HomeMy WebLinkAboutReso 1995-17948 RESOLUTION NO. 17948
RESOLUTION OF THE CITY COUNCIL OF THE CITY OF CHULA
VISTA, CALIFORNIA PURSUANT TO THE RULES AND
REGULATIONS OF THE FEDERAL COMMUNICATIONS
COMMISSION DISAPPROVING THE EXISTING RATES AND
CHARGES FOR THE BASIC SERVICE TIER AND ASSOCIATED
EQUIPMENT FOR COX COMMUNICATIONS AND APPROVING
COX COMMUNICATIONS' RATE REDUCTION AND REFUND
PLANS
I. RECITALS.
WHEREAS, the City of Chula Vista (the "City") was certified by the Federal
Communications Commission (the "FCC") to regulate the Basic Service Tier, and
associated equipment, which certification was effective on November 12, 1993; and,
WHEREAS, the City provided written notice of said certification to Cox Cable San
Diego, Inc. (the "Operator") on December 10, 1993; and,
WHEREAS, the City has adopted regulations with respect to the Basic Service Tier and
associated equipment that are consistent with the regulations prescribed by the FCC;
and,
WHEREAS, the City has adopted procedural laws and regulations applicable to rate
regulation proceedings which provide a reasonable opportunity for consideration of the
views of interested parties; and,
WHEREAS, the City delivered a written request to the Operator on December 10, 1993
to file its schedule of rates for the Basic Service Tier and associated equipment with
the City; and,
WHEREAS, the Operator filed with the City an FCC Form 393 on January 10, 1994;
and,
WHEREAS, on February 1, 1994, the City notified the Operator pursuant to Section
76.933(b) of the Rules and Regulations of the Federal Communications Commission
that it was unable to determine based upon the materials submitted by the Operator
that the existing or proposed rates were within the FCC'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 FCC'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 (a "Tolling Order"); and,
WHEREAS, on May 3, 1994, the City Council ordered the Operator to keep an
accurate accounting of all amounts received by reason of the rates proposed by
Resolution No. 17948
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Operator on its FCC Form 393 and on whose behalf such amounts were paid (an
"Accounting Order"); and,
WHEREAS, on May 3, 1994, the City Council continued the Public Hearing on the
Operator's FCC Form 393 submittal to June 21, 1994, at the request of the Operator;
and,
WHEREAS, the City reviewed all relevant information including, but not limited to, the
FCC Form 393 dated September 1, 1993; the Report of Public Knowledge, Inc. (the
City's "Consultant") dated March 7, 1994; the letter from the Operator dated May 19,
1994; the letter from the Consultant dated June 6, 1994; the staff reports; and other
relevant written evidence; and,
WHEREAS, the City Council conducted the continued Public Hearing on June 21,1994
and adopted Resolution 17545 disapproving the Operator's rates and charges for the
Basic Service Tier and associated equipment and ordering rate reductions and refunds
retroactive to September 1, 1993; and
WHEREAS, the Operator filed an appeal on August 24, 1994 to the FCC of the City's
June 21, 1994 reduction order; and
WHEREAS, the Operator filed with the City FCC Forms 1200, 1205, 1210, and 1215
on August 15, 1994, and the City subsequently provided the Operator with a Toiling
Order for that submittal on September 9, 1994, and with an Accounting Order on
November 22, 1994; and
WHEREAS, the Operator filed with the City FCC Forms 1210 and 1215 on November
1,1994, and the City subsequently provided the Operator with a Toiling Order for that
submittal on November 22, 1994, and with an Accounting Order on February 15,
1995; and
WHEREAS, the FCC on April 7, 1995 released a Consolidated Order (DA 95-743)
regarding the Operator's August 1994 appeal; and
WHEREAS, since the FCC issued its April 7, 1995 Consolidated Order, the Operator
and City's Consultant have reviewed the Operator's rates and charges since September
1993 for compliance with the applicable FCC benchmark standards and refund
regulations; and,
WHEREAS, the Operator has submitted in June 1995 revised FCC Forms 1200 and
1210 to City and City's Consultant based on the determinations in the FCC's
Consolidated Order; and
WHEREAS, the City has reviewed all relevant information including, but not limited to,
the FCC Forms 393, 1200, 1205, 1210, and 1215 filed by Operator; the Consultant's
reports dated June 12, 1995, February 20, 1995, and January 30, 1995; the
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Operator's letter dated June 15, 1995; the FCC's April 7, 1995 Consolidated Order;
the staff reports; and other relevant written evidence; and,
WHEREAS, the City has now made a final decision upon the appropriateness, or lack
thereof, of the existing rates and charges for the Basic Service Tier and associated
equipment since September 1,1993 as identified on the FCC Forms 393, 1200, 1205,
1210, and 1215.
Ih INCORPORATION BY REFERENCE.
The proceedings and all evidence introduced before City Council on June 21, 1994,
Agenda Item 20, and the minutes and resolution resulting therefrom as well as the
following described items are hereby incorporated into the record of this proceeding:
A. April 7, 1995, Federal Communications Commission's Consolidated Order (DA
95-743);
B. Consultant Public Knowledge, Inc.'s Reports of June 12, February 20, and
January 30, 1995 prepared for the City of Chula Vista; and
C. Operator Cox Cable's June 15, 1995 letter to City of Chula Vista and the
Refund Plan contained therein.
NOW, THEREFORE, THE CITY COUNCIL OF THE CITY OF CHULA VISTA DOES
HEREBY FIND, DETERMINE AND RESOLVE AS FOLLOWS:
SECTION 1. The existing rates and charges for the Basic Service Tier and associated
equipment as identified in the FCC Forms 1200 and 1210 filed August 15,
1994 and Form 1210 filed November 1,1994 are hereby found and determined
not to be reasonable because they are not in compliance with the applicable
FCC benchmark standards and are therefore disapproved in part for the
reasons, and on the grounds, as contained in the Consultants' Reports dated
June 12, 1995, February 20, 1995, and January 30, 1995.
SECTION 2. This Resolution constitutes a written decision within the meaning of Section
76.936 of the FCC Rules and Regulations disapproving the rates implemented
by the Operator on July 14, 1994 pursuant to Operator's August 15, 1994
filing and the rates implemented on April 1, 1995 pursuant to Operator's
November 1, 1994 filing.
SECTION 3. The Operator's refund plan dated June 15, 1995 is hereby approved. Said plan
provides a one-time refund of $3.94 per subscriber, including interest, for Basic
Service tier overcharges net of refund offsets for the period of July 14, 1994
through July 31, 1995. This refund will be credited to subscribers on their
August 1995 bills.
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SECTION 4. The Operator's plan to reduce its monthly rate for Basic Service from $7.64 to
$7.26 effective August 1995 is hereby approved. Said plan is indicated in
Operator's June 15, 1995 letter and in Operator's revised FCC Form 1210
submitted in June 1995,
SECTION 5. The maximum permitted equipment and installation rates as calculated by
Operator in its FCC Form 1205 submitted on March 3, 1995 are approved as
substantially correct. The Operator's plan, as stated in its June 15, 1995
letter, to reduce its equipment and installation rates that are above the
maximum permitted rates and to increase the addressable decoder box rental
rate to the maximum permitted rate, effective August 1995, is hereby
approved.
SECTION 6. Pursuant to the FCC's April 7, 1995 Consolidated Order, it is hereby
determined that a refund is not required of Operator for Basic Service Tier
overcharges from September 1, 1993 through July 14, 1994, as a result of
refund offsets during that period.
SECTION 7. The City Clerk is 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. T'
Presented by Appr ed as to forth by
me~ R. Thomson ' C ('
Br. uce M. Boogaard
City Manager C~ty Attorney
Resolution No. 17948
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PASSED, APPROVED and ADOPTED by the City Council of the City of Chula Vista,
California, this 1 lth day of July, 1995, by the following vote:
YES: Councilmembers: Alevy, Moot, Padilia, Rindone, Horton
NOES: Councilmembers: None
ABSENT: Councilmembers: None
ABSTAIN: Councilmembers: None
Shirl~, Mayor
ATTEST:
Beverly ~. Authelet, City Clerk
STATE OF CALIFORNIA )
COUNTY OF SAN DIEGO ) ss.
CITY OF CHULA VISTA )
I, Beverly A. Authelet, City Clerk of the City of Chula Vista, California, do hereby certify that
the foregoing Resolution No. 17948 was duly passed, approved, and adopted by the City
Council at a regular meeting of the Chula Vista City Council held on the 1 lth day of July
1995.
Executed this 1 lth day of July, 1995.
Beverly/~. Authelet, City Clerk