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Thus,  x-as we have concluded in other recent proceedings, the Commission has authority to consider the  xZProposed Resolution and to determine, after review and consideration of comments, that the rates  X-set forth in the Resolution are not unreasonable.   {O - xwԍSee TCI Communications, Inc., FCC 96187 (released April 26, 1996); see also Garden State Cablevision, L.P.,  yOV!-FCC 96261 (released June 11, 1996).  X- III. COMMENTS   @x8. A total of 216 local franchising authorities and complainants were served with the  xxCommission's order and the Proposed Resolution. We received only three comments in response.  xOne comment was an endorsement from Marin County, California ("Marin"). Marin finds the" ,N(N(ZZo"  x0terms of the Resolution, including the refund and rate reduction applicable to the Marin  xcommunities, acceptable. A second comment, filed by the City of Seattle ("Seattle"), questioned  x?the method of refund calculations for subscribers in Seattle. Subsequent to the filing of  X- xcomments by Seattle, Viacom and Seattle resolved that issue to Seattle's satisfaction.Z yO4- xJԍSeattle confirmed resolution of the issue in a letter dated November 15, 1996 in which it stated that it supports  {O- xthe settlement as amended. See letter to the Commission from Steve Holmes, Strategic Technology Planner, Department of Administrative Services, City of Seattle (filed November 18, 1996). The third  xcomment was filed on behalf of the TriValley and Napa, California systems ("TriValley/Napa"),  xNwhich questioned the basis for the differences in maximum permitted rates calculated on  xLViacom's original rate forms and the rate forms submitted by Viacom to the Commission during  x.the course of our discussions with Viacom. We explain below those differences. Viacom filed reply comments supporting adoption of the Proposed Resolution.  X - IV. DISCUSSION   x9. We find that the rates and refunds provided for in the Resolution are not unreasonable  X - xwithin the meaning of section 623(c)(1) of the 1992 Cable Act.e  yOp-ԍCommunications Act,  623(c)(1), 47 U.S.C.  543(c)(1).e The Bureau reviewed FCC  x/Form 393s, Form 1200s, Form 1210s, and Form 1220s (i.e., the costofservice filings) for the  X - x91 community units included in the Resolution. z yO- xԍThese community units are identified as "CUIDs". "CUID" is an acronym for community unit identification number. The Commission has assigned such numbers to local communities across the country. The Resolution takes into consideration the  xpublic interest benefit to consumers of resolving Viacom's appeals of Bureau orders concerning  xits rates in certain franchise areas and the benefit to consumers of prompt, certain relief where  xrelief is warranted. The process of adjudicating each of the rate complaints individually and  xlitigating those rulings through the courts a process that would likely take several years  xywould not be in the public interest when the Resolution ensures reasonable rates and provides  X-immediate refunds to subscribers.hh   ]x10. To the extent that adoption of the Resolution requires waiver of any of our rules, we  x<find that such a waiver is in the public interest, because the resolution will ensure the expeditious  xresolution of a large number of rate complaints while protecting consumers' statutory interest in  xCPST rates that are not unreasonable. We recognize that our rules contemplate an adjudication  xof each CPST rate complaint pursuant to ratemaking standards specified in the Commission's  X|- xrules.\| {O"-ԍSee 47 C.F.R.  76.922923, 76.950963.\ We also recognize that our rules address changes in the number of channels on a CPST  Xe- xjand the extent to which channels may be moved to a new product tier ("NPT").Ted  {Oz%-ԍSee 47 C.F.R.  76.922, 76.987.T To the extent  xthat we have diverged from these rules by adopting the Resolution, we find good cause to waive"N ,N(N(ZZ"  X- x-these rules pursuant to section 1.3 of our rules. yOy- x,ԍSection 1.3 of the Commission's rules provides: "any provision of the rules may be waived by the Commission on its own motion ... if good cause therefor is shown. 47 C.F.R.  1.3. Specifically, we find that such a waiver furthers  x/the purpose of the rules and advances the public interest because the Resolution will more  xyeffectively achieve the objectives of the 1992 Cable Act by ensuring the expeditious resolution  xyof over 200 rate complaints while protecting consumers from unreasonable CPST rates through  xthe prompt issuance of refunds. We further observe that the Commission's authority to resolve  X-cases in an analogous manner has been affirmed in other contexts.  {O^ - xԍSee New York State Dep't of Law v. FCC, 984 F.2d 1209 (D.C.Cir. 1993)(consent decree settling enforcement action upheld).   Ox11. Seattle raises a question related to the calculation of the refunds proposed in the  xResolution for its Viacom subscribers. Seattle states that the CPST maximum permitted rates for  xLViacom subscribers in Seattle, which are listed in Exhibit 1(A) of the Resolution, are lower than  xthe maximum permitted rates Viacom had calculated previously on its rate forms and which  xViacom had put into effect. Seattle questions why no refunds are provided in the Resolution to  x]compensate subscribers for those apparent overcharges. In its reply comments, Viacom  x.acknowledges the miscalculation, which it characterizes as unique to Seattle, and states that it  xMsupports an appropriate correction in the refund calculation. Seattle accepts the correction  X - xproposed by Viacom.D z {O-ԍSee footnote 14.D The adjustment was due to an error in the accounting for a local tax and  xan unintentional doublecount of CPST undercharges, which undercharges were used both in  x\calculating BST refund liability by Seattle and in calculating CPST refund liability under the  xterms of the Resolution. The correction results in a refund for Seattle subscribers of $23,363.  xViacom requests that Exhibit 2 to the Resolution be modified to reflect the corrected refund to  X4-Seattle subscribers. 4  yO- xԍViacom Reply Comments at 12. Viacom also requests that Exhibit 1(B) be corrected to add reductions in  x,current CPST rates for three communities that were inadvertantly omitted from that exhibit. The three comunities  xand the amount of reductions are: Seattle ($0.06[nonrebuild] and $0.08[rebuild]), Pierce County, Washington ($0.01), and Goodlettsville, Tennessee ($0.03). Exhibit 1(B) is corrected accordingly. Accordingly, the Resolution is amended to reflect that change.   x12. TriValley/Napa requests an explanation for the differences between the maximum  xpermitted rates calculated in the rate forms previously submitted by Viacom to the Tri x/Valley/Napa communities and the maximum permitted rates appearing in Exhibit 1(A) which  X- xzwere established under the terms of the Resolution.;X  yOf#- xiԍThe TriValley and Napa comments were submitted on behalf of those systems by the Telecommunications  xManagement Corporation. The TriValley and Napa systems include the cities of Dublin, Livermore, Pleasanton, San Ramon, and Napa, California.; The Exhibit 1(A) rates are as much as  x.$0.55 higher than the original rates contained in Viacom's rate forms. The differences between  xthe two sets of CPST rates are due to adjustments made by Viacom to its rate calculations,",N(N(ZZQ"  xxsubsequent to the submission of its rate forms to the communities. These adjustments were made  xpursuant to optional procedures the Bureau authorized cable operators to use in calculating their  X- xrates. These optional procedures were authorized in a Public Notice issued on December 29,  x1994 (DA 941556). At the time that Public Notice was released, cable operators had already  xfiled their rate forms with both the Commission and the local franchising authorities. In  xViacom's case, the Public Notice permitted Viacom to recalculate the number of channels offered  xpursuant to the "preponderance of use" rule stated in that Public Notice. Viacom did so and submitted that information in February, 1995 to the Commission.   Ax13. In its Public Notice of December 29, 1994, the Commission clarified the proper  xymethod that cable operators should use in counting channels of programming in their systems.  xxThis is necessary because our rate forms require cable operators to count the number of regulated  xchannels, satellite channels, and broadcast channels. For Example, Form 393 is the official form  xused to determine whether an operator's regulated rates were reasonable during the period from  xSeptember 1, 1993 to May 14, 1994. In Part II of Form 393 the operator calculates its maximum  xKpermitted programming rates. Those rates are derived from converting actual aggregate revenues  xto a perchannel rate, which is then compared to the applicable benchmark rate. The benchmark  xrate is determined by reference to the Benchmark Cable Rate Table in Form 393. The benchmark  xKrate is dependant on the number of subscribers served and the number of regulated channels and  xsatellite channels offered by the operator. As the number of regulated channels increases, the per xchannel rate decreases. As the number of satellite channels increases, however, the perchannel  xrate also increases. The number and type of channels offered by the operator is of critical  ximportance in determining the benchmark rate. Form 1200 succeeded Form 393 and is used to  xdetermine the reasonableness of an operator's rates under revised benchmark rules after May 14,  x1994. In the Form 1200 calculation process, the number of regulated channels and the number  x]of broadcast channels (rather than satellite channels) are critical for determination of the benchmark rate and the maximum permitted rate   Px14. One of the difficulties cable operators faced in counting channels was how to  xcharacterize channels that were used for more than one type of programming. The Commission  xlexplained in the Public Notice of December 29, 1994 that a channel should be counted as  xregulated or as a satellite channel or as a broadcast channel, etc., if it were used for that purpose  xmore than 50 percent of the time that the channel was in operation. For example, a channel used  xto provide programming service for 24 hours per day is not a regulated channel if it is used 12  x>hours or more per day for unregulated programming purposes. Similarly, a channel used to  xOprovide programming service for 24 hours per day, of which 12 hours or more is local  x=broadcasting and 12 hours or less is regulated satellite programming, is not a satellite channel.  xAlso, the Commission concluded that two channels with the same programming should be counted as a single channel for rate calculation purposes.   Ox15. For each of the TriValley/Napa communities, Viacom filed additional information  xwith the Commission, pursuant to the Public Notice, in February, 1995. That additional  xZinformation modified Viacom's channel counts. Those changes produced the differences in CPST  x/maximum permitted rates questioned by TriValley/Napa. For example, in Dublin, California"#',N(N(ZZ%"  xL(CUID CA0353), the reported channel count was reduced by two channels. The total BST and  xCPST channel count went from 34 to 32. This change had the effect of increasing the benchmark  xperchannel rate and a corresponding increase in the CPST maximum permitted rate. The per xchannel rate was higher because the Benchmark Cable Rate Table authorizes higher perchannel  xrates in systems that offer fewer channels. The CPST rate increased because no channels were  x|removed from the CPST. They were taken from the BST. The higher perchannel rate  xmultiplied by the same number of CPST channels produced a higher CPST rate. Similar channel  xcount changes were reported in Napa, California (CUID CA0407), for which Viacom reported  xa reduction of one channel, and San Ramon (CUID CA1115), Livermore (CUID CA0356), and  xPleasanton, California (CUID CA0360), for each of which Viacom reported a reduction of two  X - xxchannels.  yO - xԍIn addition to the fact that the revised channel counts produced changes in the maximum permitted rates, the  xZsize of the discrepancy in Napa, San Ramon, and Pleasanton is due in part to the fact that the rates cited by Tri xYValley/Napa for those communities are based on cost data filed by Viacom for the third quarter 1995, not the fourth  xquarter. A comparison of the fourth quarter figures reveals a smaller rate difference for Napa and San Ramon, and  xin the case of Pleasanton, the difference disappears entirely because Viacom added two channels back to the system in that community early in 1995. All of the reductions were in the BST channel count, leaving the CPST channel count  xunchanged. The rate forms and additional information filings which contain those changes have  x[been available for public inspection in the Bureau's public reference room in Washington, D.C. since release of the Proposed Resolution on August 23, 1996.   x16. TriValley/Napa also seeks clarification on whether the maximum permitted rate set  xforth in Exhibit 1(A) of the Resolution is the rate authorized on December 31, 1995 or the rate  Xy- x.justified by fourth quarter 1995 cost increases. It is the latter. The maximum permitted rates in  xExhibit 1(A) are those rates justified by the rate forms submitted by Viacom during the course  xof discussions. The rate forms include the Form 1210s which documented fourth quarter 1995  X4-cost increases. The corresponding rates could have been implemented after December 31, 1995.?Z4@ {O%- x,ԍSee 47 C.F.R.  76.922(d)(3)(iii). "A system may adjust its rates after the close of a quarter to reflect changes  xin external costs that occurred during that quarter as soon as it has sufficient information to calculate the rate change."?  X- V. CONCLUSION AND ORDERING CLAUSES  X-  x17 . For the reasons discussed above, we conclude that it is in the public interest to adopt the Resolution.   x18. ACCORDINGLY, IT IS ORDERED that the Resolution attached to this Order as Attachment A, IS ADOPTED as amended herein.   x19. IT IS FURTHER ORDERED that all rate complaints under the jurisdiction of the  xCommission against Viacom Cable Inc. challenging rates in effect or based on cost increases for  xthe period September 1, 1993 through December 31, 1995 ARE GRANTED to the extent" b ,N(N(ZZ\" indicated herein, and DENIED in all other respects.   x20. IT IS FURTHER ORDERED that all orders issued by the Cable Services Bureau and  xthe Commission with respect to CPST rate complaints against Viacom Cable Inc. in the  x@communities listed in Exhibit 1(A) of the attached Resolution, for the period between  xSeptember F"x Ԡ F"x 1, 1993 and December 31,1995 ARE VACATED AND SUPERSEDED by this Resolution.   x21. IT IS FURTHER ORDERED that a waiver of 47 C.F.R.  76.922 and 76.950963, to the extent individual adjudication of CPST rate complaints is required thereby, IS GRANTED.   |x22. IT IS FURTHER ORDERED that a waiver of 47 C.F.R.  76.922, regarding changes  xin the number of channels on a regulated tier, and 47 C.F.R.  76.987(b)(2), (b)(3), prohibiting  xoperators from dropping channels that were offered on their BSTs or CPSTs on September 30,  xj1994 and moving them to NPTs unless they wait at least two years from the dates the channels were dropped and requiring remarketing of the NPT, IS GRANTED.   x23. IT IS FURTHER ORDERED that the Cable Services Bureau IS GIVEN delegated authority to oversee implementation of this Resolution, as adopted. x24. IT IS FURTHER ORDERED that this Order IS EFFECTIVE upon adoption. x` `  hhFEDERAL COMMUNICATIONS COMMISSION x` `  hhWilliam F. Caton x` `  hhActing Secretary "e,N(N(ZZ}"  X- ATTACHMENT ATP  X-x` `  Terms of Proposed Resolution  X-JG$ I. Introduction ă  XG-  ?1.xThis Proposed Resolution finally resolves all cable programming services tier ("CPST") complaints pending as of December 31, 1995 against Viacom Cable and its subsidiaries.  X^ -U$ II. Background ă  X-  2.xComplaints have been filed with the Federal Communications Commission  x=("Commission") pursuant to 47 C.F.R.  76.950, concerning the CPST rates charged by Viacom in the franchises listed in Exhibit 1. Rate justifications were filed in response to such complaints.  X-  {3.xThe Commission's Cable Services Bureau (the "Bureau"), under delegated authority, has  xreviewed Viacom's rate justifications pursuant to the Cable Television Consumer Protection and  xCompetition Act of 1992, Pub. L. No. 102-385, 106 Stat. 1460 (1992) ("1992 Cable Act"), and  x.the Commission's cable rate regulations. As a result of that review, the Bureau has determined that certain refunds are owed to subscribers.  X-  ?4.xViacom maintains that it has followed the letter and spirit of the Commission's cable rate  xregulations and the 1992 Cable Act in the rate justification filings, that its CPST rates do not  xexceed maximum permitted levels, and that no refunds are owed to subscribers. Notwithstanding  xits position, Viacom proposes to resolve all of its CPST rate cases filed under FCC Forms 393, 1200, 1210, and 1220 under the terms set forth below.  X#-k$ III. Definitions ă  X&-5.xAs used herein, the following definitions will apply:"& ,N(N(ZZ$J"Ԍ X- ` ԙx(a)` ` "Billing Cycle" means the time period during which monthly bills are sent to subscribers, but in no event longer than 31 days.(#`  X-x(b)` ` "CPST" means cable programming service tier as defined in 47 C.F.R.  76.901.(#`  X- ` x(c)` ` "Commission Rules" means all Commission rules currently in effect as of  ` December 31, 1995, as well as all subsequent clarifications, amendments, and  ` &additions thereto, including, but not limited to, changes initiated by the Commission or changes required by or made pursuant to changes in federal law.(#`  X - ` x(d)` ` "Effective Date" means the date on which the Commission issues the Resolution Order approving this Proposed Resolution.(#`  XE - ` Rx(e)` ` "Eligible Subscribers" means CPST subscribers of record to Viacom's cable franchises listed in Exhibits 1 as of the date bills are issued reflecting Refunds.(#`  X- ` x(f)` ` "Going-Forward rules" means the Commission's rules adopted in the Sixth Order  X\- ` on Reconsideration, 10 FCC Rcd. 1226 (1994), including all subsequent clarifications and amendments thereto.(#`  X- ` 6x(g)` ` "Interest" means the Internal Revenue Service rate of interest for tax overpayments.(#`  X- ` Rx(h)` ` "Migrated Product Tier" or "MPT" means a tier consisting of up to four (4)  ` services moved from existing regulated tiers and to which other services may be added, as described below in paragraph 12.(#`  X-x(i)` ` "Refund" means a credit on a subscriber's bills.(#`  XD- ` x(j)` ` "Resolution Order" means a final order issued by the Commission regarding the terms of this Proposed Resolution.(#`  X[-/4 IV. Terms ă  X"-  6.xViacom accepts the jurisdiction of the Commission over it and the subject matter of these rate resolutions for purposes of the Resolution Order approving these terms.  X,&-  7.xAll of Viacom's CPST rate cases filed under FCC Forms 393, 1200, 1210, and 1220 for",& ,N(N(ZZ$J" the period through December 31, 1995, are finally resolved under the terms provided herein.  X-  8.xViacom agrees that the terms contained in this Proposed Resolution shall be incorporated  xLby reference in the Resolution Order. Assuming the adoption of these terms in the Resolution  x=Order, Viacom and the Commission will each actively defend the Resolution Order against any  xappeal of, or other legal challenge to, the Resolution Order by any third party. Viacom and the Commission will reasonably cooperate in any such defense of these terms.  X -  09.xAssuming the adoption of these terms in the Resolution Order, Viacom agrees that any  x0violation of the Resolution Order approving these terms shall constitute a violation of a  xCommission order, entitling the Commission to exercise any rights and remedies attendant to the enforcement of a Commission order.  X-  ?10.xThese terms are for purposes of settlement only, and do not constitute an admission by  xViacom of any violation of, or failure to conform to, the 1992 Cable Act, the Commission's Rules, or any other applicable law, rule, or policy.  X--  11.xThe Commission will not institute, on its own motion, any proceedings against Viacom  x<based on the information obtained during consideration of the Proposed Resolution. In addition,  xin the absence of additional facts, any allegations and other circumstances involved in  xconsideration of this Proposed Resolution will not be used by any party against Viacom with respect to any future proceeding.  X[-  ]12.xIn consideration for the resolution of Viacom's CPST rate cases pending as of December  x31, 1995, Viacom hereby agrees to the following terms, conditions and procedures which will  xfacilitate a fair and expeditious resolution of those matters in a manner that serves the public interest:  X$- ` x(a)` ` Viacom will issue Refunds to the Eligible Subscribers in the amounts listed in  ` Exhibit 2. This Refund includes applicable Interest through August 31, 1996. ",& ,N(N(ZZ$J" Refunds will be reflected as a one-time credit on subscriber bills.(#`  X]- ` ~x(b)` ` Viacom will provide Refunds to Eligible Subscribers during the September 1996  ` billing cycle or the first monthly billing cycle beginning 60 days after the  ` Effective Date, whichever is later. If Refunds are not included in a Billing Cycle  ` Bbeginning prior to September 1, 1996, Viacom will adjust the Refunds to reflect  ` #additional Interest for the period from September 1, 1996 to the date on which the Billing Cycle that includes the Refunds begins.(#`  X - ` Rx(c)` ` The Resolution Order issued by the Commission will find that the maximum permitted rates are as indicated for the communities listed in Exhibit 1.(#`  XE - ` ~x(d)` ` The Commission reviewed Viacom's Forms 393, 1200, and 1210, and supporting  ` pinformation for the franchises on Exhibit 1. The rate indicated in Exhibit 1 is  ` supported by this showing. In addition, the Commission reviewed Viacom's CPST  ` Bcostofservice filings (Form 1220) for Viacom's Redding, Pittsburg and Contra  ` `Costa systems. The Commission finds that the Current Rate for CPST in these  ` 2systems is not unreasonable. Finally, the Commission reviewed the BST costof ` Qservice filing by Viacom for the Pittsburg system, which includes Antioch, CA  ` (CUID CA0351), Pittsburg, CA (CUID CA0359), and Martinez, CA (CUID  ` CA0365). The costofservice filing was referred by the LFA to the Commission  ` for a decision. The Commission finds that the Current Rate for BST in the Pittsburg system is reasonable.(#`  XD- ` x(e)` ` Viacom, at any time at its discretion, may move a maximum of any four (4)  ` 3regulated services to a single "Migrated Product Tier" on each of its systems.  ` QViacom may not require the subscription to any other tier, other than the basic  ` service tier, as a condition to subscribing to the MPT and may not require  ` $subscription to the MPT as a condition for subscription to any other tier. The  ` retiering of these services is permitted under 47 C.F.R.  76.981(b), does not  ` constitute a negative option under the 1992 Cable Act, and, when the MPT is  ` Aoffered, Viacom will not be required to re-market that MPT to existing subscribers  ` #who previously received the services which were migrated. These actions can be",& ,N(N(ZZ$J"  ` 2taken without regard to any state or local law which may be inconsistent with the terms of this subparagraph.(#`  X- ` x(f)` ` Viacom will set the initial rate for an MPT at the same level, on a per channel  ` basis, as is set for the applicable franchise's regulated tiers. Viacom may add any  ` #number of new services to its MPT and may increase the price for the MPT up to  ` $0.20 plus the amount of the program license fee for each new service added.  ` These new services shall not be considered new services added for purposes of the  ` #limit on service additions and rate increases pursuant to the Going-Forward rules  ` 4as long as the MPT is not initially offered with more than the four migrated  ` 2services. Viacom may also increase the price of an MPT for inflation and external  ` costs and new services consistent with the Commission's rate regulations governing CPSTs.(#`  X\- ` x(g)` ` On or after December 1, 1997, Viacom may reclassify each MPT as a New  ` Product Tier ("NPT"), as defined in 47 C.F.R.  76.987, including subsequent  ` clarifications or amendments thereto. These NPT's will be treated as all other  ` `NPTs under the Commission's rules. This reclassification is permitted under 47  ` 3C.F.R.  76.981(b), does not constitute a negative option under the 1992 Cable  ` $Act, and does not require Viacom to re-market the reclassified NPT to existing  ` subscribers of the MPT. Nothing in this Proposed Resolution shall be construed  X- ` ~to prevent Viacom from creating other NPTs and/or offering a la carte channels  ` _pursuant to the Commission's rules. These actions can be taken without regard to  ` any state or local law which may be inconsistent with the terms of this subparagraph.(#`  X[- ` ~x(h)` ` The terms of this Proposed Resolution will continue to apply to cable systems divested by Viacom through a system sale or trade.(#`  X"- ` x(i)` ` As of the Effective Date, any Bureau orders which concern Viacom's CPST rates are vacated. This Proposed Resolution supersedes any such Bureau orders.(#`  X$- ` Ql aE#6\  P6QP#Qx(j)` ` As of the Effective Date, Viacom will withdraw the Applications for Review and  ` the Petitions for Stay of any Bureau orders filed with the Commission for the",& ,N(N(ZZ$J" franchises listed in Exhibit 1. (#`  X]- ` x(k)` ` A copy of this Proposed Resolution shall be provided to: (1) each local franchising  ` authority ("LFA") in the franchises listed in Exhibits 1 and (2) to each party that  ` filed a valid complaint on FCC Form 329 pursuant to 47 C.F.R.  76.950, for their comment.(#`  X- ` x(l)` ` Except as provided in paragraph (n) hereof, these terms may not be terminated or  ` omodified without the mutual written agreement of Viacom and the Commission.  ` AThe Commission's consent to any such modification shall be demonstrated by an  ` 3order issued by the Bureau or, at the Commission's option by the Commission itself.(#`  X - ` px(m)` ` Notwithstanding the terms hereof, Viacom may avail itself of any applicable  ` modifications of any law or regulation governing the CPST rates charged in any  ` `Viacom franchise listed in Exhibit 1, including the adoption by the Commission  ` Bof any regulation governing rates as applied to the cable industry generally. If  ` BViacom exercises this election, the terms contained herein shall be superseded  ` upon the effective date of such law or regulation, except that Viacom shall provide Refunds to Eligible Subscribers pursuant to the terms of this Proposed Resolution.(#`  X-  13.xThe Resolution Order shall affirmatively state that any and all waivers of the  xyCommission's rules, and any modifications to Commission forms, necessary to effectuate these  xterms are deemed to be granted. Such waivers shall include Viacom's right to adjust any Form  xj1240 rate to reflect the final Form 1210 or 1220 rates approved by the Resolution Order, without  xaffecting the implementation date or annual cycle elected for Form 1240 filings. The  xCommission will not assert in any proceeding that Viacom's compliance with the terms of this  x[Proposed Resolution violates any Commission rule or order, and, in any proceeding before the  xCommission brought by a third party, a showing by Viacom that it has complied with these terms  xshall constitute a defense to any claim that Viacom's actions in meeting the terms constitute a violation of any applicable Commission rule or order. ",&,N(N(ZZ$J"Ԍ X-  14.xAssuming the adoption of these terms in the Resolution Order, these terms shall become effective when the Commission issues the Resolution Order approving these terms.  X-  15.xIf any provision, clause, or part of this Proposed Resolution is invalidated, the remainder  xof this Proposed Resolution shall not be affected thereby and shall remain in effect; provided,  xhowever, that if such invalidation is material to this Proposed Resolution, Viacom and the  xCommission shall attempt in good faith to reconstitute the Proposed Resolution in a form that is, to the maximum extent possible, consistent with the original intent of the Proposed Resolution. "E ,N(N(ZZ J"  X-%C EXHIBIT 1(A) ĐTP  X- VIACOM CABLE ă SUMMARY OF CPST MAXIMUM PERMITTED RATE  X.-SYSTEM/FRANCHISECUIDhh@hppFor the 4th Quarter Ending  X -x` `  hh@hppon December 31, 1995 TriValley  X -Dublin` `  CA0353@hpp$11.05  X-Livermore` `  CA0356@hpp$12.54  X\-Pleasanton` `  CA0360@hpp$11.09  X-Alameda CountySunolCA0364@hpp$10.84  X-San Ramon` `  CA1115@hpp$10.96  X-ԩCastro Valley CA0238@hpp$11.78 Pittsburg  X-Antioch` `  CA0351@hpp$12.10  XD-Pittsbugh` `  CA0359@hpp$12.11  X-Bay Point` `  CA0365@hpp$12.10 Pinole  X -Pinolex` `  CA0069@hpp$11.96  X"-C.C. CoSan Pablo CA0070@hpp$11.49  Xr#-C.C. CoCrockett CA0075@hpp$12.34  X$-C.C. CoRodeo CA0924@hpp$12.28 ",&,N(N(ZZ$J"ԌMarin  X]-Marin JPA` `  ALLhh@hpp$11.20 Petaluma  Xt-Sonoma Co.Televue CA0357@hpp$11.46  X-Petaluma` `  CA0358@hpp$11.49 Healdsburg  X -Cloverdale` `  CA0110@hpp$12.95  XE -Healdsburg` `  CA0111@hpp$13.12  X -Sonoma Co.H/C/G CA0112@hpp$12.96  X-Windsor` `  CA1513@hpp$12.85 Napa  X-Napa City` `  CA0407@hpp$11.85  Xs-Napa Co.` `  CA0408@hpp$11.75  X-American Canyon CA1339@hpp$11.66 San Francisco  X-San Francisco CA0245@hpp$12.49 Redding  X-Anderson` `  CA0092@hpp$13.71  X[-Red Bluff` `  CA0093@hpp$13.69  X -Tehama Co.` `  CA0094@hpp$13.69  X"-Shasta Co.` `  CA0095@hpp$13.94  Xr#-Redding` `  CA0096@hpp$13.94 Oroville",&,N(N(ZZ$J"Ԍ X-Butte Co.Oroville CA0195@hpp$13.38  X]-Oroville` `  CA0196@hpp$14.16  X-Colusa` `  CA0383@hpp$12.96  X-Colusa Co.` `  CA0384@hpp$12.95  Xt-Paradise` `  CA0512@hpp$13.81  X-Gridley` `  CA0718@hpp$13.09  X.-Biggsx` `  CA0724@hpp$13.02  X -Butte Co.Paradise CA1117@hpp$13.71 Salem (Prior to Build Completion)  X -Salemx` `  OR0057@hpp$13.21  X-Polk Co.` `  OR0194@hpp$13.32  X\-Marion` `  OR0195@hpp$13.14  X-Keizerx` `  OR0227@hpp$13.13  X-Amityx` `  OR0423@hpp$13.48 Puget North  X--Oak Harbor` `  WA0191@hpp$14.07  X-Island Co.` `  WA0264@hpp$13.97  X-Everett` `  WA0091@hpp$13.22  XD-Snohomish Co.EverettWA0223@hpp$13.39  X-Mukilteo` `  WA0013@hpp$13.37  X-Mill Creek` `  WA0396@hpp$13.43  X[-Snoho.Co.LynnwoodWA0255@hpp$13.36  X -Brierx` `  WA0325@hpp$13.35  X"-Lake Stevens` `  WA0026@hpp$13.80  Xr#-Snoho. Co.Monroe WA0243@hpp$13.75  X$-Goldbar` `  WA0024@hpp$14.36 ",&,N(N(ZZ$J"ԌPuget Central  X]-Seattle (NonRebuild Area)WA0112@hpp$12.10  X-Seattle (Rebuild Area)hh@hpp$13.88  X-Bothell` `  WA0149@hpp$13.21  Xt-King Co.Vista WA0150@hpp$12.89  X-City of Woodinville WA0549@hpp$12.89  X.-Redmond` `  WA0151@hpp$12.99  X -Kirkland` `  WA0310@hpp$12.65  X -BellevueComm.TelecableWA0076@hpp$13.08  XE -BellevueAll Points WA0330@hpp$13.08  X -King Co. Comm. TelecableWA0118@hpp$12.92  X-Mercer Island` `  WA0110@hpp$13.55 Puget South  X-Fircrest` `  WA0041@hpp$14.83  Xs-Puyallup` `  WA0049@hpp$15.04  X-Steilacoom` `  WA0245@hpp$14.77  X--Gig Harbor` `  WA0227@hpp$15.16  X-Pierce Co.` `  WA0180@hpp$14.86  X-Lee Hills` `  WA0181@hpp$15.02  XD-Tacoma` `  WA0262@hpp$14.83  X-Vashon Island WA0413@hpp$14.99  X-Yelmx` `  WA0405@hpp$14.98    X[-Dupont` `  WA0403@hpp$14.83  X -Royx` `  WA0406@hpp$14.97  X"-Bonney Lake` `  WA0308@hpp$14.80 Dayton  X,&-Dayton (39 Chnl Area)OH0453@hpp$12.21",&,N(N(ZZ$J"Ԍ X-Dayton (46 Chnl Area)OH0453@hpp$12.21  X]-Riverside` `  OH0961@hpp$12.49 Nashville  Xt-Nashville (40 Chnl Area)TN0148@hpp$12.20  X-Nashville (56 Chnl Area)TN0148@hpp$14.37  X.-Nashville (61 Chnl Area)TN0148@hpp$14.58  X -Goodlettsville (Sumner Co.)TN0644@hpp$14.32 "E ,N(N(ZZ J"  X-T 'k EXHIBIT 1(B) ĐTP  X- VIACOM CABLE  X-_  SUMMARY OF CPST MAXIMUM PERMITTED RATES  AND REDUCTION FROM CURRENT CPST RATES x` `  hhCurrent  X -x` `  hhImplementedhppGoing ForwardxxReduction in  X -System/Franchise CUIDhhCPST RatehppCPST Rate  xxCPST Rate Marin  X-Marin JPA` `  ALLhh$ 11.40hpp$ 11.20  xx$ (0.20)  X-ԩHealdsburg  X-Cloverdale` `  CA0110hh$ 13.44hpp$ 12.95  xx$ (0.49)  Xs-Healdsburg` `  CA0111hh$ 13.50hpp$ 13.12  xx$ (0.38)  X-Sonoma Co.H/C/G CA0112hh$ 13.21hpp$ 12.96  xx$ (0.25)  X--Windsor` `  CA1513hh$ 13.14hpp$ 12.85  xx$ (0.29) Oroville  XD-Colusa` `  CA0383hh$ 13.23hpp$ 12.96  xx$ (0.27)  X-Colusa Co.` `  CA0384hh$ 13.22hpp$ 12.95  xx$ (0.27) Puget North  X -Everett` `  WA0091hh$ 13.37hpp$ 13.22  xx$ (0.15)  X"-Mukilteo` `  WA0013hh$ 13.58hpp$ 13.37  xx$ (0.21)  Xr#-Mill Creek` `  WA0396hh$ 13.55hpp$ 13.43  xx$ (0.12) Puget Central",&,N(N(ZZ$J"Ԍ X-Seattle [Nonrebuild] WA0112hh$12.16hpp$12.10  xx$(0.06)  X]-Seattle [Rebuild] WA0112hh$13.96hpp$13.88  xx$(0.08) Puget South  Xt-Pierce County WA0180hh$14.87hpp$14.86  xx$(0.01) Nashville  X -Goodlettsville` `  TN0644hh$14.35hpp$14.32  xx$(0.03) "E ,N(N(ZZ J"  X-1 EXHIBIT 2 x` `  CPST REFUND LIABILITY ($000) FFORM 393 & FORM 1200/1210s  X- Franchise` `  CUIDhh@TOTAL REFUNDS DUE  X -Marinx` `  ALLhh@h($236.8)  XE -Cloverdale` `  CA0110hh@h($22.6)  X -Healdsburg` `  CA0111hh@h($32.1)  X-Sonoma Co.HCG CA0112hh@h($54.2)  X\-Windsor` `  CA1513hh@h($51.0)  X-Anderson` `  CA0092hh@h($ 4.0)  Xs-Red Bluff` `  CA0093**hh@h($ 5.7)  X-Tehama Co.` `  CA0094**hh@h($ 1.3)  X--Shasta Co.` `  CA0095hh@h($ 4.3)  X-Redding` `  CA0096hh@h($32.3)  XD-Butte Co.Oroville CA0195**hh@h($18.0)  X-Colusa` `  CA0383**hh@h($14.4)  X-Colusa Co.` `  CA0384**hh@h($ 2.1)  X[-Paradise` `  CA0512**hh@h($ 7.4)  X -Gridley` `  CA0718**hh@h($ 1.3)  X"-Biggsx` `  CA0724**hh@h($ 0.5)  Xr#-Butte CoParadise CA1117**hh@h($ 3.3)  X,&-Mukilteo` `  WA0013hh@h($29.7)",&,N(N(ZZ$J"Ԍ X-Everett` `  WA0091hh@h($95.3)  X]- Seattle` `  WA0112**hh@h($23.4)  X-Oak Harbor` `  WA0191**hh@h($ 4.5)  X-Mill Creek` `  WA0396hh@h($ 9.5)  X-Nashville` `  TN0148hh@h($223.0)  X.-Goodlettsville` `  TN0644hh@h($ 2.0)  X -x` `  hh@h ($878.6 ) x` `  hh@h=====  yOE -#C\  P6QP#Note:x**Refunds for Form 393 periods for which a final orderpp xhas issued have been calculated in accordance with the xterms of that order, without adjustment or compromise. xRefunds for other periods have been computed with xcertain offsets and adjustments, including an offset to  yO!-xCPST refund liability for undercharges in BST.#XP\  P6Q9XP#