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See Cable Television Consumer Protection and Competition Act, Pub. L. No. 102385, 106 Stat. 1460 (1992); Communications Act,  623(b), 47 U.S.C.  543(b). The City did not submit an opposition to Century's Petition. In its August 5, 1996  x local order, the City directed Century to reduce its basic programming service tier rate form  x$22.92, the rate justified by Century's June 1996 Form 1210, to $20.37, the rate justified by  Xh- xzCentury's March 1996 Form 1200, and to make corresponding refunds.hh> yO-ԍStay Petition, Appendix 1, Exhibit A, August 5, 1996 Rate Order.h The August 5, 1996  xlocal order also required Century to reduce its hourly service charge based on the initial Form  x1205 that had accompanied the Form 1200. The City based its finding on its consultant's report summarizing the consultant's review of Century's Form 1200.  X- ` x2.` ` On September 4, 1996, Century appealed the August 5, 1996 local rate order  xcontending that the City, which did not begin regulating Century's basic service equipment rates  x=until February 1996, erred in prescribing programming and equipment rates and corresponding  X- xrefunds based solely on the operator's March 1996 Form 1200.B> yO&- xԍAt the time of the filing of its appeal, Century did not file a request for stay of the August 5, 1996 local rate order. Century contends that the City  xshould have considered its June 1996 Form 1210 in setting the rates. The City did not file an",))[["  xopposition to Century's appeal. Instead, on October 21, 1996, the City adopted a new rate order  xaffirming the rate reductions and refunds ordered in the August 5, 1996 rate order and directing  xCentury to implement the refunds ordered in the August 5, 1996 local order or face fines of  X- x$500.00 per day back to August 1996.X yO4- x<ԍStay Petition, Appendix 2, October 21, 1996 Rate Order. Century states that while it is unclear whether it is  xnecessary to do so, it intends to file a separate appeal with regard to the October 21, 1996 local rate order in order  yO-to fully preserve and protect its rights. To date, Century has not filed such an appeal. Accompanying the October 21, 1996 rate order was an  x=October 22, 1996 letter from the City's consultant explaining that, if Century pursued an appeal  xof either the August 5 or October 21, 1996 rate orders, the fine of $500 per day would apply and  xwould accumulate separately for each violation of the City's orders along with accompanying  X_- xylegal fees.f_ yO -ԍStay Petition, Appendix 2, October 22, 1996 Letter to Century.f Moreover, in addition to the cumulative fines, the City's consultant threatened that  xyif Century appealed either order the City would request that the Commission impose forfeitures  X1-for unspecified rule violations.11x {OZ-ԍId.1 x` `  X - II.xStandard of Review x  X - ` x3.` ` The Commission evaluates petitions for stays under wellsettled principles. To  xsupport a stay, a petitioner must demonstrate: (1) that it is likely to prevail on the merits; (2) that  x[it will suffer irreparable harm if a stay is not granted; (3) that other interested parties will not be  X- x[harmed if the stay is granted; and (4) that the public interest favors the granting of a stay.^  {OK- x;ԍSee Wisconsin Gas Co. v. FERC, 758 F. 2d 669, 67374 (D.C. Cir. 1985) (per curiam); Washington Metropolitan  {O- xArea Transit Comm'n v. Holiday Tours, Inc., 559 F.2d 841, 84243 (D.C. Cir. 1977); Virginia Petroleum Jobbers  {O-Ass'n v. FPC, 259 F.2d 921, 925 (D.C. Cir. 1958). As  xLdiscussed below, resolution of this stay petition centers primarily on the strength of Century's argument regarding the second and third prong of this test.  XK-  X4- III.xDiscussion  X- ` x 4 ` ` A stay of the payment of refunds owed by Century will not harm any interested  xparty. If the City's decision is upheld, an adequate refund can be implemented. Additionally,  xzunder our rules, Century can choose to issue refunds by crediting current subscribers. The  xCommission's rules permit operators to implement refunds in either of the following ways: (1)  xby returning overcharges directly to those subscribers who actually paid the overcharges; or (2)  X- xby means of a prospective percentage reduction in the rates for the basic service tier or associated  X|- xequipment for current subscribers via a specifically identified, onetime credit.@|0  yO]%-ԍ47 C.F.R. 76.942(d).@ Under either  Xe- xoption, refunds shall include interest computed at the applicable rates published by the Internal"e ,,(,([["  X- x Revenue Service for tax refunds and additional tax payments.A  yOy-ԍ47 C.F.R.  76.942(e).A The Commission's rules are  xstructured so individuals who were actually overcharged might not receive refunds in the future.  xA stay of the local rate order will not alter Century's right under our rules to choose the class of subscribers to receive refunds. x  X- ` x5.` ` We find it appropriate to stay both the August 5 and October 21, 1996 local rate  x\orders in their entirety pending our review of these cases on the merits. The premise of our  x\decision is the City's threatened fine of $500.00 per day and associated legal fees if Century  xappealed either the August 5 or October 21, 1996 local orders to the Commission. In completing  xits FCC Form 328, Request for Certification as a Local Franchising Authority, the City agreed  xjto adopt and administer regulations with respect to basic cable service that are consistent with  X - x?the regulations adopted by the Commission.>  X yO -ԍFCC Form 328 number 3.> While the Commission's rules allow local  X - xauthorities to impose fines on operators which fail to comply with local rate orders,=  yO-ԍ47 C.F.R.  76.943= the rules  xalso expressly provide operators an opportunity to appeal local franchising authorities' ratemaking  X - x<decisions to the Commission.? x yO-ԍ47 C.F.R.  944(b). ? In the present matter, based on the consultant's letter to Century,  x[it appears that the City's threatened fine is coercive, the intent of which is to dissuade Century  x.from exercising its right to appeal the local authority's ratemaking decision to the Commission.  xWe find the City's threatened fine is inconsistent with the Commission's rules. Irreparable harm will occur if a party is not permitted to pursue its appeal rights.  X4- ` 2x6.` ` As we have concluded in several previous requests for stays of local rate orders,  xiwe conclude in this case that Century must establish an escrow account or post a bond to protect  xKthe interests of subscribers and to ensure that the refunds will be paid if Century does not prevail  X- xon appeal.9 Z {O- xԍSee, e.g., Comcast Cablevision of New Haven, Inc., et al., (New Haven, CT), 10 FCC Rcd 6051 (Cab. Serv.  xBur. 1995); and Intermedia Partners on Behalf of Robin Media Group, Inc. (Murfreesboro, TN), 11 FCC Rcd 978 (Cab. Serv. Bur. 1995).9 During the period of this stay, Century must deposit in an interestbearing escrow  xaccount the total amount of money that the City has ordered Century to refund to its customers.  xAlternatively, Century may elect to post a bond for the benefit of the City. The amount of the  xbond shall be the total amount of money that the City has ordered Century to refund to its  xLcustomers, plus interest on that amount for a 12 month period from the date of this Order. The  xjbond shall provide that if Century is unable to fulfill its refund obligations for any reason, then the surety will fulfill that obligation to the City, on behalf of Century's subscribers.  XN- x "N* ,,(,([["Ԍ X- 7"K  7"K IV.xOrdering Clauses  X-  X- (x7.` ` Accordingly, IT IS ORDERED that the request for a stay filed by Century is  X- GRANTED pending the resolution of Century's appeal on the merits.  7"K  7"K   X- ` #x8.` `  IT IS FURTHER ORDERED that the total amount of money that the City has  Xv- x.ordered Century to refund to its customers SHALL BE PLACED by Century in an interest X_- xZbearing escrow account OR SHALL BE SECURED by the posting of a bond for the benefit of  XH- xNthe City for the total amount of money that the City has ordered Century to refund to its  X1- xcustomers, plus interest on that amount for a 12 month period from the date of this Order. Proof  X - xof Century's compliance with this Order shall be filed with the Commission within 30 days of  xthe release of this Order. Interest shall accrue, or be computed, at the prevailing U.S. Internal Revenue Service Rate for tax refunds and additional tax payments.  X - ` ox9.` ` This action is taken by the Chief, Cable Services Bureau, pursuant to authority delegated by Section 0.321 of the Commission's rules. 47 C.F.R. 0.321. x` `  hh@FEDERAL COMMUNICATIONS COMMISSION x` `  hh@Meredith J. Jones x` `  hh@Chief, Cable Services Bureau x