O-1681-1-99ORDINANCE NO. 1681-1-99
AN ORDINANCE OF TETE CITY OF ALLEN, COLLIN COUNTY, TEXAS
AMENDING THE MAIM" RATES THAT TCI CABLEVISION OF TIRE
METROPLEX, INC. MAY CHARGE ITS ALLEN CABLE TELEVISION
SUBSCREBERS FOR PROGRAMMING COSTS, EQUIPMENT AND
INSTALLATION; ORDERING REFUNDS; PROVIDING FOR A SEVERABHXFY
CLAUSE; PROVIDING FOR A REPEALING CLAUSE; PROVIDING FOR A
PENALTY OF FINE NOT TO EXCEED THE SUM OF FIVE HUNDRED
DOLLARS ($500) FOR EACH OFFENSE; AND PROVIDING FOR THIN
EFFECTIVE DATE OF SAID ORDINANCE.
WHEREAS, the City of Allen, Collin County, Texas, (the "City") is the Grantor of a Franchise Ordinance
executed on or about July 20, 1995 by and between the City of Allen and TCI Cablevision of the
Metroplex, Inc. ("TCI"); and
WHEREAS, the City pursuant to the Cable Consumer Protection and Competition Act of 1992 (the "Cable
Act") and the rules and regulations adopted thereunder by the Federal Communications Commission (the
"FCC"), is certified to regulate the rates for the basic cable service tier and related equipment; and
WHEREAS, as local regulator of rates for the basic service tier, the City on May 21, 1998, pursuant to
' Ordinance No. 1604-5-98, made a rate order (the "1998 Rate Order") and ordered maximum rates; and
WHEREAS, pursuant to the agreement of TCI to withdraw its challenge to the City's 1998 Rate Order,
and previous rate orders, the City desires to amend its previously ordered maximum rates for the basic
service tier.
NOW, THEREFORE, BE IT ORDAINED BY THIN CITY COUNCIL OF TETE CITY OF ALLEN,
COLLIN COUNTY, TEXAS, THAT:
SECTION 1. "FINDINGS: The City of Allen, Collin County, Texas finds as follows:
"1. The City is the Grantor of a Franchise Ordinance executed on or about July 20,
1995, by and between the City and TCI.
2. In accordance with the applicable provisions of the Cable Consumer Protection and
Competition Act of 1992 and the rules adopted by the FCC, the City has
undertaken all appropriate procedural steps to regulate the basic cable service tier
and related equipment.
3. On or about May 21, 1998 the City entered a rate order, the 1998 Rate Order,
which established the maximum allowable basic service tier rate of $14.08.
I4. On or about May 21, 1998 the City entered a rate order establishing maximum
permitted rates for hourly service charges, installation services and leased customer
equipment, as further set forth in Ordinance No. 1604-5-98.
' S. Pursuant to discussions between representatives of the City and TCI, the City and
TCI have reached agreement regarding a determination of the rates.
6. All cable customers in the City who were charged by TCI for the use of a converter
in 1998 are entitled to a refund.
TCI has agreed to withdraw their appeals to the FCC of the 1997 and 1998 Rate
Orders, and the City has agreed to withdraw its opposition to the same."
SECTION 2. "CONCLUSIONS: The City of Allen, Collin County, Texas concludes as follows:
Basic Programming Rates. The City concludes that the basic rate for the current
system for the period of June 1, 1998 through May 31, 1999 should be $14.06.
2. Installation and Eauiument Rates. The City concludes that the rates for hourly
service charges, installation services and leased customer equipment for the period
of June 1, 1998 through May 31, 1999 shall be in the amounts set forth in
Attachment "A", attached to this Ordinance and incorporated as if fully set forth
herein.
3. Converter Customer Rebate. In accordance with the agreements reached
regarding calculation of 1997 and 1998 rates, the City concludes that all customers
in the City charged for converter use by TCI shall be entitled to a one -tine refund in
' an amount equal to $10,600 divided by the number of converter customers."
SECTION 3. "ORDER FOR ACTION: Based upon the foregoing findings and conclusions, the City of
Allen, Collin County, Texas hereby orders the following:
1. Pursuant to current FCC regulations, from January 1, 1999 and until further order
of the City on 1999 rates or expiration of 90 days following submittal of 1999 rates
by TCI, whichever occurs fust, TCI shall be permitted to charge a rate for the
basic service tier, exclusive of any franchise fee but inclusive of the FCC
regulatory fee, of not more than $ 14.06.
2. Pursuant to current FCC regulations, from January 1, 1999 and until further order
of the City on 1999 rates or expiration of 90 days following submittal of 1999 rates
by TCI, whichever occurs fust, TCI shall be permitted to impose the rates for
hourly service charges, installation services and leased customer equipment of not
more than the amounts set forth in Exhibit "A", attached to this Ordinance and
incorporated as if fully set forth herein.
3. Not later than February 27, 1999, TCI shall deliver a refund to all of its customers
charged for converter during the calendar year 1998, with each converter customer
receiving a refund in an amount equal to $10,600 (Ten Thousand Six Hundred
Dollars) divided by the number of converter customers.
I4. The maximum rates ordered herein shall be utilized by TCI as their "base rates"
for calculating the 1999 proposed rate filing, as authorized by the FCC.
ORDINANCENO. 1681-1-99 Paget
' 5. TCI shall provide the City evidence the order for actions "1" "2" "3" and "4"
above have been complied with and that all refunds have been properly made in
accordance with the Cable Act and applicable FCC regulations.
6. Any findings, conclusions, or orders previously entered by the City in any rate
order shall remain intact, unless amendment was specifically ordered herein."
SECTION 4. In adopting this Ordinance, the City Council of the City of Allen, Collin County, Texas is not
approving or acquiescing in any way whatsoever to the cost data and/or methodologies not specifically
addressed in this Ordinance. Furthermore, the City Council of the City of Allen, Collin County, Texas is not
waiving any rights to which it is entitled.
SECTION 5. That it is hereby declared to be the intention of the City Council that the sections, paragraphs,
sentences, clauses, and phrases of this ordinance are severable, and if any phrase, clause, sentence or section
of this ordinance shall be declared unconstitutional or invalid by any judgment or decree of a court of
competent jurisdiction, such unconstitutionality or invalidity shall not affect any other remaining phrase,
clause, sentence, paragraph or section of this ordinance; and the City Council hereby declares it would have
passed the remaining portions even though it had (mown the affected parts would be held unconstitutional.
SECTION 6. That all ordinances of the City of Allen in conflict with the provisions of this ordinance shall
be, and the same arehereby, repealed; provided, however, that all other provisions of said ordinances not in
conflict herewith shall remain in full force and effect.
' SECTION 7. That any person, firm or corporation violating any of the provisions or terms of this ordinance
shall be subject to the same penalty as provided for in Code of Ordinances of the City of Allen, as previously
amended, and upon conviction shall be punished by a fine not to exceed the sum of Five Hundred Dollars
($500) for each offense.
SECTIONS. That this ordinance shall take effect immediately from and after its passage and publication in
accordance with the provisions of the Charter of the City of Allen, and it is accordingly so ordained.
DULY PASSED AND APPROVED BY THE CITY COUNCIL OF THE CITY OF ALLEN, COLLIN
COUNTY, TEXAS, ON THIS THE 21 stDAY OF January , 1999,
APPROVED:
Stephen Terrell, MAYOR
APPROVED AS TO FORM ATTEST:
' Peter G. Smith, CITY ATTORNEY Wy Mo n, CMC, CITY SECRETARY
ORDINANCENO. 1681-1-99 Para
H
ATTACHMENT A
1998 EQUIPMENT AND INSTALLATION RATES
Type of Service
Maximum Permitted Rates
Install -Unwired Home Aerial within 125 feet
$40.55
Install -Prewired Home Aerial within 125 feet
$21.95
Install -Additional Connect Initial
$12.64
Install -Additional Connect Separate
$20.15
Other Install -Relocate Outlet
$19.44
Other Install -Upgrade (non -addressable)
$13.95
Other Install -Downgrade non -addressable
$8.52
Other Install -U rade/Down rade addressable
$1.99
Connect VCR Initial
$6.19
Connect VCR Separate
$13.16
Hourly Service Charge
$27.11
Remote Control (All s)
$0.30
Converter Box Basic Service Only)
$1.50
Converter Box (All Others)
$3.25
ORDINANCENO. 1681-1-99 Page