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<br />- ----- - - - - - --- - --- - <br /> <br />sources. The new budget demonstrates this truth clearly and efficiently. It also makes it <br />easier to see how the loss of PEG funding could affect the entire organization. <br /> <br />_g fee <br /> <br />Weare currently at the maximum PEG fee allowed by our Memorandum of <br />Understanding. We are, however, allowed to increase that level annually to cover cost of <br />living increases. According to the Bureau of Labor Statistics, the average CPI for 2006 <br />was 3.2%. Increasing the current PEG fee by this amount results in a nine-cent increase <br />per subscriber, per month, to $2.82. <br /> <br />No one really knows what is going to happen to PEG fees. As long as they remain a <br />source of revenue for the organization, we should take advantage of our ability to collect <br />them, at the allowable rate. <br /> <br />_nCIUSion <br /> <br />The world as we know it seems to be changing. Weare doing everything we can to <br />educate policy makers, and retain our funding. Nevertheless, we need to be prepared for <br />a less than ideal outcome. We continue to work on developing new sources of revenue <br />and streamlining our operations. It will be interesting to see what 2008 brings. <br /> <br />~9 <br />