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If you need the complete document, download the WordPerfect version or Adobe Acrobat version, if available. ***************************************************************** Before the Federal Communications Commission 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 Services ) and Equipment ) ORDER Adopted: August 17, 1999 Released: August 20, 1999 Responses Due: October 1, 1999. By the Chief, Cable Services Bureau: 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 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. We note for clarity that the sunset of upper tier rate regulation that occurred on March 31, 1999 did not eliminate the reporting requirements of Section 623(k). 2. To implement the requirements of Section 623(k), the Commission is directing certain cable operators to respond to a questionnaire designed to solicit information concerning rates for cable services and equipment. 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. A copy of the questionnaire is attached to this Order 3. We remain mindful of the need to limit administrative burdens on operators. We anticipate that the burdens associated with this survey will be quite limited, as the information requested should be readily available to operators without additional calculation. 4. The survey seeks information regarding the monthly charge for the basic service tier (BST) and cable programming services tiers (CPSTs), the monthly charge for equipment, installation fees, disconnect and reconnect fees, tier change charges, and charges for additional outlets. The survey asks for the number of subscribers taking each type of equipment and each tier of service, and also seeks information concerning the availability of digital services, telephony services and leased access programming as well as information about revenues from other sources. The survey requires cable operators to provide this information as of July 1, 1998 and July 1, 1999. The survey also seeks information to explain the causes of any changes in subscriber charges during the 12 months periods ending July 1, 1998 and July 1, 1999. 5. This survey form will be sent to a selected group 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 all cable community facing effective competition as well as from their competitors in those communities, and a randomly selected group of cable community units not subject to effective competition ("the sample"). The group facing effective competition includes 309 franchise areas. The group not facing effective competition includes approximately 506 franchise areas. 6. The systems selected for the sample must complete and return the questionnaire no later than October 1, 1999, in accordance with the associated instructions. All data submitted in response to this survey will be considered part of the public record and will be provided upon request without identifying information. 7. In order to expedite the processing of survey submissions, the Commission strongly encourages operators to file their survey responses on diskettes. Filing on diskettes should ease the burden on both the Commission and respondents. A diskette containing the complete price survey and instructions may be purchased from ITS (International Transcription Service) at (202) 857-3800. The minimum computer requirements are as follows: an IBM P.C. compatible with a 386 or higher processor, 8 megabytes of memory, and Windows 3.1 or greater. Instructions for the survey and the survey questionnaire may also be downloaded from the Commission's Internet site. 8. Operators obtaining the survey via the Internet or on diskettes are required to file the survey questionnaire on diskette and must also send a paper copy of their filings to the Commission. For those operators who cannot file on diskettes, a paper filing only will be accepted. If filing on paper, an original and two copies of the questionnaire must be filed with the Cable Services Bureau at the address indicated below. Regardless of the method selected for filing, responses must be received no later than October 1, 1999. Completed diskettes must be mailed to the Cable Services Bureau, Attn. Price Survey, Federal Communications Commission, 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 no later than October 1, 1999. FEDERAL COMMUNICATIONS COMMISSION Deborah Lathen Chief, Cable Services Bureau