Resolution 1994-76
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RESOLUTION NO. 94 -76
A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF GILROY PURSUANT TO SECTIONS 76.936,
76.940, 76.941 AND 76.942 OF THE RULES AND REGULATIONS OF THE FEDERAL
COMMUNICATIONS COMMISSION DISAPPROVING FALCON CABLE SYSTEM'S RATES AND CHARGES FOR
THE BASIC SERVICE TIER IN EFFECT FROM SEPTEMBER 1, 1993 TO JULY 14, 1994 AND
ORDERING REFUNDS OF OVERCHARGED AMOUNTS.
WHEREAS, the City of Gilroy (the "City") has been certified by the Federal
Communications Commission (the "Commission", the "FCC") to regulate the Basic
Service Tier, and associated equipment, which certification was effective on
December 29, 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 commission; and
WHEREAS, the Operator has filed with the City its FCC Forms 393 on November
22, 1993; and
WHEREAS, on January 26, 1994, the City issued an order pursuant to Section
76.933(b) of the Rules and Regulations of the Federal Communications commission,
stating that it was unable to determine, based upon 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(b) 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, on April 25, 1994, the City issued an accounting order, pursuant to
Section 76.933(c) of the Rules and Regulations of the Commission, 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 the FCC
Forms 393 dated November 22, 1993, and to keep full and accurate records indicating
on whose behalf such amounts were paid; and
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RESOLUTION NO. 94 - 76
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WHEREAS, the City has reviewed all relevant information, including b~t not
limited to, the FCC Forms 393, the Report of City'S cable television consultant,
The Buske Group, and other relevant written evidence; and
WHEREAS, the City has given proper notice of this hearing pursuant to
Section 76.935 of the Rules and Regulations of the Federal Communications
Commission; and
WHEREAS, the Operator has been provided with a copy of the staff report and
the consultant's reports and has been given the opportunity to comment thereupon;
and
WHEREAS, the City has now made a final decision upon the appropriateness, or
lack thereof, of the rates and charges for the Basic Service Tier and associated
equipment in effect from September 1, 1993 to July 14, 1994, as identified on the
FCC Forms 393.
NOW, THEREFORE, the City Council of the City of Gilroy resolves as follows:
Section 1. The rates and charges for installations, service charges and
equipment associated with the Basic Service Tier in effect between September 1,
1993 and July 14, 1994 as identified in the FCC Form 393 submitted by the Operator
are hereby found and determined to be unreasonable because they are not in
compliance with the applicable FCC rules and standards and are therefore
disapproved for the reasons, and on the grounds, as contained in the Consultant's
Reports dated April 18, 1994 and August 19, 1994, all of which are incorporated
into this Resolution by reference as if fully stated herein.
Section 2.
initial rates for
service charges.
This Resolution constitutes a written decision disapproving the
equipment associated with Basic Service and installation and
Section 3. The Operator is hereby ordered to reduce and modify the rate for
the equipment associated with the Basic Service Tier and installation and service
charges as follows: Addressable Converter--monthly rate reduce to $0.97; Non-
addressable Converter monthly rate reduce to $0.29; Remote Control--monthly rate
reduce to $0.27; Video Control Center--monthly rate reduce to $0.51; Hourly Rate
for Installation and Service reduce to $22.56.
Section 4. The Operator is hereby ordered to provide refunds to subscribers
for any accounts collected since October 17, 1993 to July 14, 1994 in excess of the
rates prescribed herein. The Operator is hereby directed and ordered to provide a
Refund Plan ("Refund Plan") to the City Administrator within thirty (30) days of
the date of this hearing, pursuant to which it proposed to refund to subscribers
rates and charges collected in excess of the rates and charges approved herein. In
addition to the Refund Plan the Operator shall submit written evidence and
documentation demonstrating the reasonableness and appropriateness of said Refund
Plan under the standards set forth in Section 76.942 of the Rules and Regulations
of the Commission. Said Refund Plan shall reflect appropriate interest due to
subscribers pursuant to Section 76.942(e) of the Commission's Rules and
Regulations.
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RESOLUTION NO. 94 - 76
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Section 5. The Operator shall comply with Commission rules and provide to
the City a uniform bulk and commercial rate schedule.
Section 6. The Operator shall provide clear, complete, and specific
information to subscribers indicating what types of installation or service carry a
charge, and specifically identifying the component activities for which subscribers
will be expected to pay. An example of such shall be provided to the City for
review and approval.
Section 7. With regard to the matter of Falcon's treatment of "a la carte"
services and the associated issues identified in the consultant's report, City
staff is directed to file with the Federal Communications Commission a request for
a declaratory ruling on Falcon's "Satellite Pak".
Section 8. 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.
Section 9. This Resolution shall become effective as of the date of
adoption.
PASSED AND ADOPTED this 17th day of October, 1994, by the following vote:
AYES:
COUNCILMEMBERS: GILROY, KLOECKER, MORALES, ROGERS, ROWLISON,
VALDEZ and GAGE.
NOES:
COUNCILMEMBERS: None
ABSENT:
COUNCILMEMBERS: None
AP7J~ }I
Mayor ~
ATTEST:
gJ'u4~bqj/;;;;;,.,;4
/ City Clerk ~
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RESOLUTION NO. 94 - 76
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I, SUSANNE E. STEINMETZ, City Clerk of the City of Gilroy, do
hereby certify that the attached Resolution No. 94-76 is an original
resolution, duly adopted by the Council of the City of Gilroy at a regular
meeting of said Council held on the 17th day of October
at which meeting a quorum was present.
IN WITNESS WHEREOF, I have hereunto set my hand and affixed the
, 19-2L,
Official Seal of the City of Gilroy this 18th day of
October
,1994.
(Seal)