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                                Before the
                     Federal Communications Commission
                          Washington, D.C. 20554
                                     
In the Matter of  )     
                  )     
Suburban Cable TV, Inc. )     CUID No.      PA0179 (Caln)
                  )
                  )
Complaints Regarding          )       
Cable Programming Services Tier Rates      )     


ORDER
                       
        Adopted:  August 10, 1998                  Released:  August 12, 1998    

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

  1.    In this Order we consider a complaint against the rates charged by the above-referenced
Operator ("Operator") for its cable programming services tier ("CPST") in the community referenced
above.  Operator has attempted to justify its CPST rates through a benchmark showing on FCC Forms
1200, 1210 and 1240.  Accordingly, this Order only addresses the reasonableness of Operator's rates in
effect after May 14, 1994.
    
  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.  The filing of a complete and
timely complaint triggers an obligation on behalf of the cable operator to file a justification of its CPST
rates.   The Operator has the burden of demonstrating that its CPST rates are reasonable. 

  3.    To justify rates for the period beginning May 15, 1994 through a benchmark showing,
operators must use the FCC Form 1200 series.  Operators are permitted to make changes to their rates on
a quarterly basis using FCC Form 1210.  Operators may alternatively justify adjustments to their rates
on an annual basis using FCC Form 1240 to reflect reasonably certain and quantifiable changes in external
costs, inflation, and the number of regulated channels that are projected for the twelve months following
the rate change.  Any incurred cost that is not projected may be accrued with interest and added to rates
at a later time.

  4.    Upon review of Operator's FCC Form 1200, we find that Operator has correctly calculated
a maximum permitted rate ("MPR") for its CPST of $12.31.   Upon review of Operator's FCC Form 1210
covering the period of April 1, 1994 through December 31, 1994, we find Operator's CPST MPR of
$13.59, effective January 1, 1995, to be reasonable.  Because Operator's actual CPST rate of $14.33,
effective February 10, 1995 through March 31, 1995, exceeds its CPST MPR of $13.59, we find that
Operator's actual CPST rate is unreasonable.  However, we have determined that the total overcharge
per subscriber for the period of March 20, 1995, the date of the subscriber complaint, to March 31, 1995
is de minimis, and it would not be in the public interest to order a refund.    

  5.    Upon review of Operator's FCC Form 1210 covering the period of January 1, 1995
through March 31, 1995, we find Operator's CPST MPR of $15.32, effective April 1, 1995 to be
reasonable.  Because Operator's actual CPST rate continues to be $14.33, effective April 1, 1995 through
June 30, 1995, we find Operator's CPST rate to be reasonable.

  6.    Upon review of Operator's FCC Form 1210 covering the period of April 1, 1995 through
June 30, 1995, we find Operator's CPST MPR of $15.62, effective July 1, 1995, to be reasonable. 
Because Operator's actual CPST rate continued to be $14.33, effective July 1, 1995 through March 31,
1996, we find Operator's CPST rate to be reasonable.

  7.    Upon review of Operator's FCC Form 1240 for the projected period of April 1, 1996
through March 31, 1997, we adjusted Line C5 (Current FCC Inflation Factor) from 2.225 to 0.9924.  As
a result of this adjustment the CPST MPR was reduced from $17.44 to $17.07.  Because Operator's actual
CPST rate was $15.25, effective April 1, 1996 through March 31, 1997, we find Operator's CPST rate
to be reasonable.

  8.    Upon review of Operator's FCC Form 1240 for the projected period of April 1, 1997
through March 31, 1998, we adjusted Line A1 to reflect the CPST MPR carried over from Operator's
prior revised FCC Form 1240.  We further adjusted Line C3 (Inflation Factor for True-Up Period 1) to
1.0171 and Line C5 (Current FCC Inflation Factor) to 1.0177.  We adjusted Line D3 (Current CAPS
Method Segment) to $1.50.  We adjusted Line D6 (Current True-Up Segment), Line D7 (Current Inflation
Segment) and Line F8 (True-Up Segment for True-Up Period 1) to conform to the prior revised FCC
Form 1240.  These adjustments reduced Operator's CPST MPR from $20.17 to $19.76.  Because
Operator's actual CPST rate was $16.95, effective April 1, 1997, we find Operator's CPST rate to be
reasonable.       

  9.    Accordingly, IT IS ORDERED, pursuant to Section 0.321 of the Commission's rules, 47
C.F.R.  0.321, that the CPST rate of $14.33, charged by Operator in the community referenced above,
effective February 10, 1995 to March 31, 1995, IS UNREASONABLE

  10.   IT IS FURTHER ORDERED,  pursuant to Section 0.321 of the Commission's rules, 47
C.F.R.  0.321, that the CPST rate of $14.33, charged by Operator in the community referenced above,
effective April 1, 1995 through March 31, 1996, IS REASONABLE.

  11.   IT IS FURTHER ORDERED,  pursuant to Section 0.321 of the Commission's rules, 47
C.F.R.  0.321, that the CPST rate of $15.25, charged by Operator in the community referenced above,
effective April 1,1996 through March 31, 1997, IS REASONABLE.

  12.   IT IS FURTHER ORDERED,  pursuant to Section 0.321 of the Commission's rules, 47
C.F.R.  0.321, that the CPST rate of $16.95, charged by Operator in the community referenced above,
effective April 1, 1997, IS REASONABLE.

  13.   IT IS FURTHER ORDERED, pursuant to Section 0.321 of the Commission's rules, 47
C.F.R.  0.321, that the referenced complaint IS GRANTED to the extent indicated herein.


        FEDERAL COMMUNICATIONS COMMISSION 



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