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9 <br />STATE OF NORTH CAROLINA <br />ORANGE COUNTY <br />BEFORE THE BOARD OF COUNTY COMMISSIONERS <br />IN THE MATTER OF: )ORDER FINDING TWC's 2000 <br />Review of FCC 1205, 1235 & 1240 )CABLE SERVICE FCC1240/1235 <br />Annual Rate Adjustment Requests filed by )RATE METHODOLOGY AS <br />Time Warner Cable far NC-0256 and )REASONABLE AND ORDERING <br />NC-0276 <br />A RATE TRUE-UP FOR 2001. <br />BY THE BOARD OF COUNTY COMMISSIONERS: <br />WHEREAS, Time Warner Cable submitted three FCC 1240 Updating Annual Maximum <br />Permitted Rates filings for Regulated Cable Services with the County. Time Warner's filing covers <br />external costs, inflation, and cable system upgrade costs for the true up period of October 1998 thmugh <br />September 1999 and the projected period of January through December 2000; <br />WHEREAS, Tirne Warner Cable submitted an FCC 1235 Abbreviated cyst of Service For <br />Cable Network Upgrades with the County. Time Warner's filing covers capital expenses dixectly <br />related to system infrastructure improvements prior to January 1, 2000; <br />WHEREAS, the County received a report stating that Time Warner's FCC 1205, 1235 and <br />FCC1240 rate calculations comply with Federal Communications Commission rate making rules and <br />that the requested maximum permitted Basic Service Tier rate is reasonable; <br />WHEREAS, the County received a report stating that Time Warner's FCC 1240 BST rate <br />calculations comply with Federal Communications Commission rate making rules, and that the <br />requested monthly maximum permitted Basic Service Tier rate is excessive by 15 cents for Carrboro <br />System served customers, 2 cents for Chapel Hill system served customers and 40 cents for <br />Darham System served customers; <br />WHEREAS, FCC rules grant local franchise authorities an initial ninety (90) day review <br />period, measured from the date of receipt of said filing by the franchise authority, with which to review <br />the cable operator's FCC 1240 rate filing. If said ninety (90)-day review period expires before the rates <br />go into effect, the franchise authority retains review and refund authority past the initial ninety (90) day <br />review period as long as all inquiries from the cable operator regazding said review aze responded to in <br />writing within fifteen (15) days of said inquiry; <br />WHEREAS, Time Warner's rate filing includes cost estimates for the calendaz yeaz of 2000, <br />and said estimates shall require adjustment (true up), due to changes in to the 2000 projected period's <br />