The following words, terms and phrases, when used in this article,
shall have the meanings ascribed to them in this section, except where
the context clearly indicates a different meaning:
means a programmer with an ownership interest of five percent
or more including general partnership interests, direct ownership
interests, and stock interests in a corporation where such stockholders
are officers or directors or who directly or indirectly own five percent
or more of the outstanding stock, whether voting or nonvoting. Such
interests include limited partnership interests of five percent or
greater.
means, at a minimum, 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
system); any public, educational, and governmental programming required
by the franchise to be carried on the basic tier; and any additional
video programming signals or service added to the basic tier by the
cable operator.
means any person or group of persons who provides cable service
over a cable system within the city under a franchise issued by the
city and who directly or through one or more affiliates owns a significant
interest in such cable system, or who otherwise controls or is responsible
for, through any arrangement, the management and operation of such
a cable system.
includes any video programming provided over a cable system,
regardless of service tier, including installation or rental of equipment
used for the receipt of such video programming, other than:
means the Federal Communications Commission.
means a cable television system that serves fewer than 1,000
subscribers. The service area of a small system is determined by the
number of subscribers that are served by a system's principal headend,
including any other headends or microwave receive sites that are technically
integrated to the system's principal headend.
(Ordinance 1993-69, § 2,
adopted 9/27/1993)
This article shall be construed under and in accordance with
the laws of the state and the Charter and city codes to the extent
that such Charter and codes are not in conflict with or in violation
of the Constitution and laws of the United States or the State of
Texas. All obligations of the parties under this article are performable
in Hidalgo County, Texas. If any proceeding is brought to enforce
the terms of this article, it shall be brought in Hidalgo County,
Texas.
(Ordinance 1993-69, § 21,
adopted 9/27/1993)
A cable operator must provide the following information to subscribers
on monthly bills:
(a)
A statement
substantially the same as the following: The basic service tier rates
and related equipment and installation charges are regulated by the
city. If you have any questions or comments regarding these rates,
you may call or write the city, attn. city manager, P.O. Box 220,
McAllen, TX 78505; and
(b)
The
FCC community unit identifier for the cable system.
(Ordinance 1993-69, § 3,
adopted 9/27/1993)
A cable operator shall not charge a subscriber for any service
or equipment that the subscriber has not affirmatively requested by
name. This provision, however, shall not preclude the addition or
deletion of a specific program from a service offering, the addition
or deletion of specific channels from an existing tier of service,
or the restructuring or division of existing tiers of service that
do not result in a fundamental change in the nature of an existing
service or tier of service, provided that such change is otherwise
consistent with applicable regulations. A subscriber's failure to
refuse a cable operator's proposal to provide such service or equipment
is not an affirmative request for service or equipment. A subscriber's
affirmative request for service or equipment may be made orally or
in writing.
(Ordinance 1993-69, § 4,
adopted 9/27/1993)
(a)
Cable
operators may identify as a separate line item of each regular subscriber
bill the following:
(1)
The
amount of the total bill assessed as a franchise fee.
(2)
The
amount of the total bill assessed to satisfy any requirements imposed
on the cable operator by the franchise agreement to support public,
educational, or governmental channels or the use of such channels.
(3)
The
amount of any other fee, tax, assessment, or charge of any kind imposed
by any governmental authority on the transaction between the operator
and the subscriber. In order for a governmental fee or assessment
to be separately identified under this section, it must be directly
imposed by a governmental body on a transaction between a subscriber
and an operator.
(b)
The
charge identified on the subscriber bill as the total charge for cable
service should include all fees and costs itemized pursuant to this
section.
(Ordinance 1993-69, § 5,
adopted 9/27/1993)
(a)
Generally.
Basic service tier rates are subject to regulation by the city in order to ensure that they are in compliance with the requirements of 47 USC § 543. Rates that are demonstrated, in accordance with this article, not to exceed the initial permitted per channel charge or the subsequent permitted per channel charge, as described in this section, or the equipment charges as specified in section 24-32, will be accepted as in compliance. The maximum monthly charge per subscriber for the basic service tier offered by a cable operator shall consist of a permitted per channel charge multiplied by the number of channels on the tier, plus a charge for franchise fees. The maximum monthly charges for the basic service tier shall not include any charges for equipment or installations. Charges for equipment and installations are to be calculated separately pursuant to section 24-32.
(b)
Initial
permitted per channel charge.
(1)
For
purposes of this section, the initial date of regulation for the basic
service tier shall be the date on which the city gives written notice
to the cable operator that the city has been certified by the commission
to regulate rates for the basic service tier and that Ordinance No.
1993-69, from which this article is derived, has been adopted by the
city.
(2)
For
purposes of this section, rates in effect on the initial date of regulation
or in effect on September 30, 1992, shall be the rates charged to
subscribers for service received on that respective date.
(3)
The permitted per channel charge on the initial date of regulation shall be, at the election of the cable operator, either a charge determined pursuant to a cost-of-service proceeding or the charge specified in subsection (b)(3)a, b, or c of this section, as applicable:
a.
If
the operator's per channel charge for the basic service tier and equipment
in effect on the date of initial regulation is equal to or below the
benchmark per channel charge, as adjusted forward for inflation from
September 30, 1992, to the date of initial regulation, then the permitted
per channel charge shall be the per channel charge in effect on the
date of initial regulation, adjusted for equipment.
b.
If
the operator's per channel charge for the basic service tier and equipment
in effect on the date of initial regulation is above the benchmark
per channel charge, as adjusted forward for inflation from September
30, 1992, until the initial date of regulation, and the operator's
per channel charge for the basic service tier and equipment in effect
on September 30, 1992, was above the benchmark per channel charge,
then the permitted per channel charge is 0.9 of the per channel charge
in effect on September 30, 1992, but no lower than the benchmark per
channel charge, additionally adjusted for inflation from September
30, 1992, to the initial date of regulation, for equipment, and for
any changes in the number of channels offered on the basic service
tiers.
c.
If
the operator's per channel charge for the basic service tier and equipment
in effect on the date of initial regulation is above the benchmark
per channel charge, as adjusted forward for inflation from September
30, 1992, until the initial date of regulation, and the operator's
per channel charge for the basic service tier and equipment in effect
on September 30, 1992, was below the benchmark per channel charge,
then the permitted per channel charge is the benchmark rate per channel
adjusted for inflation from September 30, 1992, to the initial date
of regulation, for equipment, and for any changes in the number of
channels offered on the basic service tier.
(c)
Subsequent
permitted per channel charge.
After the initial date
of regulation, the permitted channel charge for the basic service
tier shall be, at the election of the cable operator, either:
(d)
Price
cap requirements.
(1)
Inflation adjustments.
Permitted per channel charges
for the basic service tier may be adjusted periodically on account
of inflation. Adjustments to permitted per channel charges on account
of inflation shall be based on changes in the Gross National Product
Price Index (GNP-PI) published by the Bureau of Economic Analysis
of the United States Department of Commerce.
(2)
External costs.
Permitted per channel charges for the
basic service tier may also be adjusted for changes in external costs
measured on a per channel per subscriber basis. To the extent external
cost increases are greater or less than the GNP-PI for the relevant
period, the per channel charge will be adjusted accordingly. Per channel
charges may not be increased if external costs other than franchise
fees increase at a rate less than inflation. Permitted per channel
charges also shall be decreased on account of external costs to the
extent such costs decrease from previous levels.
a.
External
costs shall consist of costs in the following categories:
1.
State and local taxes applicable to provision of cable television
service;
2.
Franchise fees;
3.
Costs of complying with franchise requirements, including costs of
providing public, educational, and governmental access channels as
required by the city;
4.
Retransmission consent fees; and
5.
Programming costs.
b.
The
permitted per channel charge for the basic service tier shall be adjusted
on account of programming costs and retransmission consent fees only
for programming or broadcast signals offered on that tier.
c.
The
permitted per channel charge shall not be adjusted for costs of retransmission
consent fees or charges in those fees incurred prior to October 6,
1994.
d.
The
starting date for adjustments on account of external costs for the
basic service tier shall be the initial date of regulation or 180
days from September 1, 1993, if the initial date of regulation occurs
on or after 180 days from September 1, 1993.
e.
Changes
in franchise fees shall not result in an adjustment to permitted per
channel charges, but rather shall be calculated separately as part
of the maximum monthly charge per subscriber for the basic service
tier.
f.
Adjustments
to permitted per channel charges on account of increases in costs
of programming obtained from affiliated programmers shall be the lesser
of actual increases or the previous permitted rate level increased
by the amount of inflation.
g.
Adjustments
to permitted per channel charges on account of increases in costs
of programming shall be further adjusted to reflect any revenues received
by the operator from the programmer.
(Ordinance 1993-69, § 6,
adopted 9/27/1993)
(a)
Scope
of section.
The equipment regulated under this section
consists of all equipment in a subscriber's location that is used
to receive the basic service tier, regardless of whether such equipment
is additionally used to receive other tiers of regulated programming
service and/or unregulated service. Such equipment shall include,
but is not limited to:
(b)
Unbundling.
A cable operator shall establish rates for remote control units,
converter boxes, other customer equipment, installation, and additional
connections separate from rates for the basic service tier. In addition,
the rates for such equipment and installations shall be unbundled
one from the other.
(c)
Equipment
basket.
A cable operator shall establish an equipment basket, which will include all costs associated with providing customer equipment and installation under this section. Equipment basket costs shall be limited to the direct and indirect material and labor costs of providing, leasing, installing, repairing, and servicing customer equipment, as determined in accordance with the cost accounting and cost allocation requirements of section 24-33. The equipment basket shall not include general administrative overhead including general marketing expenses. The equipment basket may include a reasonable profit.
(d)
Hourly
service charge.
A cable operator shall establish charges
for equipment and installation using the hourly service charge (HSC)
methodology. The HSC shall equal the operator's annual equipment basket
costs, excluding the purchase cost of customer equipment, divided
by the total person hours involved in installing, repairing, and servicing
customer equipment during the same period. The purchase cost of customer
equipment shall include the cable operator's invoice price plus all
other costs incurred with respect to the equipment until the time
it is provided to the customer. The HSC is calculated according to
the following formula:
|
HSC
|
=
|
EB - CE
| |
|
H
|
|
Where:
EB = annual equipment basket cost;
CE = annual purchase cost of all customer equipment;
and
H = person hours involved in installing and repairing
equipment per year.
|
(f)
Remote
charges.
Monthly charges for rental of a remote control
unit shall consist of the average annual unit purchase cost of the
type of remote leased, including acquisition price and incidental
costs such as sales tax, financing and storage up to the time it is
provided to the customer, added to the product of the HSC times the
average number of hours annually repairing or servicing a remote,
divided by 12 to determine the monthly lease rate for a remote according
to the following formula:
|
Monthly Charge
|
=
|
UCE + (HSC x HR)
| |
|
12
|
|
Where:
HR = average hours repair per year; and
UCE = average annual unit cost of remote.
|
Separate charges shall be established for each significantly
different type of remote control unit.
(g)
Other
equipment charges.
The monthly charges for rental of
converter boxes and other customer equipment shall be calculated in
the same manner as for remote control units. Separate charges shall
be established for each significantly different type of converter
box and each significantly different type of other customer equipment.
(h)
Additional
connection charges.
The costs of installation and monthly use of additional connections shall be recovered as charges associated with the installation and equipment cost categories, and at rate levels determined by the actual cost methodology presented in subsections (e), (f), and (g) of this section. An operator may recover additional programming costs and the costs of signal boosters on the customer's premises, if any, associated with the additional connection as a separate monthly unbundled charge for additional connections.
(i)
Charges
for equipment sold.
A cable operator may sell customer
premises equipment to a subscriber. The equipment price shall recover
the operator's cost of the equipment, including costs associated with
storing and preparing the equipment for sale up to the time it is
sold to the customer, plus a reasonable profit. An operator may sell
service contracts for the maintenance and repair of equipment sold
to the subscribers. The charge for a service contract shall be the
HSC times the estimated average number of hours for maintenance and
repair over the life of the equipment.
(j)
Promotions.
A cable operator may offer equipment or installation at charges below those determined under subsections (e) through (g) of this section, as long as those offerings are reasonable in scope in relation to the operator's overall offerings in the equipment basket and not unreasonably discriminatory. Operators may not recover the cost of a promotional offering by increasing charges for other equipment basket elements or by increasing programming service rates above the maximum monthly charge per subscriber prescribed by this article. As part of a general cost-of-service showing, an operator may include the cost of promotions in its general system overhead costs.
(k)
Franchise
fees.
Equipment charges may include a properly allocated
portion of franchise fees paid to the city.
(Ordinance 1993-69, § 7,
adopted 9/27/1993)
(a)
Applicability
of section.
The requirements of this section are applicable
for purposes of rate adjustments on account of external costs and
for cost-of-service showings.
(b)
Generally
accepted accounting principles.
Cable operators shall
maintain their accounts in accordance with generally accepted accounting
principles, except as otherwise directed by the city.
(c)
Accounts
required.
Cable operators shall maintain accounts in
a manner that will enable identification of appropriate costs and
application of the city's cost assignment and allocation procedures,
to cost categories necessary for rate adjustments due to changes in
external costs and for cost-of-service showings. Such categories shall
be sufficiently detailed and supported to permit verification and
audit against the company's accounting records.
(d)
Accounting
level.
Except to the extent indicated in subsection (e) of this section, cable operators shall aggregate expenses and revenues at either the franchise, system, regional, or company level in a manner consistent with practices of the operator as of April 3, 1992. However, in all events, cable operators shall identify at the franchise level their costs of franchise requirements, franchise fees, local taxes, and local programming.
(e)
Cost
allocation requirements.
(1)
For
purposes of establishing expenses at the franchise level, cable operators
shall allocate expenses and revenues aggregated at higher levels to
the franchise level based on the ratio of the total number of subscribers
served at the franchise level to the total number of subscribers served
at the higher level.
(2)
Except to the extent indicated in subsections (e)(3) and (4) of this section, all categories of costs allocated to, or identified at, the franchise level shall be allocated to the basic service tier based on the ratio of channels in the basic tier to the total number of channels offered in the franchise area, including nonregulated and leased commercial access channels. These costs shall be allocated to each tier of cable programming services based on the ratio of channels in that tier to the total number of channels offered in the franchise area.
(3)
Costs
of programming and retransmission consent fees, however, shall be
allocated only to the tier on which the programming or broadcast signal
at issue is offered.
(4)
Costs
of franchise fees shall be allocated among equipment and installations,
program service tiers and subscribers in a manner that is most consistent
with the methodology of assessment of franchise fees by the city.
(5)
Costs
of public, educational, and governmental access channels carried on
the basic tier shall be directly assigned to the basic tier where
possible.
(f)
Common
costs.
Expenses which cannot be assigned to any single
expense or service category shall be described as common costs. Common
costs shall be allocated to expense categories as follows:
(1)
Wherever
possible, common costs are to be allocated to service cost categories
based on direct analysis of the origin of the costs themselves.
(2)
When
direct analysis is not possible, common costs shall, if possible,
be allocated to service cost categories based on an indirect, cost-causative
linkage to other costs directly assigned or allocated to the service
cost category.
(3)
When
neither direct nor indirect measures of cost allocation can be found,
common costs shall be allocated to each service cost category based
on the ratio of all costs directly assigned and attributed to a service
cost category over total costs directly assignable and attributable.
(g)
Unrelated
expenses and revenues.
Cable operators shall exclude from cost categories used to develop rates for the provision of basic service tier and equipment any direct or indirect expenses and revenues not related to the provision of such services. Common costs of providing basic service tier and equipment and unrelated activities shall be allocated between them in accordance with subsection (f) of this section.
(h)
Part-time
channels.
In situations where a single channel is divided
on a part-time basis and is used to deliver service associated with
different tiers or with pay per channel or pay per view service, a
reasonable and documented allocation of that channel between services
shall be required along with the associated revenues and costs.
(Ordinance 1993-69, § 8,
adopted 9/27/1993)
(a)
The
costs of satisfying franchise requirements to support public, educational,
and governmental channels shall consist of the sum of:
(b)
The
costs of satisfying any other requirement under the franchise shall
consist of the direct and indirect costs, including a reasonable allocation
of general and administrative overhead.
(Ordinance 1993-69, § 9,
adopted 9/27/1993)
(a)
This
section shall govern charges for any changes in service tiers or equipment
provided to the subscriber that are initiated at the request of a
subscriber after the initial service installation.
(b)
The charge for customer changes in service tiers effected solely by coded entry on a computer terminal or by other similarly simple methods shall be a nominal amount, not exceeding actual costs, as defined in subsection (c) of this section.
(c)
The charge for customer changes in service tiers or equipment that involve more than a coded entry on a computer or other similarly simple method shall be based on actual cost. The actual cost charge shall be either the HSC, as defined in section 24-31, multiplied by the number of person hours needed to implement the change or the HSC multiplied by the average number of person hours involved in implementing customer changes.
(d)
A cable
operator may establish a higher charge for changes effected solely
by coded entry on a computer terminal or by other similarly simple
methods, subject to approval by the city, for a subscriber changing
service tiers more than two times in a 12-month period, except for
such changes ordered in response to a change in price or channel line-up.
If a cable system adopts such an increased charge, the cable system
must notify all subscribers in writing that they may be subject to
such a charge for changing service tiers more than the specified number
of times in any 12-month period.
(e)
Downgrade
charges that are the same as or lower than upgrade charges are evidence
of the reasonableness of such downgrade charges.
(f)
For
30 days after notice of retiering or rate increases, a customer may
obtain changes in service tiers at no additional charge.
(Ordinance 1993-69, § 10,
adopted 9/27/1993)
(a)
A cable
operator shall provide written notice to a subscriber of any increase
in the price to be charged for the basic service tier or associated
equipment at least 30 days before any proposed increase is effective.
The notice shall include a provision stating that protests to such
prices may be filed with the city, attn. city manager, P.O. Box 220,
McAllen, Texas 78505. The notice shall also include a statement that
such protests must be filed with the city no later than 30 days after
the notice is received by the subscriber.
(Ordinance 1993-69, § 11,
adopted 9/27/1993)
A cable operator shall file its schedule of rates for the basic
service tier and associated equipment with the city within 30 days
of receiving written notification from the city that the city has
been certified by the commission to regulate rates for the basic service
tier, or by November 15, 1993, whichever is later.
(Ordinance 1993-69, § 12,
adopted 9/27/1993)
(a)
After a cable operator has submitted to the city for review its existing rates for the basic service tier and associated equipment costs or a proposed increase in these rates (including increases in the baseline channel charge that results from reductions in the number of channels in a tier), the existing rates will remain in effect or the proposed rates will become effective after 30 days from the date of submission to the city. However, the city may toll this 30-day deadline for an additional time by issuing a brief written order as described in subsection (d) of this section within 30 days of the rate submission explaining that it needs additional time to review the rates. The city may, at any time, require the cable operator to produce additional information, including proprietary information, that the city deems necessary in order to make a rate determination. If proprietary information is provided, the provisions of section 24-39 will apply to such information.
(b)
Upon
receipt by the city, the cable operator's submittal shall be available
for public inspection and copying. Comments on the submittal by interested
persons may be submitted in writing or orally at a city council meeting
held at any time during the initial 30-day review period. Written
comments shall be addressed to the city manager, and must be received
prior to the end of the 30-day review period.
(c)
If a
cable operator submits a proposed rate increase for review that appears
to exceed the presumptively reasonable level and does not include
a cost-of-service showing to justify the rate, the city will permit
the cable operator to cure this deficiency and submit a cost-of-service
showing.
(d)
If the city is unable to determine, based upon the material submitted by the cable operator, that the existing or proposed rates are within the permitted basic service tier charge or actual cost of equipment, as defined in sections 24-31 and 24-32, or if a cable operator has submitted a cost-of-service showing pursuant to sections 24-33 and 24-40, seeking to justify a rate above the basic service tier charge, as defined in sections 24-31 and 24-32, the city may toll the 30-day deadline in subsection (a) of this section to request and/or consider additional information or to consider the comments from interested parties as follows:
(1)
For
an additional 90 days in cases not involving cost-of-service showings;
or
(2)
For
an additional 150 days in cases involving cost-of-service showings.
|
The order tolling the effective date of the proposed rate shall explain why the city could not make the necessary determination, and it shall also provide the cable operator an opportunity to cure any deficiencies in its original filing. During the additional time periods provided in this subsection, comments from interested persons may be submitted in writing, as provided in subsection (b) of this section, or orally during at least one city council meeting during the period of abatement.
|
(e)
If the city has availed itself of the additional 90 or 150 days permitted in subsection (c) of this section, and has taken no action within these additional time periods, then the proposed rates will go into effect at the end of the 90- or 150-day periods, or existing rates will remain in effect at such times, subject to refunds if the city subsequently issues a written decision disapproving any portion of such rates. However, in order to order refunds, the city must have issued a brief written order to the cable operator by the end of the 90- or 150-day period permitted in subsection (c) of this section directing the operator to keep an accurate account of all amounts received by reason of the rate in issue and on whose behalf such amounts were paid.
(Ordinance 1993-69, § 13,
adopted 9/27/1993)
(a)
If the
city has required the cable operator to produce proprietary information
under the provisions of this article, the cable operator may submit
therewith a request that such information not be made routinely available
for public inspection. A copy of the request shall be attached to
and shall cover all of the materials to which it applies and all copies
of those materials. If feasible, the materials to which the request
applies shall be physically separated from any materials to which
the request does not apply. If this is not feasible, the portion of
the materials to which the request applies shall be identified.
(b)
Each
such request shall contain a statement of the reasons for withholding
the materials from inspection and of the facts upon which those reasons
are based. If the request is that the materials be withheld from inspection
for a limited period of time, that period shall be specified.
(e)
However,
if a written request for the materials is received by the city pursuant
to the Open Records Act, V.T.C.A., Government Code § 552.001
et seq., the city will notify the person providing the materials of
the request for the materials. If the person providing the materials
requests the city to do so, the city will request an opinion from
the attorney general, pursuant to the Open Records Act, regarding
the public availability of the materials. If the person providing
the materials does not request the city to request an opinion from
the attorney general, the city may, at its option, either request
such an opinion or provide the materials to the public.
(f)
If the
attorney general issues an opinion or letter ruling requiring the
city to make the materials available to the public, the materials
will be made available for public inspection.
(g)
If no
request for confidentiality is submitted, the city assumes no obligation
to consider the need for nondisclosure.
(Ordinance 1993-69, § 14,
adopted 9/27/1993)
(c)
For an existing or a proposed rate for basic service tier that exceeds the permitted tier charge as set forth in sections 24-31 and 24-32, the cable operator must submit to the city a cost-of-service showing to justify the proposed rates. The cost-of-service showing must be in conformance with accounting and cost allocation requirements as adopted and amended by the commission for cable system operators.
(Ordinance 1993-69, § 15,
adopted 9/27/1993)
(a)
Option
1.
(1)
A small system, as defined in section 24-26, may certify that the small system's initial rates for basic service and associated equipment comply with section 24-31. A certification by a small system under this section shall be filed with the city within 30 days of receiving written notification from the city that the city has been certified by the commission to regulate rates for the basic service tier. The certification shall be in writing, shall be signed by the general manager of the system, and shall be verified.
(2)
Such certification shall be subject to verification by the city on its own motion or upon complaint by a subscriber. The city may request additional information from the operator in order to verify the certification. If proprietary information is requested by the city, the provisions of section 24-39 shall control the availability of such information to the public.
(3)
As
used in this section, initial rates shall mean those rates charged
by the small system operator on the date on which the city gives written
notice to the cable operator that the city has been certified by the
commission to regulate rates for the basic service tier and that Ordinance
No. 1993-69, from which this article is derived, has been adopted
by the city.
(4)
If
the city determines that the small system's certification is in error,
it shall so notify the small system operator and shall require the
small system to comply with all filing requirements in this article
for systems that are not small.
(5)
Subsequent
rate filings by a small system operator shall comply in all respects
with the provisions of this article.
(b)
Option
2.
(1)
A small system, as defined in section 24-26, may certify that the small system's rates for basic service and associated equipment, and subsequent rate increases, comply with section 24-31. A certification by a small system under this section for its initial rates shall be filed with the city within 30 days of receiving written notification from the city that the city has been certified by the commission to regulate rates for the basic service tier. Certifications for subsequent rate increases shall be filed with the city at the same time that notice is given to the small system's subscribers of the proposed rate increase, in conformance with section 24-36. All certifications shall be in writing, shall be signed by the general manager of the system, and shall be verified.
(2)
Such certification shall be subject to verification by the city on its own motion or upon complaint by a subscriber. The city may request additional information from the operator in order to verify the certification. If proprietary information is requested by the city, the provisions of section 24-39 shall control the availability of such information to the public.
(3)
If
the city determines that the small system's certification is in error,
it shall so notify the small system operator and shall require the
small system to comply with all filing requirements in this article
for systems that are not small.
(Ordinance 1993-69, § 16,
adopted 9/27/1993)
(a)
The
city shall issue a written decision in a ratemaking proceeding whenever
it disapproves an initial rate for the basic service tier or associated
equipment in whole or in part, disapproves a request for a rate increase
in whole or in part, or approves a request for an increase in whole
or in part over the objections of interested parties. The city is
not required to issue a written decision that approves an unopposed
existing or proposed rate for the basic service tier or associated
equipment.
(Ordinance 1993-69, § 17,
adopted 9/27/1993)
(b)
The
city may prescribe a reasonable rate for the basic service tier or
associated equipment after it determines that a proposed rate is unreasonable.
(Ordinance 1993-69, § 18,
adopted 9/27/1993)
(a)
The city may order a cable operator to refund to subscribers that portion of previously paid rates determined by the city to be in excess of the permitted tier charge or above the actual cost of equipment, unless the operator has submitted a cost-of-service showing which justifies the rate charged as reasonable. Before ordering a cable operator to refund previously paid rates to subscribers, the city shall give the operator notice and opportunity to comment. The operator's opportunity to comment upon the proposed refunds may be at any meeting of the city council during the city's period of review of the operator's rates. If the city has extended its review period under section 24-38, and has issued an accounting order under subsection 24-38(e), then the operator prior to refunds being ordered, may request an opportunity to appear before the city council to comment upon the proposed refunds.
(b)
An operator's
liability for refunds is limited to a one-year period, except that
an operator who fails to comply with a valid rate order issued by
the city shall be liable for refunds commencing from the effective
date of such order until such time as he complies with such order.
(c)
The
refund period shall run as follows:
(1)
From
the date the operator implements a prospective rate reduction back
in time to September 1, 1993, or one year, whichever is shorter;
(d)
The
cable operator, in its discretion, may implement a refund in the following
manner:
(1)
By
returning overcharges to those subscribers who actually paid the overcharges,
either through direct payment or as a specifically identified credit
to those subscribers' bills; or
(2)
By
means of a prospective percentage reduction in the rates for the basic
service tier or associated equipment to cover the cumulative overcharge.
This shall be reflected as a specifically identified, one-time credit
on prospective bills to the class of subscribers that currently subscribe
to the cable system.
(e)
Refunds
shall include interest computed at applicable rates published by the
Internal Revenue Service for tax refunds and additional tax payments.
(Ordinance 1993-69, § 19,
adopted 9/27/1993)
(Ordinance 1993-69, adopted 9/27/1993)
(Ordinance 1993-69, adopted 9/27/1993)
