staff recommenda-

tion to verify and ap-

prove the Company's

filed

expenditures

through the period end-

ing December 31, 2011

Construction Underway

and to continue the Project as beneficial to the Company's ratepayers. In the Commission's certification of the construction Project on March 17, 2009, the Company agreed to file semi-
(Continued on page 2)

PAGE 2

GPSC NEWS

VOLUME 10 ISSUE 2

Governor Issues Budget Directives

T he budget cutting for state downside of cutting the PSC agencies is apparently not budget you may want to recon-

Echols in Macon

over. The Governor's Office of sider further cuts particularly

Planning and Budget issued during the coming year when the

budget instructions on July 1, PSC is faced with several major

2012 that direct all state de- proceedings with issues worth

partments, agencies and com- $100s of millions to Georgia rate-

mission to input budget sub- payers."

missions for the Amended FY The proposed cut would be about

2013 and FY 2014 budgets with $258,000 to the Commission's

three per cent state funding current budget.

reductions. In the meantime, Commissioner Lauren "Bubba" McDonald, Jr. sent a letter to Governor Deal on August 17 asking that the Governor reconsider budget cuts to the Commission. "Bearing in mind the potential

If you have a story for the next GPSC News, please send to Bill Edge, bille@psc.state.ga.us. Next issue deadline is October 15, 2012.

C ommissioner Tim Echols takes part in a news conference in Macon on August 21. Bibb County officials held a ribbon cutting for the installation of an electric vehicle charging station at the Bibb County Courthouse.

Commission Approves Vogtle Expenses

(Continued from page 1)

annual monitoring reports with

the Commission. Plant Vogtle is

the country's first new nuclear

power construction project in 30

years.

"For this reporting period, Geor-

gia Power is not seeking any

changes to the schedule or cer-

tified budget amount of $6.113

billion," Echols.

said Commissioner Tim "If and when they do

bring changes in future I'll scrutinize it closely."

periods,

In this Report, the Company

acknowledges potential cost increases associated with certain design changes made by the Consortium during the Design Control Document review process. However, the Company continues to state that the project is more favorable for customers than originally anticipated at the time of the Certification given the impact of cost savings from the Department of

Energy's Loan Guarantee, Production Tax Credits and the Construction Work in Progress in rate base. The Company will file its Seventh Semi-annual Vogtle Construction Monitoring Report on August 31, 2012 for the period ending June 30, 2012. In other action, the Commission issued a Notice of Proposed Rulemaking (NOPR) in Docket 35537 that would re-

quire telecommunications carriers that offer the subsidized service under the Lifeline program to charge a minimum monthly service fee of $5 after application of the Lifeline discount. Comments on the NOPR are due to the Commission by September 20, 2012. The Commission is tentatively scheduled to adopt this rule at its October 2, 2012 Administrative Session.

Commission on YouTube
S ee Georgia Public Service Commission videos on YouTube, at www.youtube.com, on the Commission channel, GaPSC. Follow the Commission on Twitter at #GPSC.

VOLUME 10 ISSUE 1

GPSC NEWS

PAGE 3

Commission Holds Telecom Hearings

Commission listens during meeting in Ringgold

State Senator Jeff Mullis speaks to the Commission in
Chickamauga

Winford Long speaks to the Commission during the hearing in
Ringgold

(Continued from page 1)
mously opposed any increase in their local telephone rates. Senator Jeff Mullis (RChickamauga) told the Commissioners any increase in local telephone rates would hurt economic development in their area and

other elected officials echoed similar comments. Telephone customers also packed the Catoosa County Courtroom in Ringgold to voice their concerns about any proposed rate increases for Ringgold Telephone Company.

Many speakers noted Ringgold Telephone's active community involvement and their service following the devastating tornado in April 2011. The Commission also held a public comment hearing in Taylor on August 9.

Commission Holds Hearings in Telecommunications Rate Cases

T he Commission held the first hearings on telecommunications rates in almost 20 years on August 14 in Docket 35068. The cases involve whether rates charged by three companies are just and reasonable and are comparable to the statewide average. The three companies are Public Service Telephone

Mark Baxter, attorney for cable companies, questions a witness

Company, Chickamauga Telephone Corporation and Ringgold Telephone Company. Witnesses for all parties testified during the day long proceeding. The Commission is scheduled to issue a decision in this docket at its October 2, 2012 Administrative Session.

Staff and Budget Analysts Visit Plant Vogtle
C ommission staff and budget analysts from the Office of Planning and Budget got a first hand look at the construction underway at the Nuclear Plant Vogtle construction site on August 22. In the photo are Staff members Blair Tinch, Bill Edge, Terry Pritchett and Earnest Whatley.

Facilities Protection Recognized
M ore kudos for our Facilities Protection Unit, this time from the Tennessee Regulatory Authority. The TRA Comptroller's Performance Audit relative to Pipeline Safety recently recognized Georgia's Pipeline Safety Program as one of the nation's "model damage prevention programs."

PAGE 4

GPSC NEWS

VOLUME 10 ISSUE 1

Natural Gas PRP/SRP Audit Team Visits Atlanta Gas Light Company Construction Sites

O n June 13, ral Gas

2012, the Section's

Natuaudit

construction process in the in relation to the contracts

field and

replacement and the majority of the pipe will be "uprated",

team for the Atlanta Gas Light Company's Pipe Replacement

invoices quarterly

reviewed audits.

during

the which means it will have the ability or operate at a higher

Program (PRP) and the Strategic Reinforcement Program (SRP) visited construction sites

Of the four sites visited, the first was the SRP 24-inch steel main project called the Johnson Head-

pressure. The goal is to take the system from a Maximum Allowable Operating Pressure

in the metro audit team

Atlanta area. The is composed of

er project. As this project is

seen in Photo-1, 1.8 miles of re-

(MAOP) of 300 psi to a 546 psi. Portions of the 24" pipeline

Merline Brewer, Janey Chauvet, Bolin Killings, and Tony Wackerly. Keith Brook, Director Con-

placement pipe and 5.8 miles of uprating at an estimated cost of $22.3 million. The total Johnson

system have been certified to a MAOP of 720 psi.

struction Operations McCollumn, Manager

and Ralph Regulatory

Header project is cost $70.8 million.

estimated to The contrac-

Compliance were the AGLC representatives who arranged the site visits. The goal of the site visit was to enhance the audit team's understanding of the

tor performing the work is the Latex Construction Company headquartered in Conyers, Georgia. A portion of the existing 24inch pipe is new construction or

Photo 1

Photo-1 illustrates a picture of

was applied to Tractors fitted with booms will

construction taking place in a

provide protec- move the 24-inch steel pipe

right-of-way that is 50 feet

tion to the sections to the trench. Prior to

across. The 24-inch steel main

weld and the going into the trench, the pipe

is being placed in a trench in

bare steel. The will be wrapped in a yellow

the left side of the picture. The structures in the trench are

Photo 2

grey area on rock sheeting for added proteceither side of tion. If the coating on the steel

called "trench boxes" that pro- the epoxy is the coating applied pipe is damaged, it could lead

tects workers who must per- to the steel pipe after the pipe is to corrosion.

form work in the trench, such manufactured. The pipe in the In Photo-3, one can see where

as welding.

photo is also coated in concrete the 24-inch steel main was

In Photo-2, one can see where to prevent the pipe from floating placed below a creek and has

the 24-inch steel main was or drifting in creek crossings or emerged on the other side.

welded together and an epoxy other wet areas.

AGLC obtained environmental

permits from coated in concrete. One can see

slight bends,

the Georgia En- the makeshift bridge on the

the Latex

v i r o n m e n t a l right used by the heavy equip-

Construction

Protection Divi- ment. The sections of pipe were

Company

sion and the moved to the trench by a trac-

bent sections

Photo 3

U.S. Corps of tor-like vehicle fitted with a Engineers to boom and sling. In Photo-4,

Photo 4

from another

pipe

and

work in creeks, streams, and riv- one can see the length of pipe welded those sections onto the

ers. The Latex Construction Com- that was welded together prior section of pipe that would make

pany had to divert the creek in to being transported to the the turn or bend. This allowed

Photo-3 and then dig a trench for trench. In order to allow the for slight bends in the pipe with-

the pipe. This section of pipe was pipe to make turns or have

(Continued on page 5)

VOLUME 10 ISSUE 1

GPSC NEWS

PAGE 5

Natural Gas PRP/SRP Audit Team Visits Atlanta Gas Light Company Construction Sites

(Continued from page 4)

of 12-inch steel main and a regu- regulator station was being in-

out welding in 90 degree turns, lator station. Latex Construction stalled.

which are not practical for con- Company was the contactor com-

struction and maintenance pur- pleting this installation.

poses.

Photo 7

Photo 7 provides another view of

Photo 5

Photo 6

the 24-inch Cameron shutoff valve and its associated pipe ex-

In Photo 6, one can see a Camer- tension on top.

In Photo 5, the yellow rock on shut-off valve being installed.

sheeting material used to pro- The shut-off value is used to iso-

tect the steel main is visible late the ruptured or damaged

prior to being placed in the pipe in times of emergency and

trench.

when maintenance or construc-

The second location the audit tion is taking place. In Photo 6

team visited was at Powers above the hill and to the left, a Ferry Road. This site consisted

Photo 8

In Photo 8, one can see a Latex This regulator station will be audit team was the PRP Cobb

worker moving 12-inch steel used to "step down" or reduce a Parkway project 12-inch steel

main to a trench where it will MAOP of 546 psi to a MAOP of main replacement. The project

be installed.

300 psi. The system could han- calls for 26,100 feet of 12-inch

dle a MAOP of 720 psi, but the steel main, at an estimated cost

parts of the current system were of $10.5 million.

only tested at 546 psi. Since only

a portion of the system was test-

ed at 720 psi, the entire system

can only operate at 546 psi. The

Photo 9

pipe beyond the regulator station outlet will operate between 300

Photo-9 is a picture of the reg- psi and 125 psi depending on the

ulated station installed by La- seasonal load.

tex Construction Company. The third project visited by the

Photo 10

As seen in Photo 10, the AGLC old steel main is attached to a bridge that crosses over a small creek. Beyond the creek, one can see white trucks of the Benton-Georgia contractors where the directional drilling unit is located. The drilling unit is boring toward the bridge.

Photo 11

Photo 12 Photo 12 shows a water truck

Photo 11 provides another view of pumps water into a pit. The

the bridge and the older steel pump located on the far right is

main that will be replaced.

used to pump recycled drill slur-

(Continued on page 6)

PAGE 6

GPSC NEWS

Natural Gas Team Visits

VOLUME 10 ISSUE 1

(Continued from page 5)

the directional drilling unit next to der to measure the water us-

ry into a tank that supports the U.S. Highway 41 about three age. The contractor has to

directional drilling unit. The direc- miles north of Highway 120. It is pay for the water usage as

tional drilling unit uses bentonite drilling south and when the drill- part of the drilling process, and

as a lubricant in the boring pro- ing is completed, the directional this cost is assessed to AGLC

cess and to pull the new main drilling unit will pull the new main who passes the costs to the

back through the bore hole from back through the bore hole.

natural gas ratepayers.

the opposite end. Electronic de-

vices are used to monitor the po-

sition of the drill (up or down). If

rock is encountered that inhibits

drilling, the rock is excavated and

the drilling will continue from that

Photo 14 shows

point.

Photo 14 the front end of

the directional drilling unit where

Photo 15

it enters the ground. One can see In Photo 15, Benton-Georgia

the water hose attached to the has a trailer with a generator

fire hydrant. A water meter is at- and water tank to support the

In Photo 13,

tached to the fire hydrant in or- directional drilling unit.

one can see Photo 13

The fourth and last project the audit team visited was the PRP Cobb Parkway and Gresham Ave where an 8-inch plastic is being installed by directional drilling method. The project calls for 4,000 feet of 8-inch plastic main at an estimated cost of $1.6 million. This project is about 5 miles north on Highway 41 from the 12 -inch steel main project (third project site visit).

Photo 16
As seen in Photo 16, a directional drilling unit is boring north toward Barrett Parkway.

Photo 17
In Photo 17, a Benton-Georgia contractor is running the directional drilling unit for the 8 inch plastic main replacement.

Photo 18
As seen in Photo 18, BentonGeorgia used a truck with a water tank and other equipment to support the 8-inch plastic main replacement. The boring process and the pulling of main through the

bored hole is the same process that is used in the 12-inch steel main project discussed earlier. In plastic replacement, the special bore head uses a plastic insert that is attached to it and to the new main. If the new main encounters too much resistance while being pulled back through the bore hole, the insert will break. Therefore, the plastic insert protects the new main from damage.

Photo 19
Photo 19 provides a view of the direction the 8-inch plastic main replacement is moving along Highway 41 north toward Barrett Parkway. Along the path of the replacement, AGLC will ensure that shutoff values are in-
(Continued on page 7)

VOLUME 10 ISSUE 1

GPSC NEWS
Employee News

PAGE 7

Get Well

Sympathy

A ngela Hwang in Budget and Fiscal Affairs suffered serious injuries on August 11 following a fall at her home. She underwent surgery on her right

To William Morgan on the death of his father-in-law, Willis Morgan, on August 3. The funeral was held August 6.

ankle August 14.

She is recuperating at home with

limited visits to the office. Please

keep her in your thoughts and prayers as she recovers from the

surgery and other injuries. She already misses being at work and

seeing her friends at the

Commission!

Congratulations
To Bill Edge on the birth of a great-niece, Emery Rose Edge on August 8.

Lifeline Awareness Week in Georgia

L ifeline Awareness Week this Consumers may receive only potential subscribers must year is September 10-16, ONE discount per household that demonstrate their eligibility by

2012. The Commission's focus may be applied to either their showing proof of income or par-

this year is making consumers wire line or wireless service.

ticipation in a qualifying pro-

aware of new eligibility requirements adopted this year by the Federal Communications Commission (FCC). Lifeline will provide eligible consumers with a $9.25 discount on their telecommunications service whether landline or cellular. Lifeline service however, is available only to eligible consumers. Those requirements include:

Federal rules prohibit consum-
ers from receiving more than one Lifeline service.
If a consumer or his or her
household currently has more than one Lifeline discounted service, they must select a single provider immediately or be subject to penalties.
In order to enroll in Lifeline,

gram.
All Lifeline subscribers must
annually re-certify their eligibility. During 2012, all Lifeline subscribers will be contacted by their service provider to reconfirm that they remain eligible in the program. If a subscriber does not reconfirm eligibility, he or she may lose their

Lifeline benefit. "The Commission has taken steps to improve accountability in this program and prevent fraud," said Commission Chairman Tim Echols. "This is important to insure the program remains in place for those who really need it" To sign up, consumers should contact their prospective telecommunications provider. Consumers should be aware than not all providers offer the Lifeline discount and should contact any potential provider be-

fore making a commitment.

situation and ensure the flow

of leaking natural gas is isolat-

ed quickly, as well as to re-

duce the number of customers

affected if a shutoff value is

closed. The frequent shutoff

valves not only limit the num-

ber of potential customers los-

Natural Gas PRP Visits

ing natural gas service, but

they also limit the number of

(Continued from page 6)

relights needed.

stalled with about 7 to 8 services The audit team performs

between each shutoff valve. The quarterly audits of the PRP

goals of the frequent shutoff and SRP program.

valves are to provide a more effi-

cient response to an emergency

PAGE 8

GPSC NEWS

Georgia State Holidays For 2012

Columbus Day

October 8

Veterans Day

November 11

Thanksgiving

November 22

Robert E. Lee's Birthday

November 23

Washington's Birthday

December 24

Christmas

December 25

Georgia State Holidays for 2013

New Year's Day

January 1

Martin Luther King, Jr. Day

January 21

Confederate Memorial Day

April 22

Memorial Day

May 27

Independence Day

July 4

Labor Day

September 2

Columbus Day

October 14

Veterans Day

November 11

Thanksgiving

November 28

Robert E. Lee's Birthday

November 29

Washington's Birthday

December 24

Christmas

December 25

VOLUME 10 ISSUE 1
Commission Calendar
November 2012 1-Committees 6-Administrative Session 15-Committees 20-Administrative Session 22-23-Holiday 29-Committees December 2012 4-Administrative Session 13-Committees 18-Administrative Session 27-Committees January 2013 1--Holiday 2-Administrative Session

Commission Calendar

10-Committees 15-Administrative Session 21-Holiday 31-Committees February 2013 5-Administrative Session 14-Committees 19-Administrative Session

NARUC
Winter Meeting 2013 February 3-6, 2013 Washington, D.C.
Summer Meeting 2013 July 13-17, 2013 Denver, Colorado
Annual Convention 2013 November 17-20, 2013 Orlando, Florida

SEARUC
Annual Meeting 2013 June 9-12, 2013 Asheville, North Carolina
GPSC ONLINE:.psc.state.ga.us

T he Public Information Office publishes GPSC News for the

Georgia Public Service

Commission. Information for

GPSC News should be sent to: Bill

Edge, 244 Washington St. S.W.,

Atlanta, Ga. 30334. Discussion of

regulatory matters

in this

newsletter should not be

construed as legal interpretations

of orders or rules issued by the

Commission.

COMMISSIONERS Tim G. Echols, Chairman Chuck Eaton, Vice-Chairman
H. Doug Everett Lauren "Bubba" McDonald, Jr.
Stan Wise
EXECUTIVE DIRECTOR Deborah Flannagan
EXECUTIVE SECRETARY Reece McAlister