Client Alert
Media Bureau Revises Inflation Adjustment Rates for Cable Operators Using FCC Form 1240
July 3, 2008
On July 2, 2008, the Federal Communications Commission ("Commission" or "FCC") released a Public Notice indicating a recent action by the Media Bureau to revise the inflation adjustment figures for cable operators using FCC Form 1240 to 2.68% for Quarter 1, 2008 ("Q1"). Use of the inflation rate permits cable operators to adjust non-external cost portions of rates for inflation. The Commission adjusts these rates four times per year.
When completing FCC Form 1240, operators who are basing calculations on some portion of Q1 should enter an inflation factor of 0.0268 on the appropriate lines of Worksheet 1. Operators using this factor for projection periods should enter an inflation factor of 1.0268 on Line C3 (Jan. 1996 version) or Line C5 (July 1996 version).
A copy of the inflation factors dating back to 1995 can be found on the Commission’s website at http://www.fcc.gov/mb/csinflat.html.
If you have any questions regarding these rates, please do not hesitate to contact one of our Communications attorneys: Mark Palchick (email); Eric Breisach (email); Peter Gutmann (email); or, Lisa Cordell (email).
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