FOR FCC RECORD ONLY
$// MO&0, Cable Act of 1992, DA 94-1269//$
$/ 300.623 Regulation of Rates /$
$/ 1.106 Petitions for Reconsideration /$
$/ 76.906 Presumption of no effective competion /$
$/ 76.910 Franchising authority certification /$
$/ 76.911 Petition for reconsideration of certification /$

                                Before the
                     FEDERAL COMMUNICATIONS COMMISSION           DA 94-1269
                          Washington, D.C.  20554

In the matter of     )
              )
BLUE RIDGE CABLE TELEVISION, INC.   )
              )
Petition for Reconsideration of Certification      )
of Washington Township, PA (PA2954) )
to Regulate Basic Cable Service Rates      )
                                                   

Adopted:  November 14, 1994            Released:  November 16, 1994

By the Chief, Cable Services Bureau:


                       MEMORANDUM OPINION AND ORDER

I.  INTRODUCTION

     1.  On November 5, 1993, Blue Ridge Cable Television, Inc.  ("Blue Ridge") 
submitted a timely-filed petition for reconsideration challenging the certification of
Washington Township, PA ("Washington") to regulate the system's rates for basic cable
service and associated equipment.  

       2.  Section 623(a)(4) of the Communications Act, as amended, allows franchising
authorities to become certified to regulate basic cable service rates of cable operators that are
not subject to effective competition.  For purposes of the initial request for certification,
local franchising authorities may rely on a presumption that cable operators within their
jurisdiction are not subject to effective competition unless the franchising authority has actual
knowledge to the contrary.  Certification becomes effective 30 days from the date of filing
unless the Commission finds that the authority does not meet the statutory certification
requirements.  Cable operators may file petitions for reconsideration of the franchising
authority's certification within 30 days of the effective date of such certification.  Rate
regulation is automatically stayed pending review of a timely-filed petition for reconsideration
alleging the presence of effective competition.

II.  DISCUSSION

       3.  In its petition, Blue Ridge alleges that its rates are exempt from regulation because
its system "has fewer than 30 percent of the households in the franchise area that subscribe
to the cable service of its cable system."  Blue Ridge presents no specific facts or
documentation to support this conclusory allegation.

       4.  In the absence of a demonstration to the contrary, cable systems are presumed not
to be subject to effective competition.  The cable operator bears the burden of rebutting the
presumption that effective competition does not exist with evidence that effective
competition, as defined by Section 76.905 of the Commission's Rules, is present within its
franchise area.  Based on the evidence, we find that Blue Ridge has not met this burden. 
Specifically, Blue Ridge does not indicate the number of households within its franchise area
or the number of households which subscribe to its cable service.  In addition, it does not
provide any documentation to support its claim.  Accordingly, it has failed to demonstrate
that effective competition exists and, therefore, we deny its petition.

III.  ORDERING CLAUSES

       5.  Accordingly, IT IS ORDERED that the petition for reconsideration filed by Blue
Ridge Cable Television, Inc. challenging the certification of Washington Township, PA  to
regulate Blue Ridge's basic cable rates IS DENIED.

       6.  IT IS FURTHER ORDERED that the automatic stay imposed by Section
76.911(c) of the Commission's Rules, as amended,  47 C.F.R.  76.911(c) IS
TERMINATED.

       7.  IT IS FURTHER ORDERED that Blue Ridge Cable Television, Inc. SHALL
FILE the required rate justifications on the appropriate forms with Washington Township,
PA within 30 days of the release date of this Memorandum Opinion and Order or within 30
days of receipt of notice from Washington Township, PA that it is regulating rates,
whichever is later.

       8.  This action is taken pursuant to delegated authority pursuant to Section 0.321 of
the Commission's Rules, as amended, 47 C.F.R.  0.321.

       
              FEDERAL COMMUNICATIONS COMMISSION





              Meredith J. Jones
              Chief, Cable Services Bureau