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51 <br />showing to justify requested and intended increases in the fixed, non -usage based monthly <br />charge. The requested increase was made without a showing that statutorily required <br />conservation policies would not be inhibited. <br />1992 US West Telephone Rate Savings. As of November 1, 1992, residential and business <br />telephone rates for US West Twin City local calling area became equal by class of service <br />throughout the metropolitan area. This PUC action eliminated the tiered telephone rates that were <br />in existence since 1980 and has saved outer Metro suburban ratepayers served by west millions <br />of dollars since its implementation. The US West Tier System charged higher rates for <br />residential and business customers living in the suburban areas. In 1984 the SRA achieved a <br />reduction of one half of the tier ratios. This elimination of the Tier System is a direct result of <br />SRA's intervention and arguments against differentiating telephone rates by geographic location. <br />1992 Municipal Pumping Rate Savings. Together with the City of St. Paul and the Municipal <br />Pumpers Association, SRA efforts consistently maintained pumping class rates at 2-3% below <br />general service class and have continued the municipal puning exemption from the eleven - <br />month demand ratchet rate imposed on commercial -industrial users. The SBA's expert <br />consultant has estimated that avoiding the eleven -month demand ratchet charge alone saves 7.5- <br />10% in annual municipal pumping charges paid to NSP/Xcel. <br />1991 NSP General Rate Filing. The SRA actively intervened in this NSP filing, wherein the <br />PUC rejected NSP's $120,000,000 rate increase request. The SRA focused on the municipal <br />pumpers' rate and street lighting. The SRA has traditionally been the only intervener to seek <br />reduced increases in the municipal pumping rate and has seen consistent success in that effort. <br />1990 US West Incentive Regulation Plan. The SRA actively intervened in the case involving <br />US West's request to be partially deregulated in its local service to residential and business <br />customers. The final order established stable rates for Twin City local telephone customers of US <br />West through August of 1994. US West shared 50% of its revenues above a 13.5% return on <br />equity. <br />1987 Northwestern Bell Extended Area Service Docket. The SRA made significant progress <br />in demonstrating cost inequities in the Twin City Metropolitan Area Northwestern Bell service <br />area. SRA participation in this case helped lay the ground work for the order abandoning the Tier <br />System. <br />1986 Redeliberation on Northwestern Bell Cases. The SRA obtained very substantial <br />reductions in the Tier System ratios. These changes resulted in very significant savings in <br />telephone rates for most SRA business and residential users prior to the elimination of this rate <br />design in 1992. <br />1985 Rate Structure Task Force. The SRA was active in the formulation of funding proposals <br />for the Combined Sewer Overflow ("CSO") projects in the Cities of Minneapolis, St. Paul and <br />South St. Paul. SRA involvement may have limited the pass-through of these costs to member <br />communities. <br />355483v1 JMS SU160-3 <br />