RES-8379 Ordering Refunds and Setting Rates for Basic Cable Television ServiceRESOLUTION NO. 8379
A RESOLUTION OF THE CITY COUNCIL OF THE CITY
OF ORANGE ORDERING REFUNDS AND SETTING RATES
FOR BASIC CABLE TELEVISION SERVICE IN
ACCORDANCE WITH FEDERAL COMMUNICATIONS
COMMISSION FORM 393.
WHEREAS 1 The City of Orange (the "City") was certified by
the Federal Communications commission (the "Commission") to
regulate the basic service tier and associated equipment on
October 14, 1993; and
WHEREAS, the city provided written notice of said
certification to Cablevision of Orange (the "0perator") on
December 14, 1993; and
WHEREAS 1 the City has adopted rules and procedures with
respect to the regulation of the basic service tier and
associated equipment which are consistent with the regulations
prescribed by the Commission; and
WHEREAS 1 the Commission has ordered two basic service tier
rate reductions 1 the first such order through a series of rate
regulations which are calculated by completion of the
Commission's Form 393; and
WHEREAS 1 on December 14, 1993, the City delivered a written
request to the Operator to file its Form 393 schedule of rate for
the basic service tier and associated equipment; and
WHEREAS, the Operator filed Form 393 with the City on
January 12, 1994; and
WHEREAS, on February 7, 1993, the city issued an order
pursuant to Section 76.933(b) of the rules and regulations of the
Commission stating that it was unable to determine based upon the
materials submitted by the Operator that the existing or proposed
rates were within the Commission's permitted basic service tier
charge or actual cost of equipment and that the City was tolling
the thirty-day deadline found in Section 76.933(a) of
the Commission's rules and regulations for the purpose of
requesting and/or considering additional information or to consider
the comments from interested parties for an additional ninety
days;
and WHEREAS 1 pursuant to an agreement between the Operator
and the city, the rate review process for Form 393 was extended
until September 30, 1994;
and WHEREAS, on May 10, 1994, the City issued an
accounting order pursuant to Section 76.933(c) of the Commission's rules
and regulations requiring the Operator to keep an accurate account
of all amounts received by the Operator by reason of the rates
and charges for the basic service tier and associated equipment
in effect from September 1, 1993, to July 14, 1994, as found in
FCC Form 393 received January 12, 1993, and to keep full and
accurate records indicating on whose behalf such amounts were
paid: and
WHEREAS 1 the Operator has been provided with a copy of the
Consultant's report and a copy of the report is on file with the
City for public viewing: and
WHEREAS 1 the City has given proper notice of this hearing
pursuant to section 76.935 of the Commission's rules and
regulations 1 and Government Code Section 6066: and
WHEREAS 1 the City has provided a reasonable opportunity for
the consideration of the views of interested parties: and
NOW THEREFORE, BE IT RESOLVED by the City Council of the
City of Orange as follows:
section 1. That the rates and charges for the basic service
tier and converter box in effect from September 1, 1993 to July
14, 1994, as identified on the FCC Form 393 dated January 12,
1994 were unreasonable within the meaning of Section 76.941 in
that said rates and charges do not comply with 47 U.S.C. Section
453 and sections 76.922 and 76.923 of the Commission's rules and
regulations for the reasons and grounds as contained in the
Consultant's report 1 all of which are incorporated into this
Resolution by reference as if fully stated herein.
section 2. That the Operator is hereby ordered to reduce
and modify the rates and charges for the basic service tier and
associated equipment in effect from September 1, 1993, to July
1994, pursuant to the schedule of rates set forth on Exhibit "A"
of this Resolution.
section 3. That the Operator is hereby directed and ordered
to refund to subscribers for any accounts collected since
September 1, 1993, to July 14, 1994, in excess of the rates
prescribed herein 1 as well as interest thereon 1 in a manner
consistent with section 76.942(d) of the Commission's rules and
regulations within thirty (30) days of the date of this
Resolution and to provide the city with written evidence of
compliance within sixty (60)) days of adoption of this
Resolution.
section 4. That should the Operator appeal the city's rate
determination to the commission 1 the City Council does grant an
automatic stay of the execution of this refund ordered. Such
stay does not constitute a change in the effective date or
implementation date of this Resolution, nor does it constitute an
endorsement of the rates in effect from September 1, 1993, to
July 14, 1994.
section 5. That the city Clerk is hereby directed to post a
copy of this Resolution in such place or places as city notices
are normally posted and to make copies of this written decision
available to the public at the office of the city Clerk during
normal business hours.
Reso No. 8379 2-
ADOPTED this 23rd day of August, 1994.
A~
T~&~ci ty Cle 0 he" City of Orange
GENE BEYER
Mayor of the City of Orange
Y~~
ayor Pro Te
ATTEST:
I hereby certify that the foregoing Resolution was duly and
regularly adopted by the City Council of the City of Orange at a
regular meeting thereof held on the 23 rd of August, 1994, by the
following vote:
AYES:
NOES:
ABSENT:
COUNCI L MEMBERS: SPURGECN, BARRERA, COONTZ, MURPHY
COUNCIL MEMBERS: NONE
COUNCIL MEMBERS: MAYOR BEYER
QQ,~/
ci y Cler of the ~y of Orange
DAD:dg Reso No. 8379
3-
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EXHIBIT A
DETERMINATION O~ MAXIMUM PERMITTED RATES
September 1, 1993 - July 14, 1994 Pro9ramminq
Services
cablevision 1"&
Permitted
Rate
Difference
Basic Cable
Service Tier 11. 20 10.82 0.38 EquiDment Rental
Addressable Converter
Box 1. 83 0.17
0.44
1. 83
0.00
0.01
0.00
Remote 0.
17 0.45
Converter BoxInstallationCharges
Installation/Unwired
Home $44.16 $44.16 $0.00 rnstallation/Prewired
Home $44.16 $44.16 $0.00 Additional Outlet
at Time of Initial
Installation $15.05 $15.05 $0.00 Additional Outlet
Requirinq Separate Installation $
22.09 $22.09 $0.00 Hourlv Service
Charae 29.11 29.11 0.00 I