WPC[ 2MB%RK Z3|X Times New RomanTimes New Roman Bold P6G;P"i~'^09CSS999S]+9+/SSSSSSSSSS//]]]Ixnnxg]xx9?xgxx]xn]gxxxxg9/9MS9ISISI9SS//S/SSSS9?/SSxSSIP!PZ9+ZM999+99999999S/xIxIxIxIxIlnIgIgIgIgI9/9/9/9/xSxSxSxSxSxSxSxSxSxSxIxSxRxSxSxS]SxIxIxInInInZnIxigIgIgIgIxSxSxSxZxSxZxS9/9S999Su]ZZxSg/gCg9g9g/xSbxSxSxSxSxn9n9n9]?]?]?]ZgFg/gMxSxSxSxSxSxSxxZgIgIgIxSg9xS]?g9xSi+SS88WuuuuuuuuuuuuuuuuuuuuuuuuuuuuuuuuuuuuuuuuuuuuuuuuxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxNvP2 <KX Times New RomanTimes New Roman BoldTimes New Roman Italic I. A. 1. a.(1)(a) i) a) 1. 1. 1. a.(1)(a) i) a)"i~'^: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$CWxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxNHxxH\dDXddddd8@d<@d<DDXXdDDxddzHxxHvppDXd<"dxtldpxxdy.X80,X\  P6G;P7jC:,9Xj\  P6G;XP7nC:,|Xn4  pG;Xy.\80,T\4  pG;pDppLDd4ddC6CWxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxNHxxHjdDdddddd/>/>/>/x]SSSSx]x]x]x]xSxSx]SSxSxSf]xSxSxSxIxIxWxIx{nInInInISSSWS]a?/?]?9?]]WW]n/nKn9nCn/x]xx]x]SSxxIxIxI]?]?]?]WnUn9nax]x]x]x]x]x]xxWnInInIx]n9x]]?n9xSz+SS8-8WuuuuuuuuuuuuuuuuuuuuuuuuuuuuuuuuuuuuuuuuuuuuuuuuxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxN8HH"&H>XHH8HB8>HH^HH>"".2",2,2,"222N2222"&22H22,006"6."""""""""""2H,H,H,H,H,XAB,>,>,>,>,""""H2H2H2H2H2H2H2H2H2H2H,H2H1H2H2H282H,H,H,B,B,B6B,H?>,>,>,>,H2H2H2H6H2H6H2""2"""2F866H2>>(>">">H2;H2H2H2H2XHB"B"B"8&8&8&86>*>>.H2H2H2H2H2H2^HH6>,>,>,H2>"H28&>"H2?22!!WFFFFFFFFFFFFFFFFFFFFFFFFFFFFFFFFFFFFFFFFFFFFFFFFxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxN$<<$.2",2222`2 LL2 LL2L"",,2d""completed in three and a half years. While the entire franchise area is still in the process of  x=being wired, GTE's ten year franchise agreement appears to provide that GTE will construct its"N ,N(N(ZZ"  X- xsystem throughout St. Petersburg.18 {Oy- xԍSee GTE's St. Petersburg franchise agreement at Section 22 (attached as Exhibit C to Time Warner's petition for special relief) Under the franchise, GTE is also obligated to provide a  x$1,000,000 performance bond assuring that 95% of the subscriber base within the franchise area,  xas of the franchise grant's effective date, shall have access to activated service on the system  X- x-within 42 months from the start of construction.D"18 {O-ԍSee id. at addendum 1.D With annual revenue and sales totaling nearly  X-$20 billion,S 18 {O -ԍSee GTE's 1995 Annual Report. S GTE is well positioned to fund its cable construction project to completion.  Xv- ` x 12.` ` GTE's aggressive marketing efforts, combined with the extensive press coverage  x=of GTE in the local media, ensure that potential subscribers are well aware of the availability of  xGTE's service. According to the documents attached to Time Warner's petition, in those areas  xwired and marketed by GTE, potential subscribers need only contact GTE to activate service.  xMoreover, those subscribers are able to receive service for only a minimal additional investment  xand without regulatory, technical or other impediments. Time Warner's loss of subscribers  xkto GTE as persuasive evidence that competition is present in the City. The fact that GTE is  xkactively offering service in the market is also evidenced by the competitive reaction of Time  xWarner which is reported to have increased service and reduced rates coincident with the  X - xintroduction of service by GTE.! F18 {O- x-ԍSee Business, St. Petersburg Times, February 24, 1997 ("Time Warner's standard service package, including superstations, is dropping from $26.59 to $22.97 per month.") Time Warner has also made physical plant and service  X- xupgrades in response to GTE's presence."18 yO- xԍFor example, Time Warner plans to offer its Roadrunner cable modem service in St. Petersburg later this year  {O-to compete with GTE's Mainstreet cable modem service. Id.  In the circumstances, consistent with Congressional  x@intent in adopting Section 623(l)(1)(d) of the Communications Act, we find "effective competition" to be present. x  X4- IV.xORDERING CLAUSES  X- ` x 13.` ` Accordingly, IT IS ORDERED that the Petition for Determination of Effective  xCompetition filed by Paragon Communications d/b/a Time Warner Communications challenging  X-the certification of the City of St. Petersburg, in St. Petersburg, Florida IS GRANTED. x` `  X- ` }x 14.` ` IT IS FURTHER ORDERED that the certification of the City of St. Petersburg,  x0Florida to regulate the basic cable rates of Paragon Communications d/b/a Time Warner  X|-Communications in St. Petersburg, Florida IS REVOKED .  XN- ` ~x15.` ` This action is taken pursuant to the interim rules adopted in Implementation of  X9- xiCable Reform Provisions of the Telecommunications Act of 1996, and is without prejudice to any"9 ",N(N(ZZ"  xifurther action taken by the Commission in adopting final rules pursuant to the Notice of Proposed  X-Rulemaking contained therein.i#18 {Ob-ԍCable Act Reform Order, 11 FCC Rcd at 59385945, 59615964.i x  X- ` ox16.` ` This action is taken pursuant to delegated authority under Section 0.321 of the  X-Commission's rules, as amended.;$Z18 yO-ԍ47 C.F.R 0.321.; x` `  hhFEDERAL COMMUNICATIONS COMMISSION x` `  hhMeredith J. Jones x` `  hhChief, Cable Services Bureau