Northwestern Bell Tel. Co., Application of, No. 13624

CourtSupreme Court of South Dakota
Writing for the CourtHURD; FOSHEIM; HENDERSON; HURD, Circuit Judge, for MORGAN; HENDERSON
Citation326 N.W.2d 100
PartiesIn the Matter of the Application of NORTHWESTERN BELL TELEPHONE COMPANY For an Increase in Intrastate Rates.
Docket NumberNo. 13624
Decision Date10 November 1982

Page 100

326 N.W.2d 100
In the Matter of the Application of NORTHWESTERN BELL
TELEPHONE COMPANY For an Increase in Intrastate Rates.
No. 13624.
Supreme Court of South Dakota.
Argued May 20, 1982.
Decided Nov. 10, 1982.

Page 101

Judith A. Atkinson, Asst. Atty. Gen., Pierre, for appellant State; Mark V. Meierhenry, Atty. Gen., Pierre, on brief.

Walter Washington, Asst. Atty. Gen., Pierre, for appellee South Dakota Public Utilities Com'n.

John L. Morgan of Morgan, Fuller, Theeler & Cogley, Mitchell, for appellee Northwestern Bell Tel. Co.; James S. Nelson of Costello, Porter, Hill, Nelson, Heisterkamp & Bushnell, Rapid City, William K. Schaphorst and Melvin R. Quinlan, Omaha, Neb., on brief.

HURD, Circuit Judge.

This is an appeal by the State from an order of the circuit court affirming a decision of appellee South Dakota Public Utilities Commission (PUC) denying appellee Northwestern Bell Telephone Company's (Bell) motion for immediate rate relief. We dismiss the appeal as moot.

On January 30, 1981, Bell filed an application with the PUC for authority to increase its intrastate rates. Simultaneous with said general rate application, Bell filed a motion for immediate rate relief. On June 2, 1981, the PUC allowed the State to intervene. On July 7, 1981, the PUC held an interim hearing on Bell's motion for immediate rate relief. On July 28, 1981, the PUC entered its order denying the motion for the reason that Bell had failed to make a sufficient showing of financial emergency to justify granting its request for immediate rate relief. Both Bell and the State appealed to the circuit court. On

Page 102

November 2, 1981, the circuit court affirmed the action of the PUC. On February 2, 1982, the PUC entered its decision and order disposing of all issues in Bell's application.

The State argues, in opposition to both the PUC and Bell, that the PUC does not have authority to hold hearings for, or have any jurisdiction over, any person or corporation in the matter of interim rate increases. The State argues, in opposition to the PUC, that the PUC did not have authority to apply a "financial emergency" standard to Bell's request for interim rate relief because the PUC had not previously adopted a rule defining such a "financial emergency" standard.

Bell argues, in opposition to the PUC, that the PUC does not have authority to adopt a financial emergency standard for granting interim rate relief. The PUC has filed a motion to strike this contention because it is an affirmative argument seeking reversal of the circuit court's order, and, therefore, is properly arguable only by an appellant, not an appellee.

The PUC argues, in opposition to both the State and Bell, that the instant appeal has been rendered moot by the final action of the PUC on Bell's overall application for a rate increase.

We hold:

1) That while the instant appeal has become moot so far as the instant action is concerned, this court will retain the instant case in order to pass on a question of public interest;

2) That the PUC does have authority to hold hearings for the purpose of considering and acting upon applications for interim rate changes filed by a telephone company under its jurisdiction.

3) That Bell's failure to file a notice of review precludes it from contending that the PUC does not have authority to adopt a financial emergency standard for granting interim rate relief; and

4) That the PUC did not have authority to apply a financial emergency standard to Bell's request for interim rate relief, because the PUC had not previously adopted a rule defining such a "financial emergency" standard.

The decision and order of the PUC entered on February 2, 1982, disposed of all issues in Bell's application, including the issues raised in Bell's motion for immediate rate relief. Thus, the appeal has become moot so far as the instant action is concerned. However, as this Court stated in Stanley County School Dist. v. Stanley County Educ. Ass'n. 310 N.W.2d 162, 163 (S.D.1981), quoting from 5 Am.Jur.2d Appeal and Error Sec. 768 (1962):

[i]t is a well-established rule that an appellate court may retain an appeal for hearing and determination if it involves questions of public interest even though it has become moot so far as the particular action or the prties are concerned.... The decision as to whether to retain a moot case in order to pass on a question of public interest lies in the discretion of the court and generally a court will determine a moot question of public importance if it feels that the value of its determination as a precedent is sufficient to overcome the rule against considering moot questions....

In order for a case to meet this public interest exception three criteria must be met: (1) general public importance, (2) probable future recurrence, and (3) probable future mootness. Stanley County School Dist. v. Stanley County Educ. Ass'n., supra.

The PUC contends that it has the authority to hold hearings for the purpose of considering an interim rate change for a telephone company under its jurisdiction, to consider and act upon an application for such interim rate change, and to set the standards for such interim rate change. The extent of such authority is of general public importance.

While, since July 1, 1981, the PUC must take final action within six months on an application for a rate change or such

Page 103

change will go into effect, SDCL 49-31-14.1, it is probable that interim rate changes will be requested in the future.

Moreover, it is apparent that because of the six-month maximum duration of any interim rate increase, the issues raised by this appeal could never be fully litigated without becoming moot.

Accordingly, we retain the case in order to pass on the extent of the PUC's authority in regard to interim rate changes.

SDCL ch. 49-31 deals specifically with telephone and telegraph service. With respect to the PUC's rate-making powers, SDCL 49-31-4 provides:

The public utilities commission shall have power to fix individual rates as well as to make schedules of maximum rates, including joint rates to be charged by any telegraph or telephone company or companies for the rent of any line or instrument or for the transmission of any message and for any service in connection therewith, and to make such changes therein from time to time as it may deem reasonable or necessary, and it may exercise any other power necessary to a proper supervision and control of such companies (emphasis added).

SDCL 49-31-5 provides:

The public utilities commission shall have authority to regulate the method and manner of conducting the business of transmitting messages by telegraph or telephone and to make, fix, and determine all necessary rules and regulations for the conducting of such business, as well as to fix any and all rates and charges for the transmission of any message by telegraph or telephone or any service in connection therewith, including individual rates as well as schedules of rates, and to change such rates from time to time when in its judgment such change is necessary (emphasis added).

SDCL 49-31-2 declares telephone companies to be common carriers,...

To continue reading

Request your trial
21 practice notes
  • Red Fox v. Hettich, No. 17509
    • United States
    • Supreme Court of South Dakota
    • January 13, 1993
    ...431 N.W.2d 160, 162 (S.D.1988); State v. Howell, 354 N.W.2d 196, 198 (S.D.1984); In re Application of Northwestern Bell Telephone Co., 326 N.W.2d 100, 104 (S.D.1982); Gridley v. Engelhart, 322 N.W.2d 3, 5-6 Nevertheless, both parties (and State, who filed an amicus brief) set out extensive ......
  • State v. Reutter, No. 14612
    • United States
    • South Dakota Supreme Court
    • September 6, 1985
    ...itself in the indictment will satisfy the requirement of fairly informing the defendant of the charge against him. State v. Bingen, 326 N.W.2d at 100. Where this proves inadequate, the indictment must be supplemented with facts sufficient to put the accused on notice of the specific offense......
  • State v. Blackburn, No. 24897.
    • United States
    • Supreme Court of South Dakota
    • May 13, 2009
    ...Bomgaars Supply, 391 N.W.2d 200 (S.D. 1986); Rowett v. McFarland, 394 N.W.2d 298 (S.D.1986); Application of Northwestern Bell Tel. Co., 326 N.W.2d 100 (S.D. 1982)). Therefore, we do not reach the issue of whether all statements in the second interview must be [¶ 9.] In a custodial interroga......
  • State v. Holland, No. 14195
    • United States
    • Supreme Court of South Dakota
    • March 14, 1984
    ...with the requirements of SDCL 15-26A-22 precludes this court from considering the issue. Application of Northwestern Bell Tel. Co., 326 N.W.2d 100 (S.D.1982). In regard to this third conversation, we also note that any discrepancies between the trial court's memorandum decision (which said ......
  • Request a trial to view additional results
21 cases
  • Red Fox v. Hettich, No. 17509
    • United States
    • Supreme Court of South Dakota
    • January 13, 1993
    ...431 N.W.2d 160, 162 (S.D.1988); State v. Howell, 354 N.W.2d 196, 198 (S.D.1984); In re Application of Northwestern Bell Telephone Co., 326 N.W.2d 100, 104 (S.D.1982); Gridley v. Engelhart, 322 N.W.2d 3, 5-6 Nevertheless, both parties (and State, who filed an amicus brief) set out extensive ......
  • State v. Reutter, No. 14612
    • United States
    • South Dakota Supreme Court
    • September 6, 1985
    ...itself in the indictment will satisfy the requirement of fairly informing the defendant of the charge against him. State v. Bingen, 326 N.W.2d at 100. Where this proves inadequate, the indictment must be supplemented with facts sufficient to put the accused on notice of the specific offense......
  • State v. Blackburn, No. 24897.
    • United States
    • Supreme Court of South Dakota
    • May 13, 2009
    ...Bomgaars Supply, 391 N.W.2d 200 (S.D. 1986); Rowett v. McFarland, 394 N.W.2d 298 (S.D.1986); Application of Northwestern Bell Tel. Co., 326 N.W.2d 100 (S.D. 1982)). Therefore, we do not reach the issue of whether all statements in the second interview must be [¶ 9.] In a custodial interroga......
  • State v. Holland, No. 14195
    • United States
    • Supreme Court of South Dakota
    • March 14, 1984
    ...with the requirements of SDCL 15-26A-22 precludes this court from considering the issue. Application of Northwestern Bell Tel. Co., 326 N.W.2d 100 (S.D.1982). In regard to this third conversation, we also note that any discrepancies between the trial court's memorandum decision (which said ......
  • Request a trial to view additional results

VLEX uses login cookies to provide you with a better browsing experience. If you click on 'Accept' or continue browsing this site we consider that you accept our cookie policy. ACCEPT