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                            Before the
                Federal Communications Commission
                      Washington, D.C. 20554


                                )
In the Matter of                )
                                )
TCI Cablevision of Kentucky, Inc.                 )    CUID No.  KY0144 (Henderson)
                                   )
Complaints Regarding            )
Cable Programming Services Tier )
Rate Increase                   )


                             ORDER

     Adopted:  April 21, 1997           Released:  April 23, 1997  

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

     1.   Here we consider complaints about the rate the above-captioned operator ("Operator")
was charging for its cable programming service tier ("CPST") in the community referenced above. 
Operator has chosen to attempt to justify its CPST rates through benchmark showings on FCC Form
1200 and multiple FCC Form 1210s.  

     2.   Under the Communications Act, the Federal Communications Commission
("Commission") is authorized to review the CPST rates of cable systems not subject to effective
competition to ensure that rates charged are not unreasonable.  If the Commission finds a rate to be
unreasonable, it shall determine the correct rate and any refund liability.  

     3.   The first valid complaint was filed with the Commission on August 26, 1994 against
Operator's July 14, 1994 CPST rate.

     4.   To justify rates for the period beginning May 15, 1994 through a benchmark or cost
of service showing, operators must use the FCC Form 1200 series.  Cable operators may file an FCC
Form 1210 to justify rate increases based on the addition and deletion of channels, changes in certain
external costs and inflation.  In addition, Operators must file a Form 1210 at  least 30 days before
new rates are scheduled to go into effect, where there is a pending complaint against the CPST rate. 


     5.   Upon review of Operator's FCC Form 1200 and Operator's FCC Form 1210s covering
the period from April 1, 1994 through March 31, 1995, we find Operator's maximum permitted rates
("MPRs") to be reasonable.   Because Operator's actual CPST rates of  $10.37 for the period August
26, 1994 through December 31, 1994; $10.94 for the period January 1, 1995 through January 31,
1995; and $12.41 for the period beginning February 1, 1995 are equal to or lower than its MPRs, we
find Operator's CPST rates for the period beginning August 26, 1994 to be reasonable.  

     6.   Accordingly, IT IS ORDERED, pursuant to Section 0.321 of the Commission's rules,
47 C.F.R.  0.321, that the CPST rates charged by Operator in the community referenced above for
the period beginning August 26, 1994  ARE REASONABLE.

     7.   IT IS FURTHER ORDERED, pursuant to Section 0.321 of the Commission's rules,
47 C.F.R.  0.321, that the complaints against the CPST rates charged by Operator in the community
referenced above,  ARE DENIED.

                         FEDERAL COMMUNICATIONS COMMISSION 



                         Elizabeth W. Beaty
                         Chief, Financial Analysis and Compliance Division                          Cable Services Bureau