**Before the**

**Federal Communications Commission**

**Washington, D.C. 20554**

In the Matter of )

) CUID No. WI0070 (Lake Geneva)

Jones Intercable, Inc. )

)

Petition for Reconsideration )

**ORDER ON RECONSIDERATION**

**Adopted: September 13, 2001 Released: September 14, 2001**

By the Deputy Chief, Cable Services Bureau:

1\. In this Order we consider a petition for reconsideration
(\"Petition\") of our Order, DA 97-1048 (\"Prior Order\"),[^1] filed
with the Federal Communications Commission (\"Commission\") by the
above-referenced operator (\"Operator\"). Our Prior Order resolved all
pending complaints against Operator\'s CPST rates in the
above-referenced community beginning May 15, 1994, and found Operator\'s
cable programming services tier (\"CPST\") rates to be unreasonable. In
this Order, we grant Operator's Petition in part and amend our Prior
Order.

2\. Under the Communications Act,[^2] at the time the referenced
complaints were filed, the Commission was 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 1992[^3] (\"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.[^4] The Operator has
the burden of demonstrating that the CPST rates complained about are
reasonable.[^5] If the Commission finds a rate to be unreasonable, it
shall determine the correct rate and any refund liability.[^6]

3\. Operators must use the FCC Form 1200 series to justify rates for the
period beginning May 15, 1994.[^7] Cable operators may justify rate
increases on a quarterly basis using FCC Form 1210, based on the
addition and deletion of channels, changes in certain external costs and
inflation.[^8] 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.[^9] Any incurred cost that is not projected may be accrued with
interest and added to rates at a later time.[^10]

4\. In its Petition, Operator raises two issues, only one of which is
addressed herein. In our Prior Order, we adjusted Line A6 (Monthly
Charge per Tier as of 3/31/94) and Line G2 (Monthly Charge per Tier as
of 9/30/92) of Operator's FCC Form 1200, to remove franchise fees
included in the charges. In its Petition, Operator argues that this was
a clerical error because any franchise fees included in the charges were
already removed by Operator on Line A10 and Line G6 respectively. Upon
review, we find Operator's argument to be compelling and will grant that
part of Operator's Petition. Because our resolution of this issue
disposes of Operator's refund liability, we decline to address any other
issue raised by Operator in its Petition and we will amend our Prior
Order to exclude any refund liability.

5\. Accordingly, IT IS ORDERED, pursuant to Section 1.106 of the
Commission\'s rules, 47 C.F.R. § 1.106, that Operator\'s Petition for
Reconsideration IS GRANTED IN PART TO THE EXTENT INDICATED HEREIN.

6\. IT IS FURTHER ORDERED, pursuant to Section 0.321 of the
Commission\'s rules, 47 C.F.R. § 0.321, that In the Matter of Jones
Intercable, Inc., DA 97-1048, 12 FCC Rcd 23309 (1997) IS AMENDED TO THE
EXTENT INDICATED HEREIN.

7\. IT IS FURTHER ORDERED, pursuant to Section 0.32l of the
Commission\'s rules, 47 C.F.R. § 0.321, that the complaints referenced
herein against the CPST rates charged by Operator in the community
referenced above, ARE DENIED.

FEDERAL COMMUNICATIONS COMMISSION

William H. Johnson, Deputy Chief

Cable Services Bureau

[^1]: In the Matter of Jones Intercable, Inc., DA 97-1048, 12 FCC Rcd
    23309 (1997).

[^2]: Communications Act, Section 623(c), *as amended*, 47 U.S.C.
    §543(c) (1996).

[^3]: Pub. L. No. 102-385, 106 Stat. 1460 (1992).

[^4]: *See* Section 76.956 of the Commission\'s rules, 47 C.F.R.
    §76.956.

[^5]: *Id.*

[^6]: *See* Section 76.957 of the Commission\'s rules, 47 C.F.R. §
    76.957.

[^7]: *See* Section 76. 922 of the Commission\'s rules, 47 C.F.R. §
    76.922.

[^8]: *Id.*

[^9]: *Id.*

[^10]: *Id*.