GPSC news, Vol. 5, no. 2 (Fall 2005)

GPSC
GPSC News

Making Business and Safety Decisions Affecting Tomorrow

Volume 5 Issue 2

Fall 2005

*Low-income senior discount increases to $14 a month *Company will file new case in January 2006 *Fuel Rate will increase $15 per month

In this issue

Commissioners Testify

2

Before Legislative Study

Committee

Commissioner Wise

2

Meets with FCC

Commission takes hear-

3

ings on the road

Commission Decides

3

Atmos Rate Case

Commission Approves

4

Measures for Katrina

Evacuees

Commission Approves

4

BellSouth Detariffing

Commission Reaches Agreement on

Savannah Electric Fuel Case

Low-income senior citizens who are customers of Savannah Electric and Power Company (Company) will see an increase in the discount on their electric bills following the Commission approval November 10 of an agreement in Savannah Electric's Fuel Cost Recovery Case. Under the terms of the agreement, low-income senior citizens will receive a $6.00 fuel charge discount on their monthly bills. Combined with the low-income senior citizen

citizens would receive a $20 total credit on their monthly electric bills. The new fuel cost rate means the typical Savannah Electric residential customer using 1200 kilowatt hours per month will see about a 13 percent increase in their total electric bill beginning with the December billing cycle, an increase of $15 a month. The new rate will allow the Company to collect total estimated fuel costs through November 30,

lect an under recovered balance of an estimated $71.8 million over four years. Other provisions of the agreement include:
Nearly $374,000
in costs has been removed from the Company's request.
The Commission
finds no evidence that any of the Company's fuel costs were imprudent or illegal.
Collection of the

base rate discount, this 2006 of approximately means low-income senior $196 million and to col-

(Continued on page 2)

Commission Approves Savannah Economic Assistance
Commission Names New TRS Provider
Regulators Run in Corporate Challenge
Everett Named to Agrirama Authority
Employee News
State Holidays
Commission Calendar

5

Commission Approves Funds to Help

5

Consumers Pay Gas Bills

T 6

he Commission Octo- which

ber 4 approved the funded.

is federally said, "This is an approCommissioner priate action for the

6 disbursement of $6 mil- Angela Elizabeth Speir Commission and an aclion from the Universal says the Commission tion that will help thou-

Service Fund (USF) to the decision means thou- sands of Georgians. The 7 Department of Human sands of Georgia natural effects of Hurricane

Resources (DHR) to sup- gas consumers will re- Katrina and the rising

8

plement grants from the Low-Income Home Energy

ceive help in paying the expected the higher

demand for natural gas mean many consumers

Assistance

Program than usual natural gas are facing natural gas

8 (LIHEAP). DHR adminis- bills this winter.

bills more than 70 per-

ters the LIHEAP program Commissioner

Speir

(Continued on page 2)

PAGE 2

GPSC NEWS

VOLUME 5 ISSUE 2

Commissioners Testify Before Joint Legislative

Study Committee

C ommissioners testified August 10 before the Joint

Emerging Technologies Study

Committee meeting at the

Capitol. The Legislature created

the Study Committee by Sen-

ate Resolution 298 to examine

new telecommunications tech-

nologies and the Commission

role in their deployment and

development.

Commission Chair Angela

Speir, Commissioners David Burgess and Robert Baker told the legislators that the Commission has no desire to

Commissioners Speir, Burgess and Baker testify at Joint Com-
mittee Hearing

regulate rates and pricing of internet, broadband or Voice over Internet Protocol technolo-

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

gies. However the Commission deadline is January 15, 2006.

believes it should retain some control over consumer and quality of service issues. BellSouth presented their side of the issue, asserting that legislation is needed to reduce regulatory uncertainty in Georgia. The Joint Study Committee will issue its final report in December and is expected to recommend legislation for the upcoming 2006 legislative session.

Savannah Electric Fuel Case
(Continued from page 1)
under recovered balance of $71.8 million will take place over a four year period. The Company will file a new fuel cost recovery request by January 17, 2006 to recover costs due to the increase in natural gas prices. Commission Chair Angela Speir directed the Company to include a proposal for a dis-

count for the low-income disabled in their next fuel case filing. Commissioner David Burgess added that it is time to consider a possible merger of Savannah Electric and Georgia Power as one means to reduce the impact on Savannah Electric customers of recent hikes in the price of fuel. The Company filed this request to increase its fuel rates on August 19, 2005. The Commission held a hearing in Savannah on

the Company's request on October 24, 2005 at the Chatham County Commission offices.

Commission Approves Low Income Assistance
(Continued from page 1)
cent higher than last year." Commissioner Speir is serving as the Commission Chairman this year. In 2002, she became the first woman elected to the Commission and is the first woman to serve as Chairman.

Wise Meets with FCC

Commissioner Stan Wise met with the Federal Communications Commission September 15 in Atlanta. The FCC conducted a listening session in Atlanta to listen to telecommunications companies and experts report on efforts to repair damage by Hurricane

Katrina. The FCC is concerned about the failure of emergency communications in the aftermath of the hurricane.

VOLUME 5 ISSUE 2

GPSC NEWS

PAGE 3

Commission Takes Hearings on the Road

The Commission headed east, south and north during September, October and November to hold hearings in the Atmos Energy base rate case and the Savannah Electric fuel cost rate cases. Commissioners held two days of hearings September 7 and 8 in Columbus to kick off the hearings on Atmos Energy's request for an increase in its base rates. The hearings were held at the Elizabeth Bradley Turner Center at Columbus State University. The local news media, Columbus Ledger Enquirer, WRBL-TV and WTVM-TV also covered the hearings.

Commissioners hear Atmos Rate Case at Brenau University in Gainesville
The Commission continued the hearings in Gainesville on November 3 at Brenau University's John S. Burd Center for

the Performing Arts. The Gainesville Times and WDUN Radio attended. State Representative Carl Rogers spoke to the Commission and voiced his opposition to the rate increase. On October 24, the Commission held a hearing in Savannah on the Savannah Electric request for an increase in the fuel cost recovery rate. The Commission again used the Chatham County Commission chambers at the Old County Courthouse Building. The local media also covered this hearing, including the Savannah Morning News, WSAV-TV and WTOC- TV.

Columbus television stations interview Commissioner Stan Wise at Columbus State University during the Atmos Energy hearing.

Reporter JoAnn Merrigan of WSAV-TV in Savannah interviews Commissioner Angela Speir during a break in the Savannah Electric hearing.

Reporter JoAnn Merrigan interviews Commissioner David Burgess following the Savannah Electric hearing.

Commission Decides Atmos Rate Case
T he Commission November about $.32. The Company will have increased the average 17 by a 3-2 vote approved receive an annual increase in residential bill by about $4.52

a $3.8 million cut in the Atmos base revenues of $345,505.

a month.

Energy Company (Company) The Company's request, filed on C o m m i s s i o n e r D o u g

request to increase its base May 20, 2005, asked for an an- Everett said of the Commis-

rates. The Commission decision nual increase in base revenues sion's decision, "This vote de-

means the average Atmos resi- of $4.022 million (later revised creases the Company's profit

dential customer will see a small to a $4.189 million increase) making ability by lowering

increase in their monthly bill of which the Company said would their Return on Equity to

(Continued on page 5)

PAGE 4

GPSC NEWS

VOLUME 5 ISSUE 2

Commission Approves Measures to Assist

Hurricane Evacuees

T he Commission September 20 approved two measures to assist Hurricane Katrina evacuees in Georgia to establish telephone service and receive low-income discounts under the Lifeline Assistance and Link-Up Georgia programs. The first measure allows BellSouth to waive all installation charges for a 90-day period for evacuees of Hurricane Katrina who have settled in Georgia and want to establish telephone service. The second measure amends the eligibility requirements for the Lifeline Assistance and the

Link-Up program to include

evacuees from the Gulf Region

who received or are receiving

assistance from the Federal

Emergency

Management

Agency (FEMA), the American

Red Cross or the Salvation

Army. Lifeline Assistance pro-

vides up to a $13.50 credit (a

federal credit of $10 and an

additional credit of $3.50 from

BellSouth) on qualified residen-

tial customers' bills in Bell-

South's service area.

Customers in other telephone

companies' service areas re-

ceive the $10 federal credit.

Link-Up Georgia reduces the

cost of having a telephone installed. They are eligible to receive one-half of the connection charge or $30, whichever is lesser, off the cost of having a telephone installed. However, BellSouth credits 100% of the connection charges for its eligible Link-Up customers.

Detariffing Measures Gets Commission Nod

The Commission October 19 unanimously approved a stipulation between its Staff and BellSouth Telecommunications, Incorporated (BellSouth) that provides for the "detariffing" of certain products and services, subject to a number of terms and conditions that ensure continued consumer protection. No party to the proceeding opposed the

stipulation. The decision means BellSouth is no longer required to file and maintain tariffs or promotions for new and most existing retail services, bundles, contracts, and contract service arrangements with the Commission. Previously, BellSouth had been required to file a tariff with the PSC detailing its pricing and promotion changes as well as product

launches and terms and conditions 30 days before they went into effect. Detariffing will remove this requirement from BellSouth. Presently, the tariffs contain the rates, terms and conditions of services provided by the Company. BellSouth says the company will continue to notify customers of any changes and post them on their website at

www.bellsouth.com. BellSouth will notify the Commission Staff and the Consumers' Utility Counsel of any changes to the prices, terms or conditions of its detariffed services. In addition, the Commission will maintain its authority to resolve customers' complaints related o the detariffed services.

Commissioner David Burgess noted, "The Commission recognizes the changes in the telecommunications industry. I hope this decision will allow BellSouth to better

respond to competition and will allow consumers to benefit from better services and reductions in prices." The Commission has the authority to detariff these services under state law found at O.C.G.A. 46-2-23. The Commission decision follows a hearing held on this issue on August 11, 2005.

VOLUME 5 ISSUE 2

GPSC NEWS

PAGE 5

Commission Approves Economic Assistance for Savannah Project

T he Commission September 6 approved nearly $400,000 in economic assistance for a major economic development in the Savannah area. The funds will be distributed from the Universal Service Fund (USF), a fund established by the Natural Gas Competition and Deregulation Act of 1997. The law allows the Commission to use the USF to provide funding for the extension of natural gas lines into unserved areas in the Atlanta Gas Light Company service area. The project will extend an

AGLC natural gas main more than 2,500 feet under the Savannah River from the mainland to Hutchinson Island. The developer says 161 residential units will be developed initially. Commissioner David Burgess who made the motion in support of the funding, said, "This project is a great opportunity for the Commission to do something in the Savannah community." Commissioner Burgess says there are plans to tie an already existing hotel on the island into the pipeline as well as additional contemplated commercial, industrial and residential con-

struction. The Commission's action requires the developer, Savannah Harbor, to contribute $100,000 to the project in order to receive the additional funding of $396,541. Burgess's motion also requires the Company to track the number of units served by the pipeline and make refunds to the USF. Burgess says he believes it is possible the Company will eventually repay the entire amount of the funding back to the USF. Commissioner Stan Wise, who joined Commissioner Bur-

Commission Names New Telecommunications Relay Service Provider

gess and Commissioner Doug Everett in voting for the USF disbursement said, "This is an opportunity to jump start economic growth in Savannah." The Commission voted 3-2 to support the disbursement.

T he Commission September 20 approved the selection of Hamilton Telephone Company as the new provider for the Georgia Telecommunications Relay Service (TRS) effective April 1, 2006. Georgia law requires the Commis-

sion to administer the TRS system which provides telecommunications services for those with hearing and speech disabilities. After consideration of three competing bids, the Commission awarded the TRS contract to Hamilton, an Aurora, Nebraska telecommunications company.

Atmos Rate Decision
(Continued from page 3)
10.125 percent from the current 11.5 percent. This reduction alone decreases the Company's base revenues by more than $636,000 a year saving ratepayers an additional cost on their monthly bills." The Commission also adopted

a motion by Commissioner Angela Speir that the Company establish a program whereby Atmos' Georgia ratepayers are provided with the option on their monthly bills to check a box that indicates that the ratepayer wishes to contribute an additional dollar ($1.00) per month over and above their billed amount. These funds would be distrib-

uted to low income senior ratepayers to assist with the payment of their natural gas bills. The motion requires the Company to file the details of this program with the Commission by December 12, 2005. The Commission decision on the Atmos request follows a six- month hearing process.

PAGE 6

GPSC NEWS

VOLUME 5 ISSUE 2

Commission Team Runs in Kaiser Perma-

nente Corporate Run

F or the fifth consecutive year, the PSC Regulators took part in the annual Kaiser Permanente Corporate Challenge this year on September 15. John Kaduk gets a special thanks for leading the PSC team this year. Race participants say the tent, food and fellowship this year were great. We would also like to thank Monique Pringle (and her lovely little assistant) and Sallie Kempton for pumping up the team before and after the race and Commissioner Stan Wise for providing the team T-shirts. Bolin Killings led the Regulators and was the first one back to the tent. The annual event benefits

The Regulators pose for a pre-race photo before heading down to Turner Field.

charity and draws thousands of employees of metro Atlanta businesses and government organizations. The Regulators taking part included: James Gibson, Sallie Kempton, Monique Pringle, Patrick Reinhartdt, Bolin Killings, John Kaduk, Janey Chavet, Sheree Kernizan, Michelle Thebert, Victoria Taylor, DeLancey Todd, Ann McCulloug, Julia Truss, Tonika Starkes, O'tania Jenkins and Veronica Thomas.

Race par-

ticipants

enjoy

food and

fellowship

at

the

Commis-

sion tent

at

the

Turner

Field race

site.

Commissioner Everett Named to Agrirama Authority

Commissioner Doug Everett has been named to the Georgia Agrirama Development Authority which is headquartered in Tifton, Georgia. Everett has served on the Commission since January 1, 2003.

Previously he served in the Georgia House of Representatives from 1997-2003. Prior to serving as a legislator, Everett served on the Albany Zoning and Planning Board of

Appeals, the Board of Tax Assessors and three terms on the Albany City Commission, including two years as Mayor Pro Tem. Everett earned a bachelor's degree in mathematics from Georgia Southern University.

VOLUME 5 ISSUE 2

GPSC NEWS

Employee News

Carol Metz retired October 31 following ten years service at the Commission in the Personnel Office. Carol says she plans to spend more time with her children and her grandchildren. Friends, family and co-workers gave Carol a send off here at the Commission. The Commission presented her with a plaque for her service and her colleagues presented her with a cash gift of $363 as well as other gifts to bid her farewell.

Retirements
Commissioners Angela Speir and Robert Baker present Carol with a plaque honoring her service at the Commission.

New Employees

John Tucker joined the Commission October 3 as a Staff Attorney and Hearing Officer. John has previously served as a hearing officer at the Commission.

Clare McGuire joined the Commission November 16 as a Staff Attorney. Prior to the Commission, Clare was an attorney with the Consumers' Utility Counsel.

PAGE 7
Co-workers, friends and family enjoy the goodies at Carol's retirement celebration
Pipeline Folks Serve at Locate Rodeo
Pipeline Safety employees Gary Mason, Rob Pace, Bruce Coogler and Jason Smith served as volunteers at the August 6 Locate Rodeo in Atlanta. The Rodeo includes locates for water/ sewer, gas, electric and
communication facilities.

Sympathy

Concerns

Our sympathies go to Nancy Tyer on the death of her brother-in-law, Preston Tyer, who passed away October 29. He was only 51 years old and his death was unexpected. Our condolences go to Danny McGriff on the death of his father, Jeff McGriff, on October 8. The funeral was held in Stockbridge on October 11. Our sympathy goes to John Kaduk on the passing August 8

of his grandfather, Louis Kaduk, of Smithtown, West Virginia. Our sympathy goes to former employee Terri Lyndall on the passing of her father on October 8 and the recent death of her exhusband Mike Lyndall.

We continue to wish a speedy recovery to Bruce Coogler following his stroke September 13. We continue to pray for Ruby Robinson as she battles cancer. We rejoice at Dan Cearfoss' successful surgery in September and at Joyce Lewis' recovery from pneumonia.

PAGE 8

GPSC NEWS

VOLUME 5 ISSUE 2

Commission News
Georgia State Holidays For 2005

Commission Calendar

New Year's Day Martin Luther King, Jr. Birthday Confederate Memorial Day Memorial Day Independence Day Labor Day Columbus Day Veterans Day Thanksgiving Robert E. Lee Birthday Christmas President's Day

January 1 January 17 April 25 May 30 July 4 September 5 October 10 November 11 November 24 November 25 December 26 December 27

November 17-Administrative Session 24-25 Holiday December 1- Committees 6-Administrative Session 15- Committees 20-Administrative Session 26-26 Holiday 29 Committees January2006 2- Holiday 3-Administrative Session

Commission Calendar

12 Committees 16 Holiday 17--Administrative Session February
2 Committees 7Administrative Session 16- Committees 21-Admnistrative Session March

NARUC Annual Convention November 13-16, 2005 Palm Springs, CA
Winter Meeting 2006 February 12-15, 2006 Washington, D.C.

SEARUC June 5-7, 2006 Gulfport, Miss.
GPSC ONLINE: www.psc.state.ga.us

2- Committees 7-Administrative Session 16- Committees

Summer Meeting 2006 July 30-- August 2, 2006 San Francisco, CA

The 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 Angela E. Speir, Chairman
Robert B. Baker, Jr. David L. Burgess H. Doug Everett Stan Wise