HomeMy WebLinkAbout1992-10-30 New York State Commission on Cable Television In the Matter of 92-467 Amendment to Consumer Service Rules and Regulations Docket No#90379-ANEW YORK STATE COMMISSION ON CABLE TELEVISION
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In the Matter of --`" 92-467
Amendment to Consumer Service Rules and Regulations ) DOCKET NO. 90379-A
NOTICE OF PROPOSED RULEMAKING
(Released: October 30, 1992)
PLEASE TAKE NOTICE that the Commission proposes to amend Sections
590.62, 590.63, 590.66, 590.73 and 596.8 of its rules. The statutory authority for the
proposed rules is contained in Sections 811, 815 and 816 of Article 28 of the Executive Law.
A copy of the proposed rule is attached hereto.
The Commission first promulgated rules governing subscriber complaint
procedures effective April, 1973. In subsequent proceedings, the Commission promulgated
rules relating to such matters as billing practices, late payment and collection charges,
disconnection and reconnection procedures, service outages and service calls. These rules
are reviewed periodically by the Commission. The rules proposed herein reflect the
Commission's present determination of the need for improvement in existing consumer
protection rules.
For many years, Commission staff has been empowered to assist subscribers
in resolving complaints with their cable television companies. In recent years, the
Commission has had a toll-free consumer assistance telephone number available to
subscribers. In 1990, the Commission amended Section 590.63(a)(1) of its rules to require
that its toll-free telephone number appear on each subscriber bill. It was the intent of the
Commission that subscribers would have readily available to them the Commission's number
in the event that complaints registered with the cable company were not responded to, or
resolved to the subscriber's satisfaction, in a timely manner. Since the Commission's toll-
free number has been on subscriber bills, staff has experienced a substantial increase in the
number of calls received from subscribers. These calls have better enabled staff to monitor
the customer service policies of cable television companies. However, staff has found that
many subscribers are calling the Commission about specific complaints without first having
attempted to contact their cable television company. Since the Commission's staff is limited
and many complaints may be routinely resolved without staff intervention, it has been the
longstanding policy to encourage subscribers to make specific complaints to the cable
company first. Accordingly, we are proposing at this time, an amendment to Section
590.63(a)(1) that would require cable companies to add to each bill language indicating that
the Commission's toll-free number is available for "unresolved inquiries." It is our hope that
Tower Building • Empire State Plaza • Albany, NY 12223
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this will encourage subscribers to make initial calls concerning specific matters related to
their billing or their service to their cable television company.
In addition, we note that in a few instances information required by existing
Section 590.63(a)(1) has been placed on the reverse side of the customer's bill or on the
portion of the bill that is returned with the payment. Obviously, it is important for the
subscriber to have the name and telephone number of the company and the Commission's
toll-free number available when needed. We are, therefore, proposing to amend the rule
to require that the information be placed on the front side of the portion of the bill retained
by the subscriber.
Section 590.63(a)(2) requires a cable company to itemize "each category of
service and piece of equipment for which a charge is imposed." The purpose of this section
is to enable subscribers to know, on a monthly basis, the precise services for which
individual charges are imposed and the amount of such charges, in order that they may
better understand the total bill. It has been brought to our attention that some subscribers
continue to be unable to detertnine the specific charges for such matters as additional
outlets or equipment. In order to address this concern, we propose to amend Section
590.63(a)(2) to require each subscriber bill to "include the total charge for service at each
outlet in the subscriber's home, and itemize the separate charges, if any, for each tier or
category of programming and for each piece of equipment provided at each outlet;...."
Section 590.63(d) contains limitations on the imposition of late charges. We
are proposing at this time an amendment to this section which would place a ceiling on late
charges at 1-1/2% per month of the unpaid balance of any bill. Our experience has been
that some cable companies have been imposing fixed late charges in the range of $3.00 to
$5.00 per month which, in our judgment, constitutes an unwarranted percentage of the total
bill due.
Section 590.66(a) requires a cable company to give a credit to subscribers for
every service outage in excess of four continuous hours commencing when the company first
becomes aware of such outage. Subparagraph (b) provides that the cable company shall be
responsible for issuing a credit whenever it may reasonably determine the existence and
scope of any service outage. Subparagraph (c) provides that a subscriber may apply for such
credit in other cases within ninety days of the outage.
Cable television companies have frequently argued that they are not able to
determine the precise scope of every outage. They further contend that they should not be
required uniformly to give a full day's credit to every subscriber for every outage,
particularly where an outage occurs during hours when viewing is sparse. In response to
these interests, we are herein proposing to modify subparagraphs (b) and (c) to limit the
circumstances under which a cable company must automatically issue a credit without a
request therefor. Specifically, a cable company would be so required only if some portion
of a continuous four hour service outage occurs between the hours of 6:00 p.m. and
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midnight. This limitation does not alter the obligation of a cable company to provide credit
for other outages of similar scope where a subscriber makes a request therefor.
Section 596.8(c) requires a cable company to provide subscribers with the
opportunity to schedule a service call during a specific day part, e.g., morning, afternoon or
evening or Saturday if available. The rule also prohibits the imposition of any charge for
a service call that is not timely made. The rule was adopted in response to the frustration
expressed by many subscribers who were forced to devote an entire day to a service call only
to have the technician arrive very early or very late in the day, or not at all. We believe
that the rule has contributed significantly to the options available to subscribers and,
particularly, to the convenience of working subscribers. Nonetheless, we continue to receive
complaints that service calls are not made within the appointed timeframe. We are
proposing, as an additional incentive to cable companies, an amendment to the rule which
would require the company to credit a subscriber with one month's service if a scheduled
appointment is not timely fulfilled. The prohibition on charges for late service calls would
continue. The proposed amendment also recognizes an opportunity for a company to
reschedule a service call with the consent of a subscriber if such consent is obtained on at
least the day before the day of the scheduled appointment.
Section 590.73 of the Commission's rules pertains to the liability of a
subscriber for a converter which is lost, stolen or damaged while in the subscriber's
possession. The rule recognizes the authority of cable companies to impose charges for
converters which are lost, stolen or damaged in certain circumstances but requires notice
to subscribers of the opportunity to refer the matter to the Commission if the subscriber
believes there are extenuating circumstances. The rule also now provides that in the event
a subscriber does choose to refer the matter to the Commission, the company may not
pursue collection for thirty days. It has been the position of many companies that this rule
has impaired their ability to pursue recovery of, or compensation for, converters that have
not been returned by subscribers who are terminating service and moving to new locations.
In recognition of this concern, we are proposing to amend the rule by deleting the language
that would prohibit companies from collecting charges during the pendency of our review,
unless otherwise directed by Commission staff pursuant to Section 590.5(c)(3) of the
Commission's rules.
The Commission invites comments from interested parties on the proposed
rule. Initial comments in this proceeding should be submitted no later than January 4, 1993.
Comments in reply to initial comments should be submitted no later January 18, 1993. All
written comments should be submitted to William Huff, Administrative Officer, NYS
Commission on Cable Television, Empire State Plaza, Corning Tower, 21st Floor, Albany,
New York 12223.
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THE COMMISSION ORDERS:
That the proposed rule, regulatory impact statement and regulatory flexibility analysis be
submitted to the Secretary of State for publication and to other appropriate officials in
accord with the State Administrative Procedure Act and the Executive Law.
Commissioners Participating: William B. Finneran, Chairman; Theodore E. Mulford,
John A. Passidomo, Commissioners.
TEXT OF PROPOSED RULE
590.62 Notification of billing practices. (a) Every cable
television company shall notify each of its subscribers, in a
separate written notice, of its billing practices and payment
requirements including the use of payment coupons. The notice
shall describe or define, at a minimum, billing procedures
(including payment requirements to avoid discontinuance of service,
e.g., payment due dates), late charges, downgrade charges, advance
billing options, if any, procedures to be followed in billing
disputes and credit to be given for service outages.
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(b) Notice shall be given as follows:
(1) to new subscribers, at the time of initial
installation;
(2) to all subscribers, whenever there is a
change in the company's billing practices or payment requirements;
(3) to all subscribers at least [semiannually]
annually.
(c) Every cable television company:
(1) shall file copies of its billing practices and
payment requirements with the commission; and
(2) shall maintain on file in its local office for
public inspection for a period of two years copies of its billing
practices and payment requirements and all advertisements, lists or
other notifications regarding programming sent to or made available
to the public. For purposes of this subdivision advertisements,
lists or other notifications shall mean any commercial messages
which a cable television company originates and causes to be
disseminated to the public or its subscribers by means of radio,
television or print, or pursuant to a printed directive, which
relate to the service tiers, networks or programming offered by
said company to its subscribers and the rates and charges therefor,
except that such terms shall not include any commercial message
concerning a network or programming which originates with the
network or programmer independent of the cable television company.
590.63 Bill format, late charges, collection charges and downgrade
charges.
(a) Each subscriber bill shall:
(1) include on the front portion of the bill to be
retained by the subscriber (i) the name, address, and telephone
number of the company and (ii) the toll-free subscriber assistance
telephone number of the commission identified as: "Unresolved
Inquiries NYS Commission on Cable Television 1-800-342-3330";
piece
(2) [shall itemize each category of service and
of equipment for which a charge is imposed] include the
total charge for service at each outlet in the subscriber's home
and, itemize the separate charges, if any, for each tier or
category of programming and for each piece of equipment provided at
each outlet;
(3)
state the billing period, amount of current
billing and appropriate credits or past due balances, if any.
(b) Each subscriber bill shall specify a minimum time for payment
which shall not be less than 15 days from mailing of the bill.
(c)
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Any late charge permitted by law or by the franchise, if
imposed upon the subscriber, shall be itemized on the subscriber's
bill, or notice of delinquent payment in cases where coupon books
are used.
(d) If a late charge is to be imposed, it shall not be imposed
sooner than 45 days after the mailing of the bill to the subscriber
or the due date, if coupons are used. Said late charge shall not
be in excess of 1-1/2 percent per month of the unpaid balance of
any subscriber bill.
.(e) No cable television company shall impose a collection.
charge upon any subscriber, except as prescribed in section
590.67(e) of this Part.
(f) A cable television company may impose a downgrade charge upon
the conditions and in the circumstances as follows:
(1) subscribers have been notified of such charge
in writing in at least 10 -point type;
(2) the charge does not exceed the cost of the
downgrade to the company;
(3) the downgrade is from a level of service which
the subscriber has not maintained continuously for six months
immediately preceding the date of the downgrade; and
(4) the downgrade was not requested by a
subscriber affected by a significant programming change or a
network change within 45 days of receipt by the subscriber of the
notice required by section 590.74(b)(4) and (c)(4) of this Part.
590.66 Credit for service outage. (a) Every cable television
company shall give credit, for every service outage in excess of
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four continuous hours. The four-hour period shall commence at the
time the cable television company first becomes aware of the
outage.
(b) Whenever a cable television company may reasonably determine
the existence and scope of a service outage, as, for example, a
service outage caused by a major failure in the system's headend or
distribution electronic equipment, which service outage exceeds
four continuous hours[,].and some part of which occurs during the
hours 6:00 p.m. to 12:00 a.m., the cable television company shall
issue a.credit to each affected subscriber.
(c) In the event a cable television company cannot determine
all subscribers affected by a service outage in excess of four
continuous hours[,] or no part of such outage occurs during
the hours 6:00 p.m. to 12:00 a.m., credit shall be given to any
eligible subscriber who. makes application therefor by either
written or oral notice within 90 days of the outage.
(d) The minimum credit shall be .equal to one thirtieth times the
applicable monthly charge for each twenty-four hour period during
which -a service outage continues for at least four hours.
(e) A cable television company shall be responsible for every
service outage and shall provide credit to each affected subscriber
who is entitled thereto pursuant to subdivisions (b)and (c) of this
section.
(f) Prior written notice of a scheduled service outage [due to
system upgrade or rebuild] shall be filed with the commission and
the affected municipality. Every cable television company shall
make a reasonable effort to inform subscribers [in writing or
electronically], in advance, of any scheduled service outage[s]
[for equipment repair or replacement, system upgrade or rebuild or
on-going technical "sweeps" of the system].
590.73 Auxiliary equipment. When a cable television company
supplies auxiliary equipment such as a converter or other modifying
device to a subscriber the company can expect reasonable care of
such equipment by the subscriber. A cable operator shall notify
the subscriber and the commission in writing of any charges to
subscribers for lost, stolen or damaged converters. In the event
such equipment is lost, stolen or damaged, and the cable. television
company seeks to charge the subscriber for such equipment, the
company shall give written, dated notice to the subscriber of the
amount sought and the subscriber's opportunity to refer the matter
to the commission in accordance with the provisions of section
590.5 of this subtitle. [If referral is not made to the commission
within 30 days of the date of the notice, the company may commence
its collection procedures.]
596.8 Trouble calling processing[.] and other service calls.
(a) A telephone number shall be made available to which
subscribers may direct trouble calls. In the event that the
trouble calls must be made outside the subscriber's local dialing
area, the calls must be toll free.
(b) Investigative action shall be initiated on the same day a
trouble call is received at the local office, if possible, but in
no case later than the following business day.
(c) Whenever a service call to the subscriber's premises is
required, the company shall advise such subscriber of the
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opportunity to schedule the service call for the morning or
afternoon hours (or evenings or Saturdays, if available) and shall
schedule such service call in accordance with the subscriber's
request. If, for any reason, the service call is not made within
the scheduled time frame, the company shall credit to the
subscribers's account an amount equal to one month's service and
the subscriber shall not be charged for such service call including
any installation or reconnection made as a result thereof[.] unless
the service call is rescheduled with the subscriber's consent given
on or before the day on which the call was previously scheduled.
(d) A report on each trouble call in which a cable system fault
reported by a single subscriber was identified shall be filed at
the local office, and shall include the following data:
(1) subscriber identification;
(2) ',date and approximate time complaint was
received;
(3) date and approximate time of response;
(4) nature of complaint;
(5) brief description of the fault;
(6) signal level measured on each active class I
channel after corrective action, where appropriate;
(7)
(8)
(9)
corrective steps taken (if any required);
date case is closed; and
identification of technician or repairperson.
(e) A report on each system fault, or on any failure reported by
more than one subscriber and affecting an area, shall be filed at
the local office and shall include the following data:
(1) brief description of the area affected
sufficient to allow the later determination of the number of
subscribers affected;
(2) date and approximate time of failure;
(3) cause of failure; and
(4) date and time service is restored.
(f) A report for each trouble call in which no trouble was
identified, or in which further instruction was required to enable
the subscriber properly to adjust the terminal receiving equipment,
or in which the fault was in the subscriber's receiving equipment,
shall be filed at the local office and shall include:
(1) subscriber identification;
(2) date and time complaint was received;
(3) date and time of response;
(4) nature of complaint;
(5) corrective steps taken (if any required); and
(6) identification of technician or repairperson.
report required to be maintained pursuant to this section
kept by the operator for a period of two years from the
(g) • Any
shall be
event to which it relates.