WPCh 2 BJ ZCourier3|x w RomanCG Times@`7X@HP LaserJet 4_230_1HPLAS4.PRS 4x  @\_)^X@3|x2a < v1; Rm. 907_1HPLAS4SI.PRSx  @\iX@CourierTimes New Roman^:DPddDDDdp4D48dddddddddd88pppX|pDL|pp||D8D\dDXdXdXDdd88d8ddddDL8ddddX`(`lD4l\DDD4DDDDDDDDd8XXXXXX|X|X|X|XD8D8D8D8ddddddddddXdbdddpdXXXXXlX~|X|X|X|XdddldldD8DdDDDdplld|8|P|D|D|8dvddddDDDpLpLpLpl|T|8|\ddddddl|X|X|Xd|DdpL|Dd~4ddC$CWxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxNHxxH\dDXddddd8@d<@d<DDXXdDDxddzHxxHvppDXd<"dxtldpxxda8DocumentgDocument Style StyleXX` `  ` 2~pkkna4DocumentgDocument Style Style . a6DocumentgDocument Style Style GX  a5DocumentgDocument Style Style }X(# a2DocumentgDocument Style Style<o   ?  A.  2vt& 4a7DocumentgDocument Style StyleyXX` ` (#` BibliogrphyBibliography:X (# a1Right ParRight-Aligned Paragraph Numbers:`S@ I.  X(# a2Right ParRight-Aligned Paragraph Numbers C @` A. ` ` (#` 2   \  a3DocumentgDocument Style Style B b  ?  1.  a3Right ParRight-Aligned Paragraph Numbers L! ` ` @P 1. ` `  (# a4Right ParRight-Aligned Paragraph Numbers Uj` `  @ a. ` (# a5Right ParRight-Aligned Paragraph Numbers _o` `  @h(1)  hh#(#h 2s   sa6Right ParRight-Aligned Paragraph Numbersh` `  hh#@$(a) hh#((# a7Right ParRight-Aligned Paragraph NumberspfJ` `  hh#(@*i) (h-(# a8Right ParRight-Aligned Paragraph NumbersyW"3!` `  hh#(-@p/a) -pp2(#p Tech InitInitialize Technical Style. k I. A. 1. a.(1)(a) i) a) 1 .1 .1 .1 .1 .1 .1 .1 Technical21ua1DocumentgDocument Style Style\s0  zN8F I. ׃  a5TechnicalTechnical Document Style)WD (1) . a6TechnicalTechnical Document Style)D (a) . a2TechnicalTechnical Document Style<6  ?  A.   2c ra3TechnicalTechnical Document Style9Wg  2  1.   a4TechnicalTechnical Document Style8bv{ 2  a.   a1TechnicalTechnical Document StyleF!<  ?  I.   a7TechnicalTechnical Document Style(@D i) . 2L*3ea8TechnicalTechnical Document Style(D a) . Doc InitInitialize Document Stylez   0*0*0*  I. A. 1. a.(1)(a) i) a) I. 1. A. a.(1)(a) i) a)DocumentgPleadingHeader for Numbered Pleading PaperE!n    X X` hp x (#%'0*,.8135@8:><q*"xxxxWWxxxWWkkxxx" and C (i.e., calculate the tax as a percentage of return on investment plus  Y-tax). |v- Yy< #Xw PE37}XP#э First Order on Reconsideration, Second Report and Order, and Third Notice of  Yd-Proposed Rulemaking, MM Docket No. 92266, FCC 93428, 9 FCC Rcd 1164, 1196 n. 92 (1993) ("Our provision to grossup the return amount for income taxes applies to all tax paying business entities to the extent that they have a state or federal income tax obligation.")  W!-See also Cable Television Rate Regulation Questions and Answers Relating to FCC Form  Y -393, Question and Answer No. 14 (released July 30, 1993) ("The federal tax expense should be calculated based upon a pretax return on investment.") By understating its tax entries in Column G, an operator reduces its effective rate of return on equipment and installations and thereby could increase its CPS price. We therefore recalculate Column G of Schedules A and C (and subsequent steps) using correctly grossedup tax entries.   Xx` ` b. On its amended benchmark filings of January 24 and 25, 1995, U.S. Cablevision calculated the Inflation Adjustment Factor as of the end of January 1994 using data released by the U.S. Department of Commerce on July 29, 1994. However, U.S. Cablevision cannot permissibly calculate inflation through the end of January 1994. In East Fishkill, New York, CUID No. NY0275, and Wappingers Falls, New York, CUID No. NY0278, U.S. Cablevision was served with rate complaints in October 1993. U.S. Cablevision was therefore required to file a rate  Y -justification for these areas no later than November 1993. v- Y<ԍ#Xw PE37}XP# 47 C.F.R.  76.956(a) (operator must file a response within 30 days of the date of service of a complaint). Since U.S. Cablevision filed its initial FCC Form 393 by that date, the instructions to Form 393 required it to  Y -calculate the inflation adjustment only through October 1993. v- Y<ԍ #Xw PE37}XP#FCC Form 393, page 11, instructions for Line 124 (Inflation Adjustment Factor is calculated using "the number of whole months from September 30, 1992 to the date you will submit this form"). U.S. Cablevision cannot be permitted to claim an additional inflation adjustment simply because it amended its justification at a later date. We therefore must recalculate the Inflation Adjustment Factor on the basis of the most accurate data currently available for the  YK-date that U.S. Cablevision timely filed its Form 393.K) v- Y% <ԍ #Xw PE37}XP#See 47 C.F.R.  76.922(b)(9)(iii) (if a cable operator fails to justify its rates, rates must be adjusted in acordance with the most accurate data available at the time of analysis.) On July 29, 1994, the U.S. Department of Commerce released corrected inflation data including Gross National Product Price Index ("GNPPI") figures of 122.3 for the third quarter of 1992 and 125.7 for the third quarter of 1993. Using these GNPPI figures, we calculate 1.030 as the Inflation Adjustment Factor through October 1993, the base date U.S. Cablevision should have used in justifying its rates. (# x7. Because U.S. Cablevision has failed to demonstrate that its price for the CPS tier"0*((" was not unreasonable, we will set a price for this tier, incorporating the adjustments discussed above. These adjustments have the cumulative effect of reducing the maximum permitted monthly CPS tier price from $9.66 (as U.S. Cablevision calculated) to $9.60.  X-   Conclusions x8. Upon review of the record herein, we conclude that U.S. Cablevision's showing supports a maximum reasonable CPS tier price of $9.60 per month (plus franchise fee) for  YH-the period October 15, 1993 to May 14, 1994.xHv- Y <ԍ#Xw PE37}XP# This finding is based solely on the representations of U.S. Cablevision listed in  Y -paragraph 5, supra, and the modifications described in paragraph 6, supra. Should information come to our attention that these representations were materially inaccurate, we reserve the right to take appropriate action. This Order is not to be construed as a finding that we have accepted as correct any specific entry, explanation or argument made by any  YP-party to this proceeding not specifically addressed herein.#x6X@`7X@#ў We further determine that we will order an appropriate refund pursuant to Section 76.957 of the Commission's Rules, 47 C.F.R.  76.957, in order to reimburse subscribers for the amount they paid in excess of a reasonable price. x9. We further conclude that U.S. Cablevision must reflect in its Form 1200 rate filing for the period after May 14, 1994 the fact that U.S. Cablevision's price during the  Y -earlier period was unreasonable.X v- Y`<ԍ#Xw PE37}XP# We reviewed U.S. Cablevision's Form 1200 rate filing and confirmed that U.S. Cablevision calculated its rates for the period after May 14, 1994 using the rate that we find  Y2-in this Order to be unreasonable.#x6X@`7X@#X We reserve the right to make further adjustments to U.S. Cablevision's price for the period after May 14, 1994, upon completion of our review of U.S. Cablevision's FCC Form 1200 rate filing. x10. We further conclude that U.S. Cablevision has submitted in good faith a timely  Y4-optional supplemental filing in response to our December 29, 1994 Public Notice.'4 v- Yp< #Xw PE37}XP#э Public Notice: Cable Services#Xw PE37}XP# Bureau Announces Optional Procedures with Respect  Y[-to Pending PreMay 15 Benchmark Cases, DA 941556 (Dec. 29, 1994). ' As provided in the Public Notice, we will relieve U.S. Cablevision of its obligation to obtain advance Commission approval of adjustments to its CPS price for one year following the release of this Order. x11. Accordingly, IT IS ORDERED, pursuant to Section 0.321 of the Commission's Rules, 47 C.F.R.  0.321, that the October 12, 1993 complaints against the cable programming service price charged by U.S. Cablevision Corporation in East Fishkill, New York, CUID No. NY0275, and Wappingers Falls, New York, CUID No. NY0278, ARE GRANTED TO THE EXTENT INDICATED HEREIN."e) 0*((]"Ԍx12. IT IS FURTHER ORDERED that the benchmark filing submitted by U.S. Cablevision Corporation with respect to East Fishkill, New York, CUID No. NY0275, and Wappingers Falls, New York, CUID No. NY0278, for the period of October 15, 1993 to May 14, 1994, justifies a maximum price of $9.60 per month (plus franchise fee) for the cable programming service tier. x13. IT IS FURTHER ORDERED, pursuant to Section 76.961 of the Commission's Rules, 47 C.F.R.  76.961, that U.S. Cablevision Corporation shall refund to subscribers  YH-that portion of the amounts paid for cable programming service from October 15, 1993-Hv- Y <ԍ#Xw PE37}XP# Our jurisdiction to order a refund dates from the earliest date a complete and  Y -timely complaint is filed with the Commission. See 47 C.F.R.  76.961(b).#x6X@`7X@#- to May 14, 1994, that exceeded $9.60 (plus franchise fee) per month and was thus unreasonable, plus interest to the date of the refund. x14. IT IS FURTHER ORDERED that U.S. Cablevision Corporation shall promptly determine the overcharges to CPS subscribers for the same period, and shall within 30 days of the release of this Order file a report with the Chief, Cable Services Bureau, stating the cumulative refund amount so determined (including franchise fees and interest), describing the calculation thereof, and describing its plan to implement the refund within 60 days of Commission approval thereof. x15. IT IS FURTHER ORDERED, pursuant to Section 76.922(b)(4)(C) of the Commission's Rules, 47 C.F.R.  76.922(b)(4)(C), that U.S. Cablevision Corporation shall, within 30 days of the release of this Order, revise its Form 1200 filing for East Fishkill, New York, CUID No. NY0275, and Wappingers Falls, New York, CUID No. NY0278, for the period beginning May 15, 1994, to reduce the monthly charge per tier as of March 31, 1994 for Tier 2 (Line A6b) to equal the maximum price for those franchise areas (plus franchise fee). x16. IT IS FURTHER ORDERED that U.S. Cablevision Corporation shall place into effect, within 30 days after submission of the revised Form 1200 filing required above, a CPS tier price for East Fishkill, New York, CUID No. NY0275, and Wappingers Falls, New York, CUID No. NY0278, that reflects the reduction in the CPS rate determined in this Order. x17. IT IS FURTHER ORDERED, pursuant to Section 76.960 of the Commission's Rules, 47 C.F.R.  76.960, that U.S. Cablevision Corporation shall not be required to obtain advance Commission approval of adjustments to its CPS price for one year following the release of this Order. FEDERAL COMMUNICATIONS COMMISSION "#d0*(($"Ԍ Meredith J. Jones Chief, Cable Service Bureau "0*(("