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


In the Matter of                   )    
                              )              
Comcast Communications             )    CUID Nos.       CA1087 (City of Galt)   
of Sacramento                      )               CA1088 (County of Sacramento)
                              )               CA1089 (City of Sacramento)
Complaints Regarding                    )               CA1092 (City of Folsom)
Cable Programming Services Tier Rates   )              
 
                                
                             ORDER

     Adopted:  August 28, 1998          Released:  September 1, 1998  

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

     1.   In this Order we consider a complaint against the February 1, 1998 rate increase of the above-
referenced operator ("Operator") for its cable programming services tier ("CPST") in the communities
referenced above.   We have previously released orders, which have been appealed, resolving all outstanding
complaints against Operator in the communities referenced above.  Accordingly, this Order addresses only the
reasonableness of the amount of Operator's February 1, 1998 CPST rate increase. 

     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 Telecommunications Act of 1996 ("1996 Act") and our rules implementing
the new legislation ("Interim Rules"), require that complaints against the CPST rates be filed with the
Commission by a local franchising authority ("LFA") that has received more than one subscriber complaint. 

     3.   The LFA for the franchise areas referenced above filed a complaint with the Commission on
June 9, 1998, against Operator's February 1, 1998 CPST rate increase of $1.29, from $12.83 to $14.12.  The
LFA verified that it received more than one subscriber complaint and that the first valid complaint was received
by the LFA on February 2, 1998.  The filing of a complete and timely LFA complaint triggers an obligation
upon the cable operator to file a justification of its CPST rates.  The Operator has the burden of demonstrating
that the CPST rates complained about are reasonable. 

     4.    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.  

     5.   Upon review of Operator's FCC Form 1240 for the projected period February 1, 1998 through
January 31, 1999, we find Operator's actual CPST rate increase of $1.29, effective February 1, 1998, to be
reasonable. 

     6.   Accordingly, IT IS ORDERED, pursuant to Section 0.321 of the Commission's rules, 47
C.F.R. Section 0.321, that the CPST rate increase of $1.29, charged by Operator in the communities referenced
above, effective February 1, 1998, IS REASONABLE. 

     7.   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 DENIED.


                              FEDERAL COMMUNICATIONS COMMISSION 



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