§ 225 — Rates

§ 225. Rates. 1. Except as otherwise provided in this section, and by\nfederal law and regulation, the rates charged by a cable television\ncompany shall be those specified in the franchise which may establish,\nor provide for the establishment of reasonable classifications of\nservice and categories of subscribers, or charge different rates for\ndiffering services or for subscribers in different categories.\n 2. Such rates may not be changed except by amendment of the franchise.\n 3. Notwithstanding subdivision one of this section, (a) no rate\nprovision in any franchise shall bind a municipality for more than ten\nyears and no rate provision in any renewed franchise shall bind a\nmunicipality for more than five years. In the event that an existing\nfranchise purports to bind a municipality with respect to rates for a\nperiod to expire after January first, nineteen hundred eighty-three,\nsuch provision shall have no further force or effect after January\nfirst, nineteen hundred eighty-three; and (b) any rate or rates found by\nthe commission, after public notice and opportunity for hearing, to be\ndiscriminatory or preferential as between subscribers similarly situated\nshall thereafter be void. Reduced rates or free service to government,\neducational or charitable institutions shall not be considered unduly\ndiscriminatory or preferential.\n 4. In the event the commission finds that any rate is discriminatory\nor preferential pursuant to paragraph (b) of subdivision three of this\nsection or that any cable television company is in violation of an order\nissued by the commission pursuant to section two hundred twenty-four of\nthis article requiring adequate service, it may issue an order requiring\nthe municipality and the cable television company to provide for new\nrates which are nondiscriminatory or nonpreferential or reduced to\nreflect the inadequate service, as the case may be.\n 5. In addition to other powers, the commission may, after public\nnotice and opportunity for hearing, prescribe rates for cable television\nservice whenever:\n (a) existing rates have been found discriminatory or preferential and,\nafter reasonable opportunity, the municipality and the cable television\ncompany have not provided for new rates which are nondiscriminatory or\nnonpreferential, as provided in subdivision four of this section;\n (b) a cable television company is in violation of an order issued by\nthe commission pursuant to section two hundred twenty-four of this\narticle requiring adequate service and, after reasonable opportunity,\nthe municipality and the cable television company have not provided for\nnew rates reduced to reflect the inadequate service, in which case the\ncommission may require appropriate rate reductions;\n (c) having reduced rates pursuant to paragraph (b) of this\nsubdivision, the commission finds that the cable television company has\nsubstantially remedied the deficiencies, in which case the commission\nshall return the rates to those rates stipulated in the franchise;\n (d) upon complaint by any interested party and after reasonable\nopportunity for negotiation between the municipality and the franchise,\nit finds that rates are not established by or pursuant to the terms of\nthe franchise, in which event, the commission shall fix rates at a level\ncomparable to rates fixed in comparable franchises requiring comparable\nservice for comparable service areas; and\n (e) upon request by a municipality and cable television company that\nthe commission prescribe applicable rates, made in such manner as the\ncommission by regulation may prescribe and certifying that they are\nunable to agree upon rates to include any franchise or renewal thereof,\nin which event the commission shall fix rates at a level comparable to\nrates currently being fixed in cable television franchises for\ncomparable service in comparable service areas; provided that if the\nmunicipality and the company thereafter agree upon rates, such rates\nshall become effective.\n 6. Any cable television company may initiate a civil proceeding within\nthe appropriate courts of this state to collect any rates, charges, or\nfees duly imposed in accordance with applicable law, or to enjoin the\nprocurement or reception of cable television services from the\nfacilities of such cable television company without its consent, or to\nenjoin the sale or distribution, to anyone other than the provider of a\ntelecommunications service for its own use in the provision of its\nservice, of any electronic decoder or descrambler, a principal function\nof which defeats a mechanism of electronic signal encryption, jamming or\nindividually addressed switching imposed by such company to restrict the\ndelivery of its service and to seek appropriate monetary damages for\nsuch procurement or reception of cable television services, or the sale\nor distribution of such equipment. Upon a showing by a cable television\ncompany in such a proceeding that such cable television service has been\nobtained without its consent, or that such equipment has been offered\nfor sale or distribution to anyone other than the provider of a\ntelecommunications service for its own use in the provision of its\nservice, such cable television company shall be granted an injunction\nprohibiting the continuation of such practices and, upon a showing by\nsuch cable television company in such a proceeding that such cable\ntelevision service has been obtained under circumstances evincing a\nknowledge that such service would be obtained without payment of the\nproper charges therefor, or that such equipment has been offered for\nsale or distribution, such company may be awarded such monetary damages\nand such punitive award as the court in its discretion shall deem to be\njust and appropriate for the purposes of this subdivision, (a) every\ncable television company is deemed to have consented to the attachment\nto an authorized outlet of its facilities by a cable television service\nsubscriber of such company, of one television receiver which is\ntype-accepted by the federal communications commission; and (b) the\nphrase "electronic decoder or descrambler, a principal function of which\ndefeats a mechanism of electronic signal encryption, jamming, or\nindividually addressed switching imposed by such company to restrict the\ndelivery of its service" shall not include any television receiver type\naccepted by the Federal Communications Commission. No person shall sell,\noffer for sale, or distribute to anyone other than the provider of a\ntelecommunications service for such service provider's own use in the\nprovision of its service any electronic decoder or descrambler, a\nprincipal function of which defeats a mechanism of electronic signal\nencryption, jamming or individually addressed switching imposed by a\ncable television company to restrict the delivery of its service. The\nproceeding authorized by this subdivision shall be initiated and\nconducted pursuant to the provisions of the civil practice law and\nrules.\n