(A) The rates and charges to subscribers that are stated in the application and approved and stated in the franchise shall be in effect for a minimum of one year following the effective date of the franchise.
(B) The grantee may initially charge subscribers and users of the CATV system for services up to the amounts specified in the schedule of rates and charges as proposed in its franchise agreement.
(C) In the event that the grantee does seek to submit a petition for a change in rates, the town shall hold a public hearing on this topic. The grantee shall notify its subscribers of the hearing by announcement on at least one channel of its system between the hours of 7:00 p.m. and 9:00 p.m. for five consecutive days. Additionally, the hearing shall be announced in a newspaper of general circulation in the town at least five days before the date of the hearing. Following all proper notice, but in no event later than 60 days from the date of the petition, the town shall hold an appropriate public hearing to consider new rates, at which hearing all parties desiring to be heard, including the grantee, shall be heard on any matters relating to the performance of the franchise, the grantee's services, and the proposed new rates.
(D) No increase in rates and charges to subscribers for basic service shall be made except as authorized by the Town Council by resolution after a public hearing. In the event that the Town Council fails to approve or disapprove the rate increase within a 90-day period, the increase shall be deemed approved and shall be effective at the end of the 90-day notice period. Should any agency of the federal, or state government increase compensation liabilities of the grantee, the grantee shall have the right to increase its rates pro rata for regular subscriber services to its subscribers in order to offset the excess liability. Should the federal or state government make any changes in rules or regulations relating to the franchise, then this agreement shall be automatically amended to comply with the law or rule and the agreement shall be subject to the same in all respects. The grantee shall not make cable television service conditional upon the subscriber's buying, renting, leasing, or obtaining repair services for television receivers, radio receivers, antennas, parts, or accessories from the grantee, nor shall the grantee attempt to influence its subscribers to deal with any particular person in regard thereto. It shall not other- wise be unlawful for the grantee to engage in the sale, service, repair, rental, or leasing of television receivers, radio receivers, antennas, parts, or accessories in the franchise area. Except as and to the extent elsewhere provided herein, the grantee shall not, as to rates, charges, service facilities, rules, regulations, or in other respect, make or grant any preferences or advantages to any person connected to its system, nor subject any such person to any prejudice or disadvantage. However, nothing herein contained shall be deemed to prevent the establishment of a graduated scale of charges and classified rate schedules to which any customer coming within the classification would be entitled; provided, that such graduated scale of charges and classified rate schedules shall be first submitted to and approved by the Town Council.
(E) Prior approval of the Town Council need not be obtained for any increase for installation of equipment that does not exceed 10% in any one 12-month period; however, any increase in rates pursuant to this provision shall not be in excess of the increase, if any, in the Consumer Price Index applicable to the same 12-month period. Any increase shall become effective ten days after notice of the increase is given to the Town Council, together with a certification that the increase is limited to 10% or less of grantee's existing rate schedule for installation of equipment, or that the increase is limited to the increase in the Consumer Price Index for the applicable 12-month period, whichever is the lesser.
(F) Divisions (A) through (E) of this section shall be applicable to grantee's operation only if it is not subject to effective competition as provided by applicable FCC regulation; these provisions automatically shall be inapplicable at those times as the grantee's operations qualify as subject to effective competition under FCC regulations.
(G) Before putting any rate changes into effect the grantee shall be required to notify all customers at least 30 days before the rate changes are to become effective, by using a bill stuffer.
(Ord. passed 7-21-86)