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



In the Matter of                )
                                )
Suburban Cable TV Company       )  CUID Nos. PA1246 (Upper Darby)   
                                )            PA1248 (Ridley) 
                                )           
                                )
Complaints Regarding            )          
Cable Programming Services Tier )
Rate Increases                  )



                             ORDER

     Adopted:  March 10, 1997           Released:  March 13, 1997  

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

     1.   In this Order we consider complaints about rates Suburban Cable TV Company
("Operator") was charging for its cable programming services tier ("CPST") in the communities
referenced above.  Operator increased its CPST rates on February 15, 1995 from $10.82 to $13.01
and again on April 1, 1996 to $14.05.  Operator's response includes benchmark justifications filed
on FCC Form 1200, multiple FCC Form 1210s, and FCC Form 1240.  We conclude that the CPST
rate increases implemented by Operator are not unreasonable.

     2.   The Communications Act authorizes the Federal Communications Commission
("Commission") 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 1992 ("1992 Cable Act") required the Commission to review CPST rates upon
the filing of a valid complaint by a subscriber.  If the Commission finds rates to be unreasonable,
it shall determine correct rates and any refund liability.
     
     3.   The Commission's original rate regulations became effective on September 1, 1993. 
The Commission revised its rate regulations effective May 15, 1994.  Operators must use the FCC
Form 1200 series to justify their rates for the period beginning May 15, 1994 through a benchmark
showing.  Cable operators may file a FCC Form 1210 to justify rate increases based on the addition
and deletion of channels, changes in certain external costs, and inflation.  The Operator must file
FCC Form 1210, at least 30 days before new rates are scheduled to go into effect, where the
Commission has found the cable programming service rate to be unreasonable less than one year
prior to the filing, or where there is a pending complaint against the CPST rate.  Operators may
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.  If actual and projected
costs are different during the rate year a "true-up" mechanism is available to correct estimated costs
with actual cost changes.  The "true-up" requires operators to decrease their rates or alternatively
permits them to increase their rates to make an adjustment for over or under estimations of these cost
changes.   

     4.   Upon review of Operator's FCC Form 1200, FCC Form 1210s, and FCC Form 1240,
we conclude that Operator has justified its CPST rates of $13.01 implemented on February 15, 1995
and $14.05 effective April 1, 1996.  Therefore, we find that Operator's CPST rates in the
communities referenced above are justified and not unreasonable.

     5.   Accordingly, IT IS ORDERED, pursuant to Section 0.321 of the Commission's Rules,
47 C.F.R.  0.321, that the CPST rates of $13.01 and $14.05 implemented by the Operator on
February 15, 1995 and April 1, 1996, respectively, in the communities referenced above ARE NOT
UNREASONABLE.

     6.   IT IS FURTHER ORDERED, pursuant to Section 0.321 of the Commission's rules,
47 C.F.R.  0.321, that the complaints referenced herein against the CPST rates of $13.01 and
$14.05 implemented by the Operator on February 15, 1995 and April 1, 1996, respectively, in the
communities referenced above ARE DENIED.
          
                              FEDERAL COMMUNICATIONS COMMISSION 



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