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$//Falcon Cable TV, VA, MO&O, DA 95-2068//$
$/76.922 Rates for Cable Programming Service tiers/$
$/benchmark cable rates/$

                                Before the
                     FEDERAL COMMUNICATIONS COMMISSION
                          Washington, D.C. 20554
          
          DA 95-2068

In the Matter of     )
          )
Falcon Cable TV      )   CUID No. VA0365 (Suffolk)
          )
Withdrawal of Rate Complaint         )          
Concerning Cable Programming         ) 
Service Rates        )
          
     
                                   ORDER

          Adopted:  September 29, 1995       Released:  October 11, 1995 


By the Chief, Financial Analysis and Compliance Division, Cable Services Bureau:

     1.  On February 28, 1994, the local franchising authority (LFA) filed a complaint with
this Commission alleging that the price charged by the above-captioned operator ("Operator")
for cable programming service tier (CPS) services in the community referenced above was
unreasonably high.  On August 23, 1995, the complainant requested the Commission to
withdraw its CPS complaint.  This is the only complete and timely complaint concerning CPS
rates received by the Commission for the franchise area.  Our jurisdiction to regulate CPS
rates arises with the filing of a valid complaint against those rates.  We will allow the
withdrawal of the complaint, and our jurisdiction over Operator's rates will therefore
terminate. 

     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 only complainant in the above-
captioned community a letter stating that it wishes to withdraw its CPS rate complaint against
Operator.  Under our rules, this Commission's authority to regulate CPS cable rates arises
when a valid complaint against those rates is filed.  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
forbearance from rate regulation, there is no evidence of such an agreement here.  We will
accordingly allow the complainant to withdraw its complaint.  Because our review of the rate
justification showing is predicated on the existence of a rate complaint, and Operator no
longer faces a rate complaint, we are terminating our review of the rates charged by Operator
in the franchise area covered by this Order.  

     5.  Accordingly, IT IS ORDERED that permission to withdraw the FCC Form 329
rate complaint against the cable programming service rate in the above-noted community IS
GRANTED .

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

     
     FEDERAL COMMUNICATIONS COMMISSION




     JoAnn Lucanik
     Chief, Financial Analysis and Compliance Division 
     Cable Services Bureau