92^nd Legislative Session _ 2017

Committee: Senate Commerce and Energy

                                            P - Present
                                            E - Excused
                                            A - Absent

Roll Call
P    Kennedy
P    Kolbeck
P    Netherton
P    Novstrup
P    Tapio
P    Nelson, Vice-Chair
E    Jensen (Phil), Chair

OTHERS PRESENT: See Original Minutes

The meeting was called to order by Stace Nelson, Vice Chair.

MOTION:    TO APPROVE THE MINUTES OF TUESDAY, FEBRUARY 14

Moved by:    Tapio
Second by:    Kolbeck
Action:    Prevailed by voice vote.

MOTION:    SENATE ADVISE AND CONSENT TO THE REAPPOINTMENT OF JAMES E. PUTNAM OF DOUGLAS COUNTY, ARMOUR, SOUTH DAKOTA, TO THE SOUTH DAKOTA LOTTERY COMMISSION

Action:    Defer by Chair

    SB 104: protect certain easement holders and rural customers from shutoffs by certain energy companies.

Presented by:    Senator Bolin
Proponents:    Representative Anderson
        Brett Koenecke, South Dakota Electric Utility Companies

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        Steve Willard, South Dakota Electric Utility Companies
Opponents:    Laura Demman, Northern Natural Gas (Handouts: #1)
Others:    Kristie Fiegen, SD Public Utilities Commissioner

MOTION:    AMEND SB 104

104db

    On the printed bill, delete everything after the enacting clause and insert:

"    Section 1. That the code be amended by adding a NEW SECTION to read:

    Terms used in this Act mean:

            (1)    "Farm tap," a natural gas piping connection made on an easement grantor's property, directly connected to a transmission pipeline, that is made available to a person through a farm tap easement;

            (2)    "Farm tap customer," a person who receives natural gas via a farm tap distribution system;

            (3)    "Farm tap distribution system," a privately owned natural gas pipeline system that branches from a farm tap to deliver natural gas to a farm tap customer; and

            (4)    "Farm tap vendor," any vendor of farm tap distribution system operator services to a farm tap customer or to a natural gas transmission pipeline holding one or more farm tap easements.

    Section 2. That the code be amended by adding a NEW SECTION to read:

    A farm tap easement is an easement for the location, construction, operation or maintenance of a pipeline which includes, as part of the consideration for the easement, the provision of natural gas to and for the use of the grantor through a direct connection to the pipeline.

    Section 3. That the code be amended by adding a NEW SECTION to read:

    The farm tap customer is responsible for the safety and reliability of the farm tap distribution system, unless the farm tap customer has transferred ownership of the farm tap distribution system to a third party pursuant to an agreement which also transfers the responsibility for the safety and reliability of the farm tap distribution system to the third party.

    Section 4. That the code be amended by adding a NEW SECTION to read:

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    The farm tap customer may not extend service from a farm tap distribution system to a third party without the express permission of the transmission or gathering pipeline operator and the farm tap vendor, if any. Farm tap customer service to the third party may be separately metered.

    Section 5. That the code be amended by adding a NEW SECTION to read:

    The farm tap vendor is not liable for damages arising from a farm tap or a farm tap distribution system, unless the damages are solely caused by the negligence of the farm tap vendor.

    Section 6. That the code be amended by adding a NEW SECTION to read:

    The owner of a farm tap distribution system which crosses a property line or a public highway shall register with the one call notification system as an operator pursuant to chapter 49-7A.

    Section 7. That chapter 43-13 be amended by adding a NEW SECTION to read:

    In any action at law, alleging a suspension or cessation of farm tap services under a farm tap easement, a grantor or successor to a grantor of a farm tap easement may receive specific performance as a portion of the remedy from the farm tap easement grantee or its successor."

Moved by:    Netherton
Second by:    Kennedy
Action:    Prevailed by voice vote.

MOTION:    DEFER SB 104 UNTIL TUESDAY, FEBRUARY 21

Moved by:    Netherton
Second by:    Kennedy
Action:    Prevailed by voice vote.

    HB 1045: revise certain provisions regarding credit for reinsurance.

Presented by:    Larry Deiter, Department of Labor and Regulation
Proponents:    Justin Smith, American Council of Life Insurors

MOTION:    DO PASS HB 1045

Moved by:    Kennedy
Second by:    Kolbeck
Action:    Prevailed by roll call vote. (5-1-1-0)

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Voting Yes:    Kennedy, Kolbeck, Netherton, Novstrup, Tapio

Voting No:    Nelson

Excused:    Jensen (Phil)

    HB 1060: provide requirements and standards for insurers' own risk and solvency assessments.

Presented by:    Senator Maher
Proponents:    Justin Smith, American Council of Life Insurors
        Larry Deiter, Department of Labor and Regulation

MOTION:    DO PASS HB 1060

Moved by:    Kolbeck
Second by:    Netherton
Action:    Prevailed by roll call vote. (5-1-1-0)

Voting Yes:    Kennedy, Kolbeck, Netherton, Novstrup, Tapio

Voting No:    Nelson

Excused:    Jensen (Phil)

    HB 1061: revise certain provisions regarding consent for correspondence through electronic mail by enrolled customers of portable electronics.

Presented by:    Senator Cronin
Proponents:    Drew Duncan, Assurion, LLC

MOTION:    DO PASS HB 1061

Moved by:    Kolbeck
Second by:    Netherton
Action:    Prevailed by roll call vote. (7-0-0-0)

Voting Yes:    Kennedy, Kolbeck, Netherton, Novstrup, Tapio, Nelson, Jensen (Phil)

MOTION:    PLACE HB 1061 ON CONSENT CALENDAR

Moved by:    Netherton

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Second by:    Kolbeck
Action:    Prevailed by voice vote.

MOTION:    ADJOURN

Moved by:    Tapio
Second by:    Kolbeck
Action:    Prevailed by voice vote.

Glenda Woodburn

Committee Secretary

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