HomeMy WebLinkAboutRES 99-26RESOLUTION NO. 99 -26
A RESOLUTION OF THE CITY COUNCIL OF THE CITY
OF DIAMOND BAR OPPOSING THE RATE INCREASES
FOR CABLE TELEVISION SERVICES PROVIDED BY
CENTURY COMMUNICATIONS
WHEREAS, the Telecommunications Act of 1996, as passed by the Congress of the
United States, provided that the Federal Communications Commission would cease to review and
regulate the rates charged by cable operators for the cable programming services tier effective as of
March 31, 1999; and
WHEREAS, the underlying premise of the deregulation of rates for the cable
programming services tier was that the cable industry would be facing more competition for
subscribers from satellite broadcasters, wireless cable providers, and telephone companies, thereby
preventing or reducing ever -escalating increases in those rates; and
WHEREAS, by letter dated March 29, 1999, which was two days prior to the
federally -mandated deregulation of rates for the cable programming services tier, the City's
franchised cable operator, Citizens Century Cable Television Venture ("Century
Communications"), notified the City of proposed increases in rates for its cable programming
services tier and for its hourly service charges, which increases will become effective in May 1999;
and
WHEREAS, Century Communications included in its letter to the City dated
March 29, 1999, a copy of the notice to be inserted in customers' statements beginning on
April 1, 1999. That notice to customers states in part: "As a result of increased programming costs
and inflation, some of our monthly prices will change in May in accordance with the FCC
regulations."; and
WHEREAS, the rate charged by Century Communications for the cable
programming services tier will increase by 18.96%, from $15.19 to $18.07, and the hourly service
charge will increase by 61.88%, from $16.16 to $26.16; and
WHEREAS, over the last three years, the rates charged by Century Communications
for the cable programming services tier have escalated by approximately 29%, and the hourly
service charges have escalated by approximately 81% -- substantially in excess of the nationwide
inflation rate; and
WHEREAS, the City Council is acutely aware that competition among video
service providers has failed to materialize and that effective relief for subscribers from unrestrained
and ever-increasing rates imposed by cable operators, such as Century Communications, can be
provided only through legislation at the federal level of government.
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NOW, THEREFORE, THE CITY COUNCIL OF THE CITY OF DIAMOND
BAR RESOLVES AS FOLLOWS:
Section 1. The City Council expresses its opposition to the unwarranted and
unjustified increases in rates to subscribers that are proposed to be implemented by Century
Communications in connection with its cable programming services tier and its hourly service
charges, as set forth in the notification from Century Communications dated March 29, 1999.
Section 2. The City Council requests that the Congress of the United States
reauthorize the Federal Communications Commission to receive and to act upon complaints from
consumers and local franchising authorities with regard to rates charged by cable operators for the
cable programming services tier, and that new legislation be adopted that will encourage
competition among video service providers and thereby protect the public from the continuing and
unbridled escalation of rates, fees, and charges for equipment, installation, and service.
Section 3. The City Clerk is directed to transmit certified copies of this
Resolution to the following:
U.S. Senators Barbara Boxer and Dianne Feinstein
U.S. Congressman Gary G. Miller
Members of the U.S. Senate Committee on Commerce, Science, and
Transportation
Members of the U.S. House of Representatives Subcommittee on
Telecommunications, Trade and Consumer Protection
Members of the Federal Communications Commission
General Manager of Century Communications, Ms. Nancy Hanks Stinson
Section 4. The City Clerk is directed to certify to the passage and adoption of this
Resolution.
PASSED, APPROVED, and ADOPTED by the City Council of the City of
Diamond Bar, California, this 2 Ot1day of April , 1999.
Mayor
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I, LYNDA BURGESS, City Clerk of the City of Diamond Bar, do hereby certify that the foregoing
Resolution was duly introduced, passed and adopted by the City Council of the City of Diamond
Bar, at a regular meeting held on the 2D thday of Apr i 1 , 1999, by the following vote:
AYES: COUNCILMEMBERS: Herrera, Huff, MPT/O'Connor, M/Chang
NOES: COUNCIL MEMBERS: None
ABSENT: COUNCIL MEMBERS: Ansari
ABSTAIN: COUNCIL MEMBERS: None
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L DA BURGESS, 6ty Clerk
City of Diamond Bar
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