RES 94114 - Laserfiche WebLink

Mr. :brim Sherwood City of Pleasanton July 25, 1994 Page 2 relevant factors" were not "identical".2 Upon direction from the Cities, it was determined that this information is acceptable for the purposes of this review. It is noted that separating San Ramon from the other cities would not have a significant impact on the results of the For~ 393. Viacom submitted ~ Form 393 dated June 14, 1994, in response to the cities' notice of certification by the FCC to regulate the rates for the basic service tier. The Form 393 appears to have been completed in compliance with FCC regulations, except perhaps for one key item. This item involves the counting of channels utilized in the calculation of the benchmark. Form 393 involves the calculation of the maximum rate per channel that a cable operator is permitted to charge. The calculation involves computing the current permitted rats and comparing it to the "benchmark" which the FCC has determined represents the rate that the cable operator would charge in a competitive environment. If the current rate equals or is less than the benchmark, then the ourrent rate is the permitted rate. If the current rate exceeds the benchmark, then the Form compares the rate in place with of the September 30, 1992 rate3 (a 10% reduction), with the benchmark permitted at that time. The permitted rate is either the benchmark (adjusted for inflation and program changes) or 90% of the september 30, 1992 rate, whichever reduction is less. The calculation of the benchmark involves three primary factors: Number of subscribers, n-m~er of regulated channels and number of regulated channels whiuh are satellite delivered. Since the benchmark rate is inversely proportional to the n~mher of channels (i.e., the more channels, the lower the permitted charge per channel), the 2 On =he effective date of =e~ula=iun, the Damiu rate (exclusive of franchise fees) in Dublin, Livermore and Pleasan=on was $12.96 and $12.84 in san Ramon. Vlacomu=ilize~ a "weighted average re=e" of