Orange County NC Website
ORANGE COUNTY <br />BOARD OF COMMISSIONERS <br />ACTION AGENDA ITEM ABSTRACT <br />Meeting Date: February 20, 2001 <br />Action Agenda <br />Item No. <br />SUBJECT: Cable TV Rate Adjustment-Time Warner <br />DEPARTMENT: Manager's Office <br />PUBLIC HEARING: (YIN) No <br />ATTACHMENT(S): INFORMATION CONTACT: <br />Resolution/Order Albert Kittrell, Assistant County Manager <br />Corintha Barber, ext 2300 <br />TELEPHONE NUMBERS: <br />Hillsborough 245-2300 <br />Chapel Hill 968-4501 <br />Durham .688-7331 <br />Mebane 336-227-2031 <br />PURPOSE: To adopt a resolution/order setting Maximum Permitted Rates for Basic Cable TV <br />Service and the capital investment recapture "add-on" charge for Orange County residents <br />served by Time Warner Cable. <br />BACKGROUND: In September 2000 Time Warner Cable submitted three sets of FCC forms <br />1240 and 1234 requesting adjustments to the Maximum Permitted Rate for basic cable <br />television service and setting "add-on" charge to recapture the Company's investment to <br />upgrade the cable system serving County residents. Under FCC regulations cable companies <br />are permitted to request rate adjustments based on inflation and actual expenses plus a <br />11.25% rate of return. <br />Triangle J Council of Governments Cable TV Consultant, Bob Sepe, has reviewed Time. Warner <br />documents on behalf of the County and determined the rate should be adjusted as requested <br />by Time Warner. The Board must either approve or deny Time Warner's rate request, finding <br />the rate to be either reasonable, or not reasonable. This determination must be based upon a <br />finding of fact. The consultant's report is attached, and the County Cable TV Citizen Advisory <br />Committee concurs with TJCOG review.