$//ORDER Granting Stay in Signal Hill, CA, DA 94-1213//$ $/76.922 Rates for the basic service tier/$ $/76.923 Rates for equipment and installation/$ $/1.45(d)Request for Stay/$ Before the FEDERAL COMMUNICATIONS COMMISSION DA 94-1213 Washington, D.C. 20554 In the Matter of: ) ) LONG BEACH ACQUISITION ) CORP., d/b/a CABLEVISION ) INDUSTRIES ) ) Petition for Stay of Local ) Rate Order of the City of ) Signal Hill, California. ) ORDER Adopted: October 31, 1994 Released: By the Chief, Cable Services Bureau: I. Introduction 1. On August 31, 1994, Cablevision Industries ("CVI") filed an Appeal and an Ex Parte Petition for Stay of Enforcement pending Commission review of the local rate order, adopted by the City of Signal Hill, California ("City") on August 16, 1994, and pending resolution of a Letter of Inquiry ("LOI") issued by the Commission to CVI, regarding its a la carte package offerings in Long Beach. The City filed its response to CVI's appeal on September 13, 1994. The local rate order establishes a new schedule of basic service and equipment rates and directs CVI to issue refunds, dating back to September 1, 1993, to subscribers for charges in excess of the newly established rates. A principal issue raised by CVI in its petition, and by the Commission in the LOI, centers on the regulatory treatment of CVI's a la carte package offerings. II. Discussion 2. The Commission has issued numerous LOIs to cable operators regarding the regulatory treatment of a la carte package offerings. CVI's a la carte package offerings in Long Beach are the subject of a Commission LOI. Since CVI serves both Long Beach and Signal Hill through an integrated system, the issues raised in Long Beach's LOI are equally applicable to Signal Hill. Given that a significant portion of CVI's request for stay and appeal in Signal Hill overlap closely with the issues in the LOI pending for Long Beach and in order to minimize subscriber confusion and ensure regulatory consistency pending resolution of the Commission's LOI, we shall grant CVI's request for stay. The stay shall remain in effect until the earlier of: a decision on the merits in the instant appeal by the Commission or ten (10) days after the release of an order or orders by the Commission finally resolving the issues raised in the LOI. 3. During the period of this stay, CVI is ordered to deposit in an interest-bearing escrow account the total amount of money that the City has ordered CVI to refund to its customers. Alternatively, CVI may elect to post a bond for the benefit of the City. The amount of the bond shall be the total amount of money subject to the refund order, plus interest on that amount for a twelve (12) month period from the date of this Order. The bond shall provide that if CVI is unable to fulfill its refund obligations for any reason, then the surety will fulfill that obligation to the City, on behalf of CVI's subscribers. III. Ordering Clauses 4. Accordingly, IT IS ORDERED, pursuant to 1.45(e) of the Commission's rules (47 C.F.R. 1.45 (e) (1993)), that the local rate order adopted by the City of Signal Hill, California is STAYED until the earlier of: a decision on the merits in the instant appeal by the Commission or ten (10) days after the release of an Order or Orders by the Commission finally resolving the issues raised in the Letter of Inquiry. 5. IT IS FURTHER ORDERED that the amount of the refunds required by the City's local rate order SHALL BE PLACED by CVI in an interest-bearing escrow account, OR SHALL BE SECURED by the posting of a bond for the benefit of the City for the amount of money the City has ordered CVI to refund, plus interest. The amount of the bond shall be the total amount of money subject to the refund order, plus interest on that amount for a twelve (12) month period from the date of this Order. Proof of CVI's compliance with this Order shall be filed with the Commission within thirty (30) days of the release of this Order. Interest shall accrue, or be computed, at the prevailing U.S. Internal Revenue Service Rate. This action is taken by the Chief, Cable Services Bureau, pursuant to authority delegated by 0.321 of the Commission's rules (47 C.F.R. 0.321 (1993)). FEDERAL COMMUNICATIONS COMMISSION Meredith J. Jones Chief, Cable Services Bureau