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TUESDAY, JANUARY 9, 1990 <br /> <br />City and County. The City will, however, continue to follow the efforts of the <br />Grayson Commission, Virginia Municipal League, Virginia Association of Coun- <br />ties, and the Coalition for Effective Local Government as they pursue possible <br />changes in the local government structure through the General Assembly. <br /> <br />In consideration of a need to clarify and/or correct the present formula for <br />calculating the Franchise Fee collected from customers as compared to the <br />actual Franchise Fee paid to the City, noting that the customer/subscriber may <br />have been overcharged, representatives from Adelphia Cable Communications <br />Company were present and spoke. Those present were James Rigas, President of <br />Operations; Joseph P. rice, Regional Manager for Virginia; Dave Scott, <br />Accountant; and Michael Mick, Manager of the local Cable Company. Mr. Rigas <br />expressed the Company's concern with the problem caused by the interpretation <br />and implementation of the section of the Cable Franchise related to this <br />problem, but stated they were willing to. do whatever it takes to straighten it <br />out and come to a mutual agreement with the City. He noted that the Franchise <br />Fee paid by Adelphia to the City is based on a formula of gross revenue less <br />programming costs and copyright fees. In order to pass this cost through to <br />their customers they arrived at a charge of 4% being added to the customers' <br />bills which he stated would approximate the actual Franchise Fee paid to the <br />City. It was stated that year before last (1987) they paid the City $931.96 <br />more than actually collected from the customers. In 1988 they collected <br />$1,734.60 more from the customers than they paid the City. Thus, there has <br />been a $802.64 overcharge to the customers for 1987-88. It was pointed out <br />that the figures for 1989 have not been finalized, but should prove to be close <br />to being equal'to the amount of the Franchise Fee actually paidto the City. <br />Upon motion by Councilman McClain, duly seconded by Councilman Cole and <br /> <br /> <br />