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File pnmc5021 (.txt & .wp) is in directory \pub\Public_Notices\Miscellaneous. ************************************************************************* FOR FCC RECORD ONLY $//Adelphia Cable Communications, State of New Jersey, MO&O, DA 95-759//$ $/76.922 Rates for Cable Programming Service tiers/$ $/benchmark cable rates/$ Before the FEDERAL COMMUNICATIONS COMMISSION Washington, D.C. 20554 DA 95-759 In the Matter of) CUID Nos. ) NJ0008 Stafford Township Withdrawal of FCC Form 329) NJ0085 Beachwood Borough Rate Complaint Against Adelphia ) NJ0090 Barnegat Township Cable Communications ) NJ0140 Pine Beach Borough ) NJ0141 Ocean Gate Borough ) NJ0143 S. Tom's River Borough ) NJ0160 Dover Township ) NJ0177 Eagleswood Township ) NJ0178 Tuckerton Borough ) NJ0179 Little Egg Harbor Township ) NJ0499 Crestwood Village ) NJ0500 Lakehurst Borough ) NJ0570 Manahawkin MEMORANDUM OPINION AND ORDER Adopted: April 11, 1995 Released: April 13, 1995 By the Deputy Chief, Cable Services Bureau: 1. The New Jersey Board of Regulatory Commissioners/Office of Cable Television ("Board") filed a single complaint on February 28, 1994 with this Commission alleging that the prices charged by Adelphia Cable Communications d/b/a Clear Cablevision, Inc. ("Adelphia") for cable programming service tier (CPS) services in the communities referenced above were unreasonably high. On February 17, 1995, the Board wrote to Adelphia stating that it wished to withdraw its complaint in all of the communities, and gave Adelphia permission to file its withdrawal letter with the Commission. The Board was the only complainant that filed a valid complaint with this Commission in each of the above- referenced communities. Our jurisdiction to regulate CPS rates arises with the filing of a valid complaint against those rates. The withdrawal of the only complaint against an operator's CPS rates in a community constitutes the termination of our jurisdiction to regulate those rates. We will allow the withdrawal of this complaint, and our review of these filings will therefore be terminated. 2. Under the Cable Television Consumer Protection and Competition Act of 1992, and our rules implementing it, 47 C.F.R. Part 76, Subpart N, the Commission must review CPS prices upon the filing of a valid complaint. The filing of a valid complaint triggers an obligation on behalf of the cable operator to file a justification of its CPS prices. Under our rules, an operator may attempt to justify its prices through either a benchmark showing or a cost-of-service showing. In either case, the operator has the burden of demonstrating that its CPS prices are not unreasonable. 3. The Commission's original rate regulations took effect on September 1, 1993. The Commission subsequently revised its rate regulations effective May 15, 1994. Operators with valid CPS complaints filed against them prior to May 15, 1994 must demonstrate that their CPS prices were in compliance with the Commission's initial rules from the time the complaint was filed through May 14, 1994, and that their prices were in compliance with the revised rules from May 15, 1994 forward. Operators attempting to justify their prices for the period prior to May 15, 1994 through a benchmark showing must complete and file FCC Form 393. 4. This Commission has now received from the Board a letter stating that it wishes to withdraw its CPS rate complaint against Adelphia. Under our rules, this Commission's authority to regulate CPS rates arises when a valid complaint against those rates is filed. In every community referenced above, the Board is the only complainant. Our mandate is to "protect subscribers of any cable system that is not subject to effective competition from rates that exceed the rates that would be charged if such a system were subject to effective competition." While our rules forbid collusive agreements between operators and local franchising authorities regarding forebearance from rate regulation, there is no evidence of such an agreement here. In its letter, in fact, the Board states that it has completed a rate review of the benchmark rates, and has found them consistent with the FCC's rules. It is on the basis of this finding, rather than on the basis of an underlying agreement to forebear, that the Board is seeking to withdraw its CPS rate complaint. We will accordingly allow the Board to withdraw its complaint. Because our review of the rate justification showings is predicated on the existence of a rate complaint, we are terminating our review of Adelphia's filings in the above-referenced communities. 5. Accordingly, IT IS ORDERED that permission to withdraw the FCC Form 329 rate complaint against cable programming service rates in the above-noted communities IS GRANTED, and the review of the resulting rate justification filings IS TERMINATED to the extent discussed herein. FEDERAL COMMUNICATIONS COMMISSION Gregory J. Vogt Deputy Chief, Cable Services Bureau