Agenda - 12-20-94 - IX-C - Laserfiche WebLink

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19 FCC-1205: Determining Regulated Equipment and Installation Costs. OBSERVATIONS: Time Warner Cable prepared and submitted a completed form FCC-1205. The operator recalculated the equipment basket [converters and remote control devices and installation ]rates. The rates are lower than the prior year's. Time Warner Cable is a limited partnership, as such the company is an entity which does not pay federal and North Carolina state income taxes; however, the partners pay 35% federal and 9% state rates respectively. The operator elected to use the maximum permitted rate of return [ROI] under the current benchmark rules of 11.25% System wide, Time Warner Cable reported 5,631 remote #1 control units with a gross book value of$68,392 or $12.14 each; 7024 remote #2 control units with a gross book value of$88,279 or $12.56 each; 6,538 converter #ls in service with an aggregate gross book value of $814,452 or an average value of $124.57 each in service; and, 14,470 converter #2s in service with an aggregate gross book value of $777,283 or an average value of$53.71 each in service. System wide, the total number of converters [21,008] represents one converter for 2.49 subscribers. [Note: there are 52,369 TWC customers in the equipment pool.] This is nearly a 2.5:1 proportion of converters to subscribers; thus, indicating that nearly all subscribers have multiple converters in their homes. • FINDINGS: The operator's benchmark calculation for installation [labor] and equipment services are consistent with the benchmark requirements were established under the 1994 FCC-1200 benchmark rate. Recalculation by staff using the FCC1200/1215 rules, TWC's and staff's calculations are as follows: TWC Staff Hourly Service Charge $17.96 $17.58 Remote Control #1 .35 .346 Converter #1 2.19 2.17