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


In the Matter of                 )    File No. EB-02-TC-106
                                )
Marcus Cable Associates, LP      )    CUID No.  TX0397 (Borger)                
                                )
Complaint Regarding            ) )
Cable Programming Services  Tier )
Rates


                              ORDER


     Adopted:  June 14, 2002                      Released:  June 
17, 2002

By the Chief, Enforcement Bureau:1

     1.   In this Order we consider complaints filed against  the 
rates charged by the above-referenced operator ("Operator")2  for 
its cable  programming services  tier ("CPST")  in the  community 
referenced above. The Cable Services Bureau has already issued an 
Order, DA  95-303  ("Prior Order"),3  which  resolved  complaints 
filed against  Operator's CPST  rates in  effect through  May14, 
1994. In its Prior Order,  the Cable Services Bureau stated  that 
its findings "do not  in any way  prejudge the reasonableness  of 
the price for CPS service after  May 14, 1994 under our new  rate 
regulations."4  Upon review  of Operator's refund  plan filed  in 
response to the Prior Order, the Cable Services Bureau calculated 
Operator's refund  liability through  July  14, 1994.5   In  this 
Order, we  address only  the  reasonableness of  Operator's  CPST 
rates  for  the  above-referenced   community,  for  the   period 
beginning July 15, 1994. 


     2.   Under the provisions  of the  Communications Act6  that 
were in effect at the time the referenced complaints were  filed, 
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.   The  Cable  Television  Consumer  Protection  and 
Competition  Act  of  19927  ("1992  Cable  Act")  required   the 
Commission to  review  CPST rates  upon  the filing  of  a  valid 
complaint by a subscriber or local franchising authority ("LFA").  
The filing  of  a  complete  and  timely  complaint  triggers  an 
obligation upon the cable operator to file a justification of its 
CPST rates.8  The Operator has  the burden of demonstrating  that 
the  CPST  rates  complained  about  are  reasonable.9   If   the 
Commission finds a  rate to be  unreasonable, it shall  determine 
the correct rate and any refund liability.10

     3.   Operators must use the FCC Form 1200 series to  justify 
rates for the period  beginning May15, 1994.11  Cable  operators 
may file an  FCC Form  1210 to justify  quarterly rate  increases 
based on  the  addition  and deletion  of  channels,  changes  in 
certain external costs  and inflation.12   Operators may  justify 
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.13  Any 
incurred cost that is not projected may be accrued with  interest 
and added to rates at a later time.14

     4.   Upon review  of Operator's  FCC  Form 1200,  we  accept 
Operator's calculated MPR  of $11.71.  Because Operator's  actual 
CPST rate of $12.76,  effective July 15,  1994 through March  31, 
1995, exceeds its  calculated MPR of  $11.71, we find  Operator's 
actual CPST rate of $12.76 to be unreasonable, effective July 15, 
1994 through March 31, 1995.  Upon review of Operator's FCC  Form 
1210, covering the period April  1, 1994 through March 31,  1995, 
we find Operator's actual CPST  rate of $12.76 to be  reasonable, 
effective April 1, 1995.  

     5.   Accordingly, IT IS ORDERED, pursuant to Sections  0.111 
and 0.311  of the  Commission's  rules, 47  C.F.R.   0.111  and 
0.311, that the CPST rate of  $12.76, charged by Operator in  the 
community referenced above, effective July 15, 1994 through March 
31, 1995, IS UNREASONABLE.

     6.   IT IS FURTHER ORDERED,  pursuant to Sections 0.111  and 
0.311 of the Commission's  rules, 47 C.F.R.   0.111 and  0.311, 
that the  CPST  rate  of  $12.76,  charged  by  Operator  in  the 
community  referenced  above,   effective  April   1,  1995,   IS 
REASONABLE.

     7.   IT IS FURTHER  ORDERED, pursuant to  Section 76.961  of 
the Commission's rules, 47 C.F.R.   76.961, that Operator  shall 
refund to  subscribers in  the  community referenced  above  that 
portion of the  amount paid  in excess of  the maximum  permitted 
CPST rate  of  $11.71  per  month  (plus  franchise  fees),  plus 
interest to the date of the refund, for the period July 15, 1994, 
through March 31, 1995.

     8.   IT IS  FURTHER  ORDERED that  Operator  shall  promptly 
determine the  overcharges to  CPST  subscribers for  the  stated 
periods, and shall within 30 days  of the release of this  Order, 
file a report  with the  Chief, Enforcement  Bureau, stating  the 
cumulative refund amount so determined (including franchise  fees 
and interest), describing the calculation thereof, and describing 
its plan to  implement the  refund within 60  days of  Commission 
approval of the plan.

     9.   IT IS FURTHER ORDERED,  pursuant to Sections 0.111  and 
0.311 of the Commission's  rules, 47 C.F.R.   0.111 and  0.311, 
that the  complaints referenced  herein  against the  CPST  rates 
charged  by  Operator  in  the  community  referenced  above  ARE 
GRANTED.
     
                              FEDERAL COMMUNICATIONS COMMISSION 



                              David H. Solomon
                              Chief, Enforcement Bureau
_________________________

1  Effective   March  25,   2002,  the   Commission   transferred 
responsibility for resolving cable programming services tier rate 
complaints  from  the  former   Cable  Services  Bureau  to   the 
Enforcement Bureau.  See Establishment  of the Media Bureau,  the 
Wireline Competition  Bureau and  the Consumer  and  Governmental 
Affairs Bureau, Reorganization  of the  International Bureau  and 
Other Organizational Changes, FCC 02-10, 17 FCC Rcd 4672 (2002).
2  The  term  "Operator"   includes  Operator's  successors   and 
predecessors in interest.
3 In the Matter  of Sammons Communications,  Inc., DA 95-303,  10 
FCC Rcd 3816 (CSB 1995).
4 Id. at n. 1.
5 The Commission's rules provide for a refund liability  deferral 
period, if timely  requested by the  Operator, beginning May  15, 
1994 and ending July 14, 1994, for any overcharges resulting from 
Operator's calculation of a new maximum permitted rate on its FCC 
Form 1200.  See 47 C.F.R.  76.922(b)(6)(ii). Operator elected to 
defer refund  liability.   However, Operator  will  incur  refund 
liability from May 15,  1994 through July 14,  1994 for any  CPST 
rates charged above the FCC Form 393 maximum permitted rate.  The 
Cable Services Bureau  included this  time period  in its  refund 
plan calculation  for DA  95-303.  See  In the  Matter of  Marcus 
Cable Associates, LP, DA 99-1906, 14 FCC Rcd 15865 (CSB 1999).
6 Communications Act,  Section 623(c),  as amended,  47 U.S.C.   
543(c) (1996).
7 Pub. L. No. 102-385, 106 Stat. 1460 (1992).
8 See  Section 76.956  of  the Commission's  rules, 47  C.F.R.   
76.956.
9 Id.
10 See  Section 76.957  of the  Commission's rules,  47 C.F.R.   
76.957.
11 See  Section 76.922  of the  Commission's rules,  47 C.F.R.   
76.922.
12 Id.
13 Id.
14 Id.