As used in this chapter, the following terms shall have the
meanings indicated:
BASIC SERVICE TIER
The basic service tier shall, at a minimum, include all signals
of domestic television broadcast stations provided to any subscriber
[except a signal secondarily transmitted by satellite carrier beyond
the local service area of such station, regardless of how such signal
is ultimately received by the cable operator(s)]; any public, educational
and governmental programming required by the franchise agreement to
be carried on the basic tier; and any additional video programming
signals or service added to the basic tier by the cable operator(s).
CABLE ACT OF 1992
Cable Television Consumer Protection and Competition Act,
Public Law 102-385, 106 Stat. 1460 (1992).
CABLE OPERATOR(S)
All cable television operators who are party to a franchise
agreement with the franchising authority.
CABLE PROGRAMMING SERVICE
Any video programming provided over a cable television system,
regardless of service tier, including installation or rental of equipment
used for the receipt of such video programming, other than:
A.
Video programming carried on the basic service tier;
B.
Video programming offered on a pay-per-channel or pay-per-program
basis; or
C.
A combination of multiple channels or pay-per-channel or pay-per-program
video programming offered on a multiplexed or time-shifted basis,
so long as the combined service:
(1)
Consists of commonly identified video programming; and
(2)
Is not bundled with any regulated tier of service.
CERTIFICATION
The certification received by the franchising authority from
the FCC, empowering the franchising authority to regulate certain
cable television rates.
COST-OF-SERVICE RATE APPLICATION
A rate application filed in the manner prescribed and on
the forms adopted by the FCC. A cost-of-service rate application may
be submitted by a cable operator(s), in its sole discretion, in support
of its current rates or a proposed rate increase.
CURRENT RATES
Those rates in effect for the basic service tier, and for
the equipment and installation necessary to receive the basic service
tier, existing on the date when the franchising authority notifies
the cable operator(s) that it has received certification.
CUSTOMER SERVICE STANDARDS
Those standards governing customer service which are prescribed
by the FCC and may be enforced by the franchising authority.
FCC
The Federal Communications Commission.
FRANCHISE AGREEMENT
The agreement between one or more cable operator(s) and the
franchising authority, pursuant to which the cable operator(s) was
granted a franchise to offer cable television services to subscribers.
MAXIMUM PERMITTED RATES
Those rates against which all rate applications shall be
measured. The maximum permitted rates shall be determined consistent
with the rules adopted by the FCC.
OPINION
An opinion issued by the franchising authority in response
to any rate application.
ORDER
An order issued by the franchising authority advising the
cable operator(s) and other interested parties of the franchising
authority's intent to take additional time to review and approve
or disapprove any rate application.
PRESCRIBED RATE
The rate prescribed by the franchising authority for the
basic service tier and/or for the equipment and installation necessary
to receive the basic service tier, which may differ from the proposed
rate submitted by the cable operator(s) in a rate application.
RATE APPLICATION
An application on the form adopted by the FCC to be submitted
by the cable operator(s) for approval of its current rates and/or
any proposed increase in the rates for the basic service tier and/or
for the equipment and installation necessary to receive the basic
service tier.
REFUND
Any refund ordered by the franchising authority of rates charged for the basic service tier and/or the rates for the equipment and installation necessary to receive the basic service tier pursuant to the terms contained in §
149-4D(1).
SUBSCRIBER
A customer of the cable operator(s) receiving cable television
service within the geographic boundaries of the franchising authority.
Pursuant to the power and authority granted to the franchising
authority under the Cable Act of 1992, its certification by the FCC
for regulating rates for the basic service tier, the rates for the
equipment and installation necessary to receive the basic service
tier, and other charges which may be regulated by the franchising
authority pursuant to the regulations adopted by the FCC under the
Cable Act of 1992, the franchising authority shall exercise regulatory
power over the rates charged or to be charged to a subscriber for
the basic service tier and for the equipment and installation necessary
to receive the basic service tier applicable to those subscribers
of the cable operator(s).
[Amended 7-18-1994 by Ord. No. 555]
A. Initial procedures.
(1) The cable operator(s) shall give notice to its subscribers within
90 days (or three billing cycles) of the effective date of the rules
adopted by the franchising authority, and to all new subscribers at
the time of installation, of the availability of the basic service
tier.
(2) Each cable operator shall submit a rate application to the franchising
authority for approval of that cable operator's current rates
for the basic service tier and for approval of its rates for the equipment
and installation necessary to receive the basic service tier and for
approval of any proposed rate increase.
(a)
The rate application for approval of current rates for the basic
service tier and the rates for the equipment and installation necessary
to receive the basic service tier shall be filed within 30 days of
notice from the franchising authority to the cable operator(s) that
the franchising authority has been certified by the FCC and has adopted
the regulations required by the FCC for rate regulation.
(b)
The rate application for any proposed increase in rates for
the basic service tier or for the equipment and installation necessary
to receive the basic service tier shall be filed a minimum of 30 days
before the effective date of the proposed increase.
(c)
Included in a rate application shall be such information as
is set forth in the application form adopted by the FCC.
(d)
The cable operator(s) shall submit any relevant information
as is permitted by FCC rules, as contained on the application and
worksheets adopted by the FCC for rate applications, and which the
cable operator(s) would like the franchising authority to consider
in evaluating the current rates for the basic service tier and/or
for the equipment and installation necessary to receive the basic
service tier, and/or in evaluating any proposed rate increase of those
same items.
(e)
If the current rates for the basic service tier and/or for the
equipment and installation necessary to receive the basic service
tier or any proposed rate increase exceeds the maximum permitted rates,
the cable operator(s) may submit a cost-of-service rate application
in conformity with FCC rules. Only the cable operator(s) may decide
whether to submit a cost-of-service rate application.
(3) The cable operator(s) shall give written notice to its subscribers
that a rate application has been filed at least 30 days prior to the
effective date of any proposed rate increase. Said notice shall provide
the name and address of the franchising authority before whom the
rate application is pending.
(4) The cable operator(s) bears the burden of proof that its current
rates or any proposed rate increase complies with the statutes of
the United States and the regulations of the FCC.
(5) Within 14 days of receipt of a rate application, the franchising
authority shall provide notice in a newspaper of general circulation
within the jurisdiction of the franchising authority, which notice
shall contain at a minimum:
(a)
Notice that the rate application has been received from the
cable operator(s);
(b)
The manner in which interested parties may review and/or obtain
copies of the rate application;
(c)
The effective date of the proposed rate increase, if that is
the subject of the rate application;
(d)
The manner in which interested parties may offer their comments
regarding the rate application;
(e)
The date all comments must be received by the franchising authority;
and
(f)
The date on which the franchising authority must act on the
rate application or the rate application shall have become effective
without action.
(6) Within 30 days of receipt of the rate application, the franchising
authority shall:
(a)
Review the rate application and documentation submitted by the
cable operator(s);
(b)
Compare the current rates or the proposed rate increase submitted
by the cable operator(s) with the maximum permitted rates or with
such other applicable standards as have been adopted and/or approved
by the FCC;
(c)
Consider any public input on the rate application which may
have been provided; and
(d)
Approve, disapprove or seek additional time to consider the
rate application.
(7) If the franchising authority shall fail to either approve, disapprove
or seek additional time to consider the rate application within said
30 days, the rate application shall be deemed approved on the 30th
day after submission.
B. Request for additional time.
(1) Rate application. If the franchising authority is unable to determine
from the rate application, including any supporting documentation
submitted by the cable operator(s), whether the current rates for
the basic service tier and/or for the equipment and installation necessary
to receive the basic service tier and/or the proposed rate increase
are within the maximum permitted rates, the franchising authority
may, in cases not involving cost-of-service showings, take an additional
90 days to consider the rate application.
(a)
The franchising authority shall issue an order and serve the
same upon the cable operator(s) indicating that additional time is
required to consider the rate application. The order shall be issued
prior to the expiration of the 30 days during which the franchising
authority may consider the rate application. Within 10 days of issuance
of such order, the franchising authority shall publish notice in a
newspaper of general circulation within the jurisdiction of the franchising
authority, which notice shall contain a summary of the order, including
the additional time requested and the reason for requesting such additional
time.
(b)
The cable operator may submit such additional information as
it believes will cure any deficiencies in the rate application during
the additional time.
(c)
The franchising authority may require the cable operator(s)
to furnish additional specified information, including proprietary
information, when the current rate or proposed rate increase is in
excess of the maximum permitted rate. When the current rate is equal
to or below the maximum permitted rate, the franchising authority
may only require furnishing of documentation that the rate is within
the maximum permitted rate. Any proprietary information furnished
to the franchising authority shall be retained as confidential and
not disclosed to the public except to the extent required under the
Right to Know Law, 65 P.S. § 67.101 et seq., or any successor
or similar statutes. The cable operators will designate any information
it considers proprietary at the time of submission to the franchising
authority.
(d)
If no decision is issued by the franchising authority at the
expiration of the additional time, the current rates or proposed rate
increase shall become effective, subject to any later refund order
adopted by the franchising authority. Notwithstanding the foregoing,
the franchising authority, in order to later order a refund, must,
within the text of the order, direct the cable operator(s) to keep
an accurate account of all amounts received by reason of the rate
in issue and on whose behalf such amounts were paid.
(2) Cost-of-service rate application. If the cable operator(s) has submitted
a cost-of-service rate application and the franchising authority is
unable to determine whether the current rates for the basic service
tier and/or for the equipment and installation necessary to receive
the basic service tier and/or the proposed rate increase are within
the maximum permitted rates, the franchising authority may take an
additional 150 days to consider the cost-of-service rate application.
(a)
The franchising authority shall issue an order and serve the
same upon the cable operator(s) indicating that additional time is
required to consider the rate application because it is a cost-of-service
rate application. The order shall be issued prior to the expiration
of the 30 days during which the franchising authority may consider
the rate application. Within 10 days of issuance of such order, the
franchising authority shall publish notice in a newspaper of general
circulation within the jurisdiction of the franchising authority,
which notice shall contain a summary of the order, including the additional
time requested, and the reason for requesting such additional time.
(b)
The franchising authority may require the cable operator(s)
to furnish additional specified information, including proprietary
information, when the current rate or proposed rate increase is in
excess of the maximum permitted rate. When the current rate is equal
to or below the maximum permitted rate, the franchising authority
may only require furnishing of documentation that the rate is within
the maximum permitted rate. Any proprietary information furnished
to the franchising authority shall be retained as confidential and
not disclosed to the public except to the extent required under the
Right to Know Law, 65 P.S. § 67.101 et seq., or any successor
or similar statutes. The cable operators will designate any information
it considers proprietary at the time of submission to the franchising
authority.
(c)
If no decision is issued by the franchising authority at the
expiration of the additional time, the current rates or proposed rate
increase shall become effective, subject to any later refund order
adopted by the franchising authority. Notwithstanding the foregoing,
the franchising authority, in order to later order a refund, must,
within the text of the order, direct the cable operator(s) to keep
an accurate account of all amounts received by reason of the rate
in issue and on whose behalf such amounts were paid.
(d)
Notwithstanding anything to the contrary contained in this chapter,
the franchising authority may, pursuant to a petition for special
relief filed with the FCC, request the FCC to examine a cable operator's
cost-of-service rate application, and such procedures and deadlines
as specified by rule or order of the FCC shall control.
C. Decision of the franchising authority.
(1) The franchising authority shall issue a written opinion when:
(a)
The rate application is not approved, in whole or in part, by
the franchising authority.
(b)
The rate application is approved by the franchising authority
over the objection(s) of any interested party.
(2) The franchising authority may, but is not required to, issue a written
opinion when the rate application is approved and there have been
no objections filed.
(3) Within 10 days of issuance of an opinion, the franchising authority
shall provide notice in a newspaper of general circulation within
the jurisdiction of the franchising authority, which notice shall
contain at a minimum that:
(a)
The franchising authority has reached a decision on the rate
application, and announcing that decision;
(b)
The manner in which interested parties may review and/or obtain
copies of the opinion;
(c)
The right of interested parties to take an appeal from the opinion
of the franchising authority; and
(d)
The deadline for taking any such appeal.
(4) Notice of the opinion of the franchising authority shall be provided
to the cable operator(s) by mail within seven days of issuance.
D. Disapproval of the rate application.
(1) Rate reduction.
(a)
Current rates. If the franchising authority shall issue an opinion
disapproving the current rates of the cable operator(s) for the basic
service tier or for rates for the equipment and installation necessary
to receive the basic service tier, the franchising authority may order
a reduction in the current rates for the basic service tier and/or
for the equipment and installation necessary to receive the basic
service tier. The prospective rate adjustment may be set at:
[1] A level consistent with the FCC adopted maximum permitted rates;
[2] Another rate, based on review of a cost-of-service rate application;
or
[3] Another rate consistent with FCC rules.
(b)
Proposed rates. If the franchising authority shall issue an
opinion disapproving of any proposed rate increase, the franchising
authority may:
[1]
Prescribe a reasonable rate to be charged by the cable operator(s)
instead of the proposed rate. The prescribed rate may not be lower
than the maximum permitted rate unless a cost-of-service rate application
has been submitted by the cable operator(s) and the franchising authority
determines that the cost-of-service analysis justifies a lower rate;
or
[2]
Advise the cable operator(s) of a rate level to which it would
not object if a modified rate application were resubmitted.
(2) Refunds. The franchising authority may order a refund if:
(a)
The cable operator failed to comply with a rate decision by
the franchising authority. The refund period may be retroactive to
the effective date of the rate order issued by the franchising authority.
(b)
The franchising authority determines in its initial review of
the current rates that they exceed the maximum permitted rates and
are unsupported by a cost-of-service rate application. In such instance,
the refund period may be retroactive to September 1, 1993, or one
year prior to the date on which the cable operator(s) implement(s)
the prospective rate adjustment, whichever is shorter.
(c)
The franchising authority: 1) has issued an order permitting
it to take an additional 90 or 150 days to consider a rate application;
and 2) has directed the cable operator(s) to keep an accurate account
of all amounts received by reason of the rate in issue and on whose
behalf such amounts were paid; but 3) failed to issue an opinion during
that time period, causing the rates to become provisionally effective,
and the franchising authority later finds all or a portion of the
rates to be unreasonable. In such instance, the refund period may
be retroactive to the date of the order and ending on the date of
which the cable operator(s) implements the prospective rate reduction,
or one year, whichever is shorter.
(3) Before any refund order shall become effective, the franchising authority
must send notice to the cable operator(s) and provide said cable operator(s)
a maximum of 30 days to submit additional information to the franchising
authority as to why the refund should not be ordered. At the end of
said period, the franchising authority shall either confirm, amend
or rescind said refund order.
(4) Refunds shall include interest computed at applicable rates published
by the Internal Revenue Service for tax refunds and additional tax
payments.
(5) If any proposed rate increase has gone into effect due to inaction
of the franchising authority or the failure of the franchising authority
to issue an order stating a need for additional time, the franchising
authority has no right to order a refund.
(6) Any violation of any order issued hereunder shall be considered a
violation of this chapter.
Appeals of all rate-making decisions by the franchising authority
may be taken to the FCC by the cable operator(s), subscribers or other
interested parties:
A. Appeals must be filed within 30 days of the date of public release
of the franchising authority's opinion.
B. Oppositions to an appeal must be filed within 15 days after the filing
of the appeal and must be served on the party appealing.
C. Replies to oppositions shall be filed within seven days of the filing
of an opposition and served on all parties.