Before the Federal Communications Commission Washington, D.C. 20554 In the Matter of ) ) CUID No. OK0022 (City of Durant) James Cable Partners, L.P. ) ) Complaint Regarding ) Cable Programming Services Tier Rates ) ORDER Adopted: August 23, 1999 Released: August 26, 1999 By the Acting Chief, Financial Analysis and Compliance Division, Cable Services Bureau: 1. In this Order we consider complaints against the December 1, 1994 rate increases by the above-referenced operator ("Operator") for its cable programming services tiers ("CPST-1" and "CPST-2") in the community referenced above. This Order addresses only the reasonableness of Operator's December 1, 1994 CPST-1 and CPST-2 rate increases. 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 Cable Television Consumer Protection and Competition Act of 1992 ("1992 Cable Act") requires the Commission to review CPST rates upon the filing of a valid complaint by a subscriber or local franchise authority ("LFA"). 3. To justify rates for the period beginning May 15, 1994, operators must use the FCC Form 1200 series. Cable operators attempting to justify their rates through a cost of service showing must complete and file FCC Form 1220. In reviewing an operator's FCC Form 1220 cost of service showing, we evaluate the operator's rate base and expense elements to determine whether the operator should be permitted to recover those items. Where a certain rate base or expense element is not justified under our rules, such cost is disallowed in whole or in part. Where reported costs are disallowed, we make appropriate adjustments. 4. Upon review of Operator's FCC Form 1220, we find Operator's actual CPST-1 rate of $1.42 and CPST-2 rate of $21.38, effective December 1, 1994, to be reasonable. 5. Accordingly, IT IS ORDERED, pursuant to Section 0.321 of the Commission's rules, 47 C.F.R.  0.321, that the CPST-1 rate of $1.42 and CPST-2 rate of $21.38, charged by Operator in the franchise area referenced above, effective December 1, 1994, ARE REASONABLE. 6. IT IS FURTHER ORDERED, pursuant to Section 0.32l of the Commission's rules, 47 C.F.R. Section 0.321, that the complaints referenced herein against the CPST rates charged by Operator in the community set forth above, ARE DENIED. FEDERAL COMMUNICATIONS COMMISSION Patrick A. Boateng, Acting Chief Financial Analysis and Compliance Division Cable Services Bureau