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A. 1. a.(1)(a) i) a) I. 1. 1. a.(1)(a) i) a)1.` ` In this Order we consider a complaint against the June 1, 1997 rate increase that the  d(#Labovecaptioned operator ("Operator") implemented for its cable programming services tier ("CPST") in  d(#the community set forth above. Operator has attempted to justify its CPST rate through a benchmark  d(#showing on FCC Form 1240. We have already issued a separate order which found that Operator's CPST  S- d(#rates in effect from September 1, 1993 to May 31, 1997 were not unreasonable ("Prior Order").r {Ox-#X\  P6G;P#э See In the Matter of Adelphia Cable Partners, L.P., 11 FCC Rcd 14953 (1996). This Order addresses only the reasonableness of the Operator's CPST rate of $15.60 effective June 1, 1997.  S-  2.` ` The Communications ActZr {O-#X\  P6G;P#э#X\  P6G;P# Section 623(c) of the Communications Act of 1934, as amended, 47 U.S.C. Section 543(c) (1996). authorizes the Federal Communications Commission  d(#("Commission") to review the CPST rates of cable systems not subject to effective competition to ensure  d(#jthat rates charged are not unreasonable. If the Commission finds the rate unreasonable, it shall determine  S - d(#the correct rate and any refund liability. r {O-#X\  P6G;P#э #X\  P6G;P#See 47 C.F.R. Section 76.957. The Telecommunications Act of 1996 ("1996 Act") ~r yO> -#X\  P6G;P#Ѝ#X\  P6G;P# Pub. L. No. 104104, 110 Stat. 56 (1996). and our  S- d(#jrules implementing the new legislation ("Interim Rules"),r {O"- d(##X\  P6G;P#э#X\  P6G;P# See Implementation of Cable Act Reform Provisions of the Telecommunications Act of 1996, 11 FCC Rcd 5937 (1996). require that complaints against the CPST rates  d(#be filed with the Commission by a local franchising authority ("LFA") that has received subscriber  d(#complaints. An LFA may not file a CPST rate complaint unless, within 90 days after such increase becomes effective, it receives more than one subscriber complaint.  S0-  _3.` ` Cable operators may justify adjustments to their rates on an annual basis using FCC Form  d(#.1240 to reflect reasonably certain and quantifiable changes in external costs, inflation, and the number of"h ,))IIg "  S- d(#regulated channels that are projected for the twelve months following the rate change.\\W {Oh- d(#y#X\  P6G;P#Ѝ#X\  P6G;P# See 47 C.F.R. Section 76.960; see In the Matter of Implementation of Sections of the Cable Television  d(#Consumer Protection and Competition Act of 1992: Rate Regulation, MM Docket No. 92266, Thirteenth Order on  {O-Reconsideration, ("Thirteenth Reconsideration Order") 11 FCC Rcd 388, 391 (1995). Any incurred cost  S- d(#lthat is not projected may be accrued with interest and added to rates at a later time.\W {Od-#X\  P6G;P#Ѝ#X\  P6G;P# See Thirteenth Reconsideration Order at 392. If actual and  d(#projected costs are different during the rate year a "trueup" mechanism is available to correct estimated  S- d(#[costs with actual cost changes.~\W {O -#X\  P6G;P#э #X\  P6G;P# Id. The "trueup" requires Operators to decrease their rates or alternatively  d(#permits them to increase their rates to make an adjustment for over or under estimations of these costs  S8-changes.   S-    4.` ` On October 3, 1997, the LFA filed a complaint regarding the June 1, 1997 increase in  d(#Operator's CPST rate in the community referenced above. In its complaint, the LFA asserts that it has  d(#received more than one subscriber complaint against Operator's CPST rate increase, thereby triggering  Sp- d(#the Commission's jurisdiction to review this complaint. p\W yO -#X\  P6G;P#э #X\  P6G;P#The first subscriber complaint was received by the LFA on June 2, 1997. The valid complaint from the LFA triggers an  SH - d(#obligation by the cable operator to file a justification of its CPST rates with the LFA. H \W yO-#X\  P6G;P#э #X\  P6G;P#47 C.F.R. Section 76.1402. Thus, in this case,  d(#LOperator is required to justify the increase in its CPST rate which is the subject of the LFA's complaint.  d(#Operator submitted an FCC Form 1240 for the community set forth above to justify the rate increase that went into effect on June 1, 1997.  S -  5.` ` Upon review of Operator's FCC Form 1240 for the projected period June 1, 1997 to  SX- d(#May r#R 31, 1998, we find that Operator has miscalculated its maximum permitted rate ("MPR").L X0 \W yO(- d(#Z#X\  P6G;P#э #X\  P6G;P#This finding is based solely on the representations of Operator. Should information come to our attention  d(#Ythat these representations were materially inaccurate, we reserve the right to take appropriate action. This Order is  d(#not to be construed as a finding that we have accepted as correct any specific entry, explanation or argument made by any party to this proceeding not specifically addressed hereinL We have  d(#corrected Operator's starting rate on Line A1 to reflect the MPR of $21.46 that we calculated in the Prior  S- d(#Order. \W {O-#X\  P6G;P#э #X\  P6G;P#See In the Matter of Adelphia Cable Partners, L.P., 11 FCC Rcd 14953 (1996). Notwithstanding our adjustment, we find that Operator has justified its CPST rate of $15.60  S-effective June 1, 1997.k \W yO*"- d(##X\  P6G;P#э #X\  P6G;P##X\  P6G;P#Information regarding the specific adjustments made to Operator's FCC Form 1240 filing can be found in  d(#,the public file for the community referenced above which is available in the Cable Services Bureau's public reference  d(#,room, or through the Commission's copy contractor, International Transcription Services (ITS), 1231 20th Street, N.W., Washington, DC 20036, or by calling ITS at (202) 8573800.k " ,>(>(II"Ԍ S- 6.` ` Accordingly, IT IS ORDERED, pursuant to Section 0.321 of the Commission's rules, 47  d(#C.F.R.  0.321, that Operator's CPST rate of $15.60 effective June 1, 1997 in the community set forth above, IS NOT UNREASONABLE.   X` hp x (#%'0*,.8135@8: