Agenda Date: 9/12/07Agenda Item: 3A

STATE OF NEW JERSEYBoard of Public Utilities

Two Gateway CenterNewark, NJ 07102

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CABLE TELEVISION

ORDER ACCEPTINGOFFER OF SETTLEMENT

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DOCKET NO. COO7080635

IN THE MATTER OF THE ALLEGED FAILURE OF CSCTKR, INC. TO COMPLY WITH PROVISIONS OF THENEW JERSEY CABLE TELEVISION ACT, N.J.S.A.48:5A-1 m ~ AND THE NEW JERSEYADMINISTRATIVE CODE, N.J.A.C.14:18-1.1 m~

SERVICE LIST ATTACHED

BY THE BOARD:

CSC TKR, Inc., itself and through its subsidiaries', (referred to collectively as "(~ablevision"),operates certain cable television systems in the State of New Jersey, and such cable systemsprovide cable television services to almost 1 ,000,000 subscribers in 176 municipalities inBergen, Essex, Hudson, Mercer, Middlesex, Monmouth, Morris, Passaic, Somerset, Sussex,Union and Warren counties. The Board's Office of Cable Television ("Office"), Bureau ofInspection and Enforcement uncovered a number of apparent deficiencies during the course ofa routine compliance review and as a result of an investigation conducted pursuant to theBoard's October 27, 2005 Order of Investigation in Docket No. CX05040335. The Office servednotice of its allegations that Cablevision had failed to conform to certain provisions of the NewJersey Cable Television Act, N.J.S.A. 48:5A-1 et seq. and the New Jersey Administrative Code,N.J.A. C. 14: 18-1.1 §~, during the period of January 1, 2004 through June 30, 2007, asmore specifically set forth in Schedules 1, 2 and 3 appended to the Offer of Settlement. Theaforementioned statutes and regulations require that all cable systems in New Jersey operate ina manner that protects the rights of the cable consumer.

As a result of correspondence, telephone conversations and settlement conferences betweenCablevision, the Attorney's General Office and the Office, on August 30, 2007, Cablevisionsubmitted an Offer of Settlement concerning the non-conforming practices outlined onSchedules 1, 2 and 3 appended to the Offer of Settlement.

1 Cablevision of Monmouth, Inc,; Cablevision of Hudson County, Inc.; Cablevision of New Jersey, Inc.;

Cablevision of Newark; Cablevision of Warwick, LLC; Cablevision of Paterson, LLC; Cablevision ofRockland/Ramapo, LLC; Cablevision of Oakland, LLC.

Without admitting to any violations, Cablevision submitted an Offer of Settlement concerning thealleged non-conforming practices which included a monetary offer in the amount of $262,000.00and a proposed course of revised proceQures in order to resolve all issues concerning theviolations alleged by the Office.

The Board had reviewed the matter and HEREBY FINDS that the Offer represents a reasonablesettlement in view of the alleged violations. Therefore, the Board HEREBY ACCEPTS the Offerof Settlement proffered by Cablevision subject to the following conditions:

1. Cablevision shall cause to t)e paid to the Treasurer, State of New Jersey, asprovided by the Board's Or(jer accepting this Offer of Settlement, Two HundredSixty-Two Thousand and 00/100 ($262,000.00) dollars on or before a date that isthirty (30) days after the date on which a final Order accepting this Offer ofSettlement is issued by the Board.

2. Cablevision shall, on an on..going basis, provide verified proof to the! Office that allrequired quarterly and annual notices are sent to customers in accordance withN.J.S.A. 48:5A-26(c), N.J.A.C. 14:18-3.5 and N.J.A.C. 14:18-3.18 irl the form of atrue copy of the notices sent and proof of mailing the earlier of thirty (30) days of thecompletion of such notices or ten (10) days following the end of the quarter or annualperiod for which the notice 'Nas sent. The Board's prior Orders in Docket Nos.CO03090707 and CX05040335 had the same required submission of these noticesto the Office and the Board hereby reaffirms that requirement.

3. Cablevision shall provide verified proof, including, where appropriate, certifications ofcontinued compliance, to the Office no later than November 12, 2007, thatappropriate corrective action was implemented as of the date of its Offer ofSettlement to:

ensure that going forward it will provide customers with adec1uate informationand assure they are served under the most advantageous slchedule byproviding subscribers information concerning equipment, as required byN.J.A.C. 14:18-3.3;

a.

b. ensure that going forward it will provide to prospective and/or existingsubscribers notice clf availability of senior citizen discount rates, as requiredby N.J.A.C.14:18-3.18(b)(3), N.J.A.C.14:18-3.4(d), and N.J.A.C.14:18-3.20;

c. ensure that going forward it will comply with all terms and conditions of validOrders issued by the Board and the Director of the OCTV, as required byN.J.S.A.48:5A-9 and N.J.A.C.14:17-11.1;

d. ensure that going forward it will provide prospective and/or existingsubscribers with correct information about local toll-free numbers; a specificdate by which payment is due; notice of disconnection; and determining thecorrect due date for payment, as required by N.J.A.C.14:18-3.7(a)(1);N.J.A.C.14:18-3.7(a)(6); N.J.A.C. 14:18-3.9(b); and N.J.A.C.14:18-3.9(a);

ensure that going forward it will provide interest on uncorrec:ted billing errors

as required by N.J.A.C.14:18-3.19(a);e.

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BPU DOCKET NO. COO7080635

f. ensure that going forward it will issue refund checks promptly, as required byN.J.A.C.14:,18-3.25;

g. ensure that going forward it will provide prospective and/or existingsubscribers with correct information concerning the availability of outagecredits, as outlined in N.J.A.C.14:18-3.5 and required by ~~ 14:18-

3.18(b)(1);

h. ensure that going forward it will provide OCTV with channel allocationinformation on forms prescribed by the Director, as required by N.J.A.C.

14:18-3.17(a);

ensure that going forward it will comply with FCC customer service standardsas required by 47 Q£R §76.309(c) and N.J.A.C. 14:18-7.8(a)(2);

j ensure that going forward it will file telephone system performance reports ina timely manner, as required by N.J.A.C.14:18.7.7(c);

k. ensure that going forward it shall submit complaint reports, as required byN.J.A.C.14:18-6.7; and

ensure that going fclrward it shall seek approvals from the Board, as requiredby N.J.S.A. 48:5A-42

The Office will monitor Cablevision or its successor's future notice and filing re(~uirements andprocedures as set forth in the State Cable Television Act and the New Jersey ,l~dministrativeCode.

The Board's acceptance of the Offer of Settlement is for purposes of this proceeding only,addresses only those specific allegations and timeframes in the Offer of Settlement, and shallnot be construed as limiting the Board's authority in any other matter affecting IGablevision andor a successor company or operator.

For purposes of assessing penalties for future offenses by Cablevision, its parents, affiliates,subsidiaries and successors that may now or in the future operate the cable tellevision systemsthat are the subject of this Offer of Settlement, such future offenses shall be considered secondor subsequent offenses, in accordance with N.J.S.A. 48:5A-51(b).

This Offer of Settlement does not relie'\le Cablevision, its parents, affiliates, subsidiaries andsuccessors, from any liability for violations of any Board Orders or other dockets not specificallyenumerated herein that occur after Jurle 30, 2007. This Offer of Settlement does not include,and does not have an impact upon, any party's allegations or claims, as they apply to thealleged violation of New Jersey's Underground Facility Protection Act, N.J.S.A. 48:2-73 m ~referenced in Case # OC 20-07 dated July 2, 2007. To the extent that said filing may involve apotential for liability on the part of Cablevision, its affiliates, subsidiaries or successors, it willremain subject to enforcement or other Board appropriate action.

This Offer of Settlement also does not include, and does not have any impact upon any party'sallegations or claims, as they apply to the Petition for Declaratory Ruling filed by Cablevisionand docketed under CSR 6279-R, pending before the Federal Communications Commission.To the extent that said filing may involve a potential for liability on the part of Cablevision, its

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BPU DOCKET NO. COO7080635

affiliates, subsidiaries or successors, it will remain subject to enforcement or other Boardappropriate action.

Finally, this Offer of Settlement also does not include, and does not relieve Cablevision, itsparents, affiliates, subsidiaries and successors, from any liability for alleglations or claims,relating to any pending or future investigation, suit or proceeding brought against Cablevision itsparents, affiliates, subsidiaries and successors by the State of New JersE~y or any agencythereof other than any investigation, suit or proceeding that could have been brought by theBoard prior to June 30, 2007.

DATED: BOARD OF PUBLIC UTILITIESBY:

~"'-

FREDERICK F. 6UTLERCOMMISSIONER

C:HRISTINE V. BATORC:OMMISSIONER

ATTEST:

lM.'~KRISTI IZZOSECRETARY

I HEREBY CERTIFY that the withindocument is a true copy of the originalin the files of the Board of PublicUtilities V-'

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BPU DOCKET NO. COO7080635

IN THE MATTER OF THE ALLEGED FAILURE OF CSC TKR, INC. TO C'OMPL Y WITHPROVISIONS OF THE NEW JERSE:Y CABLE TELEVISION ACT, N.J.S.A. .48:5A-1 ~ §.!9.:.J.

AND THE NEW JERSEY ADMINISTRATIVE CODE, N.J.A.C.14:18-1.1!!~

OFFER OF SETTLEMENT

DO'CKET NO. COO7080635

Celeste ~I. Fasone, DirectorOffice of Cable TelevisionBoard of Public UtilitiesTwo Gateway CenterNewark, ~~J 07102

William H. Furlong, ChiefBureau of Inspection & EnforcementOffice of Cable TelevisionBoard of Public Utilities .Two Gateway CenterNewark, NJ 07102

Amy DrummondBureau of Inspection & EnforcementOffice of Cable TelevisionBoard of Public UtilitiesTwo Gateway CenterNewark, NJ 07102

Sidney A. Sayovitz, Esq.Schenck, Price, Smith & King10 Washington StreetP.O. Box 905Morristown, NJ 07963-3934

Caroline Vachier, Esq.Arlene Pasko, Esq.Babette Tenzer, Esq.Deputies Attorney GeneralDivision of Law124 Halsey StreetP.O. Box 45029Newark, NJ 07101

Amy S. Groveman, Esq.Vice President, Law -

Cable & CommunicationsCablevision1111 Ste~vart AvenueBethpage, New York 11714

lawanda Gilbert, Esq.Board of Public UtilitiesTwo Gateway CenterNewark, New Jersey 07102

Paul T. Fader, Esq.Florio, Perrucci, Steinhardt & F'ader, LLC218 Rt. 17 North, Suite 300Rochelle Park, NJ 07662

Adam Falk, Esq.Vice President, Communications,

Government & Public AffairsCablevision683 Route 10 EastRandolph, New Jersey 07869

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BPU DOCKET NO. COO7080635

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August 30. 2007

YI~M~Q_DELIVERXCeleste M Fa.sone, DirectorOfficc of Cable TelevisionBoard of Public UtilitiesTwo Gateway Center .Newark, New Jersey 07102 ". "::"".'

..'. ,...~" ..Offer 01 Settlement .

In the Matter of the .AUeged Failure.of CSC TIQt, Inc.To Comply with Provisions ofthc ~cw JerseyCable TelcVisioD .Act, N.J.S.A: 48':.SA;.1' ej: s~a. aud theNew JeJ'Sey Admiuistrative Cod~,~-,,-J~~. ].4:18-1.1 ~t ~~g.

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Dear Ms. Fasone:

Pursuant to our telephone convenation, enclosed please find the Offer of Settlement that I haveexecuted on behalf of CSC TI<.R., Inc. I anticipate that the Board wiU be approving the ~ as setforth in the attached Offer of Settlement at itS meeting of September 12, 2007. FUrt}lcrmoJe, it is myunderstanding that on September 12) 2007, the BoaIU will be consid8ri11g the Cablevision peI1rlingpetitions in Docket Nos. TM 07060394 and CM 07060389.

Thank you for your assistance in these matters." .

Very 1ruly YOUIS-

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Cc: Caroline Vachier (w/Enc.)Arlene pask£) (w/Enc.). .

Adam Falk (w/Enc.)Amy Grovem~ Esq. (w/Enc.)Paul Fader (w/Enc.)

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OFFER OF§EIILEMENT

Docket No.

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IN THE MATTER OF THE :ALLE~D )FAD...URE OF CSC TKR, INC. TQ , )COMPLY WITH 'PROVISIONS OF THE )NEW JERSEY CABLE TELEVISION )ACT, ~.S~ 48:5A-l ~t sea.. AND THE )NEW JERSEY AD~STRAnvE CODE, )~..T.A.C.14:18-1.1 et s~~., "', ..,. )---;-:... ,.:,:. )

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WHEREAS, CSC, TKR, Inc.; itself and through its subsidiad8l, (refezorad tocollectively as "Cablevisionja OpeI1!.tes'certam cable te1evisicn systems (the "Cable Systems~as that term is defitlM in N.J..SA 48:5A-3(d). in the State of New Jersey. pmBUBDt toapplicable State and Federal law, M,d such cable SyStems provide cab1c television services toalmost 1,000,000 subscrlb,8rs in, the' S?t.e of New J mey; and

;. .."".'WBEREASa New J"e(SeY cable-'television companies are subject to thcjurisdi~ of

the Board of Public Utilities (the "Board"), Office of Cable Television (tho .'Office" or"OCTV"), pursuant to the provisions of the New Jersey Cable Act, ~~ 48:SA-l .;t ~(the .'Act") and the New .~etSeY:.'Adminimtive Code, N.J,A.C. 14:1Ii~1.1 ;t i;Qa. (the"Regu1ations~'); and : '.' ' , .

...,.. .

WHEREAS, New Jersey cable television companies ~ requitcd 1:0 eomply with theAct. the Regulations and duly prOJItulgated orders and directives of the Bod and Director ofthe Office ('"Board Ordcrsj; and

WHEREAS. the OCTV has"conducted investigations with regard to Cabtavision andhas aUeged that Cablevislon "fail"ed "t:iI"'c'omply with certain provisions ot t110 Act, Regulationsand Board Orders fn'1m the ~e p'eri.od'nmning from January 1,2004 throush J\mC 30, 2007;and " '. .

WHEREAS, Cablcvisiou 'h3;S contested aliega.tioDS regardius tbc company'scompliance with the Act the Regulati~ns and Board Or~ nom the time period TU!1Qing fi:'omJanuary 1, 2004 through June 30, 2007; and

WHEREAS, Board Staff and Cablevision have agreed that the violanons set forth onSchedules 1, 2, and 3 coristit\1te all violations alleged to have occun-cd from J'amlary 1, 2004tlU"Ough June 30. 2007; and

'WHEREAS, Cabl~Vision,' wIthout acknowledging any violation, desires to resolveamicably all outstanding issues regarding cowpliance with the Act, Regulations. aItd BoardOrders) without incurring the ~tiona:l delay and expense that would be associated with afo~ proceeding before the Boar4; ,mid

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6. Any violariori(s). of ~ Act, the Regulations or Board Ordcn byCablevision, its aOOidtesJ $ubsidiarles, or SUC~ that may I:IOW orin the future opuate the cfoble television systems that are the subjectof this Offer 01- Settl~nient, shall be dcromed to be a seccln4 orsubsequent violation. as appropriate, pUISU8tJ.t to the provisions ofN=~.S.A: 48:5A-Sl(b) for the pmpose of detBmliDiDg the amclUut ofany applicable penalty,.

Recognizing bUt notWithstaDdiug the provisions of the fol"8coiDIparagraph. Cablevi$ion agrccs to take the following actions to thoextent reqcircd by valid and applicable law: It will use itS best: ~going fOIWard ~:.

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(a) it will 'provide cUstomers with adequate infOIUJation andassure they are seJVed under the most advantagcoQS scheduleby p roviili"ug ,s ~scnDers i nformatiOD C onceming e qtlipm=i,as required."~ HJ'.A..Qa 14:18-3.3.

(b) it \\!ill PIO:~de. m prospe~ve and/or existing sWJacn"bcnnotice of avwlability of senior citizen di5coUDt 3:atBS. 81required bY'N~.T.A.c..14:18-3.18(b)(3); N.'J.A,-C. 14:1:8w3.4(d);and N.l-AC.: 14:1'8-3.20.

(c)

(d)

it will comply with aU tenns and conditions of valid Ordmissued by the Board and the Director of the OCTV. 81req~b~.~~48:5A-9 8tld~.J.A.~.14:17-11.t.

it "'in provide prospective and/or existing subscri1b~ withcorrect info~on about local toU-fi:8e numbers; :a specificdate by wh~ch .payment is duej notice of disconnec;tion; aJx1dctermi!ling the conect due date for pa~ 81 requhed byN.J~A.-C.. 114:1'8-3.7(aXl); Nl.A-C. 14:18-3.7(a)(6);, H,J.A.c.14:18"3.9(b); ~ NJ.A.C.14:18.3.9(a).

(e) it Will: pro\ide' interest on uncorrected billing eIrors asreqUiredbyN.]~A.C; 14:18-3.19(a).

it will issue refund checks promptly. as requiTed by N.J.A.C.14:18-3.25.

(f)

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it will provide prospective and/or exiscing subscrJOCr! withcoirect information concerning the availability of outagecredits. as outlined in ~.J.A..C. 14:18-3.5 and l'8quired by~.I.A:.c.14:18-g.18(b)(1).

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(h) it will provide OCTV with channel allocation infoImatiIOD onforms p1'e$Ct1'bed by the Director, as :rcquired by ~~J4:18-3.17(a). .

(i)_- -~ win comply with FCC CUStOmer servicc staDdm.'d8 asrequu:ed by 47 ~ §76".309(o) and NJ.~C. 14:1&..7..8(a)(2).

CJ') it will file telephone system perfomlanCe reports in a timelymaDIlM', as required bYHJ..,A,C. 14:18.7.7(0).

(k) it shall' sublnit complaint teports~ as required by ~rJ .:A.g.14:18-6.7.

(1) it shan ~eck approvals frOIQ 'the Board, as required byN.]~S.A. 48:~~-47..

8. The execution of this: 'Offer of Settlement shall neither be deemed anad:n1ission by Cablevision of any violation of the Act, the R~~la.ti0D8or any Board Orders. nor a dcteImjnation by tha Board or O<:TV thatsuch violation has' occurtCd.

stdnfy.;.. Sayovitz (fA~y for CSC Tn, mc.

Dated: August 29. 2007

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STATE OF NEW JERSEYBoard of Public Utilities

Two Gateway CenterNewark, NJ 07102

w~'W.bou.stat~

OFFICE OF CABlgTELEV!§1Qti

IN THE MATTER OF THE ALLEGED FAILURE OFCSC HOLDINGS, INC. AND CERTAIN SUBSIDIARIES(CABLEVISION) TO COMPLY WITH PROVISIONS OFTHE NEW JERSEY CABLE TELEVISION ACT, N,J.S.A.48:5A-1 ~ ~ and THE NEW JERSEYAD MI r-1 I STRATIVE CODE, N.J.A.C.14:18-1.1 ~~

QB.QfB..QE) INVESTI(3ATION)) .) DOCKET NO. CXO5040335)

SERVICE LIST ATTACHED

BY THE BOARD:

The New Jersey Bqard of Public Utilities ("Board") an agerlcy ~ithin the Executive Branch of theState Government. with principal offices at Two Gateway Center, NewarK, Essex County, NewJersey. alleges the following:

The Board, pursuant to NJ.S.A. 48:1-1 ~ ~ and the Cable Television Act,N.J.S.A. 48:5A-1 ~ ~. has been granted general supervision and regulation ofand jurisdiction and control over all cable television systems which operate withinthe State of New Jersey. SL:bject only to the limitstions of Federal law.

1

The Board. has the duty and authori1y to investigate complaints of alleged vioiatio:1sof the Cable TeleVision Act, associated regulations, and municipal consents andhas the power to subpoena witnesses and compel their attendance, administeroaths and require the production for examination of any books or papers relating toany matter under investigation pursuant to N.J.S.A. 4B:5A-9.

2.

3. The Office of Cabie Teievisicn is a separate office within the Board, established bythe Cable Television Act and authorized to supervise and regulate cable televisioncompanies to the exter,t necessary to carry out the purposes of the.Act.

CSC Holdings, Inc., is a cable television system operator, as defined by State andfederal law, operating in the State of New Jersey. with its principal office at 1111Stewart Avenue, Bethpage, New York, and with control and authority over thevaricu~ cable systems operating within the State under the "Cablev1sion" name.

4.

'-c~:st SOOZ-C:~-()oN~0'd

5. Cablevision operates a number of systems under the following designations:Cablevision of New Jersey, Inc. -Bayonne; CSC TKR, Inc., d/b,ra Cablevision ofElizabeth; CSC TKR, Inc., d/b/a Cablevision of Hamilton; Cable\{ision of HudsonCounty, Inc.; Cablevision of Monmouth, Inc.; CSC TKR, Inc., d/b,ra Cablevision ofMorris; 'Cablevision of New Jersey, Inc. and CSC Gateway ICorp, controlling

.Cablevision of Newark; Cablevision of New Jersey, Inc, -Berge 1:1: Cablevis,ion ofOakland, LLC; Cablevision of Paterson, LLC; Cablevision of Rockland/Ramapo,LLC; CSC TKR. Inc" d/b/a Cablevision of Raritan Valley; Cablevi:sion of Rocklandand Cablevision of Warwick, LLC, a/l of which are wholly-owne(j subsidiaries ofCSC Holdingsi, Inc. and all of which are subject to the Board's jurisdiction and arereferred to collectively as Cablevision.

6. James L. Dolan, Chief Executive Officer, President and Direc:tor; Michael P.Huseby I Executive Vice Preside,nt and Chief Financial Officer; William' KeithHarper, Senior Vice President and Controller; Charles F. Dolan, IChairman of theBoard of Directors: Thomas C. Dolan, Director; Rand Araskog, Director; FrankBiondi, Director; Patrick F. Dolan. Director; Charles D. Ferris, Direlctor: Richard H,Hochman, Director; John Malone, Director; Victor Oristano, Direc:tor: Thomas V.Reifenheiser, Director; John R. Ryan, Director: Brian Swe~ney, Director: VincentTeS8. Director and Leonard Tow, Director, who are and/or WerE~ at all relevanttimes officers and or directors of CSC Holdings, Inc., and in their capacity ascorporate officers and/or directors participated directly or indirectly in the actsalleged herein, .

7 The Office of Cable Television has become aware, through investigation andcomplaint, of allegations concerning the failure of Cablevision to correctlycommunicate with its customers about the availability of discounted rates forelderly or di$abled persons, commonly referred_to,.'PS .senior discounts...

8. The Office of Cable Television has become aware, through investigation andcomplaint, of a,llegations concerning the failure of Cablevision to provide full andcomplete documentation and disclosure of the complaints received by the companyfor the fourth quarter of 2004.

9. Despite many informal attempts by the Office of Cable Television to obtaininformation to address the foregoing, Cablevision has not provicied responsiveinformation.

COUNT I

10. The Board incorporates by reference each and every allegation contained in theforegoing paragraphs.

11. Pursuant to ~.~.A.C. 14:8-3.18(a)(4), N.J.A.Q. 14:18-3.4(d) and N~. 14:18-3.20, cable television operators must annually advise customers of the availabilityof senior discount rates if in effect, must advise customers of the mostadvar.tageous rate to which they are el.igible to receive and must provide notice ofsenior discounts if in effect.

12. Pursuant to Certificate of Approva! Board Orders, authorizing franchises in theBorough of Kinnelon, the Borough of Oakland, the Village of Ridgewood, the

"-'- 2 BPU Docket No. CXO5040335

£0"d SOOc-~c-tlON£t?;S1

Township of Teaneck, the Borough of Upper Saddle River, the Borough ofWaldwick, the Township of Wayne, the Borough of Wood Ridge and the Townshipof Wyckoff in the Oakland System, Cablevision agreed to provide senior discountson a "most favored nation" basis, wherein Cablevision agreed that, in the event itoffered a senior discount in any municipality, it would automatically provide a seniordiscount in the foregoing municipalities which had negotiated for this clause.

13. On March 5, 2002, Cablevision notified the Office of Cable Television that it hadelected to provide the Township of Clifton a senior discount. and thereforetriggered the Mmost favored nation" clause in the nine (9) othe~ municipalities listedin Paragraph 12.

14. On May 29, 2002, Cablevision submitted a letter to the Office of Cable Televisionlisting the ten (10) total municipalities which, because of the "most favored nation"clause, would be receiving a ten percent (10%) senior discount on or about June 5,2002.

15. Based upon a number of complaints recei\led by the Office of Cable Television. itappears that Cablevision may not have been offering this discount to customersand when customers inquired about it, its existence was denied by customerservice representatives.

16. The Office of Cable Television. by letter dated March 26, 2004, requestedinformation as to senior discounts in the Oakland System. and specificallyrequested Cablevision to: .

Indicate, municipality by municipality, whether or not a seniordiscount is offered. If one is offered, please jndicate, municipalityby municipality, when it was implemented. If implemented, pleaseprovide from January 1, 2003 and for all dates going forward,municipality by municipality. copies of the annual notificationreflecting the discount.

17. Cablev ision did not respond to this letter.

18. On September 10, 2004, the Office of Cable Television again asked Cab!evision toprovide the requested information with a deadline of September 27. 2004.

19. As of this date, Cablevision has not provided the above information.

20. In light of Cablevision's continued failure to provide the Office of Cable Televisionwith information to determine whether Cablevision has offered the senior discountrequired in the Oakland system, the Board is concerned with compliance withsenior discount requirements throughout the Cablevision systems operating in New

Jersey.

21. It appears that by reason of the foregoing, the Board has foundation to believe thatCablevision may have violated the requirements of its Certificate of Approval BoardOrders and various regulatory requirements v/ith respect to senior discounts suchthat formal investigation is warranted pursuant to N.JS.A, 48:5A-9.

"-3 BPU Docket No. CXOSO40335

£~:S1 £002-cc-nONVO"d

Therefore, the Board HEREBY QRDE~S Cablevision to submit three (3) copies of the followingto the Office of Cable Television and three (3) copies to the Office of the Attorney General.attention DAG Susan J. Vercheak, within ten (10) business days of the date of service of thisOrder upon Cablevision:

a.. Confirmation by certification of a corporate officer, on a municipality by municipalitybasis, of the provision of senior discounts in those municipalities where it is requiredby the Certificate of Approval; when the senior discount was implemented and, fromJanuary 1, 2003 forward, on ~ municipality by municipality basis, copies of theannual notification reflecting the required senior discount, throughout all fourteen (14)systems, specified in paragraph 5;

b. "Screen shots" from any and all customer service computer systems, indicating thatthe availability of discounts is clear to customer service representatives, as well asany and all scripts, guidelines, ha.ndbooks or other training or sales materials orinformation provided to customer selVice representatives or other person or personswith responsibility for contact with customers or the general public from the date ofimplementation of any senior discount rate to date;

c. Proof in the form of copies certified to be true of customer bills, redacted asnecessary to satisfy State and federal privacy concerns, from each municipalityoffering a senior discount of those customers receiving the discount. as well ascopies of any and all applications or other documentation submitted by customers,.redacted as necessary to satisfy State and federal privacy concerns, on amunicipality by municipality basis, from June 5, 2002 to date, seeking seniordiscounts.

COUNT II

22. The Board incorporates by reference each and every allegation contained in theforegoing paragraphs.

23. Pursuant to N.J.§.8. 48:5A.26.1(b), which became effective August 12, 2003, allcable operators must furnish to the Office of Cable Television a detailed report ofthe number and character of complaints made by customers and communicated tothe cable television company.

24. To implement N.J.S.A. 48:5A-26.1, the Board ordered all ca,ble televisioncompanies to retain complaint records and provide a report of these complaints ona yearl.y basis, in a format designed to protect the privacy of all customers. !!M!Qtmplementation of P.L. 2003,c. 38. Providina for the Reoortina of ComplaintsReceived by Cable Comcanies to the Board of Pu~lic Utilities, Order. Dkt. No.CX03080615, dated August 19,2003.

25. The Board further ordered all cable television companies to provide copies to theBoard as required by N.J.S.A. 48:5A-26:1 with personal information redacted asnecessary. and ordered that each company or system-wide complaint record notturned over in a timely manner would be considered a separate violation. !LMlQImplementation of P.l. 2003. c 38 Providina tor the Recortina of Complaints8eceived bv Cable Comcanies to the Board of Public Utilities. Amended Order,Dkt. No. CXO3080615, dated December 12,2003

'-BPU Docket No. CXO5040335"- 4

£0"d ~"'(i!7-7?-An"1

26. To clarify confusion as to the meaning of "complaint" claimed by the regulatedcommunity, the Board defined .complaint" as the following:

Complaint means any written or verbal contact. including bytelephone. b)' an assistive technology device for the healingimpaired such as TTYffOD, a telecommunications relay service,in person, by facsimile, e-mail, or any other reasonable means,with a cable television operator in connection with any product 'Drservice it offers in which a person expresses discontent ordissatisfaction with an act, omission, product, service, servicecontent or complement, term or condition of service.

27. The Board codified the foregoing Orders for recording and reporting customercomplaints at NJ.A.C.14:1S-6.7.

28. On January 31, 2005, Cablevision submitted a fourth quarter 2004 complaintreport, indicating a total complaint number of 24,612. .

29. On July 28, 2005, the Office of Cable Television advised Cablevision that theinformation provided in its fourth quarter 2004 complaint report appearedinco~p'ete. -.

30. As of -the date of this Order. Cablevision has not submitted any further data orotherwise demonstrated that the report was complete.

31. It appears that by reason of the foregoing, the Board has foundation to believe thatCablevision may have violated ~..J.S.A. 46:5A-26.1, implementing regulations andthe above-listed Board orders such that formal investigation is warranted pursuantto ~.J.S.A. 48:5A-9.

Therefore, the 8oard HEREBY ORDERS Cablevision to submit three (3) copies of the followingto the Office of Cable Television and three (3) copies to the Office of the Attorney General.attention DAG Susan J. Vercheak, within ten (10) business days from the date of service of this

Order upon Cablevision.

All complaint records, in any and all formats, from the fourth quarterof 2004, pursuant to the definition set forth at N.J.A.C: 14:18-1.2, withan accompanying certification from a corporate officer as to theircompleteness, accuracy and compliance with the definition set forthat~J.A.C. 14:18-1.2.

It is FURTHER ORDEBEO that if Cablevision fails to fully comply with this Order and submit theforegoing within the time specified hereinabove, or within such'reasonable extension thereof, ifany. as may be agreed to in writing by the Office of the Attorney General, the Attorney General

5-- BPU Docket. No. CXO5040335

S00c-2:G-f\ONvv:stge"d

of the State of New Jersey is hereby authorized and requested', without further Order by thisBoard, to enforce Cablevision's observance of this Order by court proceeding; pursuant toN.J.S.A. 48:5A-51 and to seek the imposition against Cablevision of the maximum penaltiespermitted by law for such failure to comply therewith.

It is E~~THER ORDERED tl"',at the Office of Cable Television shall continue with anyinvestigation as may be necessary and proper with respect to the past and continuedcompliance by Cabfevision as to the complaint reporting requirements of N.J.S.A. 48:5A.25.1and associated Board Orders and Regulations, as well as the .past and continued compliancewith the requirements of providing accurate and complete information to the Office of CableTelevision and to customers as to the availability of senior discounts throughout the Cablevisionsystems in the State, and Cablevision is ORDERED to cooperate with this investigationincluding, but not limited to, the production and reproduction of documents and informationrequested and the appearance at any deposition pursuant to N.J.S.A. 48:5A-9.

It is FURTHER ORDERED that Cablevision shall preserve and maintain all material andinformation relating to the above investigations, including all documents and other informationretention, including but not limited to emails, audio recordings, spr~adsheets. databases, andcomputer or hard copy backups of relevant information, and that such information shall beprovided to the Board as requested by the Office of Cable Television during the continuingconduct of the investigation.

It is EURTHER ORDERED that nothing in this Order shalf be considered a waiver or an electionto forebear: from any action on the part of the Board. Including but not limited to the issuance ofan Order to Show Cause, the issuance of subpoenas, institution of judicial action, or any otheraction concerning this order or any other matter within the power of the Board.

~

'- 6 BPU Docket No. CXO5040335

vv:S1 SOOC-cc-('\ON(..0"d

."

"

Finally. it is B:!BTHEB ORDERED that a cel1ified copy of this Order be immediately served

upon CSC Holdings, Inc..

BOARD OF PUBLIC UTILITIESBY:-

" ":".,"

\ I 9..00'!1\~ n ~~NNE M. FOX

ESIDENT

CONNIE O. HUGHESCOMMISSIONER

~

JACK ALTERCOMMISSIONER

ATTEST:

f...,;1':hKRISTIIZZ~ 1}' 9---

SECRETARY

BPU Docket No. CXO5040335'780'd vv;S1 SO0c-cC-nON

SERVICE LIST

IN THE MA.TTER OF THE ALLEGED FAILURE OF CERTAIN SUBSIDIARIES OF CSCHOLDINGS, INC. (CABLEVISION) TO COMPLY WITH PROVIS(ONS OF THE NEW JERSEYCABLE TELEV(SIO'N ACT N.J.S.~. 48:5A-1 .!! ~ AND/OR THE NEW JERSEYADMINiStRATIVE CODE, N.J.A.C.14:18-1.1 !! ~ .

DOCKET NO. CXO5040335

William Furlong, ChiefBureau of Inspection & EnforcementOffICe of Cable TelevisionBoard of Public UtilitiesTwo Gateway CenterNewark, NJ 07102

William Haria, Esq.DeCotils, Fitzpatrick. Cole & Wisher, lLPGlenpointe Centre West500 Frank W. Burr BoulevardTeaneck, NJ 07666

Susan Vercheak, Esq.Deputy Attorney Ge,neralState of New Jersey f Division of Law124 Halsey StreetP.O. Box 45029Newark, NJ 07101

Adam E. FalkVice President, Communications,

Government. & Public AffairsCablevision683 Route 10 EastRandolph, NJ 07869

Celeste M. Fasone, DirectorOffice of Cable TelevisionBoard of Public. UtilitiesTwo Gateway CenterNewark, NJ 07102

'- '-BPU Docket No. CXO50403358

60'd Sv:st SO0c-22-I"1ON