Sec. 76.925  Costs of franchise requirements.

    (a) Franchise requirement costs may include cost increases required 
by the franchising authority in the following categories:
    (1) Costs of providing PEG access channels;
    (2) Costs of PEG access programming;
    (3) Costs of technical and customer service standards to the extent 
that they exceed federal standards;
    (4) Costs of institutional networks and the provision of video 
services, voice transmissions and data transmissions to or from 
governmental institutions and educational institutions, including 
private schools, to the extent such services are required by the 
franchise agreement; and
    (5) When the operator is not already in the process of upgrading the 
system, costs of removing cable from utility poles and placing the same 
cable underground.
    (b) The costs of satisfying franchise requirements to support 
public, educational, and governmental channels shall consist of the sum 
of:
    (1) All per channel costs for the number of channels used to meet 
franchise requirements for public, educational, and governmental 
channels;
    (2) Any direct costs of meeting such franchise requirements; and
    (3) A reasonable allocation of general and administrative overhead.
    (c) The costs of satisfying any requirements under the franchise 
other than PEG access costs shall consist of the direct and indirect 
costs including a reasonable allocation of general and administrative 
overhead.

[ 58 FR 29753 , May 21, 1993, as amended at  60 FR 52119 , Oct. 5, 1995]

    Effective Date Note: At  60 FR 52119 , Oct. 5, 1995, in Sec. 76.925, 
paragraphs (a) and (b) were redesignated as (b) and (c); a new (a) was 
added; a new (c) was revised. This amendment contains information 
collection and recordkeeping requirements and will not become effective 
until 30 days after approval has been given by the Office of Management 
and Budget.