27.230 Rate Regulation.

(1) Local Regulatory Framework.

(a) The City may regulate all rates and charges except to the extent it is prohibited from doing so by law, and no rate or charge may be imposed or increased without the prior approval of the City except such rates and charges that the City is prohibited from regulating. Subject to the foregoing, any change made without prior approval is an illegal change, and a franchisee is prohibited from requesting or requiring a subscriber to pay an illegal rate as a condition of providing service.

(b) All rates that are subject to regulation by the City must be reasonable. The City may adopt such regulations, procedures, and standards as it deems necessary to implement rate regulation and may regulate rates by amendment to this chapter, by a separate resolution or ordinance, by amendment to a franchise agreement, or in any other lawful manner.

(2) Rate Changes.

(a) At least 30 days prior to implementing any changes in rate or charge levels, service terms or conditions, or services, a franchisee shall provide the City with written notice describing any such changes it plans to make and the proposed effective dates for the changes. At least 30 days prior to implementing any changes in rate or charge levels, service terms or conditions, or services, a franchisee must provide each affected subscriber notice, describing the changes it plans to make and the proposed effective dates for the changes.

(b) In addition to the required notice, before it alters services or service terms or conditions, a franchisee must provide a reasonably simple and clear written notice explaining the substance and full effect of the alteration, including the effect on rates and service options and the effect of the change on the use of other consumer electronic equipment. Such written notice shall be provided to the City at least 30 days, and to subscribers at least 30 days, before the change.

(c) Any change made without the required notice shall be of no force or effect, and a franchisee shall be obligated to refund any increased amount collected without the required notice, and to restore service to the prior existing status, at least until the required notice is provided. This subsection shall not be interpreted to limit the City’s right to exercise its rate regulation authority under subsection (1) of this section, the availability of remedies under applicable laws or regulations, or rights under the customer service standards set forth in MMC 27.170.

[Prior code § 27.23]