FOR FCC RECORD ONLY
$//NewChannel Corprporation, Coraopolis, Pennsylvania, MO&O, DA 95-254//$
$/76.922 Rates for cable programming services tier/$
$/benchmark cable rates/$


                                Before the
                     Federal Communications Commission
                             Washington, D.C.

                                                                  DA 95-254



In the matter of                   )
                              )    CUID Nos. PA0057, PA0058, PA0059,
NewChannels Corporation           )              PA0060, PA1873 and  
Coraopolis, Pennsylvania          )              PA1971
                              )
Benchmark Filing To Support       )
Cable Programming Service Price         )


                       Memorandum Opinion and Order

Adopted:  February 16, 1995             Released:  Februaruy 21, 1995

By the Deputy Chief, Cable Services Bureau:


Introduction

1.  Here we consider complaints about the price NewChannels Corporation ("NewChannels")
was charging for its cable programming service ("CPS") tier in CUID Nos. PA0057, PA0058,
PA0059, PA0060, PA1873 and PA1971.   NewChannels has chosen to attempt to justify its
price through a benchmark showing on FCC Form 393.  This Order addresses the
reasonableness of NewChannels's price only through May 14, 1994.  At a later date we will
issue a separate order addressing the reasonableness of the price after that date.

     2.  Under the Cable Television Consumer Protection and Competition Act of 1992,
and our rules implementing it, 47 C.F.R. Part 76, Subpart N, the Commission must review
CPS prices upon the filing of a valid complaint.  The filing of a valid complaint triggers an
obligation on behalf of the cable operator to file a justification of its CPS prices.  Under our
rules, an operator may attempt to justify its prices through either a benchmark showing or a
cost-of-service showing.  In either case, the operator has the burden of demonstrating that its
CPS prices are not unreasonable.

     3.  The Commission's original rate regulations took effect on September 1, 1993.  The
Commission subsequently revised its rate regulations effective May 15, 1994.  Operators with
valid CPS complaints filed against them prior to May 15, 1994 must demonstrate that their
CPS prices were in compliance with the Commission's initial rules from the time the
complaint was filed through May 14, 1994, and that their prices were in compliance with the
revised rules from May 15, 1994 forward.  Operators attempting to justify their prices for the
period prior to May 15, 1994 through a benchmark showing must complete and file FCC
Form 393.  Generally, to justify their prices for the period beginning May 15, 1994 through a
benchmark showing, operators must use the FCC Form 1200 series.

Procedural Matters

     4.  The first CPS complaint was completed and served on NewChannels on October
30, 1993.  The Commission received the complaint on November 2, 1993.

     5.  NewChannels attempted to justify its CPS price through FCC Form 393's filed  on
December 6, 1993 for CUID No. PA0059; February l4, 1994 for CUID Nos. PA0058,
PA0060, PA1873 and PA1971; and February 16, 1994 for CUID No. PA0057.  NewChannels
amended its justification on July 5, 1994, in response to a Cable Services Bureau Order citing
common deficiencies observed in benchmark filings generally. 

Discussion

     6.  NewChannels asserts that its monthly CPS tier price of $10.77 per subscriber is
justified by its benchmark filing because its price is equal to the maximum permitted charge 
of $10.77 as calculated in the filing.  Upon review of NewChannels's Form 393, we have
found no apparent errors that would require a recalculation of NewChannels's maximum
permitted CPS price.

Conclusions

     7.  Upon review of the record herein, we conclude that NewChannels has
demonstrated that $10.77 per month (plus franchise fee) was the maximum reasonable CPS
tier price for the period November 2, 1993 to May 14, 1994.

     8.  Accordingly, IT IS ORDERED, pursuant to Section 0.321 of the Commission's
Rules, 47 C.F.R.  0.321, that the October 30, 1993 complaint against the cable programming
service price charged by NewChannels Corporation in Coraopolis, Pennsylvania, CUID Nos.
PA0057, PA0058, PA0059, PA0060, PA1873 and PA1971, and all other complaints relating
to the same price, ARE DENIED TO THE EXTENT INDICATED HEREIN.

     9.  IT IS FURTHER ORDERED that the benchmark filing submitted by NewChannels
Corporation in Coraopolis, Pennsylvania, with respect to CUID Nos. PA0057, PA0058,
PA0059, PA0060, PA1873 and PA1971 for the period of November 2, 1993 to May 14, 1994,
justifies a maximum price of $10.77 per month (plus franchise fee) for NewChannels
Corporation's cable programming service tier.

                         FEDERAL COMMUNICATIONS COMMISSION




                         Gregory J. Vogt
                         Deputy Chief, Cable Services Bureau