HomeMy WebLinkAboutAgenda - 05-01-1995 - IX-C k 1
ORANGE COUNTY
BOARD OF COMMISSIONERS
Action Agenda
Item No. /11-410
ACTION AGENDA ITEM ABSTRACT
Meeting Date: May 1, 1995
SUBJECT: Cable TV Equipment and Installation Rate Adjustments
DEPARTMENT: Manager PUBLIC HEARING: YES: NO:
ATTACHMENT(S) : INFORMATION CONTACT:
Manager's Office - ext. 2300
TELEPHONE NUMBER -
Hillsborough - 732-8181
Chapel Hill - 968-4501
Mebane - 227-2031
Durham - 688-7331
PURPOSE: To approve Cable TV Equipment and Installation Rate
Adjustments.
BACKGROUND: On December 20, 1994, the Board approved Time
Warners' (Cablevision) rates for Basic Cable TV
Service. Increases were within the benchmark
established by the FCC.
As permitted under the FCC, the cable operator can
request adjustments to equipment and installation
rates once a year. On February 28, 1995 Time Warner
submitted forms requesting adjustments. Bob Sepe,
Cable Consultant for Triangle J Council of
Governments, has reviewed the rate adjustments and
recommends that the Board approve the adjustments.
The Consultants findings are included in the attached
Order Approving Ajustments.
RECOMMENDATION(S) : Manager Recommends Adoption of Order
Approving Adjustments For Equipment And
Installation Rates.
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Citrf, Of 'Raleigh
Worth earolina
TIME WARNER CABLE
ORANGE COUNTY
Chapel Hill and Durham Headends
April 8, 1995
REPORT
TO: Albert Kittrell,Assistant Manager, Orange County
BY: Robert Sepe, Information Access Manager
REVIEW: Cable television equipment and installation rate adjustments [FCC-1205]
Attached is the Equipment and Installation Costs filing submitted by Time Warner Cable, d/b/a
Cablevision of Chapel Hill and Durham. These submittals seek to adjust the equipment and
installation rates charged subscribers based on capital cost adjustments realized during the 1994
fiscal year. Time Warner Cable's service area within unincorporated Orange County is split
between two headends, one in Chapel Hifi and tf s other in Durham. Each area has a distinct
subscriber base.
Cable operators are allowed to "update" maximum permitted rates charged subscibers for
equipment and installation but once a year. The proposed rates that follow, if approved, will
become effective in August, 1995. Also, the operator must provide a 30-day notice to subscribers
of any impending rate increases.
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Chapel Hill and Durham Headends: FCC-1205
In 1994 Time Warner Cable combined subscriber bases within the unincorporated areas of Orange
County to two; approximately 200 subscribers in the Efland area were combined with the Chapel
Hill subscriber base, according to Time Warner representatives. The Durham headend's service
area within unincorporated Orange County consists of 29 subscribers. The area serviced by the
Chapel Hill headend consists of 5,421 subscribers.
OFFICES•222 WEST HARGETT STREET•POST OFFICE BOX 590•RALEIGH,NORTH CAROLINA 27602
Recycled Paper
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Though Time Warner is seeking approval of only one increase [converter rental] for subscribers in
unincorporated Orange County and served by the Chapel Hill headend, the operator is seeking a
ten percent increase in maximum permitted rates charged Durham headend subscribers for several
items. Though actual rates may not exceed the maximum permitted rates approved by the
franchising authority, the operator may charge a lesser amount. See Tables A and B below for a
comparison of 1994 and 1995 proposed rate adjustments for Durham and Chapel Hill headend
subscribers.
Table A
Proposed Adjustments
Maximum Permitted Equipment and Installation Rates
Durham Headend Subscribers
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Hourly Service Charge $17.96 $19.79 $1.83
Installation of Unwired Home $17.06 $18.80 $1.74
Installation of Prewired Home $14.37 $15.83 $1.46
Installation of Additional $12.03 $13.26 $1.23
Connection During Install
Installation of Additional $14.37 $15.83 $1.46
Connection with Separate Trip
Relocate During Installation $12.03 $13.26 $1.23
Relocate with Separate Trip $14.37 $15.83 $1.46
VCR Installation $12.32 $13.58 $1.26
Remote Control 1 $0.35 $0.34 ($0.01)
Remote Control 2 $0.27 $0.30 $0.03
Converter - Addressable $2.19 $2.69 $0.50
Converter - Non-addressable $1.63 $1.74 $0.11
Changing Tiers $2.00 $2.00 $0.00
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Table B
Proposed Adjustments
Maximum Permitted Equipment and Installation Rates
Chapel Hill Headend Subscribers
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Addressable Converter $2.16 $2.41 $0.25
RECOMMENDATION
The consultants recommend that the County approve the equipment and installation adjustments
proposed by Time Warner Cable.
PROCEEDING
The FCC regulatory rules require the franchise authority to issue an order, based upon a
finding of fact, regarding the approval or denial of the cable operator's FCC-1205 rate
submittal. The rules require that the franchise authority adopt this report and the public be
granted an opportunity to comment; it is suggested that the public comment period coincide
with a regular public meeting.
CHRONOLOGY
1) Public Notice: The County will advertise, in local media, the date, time, and location of the
public hearing on Time Warner's FCC-1205 rate filing.
2) Written Report: The report will be presented to the County during a regularly scheduled
board/commission meeting.
3) Public Comment: The County must allow the public an opportunity for comment after the
report has been presented by staff or consultants.
4) Consider & Adopt Report: The County will be asked to consider and adopt the consultant's
report as its own, as stated in FCC rules.
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5) Execute Order: After adopting the report, the County should issue an order in three original
copies, approving or denying, based upon a finding of fact, Time Warner Cable's FCC-1205
rate filing request.
6) Distribute Order: Provide original executed copies to Time Warner Cable [via Certified
mail], the consultants, and place an original in the county's permanent file.
Though the public hearing is intended to allow interested parties the opportunity to comment
on the cable operator's rate filing, it is not constrained by formal advertising and notification
rules associated with municipal zoning issues.
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STATE OF NORTH CAROLINA
ORANGE COUNTY
BEFORE ORANGE COUNTY
IN THE MATTER OF: ) ORDER APPROVING
) ADJUSTMENTS FOR
Review of proposed Equipment and ) EQUIPMENT AND
Installation rate adjustments [FCC-1205] ) INSTALLATION RATES
for Time Warner Cable, d/b/a Cablevision )
of Chapel Hill and Durham, serving )
Orange County, Chapel Hill and Durham
Headens, NC-0276
BY ORANGE COUNTY:
WHEREAS, on February 28, 1995, Time Warner Cable, Cablevision of Chapel Hill, submitted
an Equipment and Installation Costs [FCC-1205] filing for Regulated Cable Services for Orange
County;
WHEREAS, on April 8, 1995, the Orange County received a report from its consultants
. indicating that Time Warner Cable's said filing was in compliance with Federal Communications
Commission procedures, allowing for the adjustment of Equipment and Installation Costs;
WHEREAS, Time Warner Cable's service area in unincorporated Orange County is divided
between two headends, one in Durham and the other in Chapel Hill; and,
IT IS A FINDING:
That Time Warner Cable has justified the adjustment of its maximum permitted equipment and
installation rates for subscribers being served by the Durham and Chapel Hill Headends in
unincorporated Orange County.
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IT IS THEREFORE ORDERED:
That Time Warner Cable's maximum permitted equipment and installation rates for subscribers
served by the Durham and Chapel Hill Headends in unincorporated Orange County are approved as
follows:
.........................................................................:........:::.:.............
Hourly Service Charge $19.79 $20.28
Installation of Unwired Home $18.80 $19.27
Installation of Prewired Home $15.83 $16.22
Installation of Additional $13.26 $13.59
Connection During Install
Installation of Additional $15.83 $16.22
Connection with Separate Trip
Relocate During Installation $13.26 $13.59
Relocate with Separate Trip $15.83 $16.22
VCR Installation $13.58 $13.91
Remote Control 1 $0.34 $0.22
Remote Control 2 $0.30 N/A
Converter - Addressable $2.69 $2.41
Converter - Non-addressable $1.74 N/A
Changing Tiers $2.00 $2.00
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ISSUED BY ORDER OF ORANGE COUNTY
This the th day of April, 1995.
ATTEST: CHAIRMAN:
Via U.S. Postal Service, Certified Mail
oc: CVI