March 19, 1985

RICHARD W. STEVENSON ABC has its problems, but the network that Capital Cities Communications Inc. is acquiring is a far cry from the laggard it was for so many years, television people say. According to industry analysts, American Broadcasting Companies Inc. was able to negotiate the terms of Capital Cities' $3.5 billion takeover from a position of financial strength and professional respect within broadcasting circles. ''They're in strong financial condition, and I don't think they did this out of weakness,'' said Fred Anschel, an analyst at Dean Witter Reynolds Inc. ''Their only vulnerability is that their prime-time ratings are down, but that happens from time to time. It's show biz.''

The Supreme Court today struck down the $1,000 legal limit on spending by political action committees on behalf of Presidential candidates in general elections. In a 7-to-2 opinion by Associate Justice William H. Rehnquist, the Court said that the spending limit violated the rights of free speech and association protected by the First Amendment. To forbid the expenditure of more than $1,000 to present political views, Justice Rehnquist said, ''is much like allowing a speaker in a public hall to express his views while denying him the use of an amplifying system.'' Years of Uncertainty The decision ended years of uncertainty over the spending limit, which is part of the law that established public financing for Presidential campaigns. In the last five years, two lower Federal courts declared the limit unconstitutional, and it has never been enforced. The decision today upheld the latest ruling, that of a special three- judge Federal District Court in Philadelphia.

President Reagan, ending a meeting with Canada's Prime Minister, said today that he hoped the change in Soviet leadership ''will open up new possibilities'' for better East-West relations. But he also strongly criticized past Soviet policies. The President said the ''painful realities'' of Soviet policies were shadowed by treaty violations as well as ''human beings persecuted, religions banned and entire democracies crushed.'' In Washington, the State Department announced that Secretary of State George P. Shultz planned to meet in mid-May with his Soviet counterpart, Andrei A. Gromyko. Officials said Mr. Shultz might use the occasion to discuss a meeting between Mr. Reagan and the new Soviet leader, Mikhail S. Gorbachev. (Page A15.)

The flooding from last spring's heavy rains, the worst here in years, destroyed Kenneth and Maureen Hay's home near the Pompton River. They lost $12,000 worth of furnishings and had no insurance coverage. But in some ways, they were luckier than many of their neighbors. They were renting their house. By summer, they had moved to a house in Edison, far from the flood plain, and had started to rebuild their lives. ''That was it for me,'' said Mrs. Hay recently. ''I wanted to get as far away as I could.''

Because of a computation error, the Weather Records and Forecasts printed in February incorrectly listed the rising and setting times for Venus and Mars. Setting times for Venus were two hours later than those shown. For Mars, times ranged from about two hours later to about half an hour later - for example, rising 59 minutes later on Feb. 1 and setting one hour and six minutes later, and rising 35 minutes later on Feb 27 and setting one hour and 41 minutes later.