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File pnmc5021 (.txt & .wp) is in directory \pub\Public_Notices\Miscellaneous. ************************************************************************* Before the Federal Communications Commission Washington, D.C. 20554 In the Matter of) ) Robin Cable Systems, L.P., ) CUID No. GA0334 (City of Powder Springs) dba Peach State Cablevision ) ) Petition for Revocation ) of the Certification of ) the City of Powder Springs, Georgia ) to Regulate Basic Service Tier Rates ) ORDER Adopted: August 14, 1996 Released: August 19, 1996 By the Chief, Cable Services Bureau: INTRODUCTION 1. On October 27, 1995 Robin Cable Systems, L.P., dba Peach State Cablevision ("Peach State") filed a Petition for Revocation ("Petition") with the Federal Communications Commission ("Commission") challenging the certification of the City of Powder Springs, Georgia, ("the City") to regulate rates for the basic service tier ("BST") and associated equipment. The City did not file an Opposition to Peach State's Petition. 2. Section 623(a)(4) of the Communications Act, as amended, allows franchising authorities to become certified to regulate BST rates of cable operators that are not subject to effective competition. For purposes of the initial request for certification, local franchising authorities may rely on a presumption that cable operators within their jurisdiction are not subject to effective competition, unless the franchising authority has actual knowledge to the contrary. Certification becomes effective 30 days from the date of filing unless the Commission finds that the franchising authority does not meet the statutory certification requirements. Cable operators may file petitions for reconsideration of the franchising authority's certification within 30 days from the date such certification becomes effective. Rate regulation is automatically stayed pending review of a timely-filed petition for reconsideration alleging the presence of effective competition. After the 30-day deadline for filing petitions for reconsideration has elapsed, cable operators may challenge the franchising authority's certification by filing a petition for revocation. However, regardless of its grounds, a petition for revocation does not automatically trigger a stay of the franchising authority's power to regulate BST rates. 3. On September 13, 1994, the City petitioned the Commission to review the BST cost of service showing. On February 14, 1995, the Commission granted the City's request and agreed to review Peach State's cost of service showing for the BST rate. DISCUSSION 4. In its Petition, Peach State argues that its cable system is subject to low penetration effective competition because it serves fewer than 30 percent of the households in Powder Springs, Georgia, its franchise area. Specifically, Peach State asserts that its most current subscriber count indicates that it serves 363 subscribers of the 2,327 households (that is, occupied housing units) in the City of Powder Springs, or 15.6 percent of the total number of households. As supporting documentation, Peach State provides 1990 Census data which demonstrates that there are 2,327 households in the City of Powder Springs. 5. In the absence of a demonstration to the contrary, cable systems are presumed not to be subject to effective competition. The cable operator bears the burden of rebutting the presumption that effective competition does not exist with evidence that effective competition, as defined by Section 76.905 of the Commission's rules, is present within its franchise area. Peach State has met this burden. Peach State appropriately relied on Census data reflecting the number of households as required by our regulations. Peach State has submitted sufficient information demonstrating that its cable system serves 363 of the 2,327 households in its Powder Springs franchise area, or 15.6 percent of the total number of households. As stated above, the City did not file an Opposition to Peach State's Petition. Therefore, based upon the record in this proceeding, we find that Peach State's system serving the City of Powder Springs is subject to low penetration effective competition. CONCLUSION 6. Based on our finding that Peach State is subject to effective competition in CUID No. GA0334, the City and the Commission are without jurisdiction to regulate Peach State Cablevision's BST rates in that franchise area. 7. Accordingly, IT IS ORDERED that the Petition filed by Peach State Cablevision challenging the certification of the City of Powder Springs, Georgia IS GRANTED. 8. IT IS FURTHER ORDERED that the certification of the City of Powder Springs, Georgia to regulate Peach State Cablevision's BST rates IS REVOKED. 9. IT IS FURTHER ORDERED that the Commission's review of Peach State's cost of service showing for the BST rate IS TERMINATED. 10. This action is taken pursuant to delegated authority pursuant to Section 0.321 of the Commission's rules, as amended. FEDERAL COMMUNICATIONS COMMISSION Meredith J. Jones Chief, Cable Services Bureau