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Time Warner in Fee Row with Wis. Cities

6/09/2004 9:46 AM Eastern

Time Warner Cable voiced its disagreement with the results of an audit by three Wisconsin cities, AP reported.

The MSO’s Green Bay division sent letters to the cities of Appleton, Neenah and Menasha stating that it had not underpaid its 2002 franchise fees.

Green Bay division vice president of government and public affairs Steve Kim also expressed a willingness to discuss the matter with city officials, according to AP.

The cities have authorized Madison-based Virchow Krause & Co. to conduct a more comprehensive audit of the operator’s revenues from regional and national advertising, home shopping networks and franchise fees charged to subscribers, all of which were excluded from the franchise-fee calculations paid to the cities, AP reported.

Time Warner Cable said in its letter that if the parties agree that franchise fees are owed on advertising and home shopping revenues, "This incremental amount will be passed on to our customers."

September