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File how2ftp (.txt & .wp) is in directory \pub\Public_Notices\Miscellaneous. ***************************************************************** ******** //$Price Survey, Order, MM Docket 92-266, DA 95-2138//$ Before the Federal Communications Commission DA 95-2138 Washington, D.C. 20554 In the Matter of ) ) Implementation of Section 3 ) of the Cable Television ) Consumer Protection and ) Competition Act of 1992 ) MM Docket No. 92-266 ) Statistical Report on ) Average Rates for Basic ) Service, Cable Programming ) and Equipment ) ORDER Adopted: October 10, 1995 Released: October 12, 1995 By the Chief, Cable Services Bureau Responses Due: November 13, 1995 1. On October 5, 1992, Congress enacted the Cable Television Consumer Protection and Competition Act of 1992 ("1992 Cable Act"). Section 623(k) of the Communications Act of 1934, as amended, requires the Commission to publish annually statistical reports on the average rates for basic cable service, cable programming service, and equipment for systems that are subject to effective competition and for systems not subject to effective competition. 2. In Section 623(k) of the Communications Act, Congress directed the Commission to prepare annual statistical reports on average prices "for basic cable service and other programming, and for converter boxes, remote control units, and other equipment" of systems subject to competition and systems not subject to competition. Under this provision, the report must compare rates of competitive systems with rates of noncompetitive systems. This information will be used to monitor cable prices and determine whether Congress's goal that the rates charged for basic and cable programming services by cable systems not subject to effective competition are reasonable compared to the rates charged by systems subject to effective competition. 3. To implement the requirements of Section 623(k), the Commission is directing certain cable operators to respond to a price survey questionnaire designed to solicit information concerning rates for basic and cable programming services, and equipment used to receive such services. A copy of this form is attached to this Order as Appendix A. 4. We are mindful of the need to limit administrative burdens associated with this price survey. We anticipate that the burdens faced by responding operators should be quite limited as the information requested is the type of data that should be readily available to operators without additional calculation. 5. The survey form asks whether the community unit is subject to effective competition and includes questions about its status with respect to the regulation of rates. Respondents must provide their rates for installation, specified types of equipment and disconnect/reconnect and tier change fees. The questionnaire also seeks information regarding the monthly charge for basic and any other programming service tiers, the number of subscribers to each tier and the services included in each of these tiers. The survey requests that cable operators provide these data for August 31, 1993, July 14, 1994, and January 1, 1995. August 31, 1993, data will provide information regarding rates prior to the effective date of the initial rate regulation rules and procedures. July 14, 1994, is chosen because it is after the revised benchmark rules became effective and at the end of the refund deferral period. The January 1, 1995, data will give us information about prices at the beginning of the most recent annual period. 6. This survey form will be sent to a sample of cable community units to obtain the necessary information on a franchise basis. To effectuate comparisons between competitive and noncompetitive systems, the data will be collected from a target group of cable communities facing effective competition and a randomly selected group of cable community units not subject to effective competition. The target group will consist of those franchise areas that the Commission has identified as subject to effective competition. They include the 244 franchise areas included in the final benchmark regression sample supplemented by those communities that we have determined to be subject to effective competition in recent decisions. We will use a random sample based on system size of approximately 700 franchise areas for our data on systems not subject to effective competition. 7. The systems selected in our sampling of community units must complete and return the questionnaire by November 13, 1995 in accordance with the associated instructions. 8. We do not anticipate that the information requested in the questionnaire will be competitively sensitive. Respondents shall file an original and three copies of the questionnaire with the Cable Services Bureau, Attn. Price Survey, Federal Communications Commission, 1919 M Street, N.W., Washington, D.C., 20554. 9. Accordingly, IT IS ORDERED, pursuant to Section 3 of the 1992 Cable Act (Section 623(k) of the Communications Act of 1934, 47 U.S.C. Section 543(k)), and Section 4(i) of the Communications Act of 1934, as amended, 47 U.S.C. Section 154(i), that cable systems subject to the price survey requirements described herein shall complete and return the questionnaire set forth in the attached Appendix A by November 13, 1995. FEDERAL COMMUNICATIONS COMMISSION Meredith J. Jones Chief, Cable Services Bureau