A RESOLUTION FOR ADOPTION OF THE ORDER Finding That Time Warner Cable’s proposed 2009 FCC form 1240 Basic Service Tier Rates and Form 1205 Installation and Equipment Rates Comply with the FCC’s Rate Rules. (2009-01-12/R-3)

WHEREAS, in accordance with the provisions of the Cable Television Consumer Protection and Competition Act of 1992 (1992 Act), the Federal Telecommunications Act of 1996 (1996 Act), the Town has Regulatory authority and adopted rate review regulations pursuant to that Code; and

WHEREAS, the Town is certified by the FCC to regulate cable television basic service tier rates; and

WHEREAS, Time Warner Cable (Time Warner) submitted FCC form 1240 Updating Annual Maximum Permitted Rates filings for Regulated Cable Services for 2009; and

WHEREAS, the Town received a report from its Consultant stating that Time Warner’s FCC form 1240 and the resultant BST MPR do comply with the FCC’s rate rules; and

WHEREAS, Time Warner submitted a consolidated form 1205, Determining Regulated Equipment and Installation Costs, to set the regulated rate for the Hourly Service Charge, Installation Services and Equipment rental rates; and

WHEREAS, the Town received a report from its Consultant stating that the resultant form 1205 Equipment and Installation rates comply with the FCC’s rate rules.

NOW, THEREFORE, BE IT RESOLVED by the Council of the Town of Chapel Hill that the Council Makes the Following Findings of Fact and Conclusions of Law with Respect to the Proposed Rate to be Charged Time Warner’s Cable Service Customers:

THAT Time Warner’s Selected Rate for the Basic Service Tier rate for the Chapel Hill System ($9.50) and the Durham System ($13) complies with the FCC's rate regulation rules.

THAT Time Warner's form 1205 Installation and Equipment rates comply with the FCC's rate regulation rules.

Now, Therefore Be It Ordered by the Town of Chapel Hill:

THAT Time Warner’s Selected Rate for the Basic Service Tier rate for the Chapel Hill System ($9.50) and the Durham System ($13) complies with the FCC’s rate rules and is accepted;

THAT Time Warner’s Installation and Equipment rates comply with the FCC’s rate rules and are accepted;

THAT the Town reserves its rights to review and consider any supplemental information and issue a revised Order based on that evidence;

THAT the Town reserves its rights to review and consider any new information and issue a revised Rate Order based on that evidence;

THAT this Order will be effective immediately and provided to Time Warner via US Certified Mail;

THAT a copy of this Order will be released to the public.

This is the 12^th day of January, 2009.