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Home My WebLink AboutMINUTES - 07221997 - SD7 TO: BOARD OF SUPERVISORS •E..L. Contra PHIL BATCHELOR, COUNTY ADMINISTRATOR FROM: ^1 Costa x : ..1.... County July 8, 1997 DATE: 'V1 REFUND OF APPLICABLE PORTION OF BASIC RATES BY TCI SUBJECT: CABLEVISION (PINOLE SYSTEM). SPECIFIC REOUEST(S)OR RECOMMENDATION(S)&BACKGROUND AND JUSTIFICATION RECOMMENDATION: At the conclusion of the hearing, ISSUE a written decision ordering TCI Cablevision's Pinole System to refund to subscribers the portion of previously paid basic rates in excess of rates permitted by the FCC for the period September 1994 through December 1996 and roll the basic service rates and applicable equipment rates back to those permitted. REQUIRE TCI to submit a revised refund summary to the Cable TV Administrator and to refund the overcharges to subscribers in the form of a one-time rebate within sixty (60) days. FINANCIAL IMPACT: License fees paid on the overcharges collected will need to be reimbursed to TCI (Pinole) by the County. The determined amount will be subtracted from TCI's next 1997 Franchise Fee payment. BACKGROUND: As authorized by the Cable Act, Contra Costa County applied for and was granted certification to regulate basic cable service rates and related equipment October 27, 1993. CONTINUED ON ATTACHMENT: YES SIGN TURE: RECOMMENDATION OF COUNTY ADMINISTRATOR _-RECOMMENDATION OF BOARD COMMITTEE APPROVE OTHER , SIGNATURE(S)• ACTION OF BOARD ON July 22, 1997 _ APPROVED AS RECOMMENDED X _ OTHER _ice The Board of Supervisors CLOSED the public hearing and approved the recommendation as set forth above. VOTE OF SUPERVISORS I HEREBY CERTIFY THAT THIS IS A TRUE X UNANIMOUS(ABSENT -"""---- ) AND CORRECT COPY OF AN ACTION TAKEN AYES: NOES: AND ENTERED ON THE MINUTES OF THE BOARD ABSENT: ABSTAIN: OF SUPERVISORS ON THE DATE SHOWN. ATTESTED 1011 22, 1Q97 Contact: PHI ELOR,CLERK OF THE BOARD OF UPE ORS AND COUNTY A IST OR Dee Trotta, TO Cablevision Stacey Kelley, TCI Cablevision Cable Television Administrator BY D Y rI tine Wamp r Since September 1994, TCI (formerly Viacom) of Pinole has submitted FCC Forms 1200, 1240, and 1210 covering rates charged for the basic service tier and equipment in unincorporated areas of Crockett, Rodeo and San Pablo, Additional records were requested and received supporting the figures stated in those forms. The Cable TV Administrator, with assistance from the County Auditor's Office, evaluated the forms and all supporting records submitted by TCI. The County's time for review of the forms was extended by Board Order and accounting order, as provided in Section 76.933 of the FCC Cable Regulations and an agreement in writing with TCI (formerly Viacom Cablevision) to waive the one year limitation for the FCC to complete its review. The FCC completed its review and as a result the Cable TV Administrator has determined that TCI Cablevision (Pinole) has charged more than the maximum permitted rates for the basic service tier for TCI Cablevision's cable system in unincorporated Contra Costa County. Having notified TCI of the apparent overcharges and having afforded TCI an opportunity to comment, the Cable TV Administrator now recommends that the Board issue the written decision (attached), pursuant to Section 76.936 of the FCC Cable Regulations and Section 58-8.008(g) of the County Ordinance Code, ordering TCI to refund the rates over maximum permitted to subscribers in unincorporated Contra Costa County and roll back their rates to the maximum permitted. Page 2 WRITTEN DECISION ORDERING REFUNDS TO SUBSCRIBERS TCI Cablevision (formerly Viacom Cablevision) having previously submitted to the County FCC Forms 1200, 1240 and 1210 covering rates charged for the basic service tier in unincorporated areas of Crockett, Rodeo and San Pablo; and The above-named licensee having subsequently submitted to the County additional records supporting the figures stated in those Forms, as requested; and The Cable TV Administrator, with assistance from the County Auditor' s Office, having evaluated the Forms and all supporting records submitted by TCI and having prepared a report to the Board; and The County' s time for review of the Forms having been previously extended by Board order and accounting order, as provided in Section 76 . 933 of the FCC Cable Regulations and an agreement in writing with TCI ( formerly Viacom Cablevision) to waive the one year limitation for the FCC to complete its review ; and The Cable TV Administrator having determined that TCI Cablevision (Pinole) has charged more than the maximum permitted rates for the basic service tier for TCI Cablevision' s cable system in unincorporated Contra Costa County, having notified TCI of the apparent overcharges and having afforded TCI an opportunity to comment; and The Cable TV Administrator recommending that the Board issue a written decision, pursuant to Section 76 . 936 of the FCC Cable Regulations and Section 58-8 . 008 (8) of the County Ordinance Code, ordering TCI to refund the rates over maximum permitted to subscribers in unincorporated Contra Costa County and roll back their rates to the maximum permitted; and The Board having considered the recommendation of the Cable TV Administrator, all materials submitted by TCI and any comments offered by TCI or the public; 5D,7 NOW, THEREFORE, the Board DECIDES, ORDERS and DETERMINES as follows : The Board DETERMINES that TCI Cablevision (Pinole) has been given notice and opportunity to comment, as required by Section 76 . 942 (a) of the FCC Cable Regulations; and The Board FURTHER DETERMINES that TCI, to the extent the basic rates charged by TCI (Pinole) during the period from September 26, 1994 through December, 1996 exceed the maximum permitted rates for the basic service tier listed in the attached pages, such basic rates exceed the maximum permitted by law; and Pursuant to Section 76 . 936 of the FCC Cable Regulations and Section 58-8 . 008 (g) of the County Ordinance Code, The Board DECIDES AND ORDERS that TCI (Pinole) refund to subscribers within unincorporated Contra Costa County all excess charges (i .e . , amounts received from subscribers that exceed the maximum permitted rates) during the period from September 26, 1994 through December, 1996; and Pursuant to Section 76 . 940 of the FCC Cable Regulations and Section 58-8 . 008 (8) of the County Ordinance Code, the Board DECIDES AND ORDERS that TCI (Pinole) reduce their basic service tier and/or associated equipment rates where necessary to bring them into compliance with the FCC maximum permitted rates attached; and As required by Section 76 . 942 (e) of the FCC Cable Regulations, the Board FURTHER DECIDES AND ORDERS that the refund shall include interest computed at applicable rates published by the Internal Revenue Service for tax refunds and additional tax payments; and The Board FURTHER DECIDES and ORDERS that the overcharges for each cable system be divided equally among current system subscribers and that appropriate refunds be made within sixty (60) days of the date of this decision by means of a one-time credit specifically identified on the subscriber' s bill for the period from September 26, 1994 through March 31, 1996 and a refund will be paid through a reduction in rates using the Form 1240 process for the period from April 1, 1996 through December, 1996 ; and Page 2 The Board FURTHER DECIDES and ORDERS that TCI Cablevision (Pinole) deliver to the Cable TV Administrator within thirty (30) days of the date of this decision a detailed revised refund summaries providing a monthly breakdown of the overcharges received during the above-described period; and As required by Section 76 . 942 (f) of the FCC Cable Regulations, the Board FURTHER DECIDES and ORDERS that that portion of the license fees that was paid on the total amount of the refunds to subscribers be returned to TCI by means of a deduction from the license fees payable by TCI for fiscal year 1997; and To the extent that the actual rates listed in the attached pages exceed the maximum permitted rates, the Board DISAPPROVES and REJECTS the actual rates; and As required by Section 76 . 936 (b) of the FCC Cable Regulations, the Board FURTHER DECIDES and ORDERS that public notice be given of this decision by posting the attached notice in the County Administration Building and that the text of this decision be released upon request to any interested member of the public. Dated: ATTEST: Phil Batchelor, Clerk of the BOARD OF SUPERVISORS, COUNTY Board of Supervisors and County OF CONTRA COSTA Administrator By: By: Deputy Clerk Board Chair Page 3