EX PARTE OR LATE FILED
The Honorable Conine Brown
U.S. House of Representatives
1037 Longworth House Office Building
Washington, D.C. 20515
FEDERAL COMMUNICATIONS COMMISSION
DOCKET FILE COpy ORIGINAL
RECEIVED
JAN 171995
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WASHINGTON
January 3, 1995
OFFICE OF
THE CHAIRMAN
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Dear Congresswoman Brown:
1bank you for your letter expressiDI your coucern reprdiDa the development of the
Federal Communications Commission's cable rate replation policy. Speciftcally, you
express concern that the views of cable franchising authorities have not been included in
discussions about the Commission's proposed policy cbanles. I appreciate the opportunity to
respond.
On November 18, 1994, the Commission relelaed its SixtJI OrdI, on R8consiMrtltion,
Fifth Report and 0'*" and Seventh Notiet ofPropoud 1bIlemtJking (die "GoiDa Forward
Order"), MM Docket Nos. 92-266 and 93-215, FCC 94-286, adopdDa replatioDs for the
cable television industry that provide cable operaton with additioDa1 inceDtives to expand
their services and facilities in a way that both eDSUl'eS tbat cable rates are reasonable and
expands the opportunities for cable pfOl1'llDDlm to reach viewers. Pursuant to the
Administrative Procedure Act and the C()IIUDission's rules, all u.erested parties were given
the opportunity to participate in the rulematiag proceeclil. tbrouIh submission of written
data, views, or arguments, as well as an opportunity to present the same orally.
During the draftiD& of the Gom, Forward Order, your coacems, as well as those of
your constituents, were included in the record CODIidered by the Commission. You may be
u.erested to know that the NatioDal Association of TelecommuDicatioD Officers and
Advisors (NATOA) also presented aqumeots in this prncadina reprdiDa the effect of the
proposed goiDa forward mles on local fraDchisiDI authorities on beba1f of die many local
franchising authorities within its membership. The Commission also specifically considered
written comments fIled by the City of St. Louis, Missouri, wbich railed similar issues. In
addition, senior staff members of the Cable Services Bureau participated in regular telephone
conferences with NATOA officials. We believe that the views of the local franchising
authorities were thoroughly considered.
We believe the new 111les establisbed by the GoiDa Forward Order create a bal.nced
set of initiatives that allow cable operaton needed incemves to add DeW cable pt'OII'aDIIIlin
that, in tum, will benefIt subscribers. We have attempted to address your coocems and those
of other local authorities in the Going Forward Order. AmoDa other tbinls, we made the
new channel addition rules generally applicable only to the cable programming services tier
No. of Copiee rec'd ;)/
UstABCOE
't
The Honorable Corrine Brown
Page 2
("CPST") and unregulated services. The major exception is that the new rules will affect
rates on the basic service tier when an operator offers only one· tier of service. Since the
new channel addition roles in most instances relate only to CPSTs, subscribers will still have
the option of a low rate basic service tier. Furtbennore, by limiting the new channel
addition rules to CPSTs in most instaDCeS, franchising authorities should not be
inconvenienced by our new rqulatiODS because the responsibility of replating CPST rates
lies with the Commission rather than with local authorities. Enclosed is a News Release that
summarizes the Going Forward Order, as well as the Executive Summary from that Order.
Please let me know if you would like a copy of the text of the decision.
I trust that this response will prove both informative aDd helpful.
Enclosures
Dear Chairman Hundt:
Mr. Reed Hundt
Chairman
Federal Communications Commission
1919 M Street, N.W.
Washington, D.C. 20551
L.
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. ."bington.?~20515
CORRINE BROWN
3D DISTRICT, FLORIDA
November 2, 1994
WASHINGTON OFFICE:
1037 Longworth BUlId,ng
WashH·,gton DC 205~5
12021225-0123
"o.X '.2021 225-2256
DISTRICT OFFICES:
8 15 South MaIn Street
IBM Building. SUite 275
Jacksony,lIe. "L 3 220 7
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"AX 19041 398-8812
75 Ivanhoe Boule"ard
Chamber of Commerce
Orlando FL 32804
(407) 872-0656
Fo.X 14071872-5763
C 401 SE '''St Avenue
Room 3 16
G.,nesy,lIe FL 3260 I
1904) 375-6003
"AX 19041'375-6008
o 250 North Beach Street
Room 80-!
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I understand that the Federal Communications Commission (FCC)
is developing a new policy with regard to cable rate regulation
rules. While I have made no final decision about the proposed '(
policy, I have received disturbing reports from local and county
governments that franchising authorities are not being included in
the FCCls current discussions about the proposed policy changes.
As .you know under the 1992 Cable Act, local government is
responsible for setting the rates for basic cable service,
equipment, and for service calls. According to press reports and
presentations at a recent national municipal meeting, you have met
twenty times with cable operators, but only once with
municipalities.
The Cable Act made franchising authorities equal partners with
the FCC in regUlatingr~tes.Franchising authorities, in other
words, local and county governments, are very concerned that any
changes from the FCC will be so burdensome that many communities
will stop regulating rates or will have loopholes. The FCC needs
to have their input to prevent problems such as these from
occurring, but so far this has not happened.
I urge you to meet with franchising authorities before
implementing significant changes to cable rate regulation rules
that could have such a major impact on consumers.
Thank you for your attention to this matter.
With kindest regards, I am
C-s~
Corrine Brown
Member of Congress
CB:jr
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