Tag Archives: CRTC

| Radio

Rogers blames CRTC bureaucracy for decision to shut down CityNews Ottawa

This week, the CRTC published a decision officially confirming that Rogers Media Inc. has surrendered the broadcasting licence of CIWW 1310 AM in Ottawa, the city’s oldest radio station.

The letter from Rogers requesting the revocation of its licence is dated Oct. 26, the same day the company announced the shutdown of CityNews Ottawa, which at the time was being simulcast on both CIWW 1310 and CJET-FM 101.1 in nearby Smiths Falls.

While normally these letters are short and to the point, Rogers took the opportunity to lay out the reasonings for its decision, and complaining that the CRTC’s processes played a major role in it.

Saying the radio broadcasting industry is “subject to stringent and outdated regulations that offer little to no flexibility for allowing broadcasters to pivot and adjust accordingly to their new competitive reality,” Rogers explained that the issue was with its decision in 2020 to simulcast programming on both AM and FM stations without prior CRTC approval.

While the CRTC doesn’t regulate content or formats on radio stations generally, the regulations require approval before an FM station can switch to or from a specialty format, and spoken word programming, when it represents more than 50% of programming on a station, is considered a specialty format. (This rule does not apply to AM stations like CIWW.)

Before it became a CityNews station, 101.1 was a country music station (as CKBY-FM), so it would have needed approval to switch to a talk format.

What’s more, the CRTC also requires approval before a transmitter can be converted from a station to a retransmitter of another station.

“Rogers received a request for information from the Commission in February 2023 regarding the simulcast of the news/talk programming originating from CIWW on CJET-FM (101.1). In subsequent correspondence between the Commission and Rogers, Commission staff shared its view that both stations were in apparent non- compliance with the Radio Regulations, 1986 (Regulations),” Rogers writes in its letter.

Rogers says it “did not believe that its stations were in non-compliance” (it doesn’t explain why it felt this way), but it filed an application to change the licence of CJET-FM 101.1 to allow the simulcast, at least until the current licence expires in 2026.

Unfortunately for Rogers, the CRTC announced on Aug. 22 a two-year moratorium on new applications related to radio, “unless exceptional circumstances can be demonstrated that would justify, with supporting evidence when filing the request, the need to process them.”

“After several rounds of correspondence and performance evaluation analyses of both CJET-FM and CIWW,” Rogers writes, it chose to withdraw the application the next day. “The risk of non-compliance and the operational burden of the Commission’s review of the stations’ performance and financial situation coupled with the continued decline in revenues since the launch of the simulcast led us to make this decision much earlier than we were planning and were contemplating in our Application.”

“Unfortunately, the regulatory framework did not provide us with the tools to experiment and innovate without facing an untenable level of scrutiny and evaluation that we can ill afford given the competitive environment in which we are operating,” the letter continues. “For these reasons, we urge the Commission to prioritize the review of the Regulations impacting AM radio including the provisions related to simulcasting and the operation of a specialty format. These rules must be relaxed to ensure a viable path forward for AM news content on the FM band, which represents the only way to maintain audiences to local terrestrial radio and support our ability to deliver local news.”

In urging the CRTC to review its rules on AM radio, Rogers said “we remain concerned that, without a modernized and flexible approach, the future of other AM stations is at risk.”

Rogers owns eight other AM radio stations in Canada:

  • CFTR CityNews 680 in Toronto
  • CKGL CityNews 570 in Kitchener, Ont.
  • CFFR CityNews 660 in Calgary
  • CKWX CityNews 1130 in Vancouver
  • CJCL Sportsnet 590 in Toronto
  • CFAC Sportsnet 960 in Calgary
  • CISL Sportsnet 650 in Vancouver
  • CKAT 600 Country in North Bay, Ont.

I understand Rogers’ frustration with the CRTC’s rules, and in particular the commission’s baffling decision to just not do its job in terms of radio for a couple of years, but Rogers also must have been aware of the rules. And the implication that this is a simple bureaucratic matter holding up progress is not how I would describe it. Rogers took a radio station off the air for this to happen, and decided it should have the same content on two frequencies in a market that doesn’t have a lot of spare radio spectrum. Maybe that’s what’s best for the market, but it should at least have required approval.

Unfortunately, with everything going on, the result is the shutdown of another news radio station in Canada, and one more AM signal in the country going dark.

If you have a good idea for a radio station, a 50kW signal on 1310 AM in Ottawa is now available. Unfortunately you’ll have to wait two years before you can apply for it.

More call letter switching fun

Rogers also confirmed in its letter it is once again switching call letters for its FM stations in Smiths Falls. CKBY-FM, which belonged to Country 101 and was then switched to the Country 92.3 station, will go back to Country 101, while CJET-FM, which was Jack FM on 92.3 and then CityNews 101.1, is going back to 92.3. Rogers told the CRTC it would adopt a country music format separate from 101.1, but on Nov. 1 it switched to “Santa Radio Canada“, which has a very Jack-like branding to it, suggesting a move back to Jack FM might be in the cards in the new year.

| TV

CRTC adds Natyf TV to Quebec basic packages with 13 hours notice

If you’re a digital TV subscriber in Quebec, you’re soon going to start seeing a new TV channel in your basic package. Last week, the CRTC announced it was giving Quebec ethnic TV channel Natyf TV a broadcasting licence and ordering all providers to add it to their basic service and pay $0.12 per subscriber per month.

The order took effect Sept. 1, 2023, and lasts five years. The decision was announced at 11am on Aug. 31, 13 hours before the order came into effect. It was one of several decisions the commission put out in the days before the end of the broadcasting year as it rushed to meet its deadlines.

The next day, realizing that this may be a bit short notice, the CRTC wrote a letter saying providers should add the channel “as soon as reasonably possible.”

(For context, Natyf’s application was filed in April 2021 and the hearing to discuss it was held in January.)

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It’s not just Bell: Here’s how Canadian TV broadcasters are begging the CRTC for relief

There’s been a lot of uproar since Bell Media applied to the CRTC seeking rather drastic relief on its conditions of licence for conventional television stations. But it would be a mistake to think this is just a Bell thing. Just about every major TV broadcaster, including the CBC, has recently asked the commission to give some relief or flexibility. Some of those requests are reasonable, even logical. Others are exceptional. But all of them have the same underlying purpose: finding ways to save money because of economic forces that are pushing people away from traditional television.

Here’s what they’re asking for.

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| TV

Bell Media asks CRTC to eliminate all local news requirements for CTV, CTV2 and Noovo stations

Saying it can’t wait until the coming review of television policy and group licence renewals completes its long process, Bell Media has filed applications with the CRTC to eliminate all regulatory requirements for local news at all of its CTV, CTV2 and Noovo stations across the country.

“Over the last decade, the operating environment for traditional, private Canadian broadcasters has changed dramatically,” Bell writes in its application. “Whereas in the past, Canadians looked to domestic services for information and entertainment, they can now access a virtually unlimited array of DMBUs such as Netflix, Disney+, Amazon Prime Video, and Apple+, most of which are foreign owned and controlled.”

Specifically, Bell is asking to eliminate the following conditions of licence:

  • A requirement for English-language stations in large markets to broadcast 14 hours of local programming per week
  • A requirement for French-language stations to broadcast local programming each week (5 hours in Montreal and Quebec, 2.5 hours at other stations)
  • Requirements for locally reflective news in English each week (6 hours in large markets, 3 hours in small markets, and special lower quotas for smaller or regional stations)
  • A requirement for 5 hours of locally reflective news each week on Noovo’s Montreal station
  • A requirement for Bell (as a group) to spend 11% of CTV/CTV2’s gross revenues on locally reflective news and 5% of Noovo’s gross revenues

If the CRTC grants all these requests, the only condition of licence related to local programming that would remain is a general requirement that stations outside metropolitan markets must broadcast seven hours of local programming per week (other smaller stations have exceptions for either less local programming or allowing them to group that requirement with nearby stations). This content would have to be local, but not necessarily news.

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| TV

What Bill C-11 means for online media

It’s done, Bill C-11, Canada’s new Online Streaming Act, has passed the House of Commons and Senate, received royal assent, and been made into law.

Welcome to the end times.

Or maybe not.

A few people have asked me to write about C-11, because they weren’t sure what it would mean. I don’t blame them. But on one hand I was a bit busy with stuff, and on the other hand, reading the bill it became clear that it’s designed not to be very specific about a lot of the things people actually care about. Instead, a lot of the details are just kind of left up to the CRTC, or to the government’s instructions to the commission. The law just establishes a legal framework for regulating online media, and corrects or updates various elements of the Broadcasting Act.

On May 12, the CRTC took the next step in this process, launching a formal consultation process for new regulations on broadcasting. It’s a long process, with a hearing in November, and they expect to actually have new rules put in place in 2024.

Here, I’ll explain a bit of what’s actually happening (and what’s not happening) with this new law and how it’s being implemented. In short: you’re probably not going to notice that much of a difference.

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| Radio

How CRTC policy changes could affect commercial radio in Montreal

Last month, the CRTC released its long-awaited review of its Commercial Radio Policy. The policy determines what standard regulations will apply to commercial AM and FM radio stations in Canada, covering things like Canadian content quotas, ownership limits, mandatory financial contributions and local programming minimums.

The industry pushed for some big changes in the policy, which has been a long time coming (the review of French music quotas started back in 2015 but was delayed in part because for a time the commission didn’t have enough francophone commissioners).

What they got was a lot of the same. Canadian and French-language content quotas are basically unchanged, local programming is still expected but not required, and stations still need to ask permission if they change between a mainly talk format and a mainly music format on FM. But there were a few changes that could make a big difference, in particular for stations in Montreal. Let’s get into them:

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| Radio

CRTC once again threatens Montreal’s Haitian radio station with licence revocation

“The Commission has concerns regarding the licensee’s ability and commitment to operate the station in a compliant manner.”

With that standard phrasing, the CRTC is once again threatening Montreal radio station CJWI 1410 AM (CPAM Radio Union) with revoking its licence over repeated failure to meet licence conditions.

The owners of the station, and two others in a similar situation (CICR-FM Parrsboro, N.S., and CKVM-FM Ville-Marie, Que.) have been called to appear at a hearing on April 5 to explain why their licences should be renewed despite their repeated failures, including in their current licence terms.

The station’s last licence renewal came in 2020, along with several mandatory orders requiring it to comply with its conditions of licence, and just after the commission refused to renew the licence of sister station CJMS 1040.

The latest apparent failures (CJWI is still being given the chance to explain how they are still in compliance) relate to a regulation requiring they provide a “complete and accurate” list of all musical pieces played on the air, and a requirement that at least 35% of non-pop music played be Canadian.

In correspondence with the commission, CJWI blamed the former on software it was using that did not count musical selections played for less than 12 seconds, and blamed the latter on the difficulty of finding Canadian specialty music of interest to the Haitian community.

If CJWI is found to be in non-compliance again, it would be the fifth consecutive licence term in which the station is not complying with its licence conditions. And it would be the second consecutive licence term in which it has failed to comply with a mandatory order requiring it to respect the regulation about having a complete and accurate music list. These are very serious matters and the CRTC can’t just let them go and maintain credibility as a regulator.

But revoking CJWI’s licence, or refusing to renew it, might not be the best thing for the broadcasting system. There isn’t much demand for AM frequencies these days (1040 AM remains vacant) and this is the only station specifically serving the Haitian community.

In a separate but related application also being heard in this proceeding, CJWI is asking the CRTC for amendments to its conditions of licence regarding music quotas. Since the CRTC is saying it failed to meet those quotas, it is unlikely to grant such changes.

Other stations are also in front of the commission to have their licences renewed, but with less ominous stakes. They include Radio Ville-Marie (CIRA-FM 91.3) in Montreal, which the CRTC says failed to meet Canadian and French-language music quotas.

The CRTC is accepting comments on these files until Feb. 9. Note that all information submitted, including contact information, becomes part of the public record.

| TV

CRTC orders Canadian TV providers to offer The News Forum to subscribers

Seven years after the Sun News Network shut down, Canada once again has a fifth national news network in the eyes of the CRTC.

On Tuesday, the commission determined that The News Forum, a conservative low-budget news discussion channel that tries to be a bit more serious than Sun News was, can be classified as a national mainstream news network, and get the same class of licence as CBC News Network, CTV News Channel, RDI and LCN. The big perk of that licence class is that all licensed Canadian TV providers must now add The News Forum to their systems, offer it to their subscribers, and package it with other news services.

Subscribers are not forced to add the channel to their packages, but this will undoubtedly increase the total subscriber base, especially since not all Canadian providers have added TNF to their systems so far. (Bell, Rogers, Telus and SaskTel have, but Cogeco and Videotron haven’t yet.) And more subscribers will mean more revenues, especially as this status gives TNF more power in negotiating wholesale rates with providers.

In May, the CRTC denied a similar application from TNF, finding that its schedule did not show it providing updated news reports at least every 120 minutes. TNF adjusted its schedule and applied again for the status.

While the schedule has been adjusted, not much has changed with the channel. Looking at its YouTube channel, it’s still mainly talking heads having long conversations on various public affairs topics. There are no actual journalists or news stories per se, and the bent is still right-wing with former Conservative politicians like Tony Clement and Tanya Granic Allen hosting shows. And it relies very heavily on repeats to fill the schedule, with just a couple of hours of original programming a day, though they have added new shows recently.

There’s a chance that with some new revenue The News Forum could invest in its programming, hire journalists and start looking more like an all-news channel that provides an alternative to CTVNC and CBCNN. But with video views on YouTube in the single and double digits, it has a long way to go before attracting people’s attention.

| Radio

CRTC approves Christian radio transmitter in Pointe-Claire

Christian Hit Radio’s CHRI-FM Ottawa is expanding to Pointe-Claire.

On Thursday, the Canadian Radio-television and Telecommunications Commission approved an application from CHR to add a rebroadcasting transmitter at the Lakeside Heights Baptist Church to serve the West Island community.

The 51-watt FM transmitter will be at 90.7 MHz, and very limited in its service area, including parts of Dorval, Beaconsfield, Kirkland and Dollard-des-Ormeaux.

Theoretical coverage area of a proposed retransmitter of CHRI-FM in Pointe-Claire

People in the rest of Montreal won’t be able to hear it, because of interference from CKUT 90.3 but more importantly another transmitter also on 90.7 FM in the Saint-Laurent borough.

In its decision, the commission noted that there isn’t an English-language religious radio station with Pointe-Claire in its primary service area. It also noted that there are other frequencies available that could serve Pointe-Claire, so this application would not exhaust available channels. (Montreal as a whole is saturated on FM, but there are still ways to cover parts of it on certain frequencies, though each new transmitter makes the task a bit harder.)

CHRI, which mainly broadcasts Christian music, has two years to implement the new transmitter, unless they request an extension. They have similar rebroadcasting transmitters already in Pembroke (100.7) and Cornwall (88.1), both of which are low-power. As rebroadcasting transmitters, they do not produce any original content and simply repeat the programming of the Ottawa main station, as the Pointe-Claire transmitter will.

| Radio

Radio Shalom officially proposes sale of 1650 AM to Christian broadcaster

Six years after Radio Shalom, Montreal’s Jewish radio station, announced it was shutting down, and then kind of came back a bit, the company is planning to wind up operations and officially transfer the licence to Gospel Media Communications, which has effectively been running the station since.

On Tuesday, the CRTC posted an application by Communications Média Évangélique / Gospel Media Communications to acquire CKZW 1650 AM (formerly CJRS) from Radio Shalom for $0. The company is owned by André Joly, who also sits on Radio Shalom’s board.

According to the application, Radio Shalom’s board voted to approve the deal after CME had already acquired most of its assets and was subsidizing the station’s financial losses in addition to providing gospel programming.

The fact that Joly has been effectively running things for months if not years would normally trigger some questions from the commission about whether an effective transfer of control happened without approval, but the application states that the station was in contact with the commission about its activities.

One thing the CRTC will need to settle is tangible benefits, the tax new owners have to pay when they acquire radio stations. Both groups are non-profit, and the agreed upon purchase price for the licence is zero, but the commission suggested in a letter it may set a value of $309,125 for the purchase, which includes payments from CME to Radio Shalom as well as the value of leases that would be transferred.

According to an unaudited 2021 financial statement, Radio Shalom had $136,834 in net assets.

If the commission finds the sale has an actual value, Joly has agreed to pay tangible benefits of up to $18,548, representing the standard 6% of the value. But the company argues (as many other acquirers have in other purchase deals) that the CRTC should not consider the value of leases when calculating tangible benefits.

Once the sale is approved and closed, Radio Shalom as a corporate entity would be wound up.

The application does not include any statements about changes to the station’s programming after the sale.

The CRTC will hold a pro forma hearing (without any presentations) on the application Oct. 13 in Gatineau. Those who wish to comment on the proposed sale have until Sept. 1 to do so.

| TV

The News Forum tries again to seek must-offer licence from CRTC

The News Forum, a low-budget conservative news-talk TV channel that last year got enough subscribers to require a broadcasting licence from the CRTC, is trying again to get the commission to force Canadian television distributors to offer the channel to their subscribers, less than two months after the commission denied their first attempt at this status.

The channel, owned (in fact if not legally) by Tore Stautland, asked the commission when it was licensed to be given the same category of licence as Canadian all-news channels CBC News Network, RDI, CTV News Channel and LCN. These channels are subject to a special status requiring all distributors to carry them, though it is up to the subscriber to choose whether or not to actually subscribe to it. (CBC NN and RDI also have a separate mandatory subscription order in Quebec and the rest of Canada, respectively.)

In its decision in May approving the licence, the CRTC denied that status, saying “the Commission is not satisfied that The News Forum provides updated news reports every 120 minutes,” which is one of the criteria it set in its policy.

It left the door open to applying again for that status, once it shows it meets the criteria.

So now The News Forum is trying again, after providing an “updated schedule” showing “daily updates” every two hours from 6am to 8pm. (The schedule suggests they will start at five minutes and 30 seconds past every two hours, until 30 minutes past the hour, but I think they meant to say the updates would be five minutes long until 5:30 past the hour.)

A glance at its website and YouTube channel suggest little else has changed about The News Forum. It still doesn’t seem to employ any journalists besides the anchors, who read out news briefs to still images and then conduct interviews via video link.

But that wouldn’t necessarily preclude it from getting that status. The CRTC’s criteria related to programming are the following:

  • Providing news updates every 120 minutes
  • At least 90% Canadian programming
  • At least 16 hours a day original programming (first-run or repeated)
  • At least 95% of all programming from the following categories: News, analysis and interpretation, long-form documentary and reporting and actualities
  • No more than 12 minutes of advertising per hour
  • Operate a live broadcast facility and maintain news bureaus in at least three regions other than that of the live broadcast facility
  • “have the ability to report on international events from a Canadian perspective”

Like Sun News Network before it, TNF is fully original, though it relies heavily on repeat programming and much of that is opinion, which can be classified as “analysis and interpretation.”

The part about news bureaus and broadcast facilities might be a challenge for The News Forum. But it will be up to the commission to decide if it meets the criteria.

And even if it does get the status, no one has to subscribe to it (unless it’s in a package you want).

The CRTC is accepting comments on The News Forum’s application until Aug. 8. You can submit comments here. Note that all information submitted, including contact information, becomes part of the public record.

 

| Radio

CRTC approves station swap between Cogeco Media and Arsenal Media

While the big news of the day was its approval of the Shaw-Rogers purchase, the CRTC also approved a pair of smaller transaction on Thursday, in which Quebec’s Cogeco Media and Arsenal Media agreed to sell stations to each other.

Under one deal, Arsenal acquires, for $1.5 million, three stations in the Abitibi region:

  • CJGO-FM 102.1 La Sarre (Capitale Rock), with transmitter CJGO-FM-1 Rouyn-Noranda
  • CHGO-FM 95.7 Val-d’Or (Capitale Rock)
  • CHOA-FM 95.7 Rouyn-Noranda (WOW), with transmitters CHOA-FM-1 103.5 Amos and CHOA-FM-2 103.9 La Sarre

In the other deal, Cogeco acquires, for $600,000, one station from Arsenal in Saguenay:

  • CILM-FM (O 98.3)

The Abitibi sale didn’t bring up major issues, except for the fact that they were formerly RNC Media stations, which Cogeco bought in 2018, which means there are still tangible benefits related to that transaction. Cogeco has agreed to continue to pay those benefits despite no longer owning the stations.

Arsenal plans to convert the stations to its brands, which include O, Plaisir and Hit Country. They will be Arsenal’s first stations in the Abitibi market, adding to its 16 stations in regions throughout Quebec.

For Saguenay, there was a bit of a thorny issue in terms of competition. Because Cogeco owns another station in Saguenay, and a third in nearby Alma, there was concern it might exceed its ownership limit. Analysis showed the Alma station didn’t cover enough of Saguenay to be an issue, but there was some overlap in the Alma market. Nevertheless, because no other broadcasters complained and Cogeco said it would not seek out advertising in Alma from its Saguenay stations, the CRTC allowed the acquisition to proceed.

Cogeco plans to convert CILM-FM to a Rythme FM station, giving the network a presence in all five of Quebec’s largest population centres and more than half the province’s population.

As a result of this issue being decided, the CRTC has reopened a proceeding into whether Rouyn-Noranda should get another radio station. Josyane Cossette has applied for a commercial radio station while CHOW-FM (Radio Boréale) in Amos applied for a retransmitter in Rouyn-Noranda. Other broadcasters can file applications to compete with these if they want to serve the market.

| Radio

Ottawa Christian radio station applies for FM transmitter in Pointe-Claire

The West Island could get its first radio station since the days of CFOX.

Well, not exactly.

Christian Hit Radio, which owns Ottawa’s CHRI 99.1 FM, has applied to the CRTC for a small transmitter at Lakeside Heights Baptist Church in the heart of Pointe-Claire.

The 51-watt transmitter (the lowest power that can be used on a protected frequency) at 90.7 FM would rebroadcast CHRI’s programming entirely and have no original programming, operating similarly to existing retransmitters in Pembroke and Cornwall, Ont.

In its application, posted Tuesday by the commission, CHR mentions the recent sale of WYUL 94.7 to Christian broadcaster EMF, and says “although CHRI-FM welcomes the abundance and diversity of Christian content, in order to have this diversity we need to have at least more than one station broadcasting this content in a given region.”

Theoretical coverage area of a proposed retransmitter of CHRI-FM in Pointe-Claire

With an antenna on the cross above the church, the signal would cover much of Pointe-Claire, and parts of Dorval, Beaconsfield, Kirkland and Dollard-des-Ormeaux.

Its coverage beyond that would be severely limited by two factors: having to protect second-adjacent channel CKUT-FM 90.3 (which has given its approval for this project provided any interference issues are dealt with) and another lowish-power transmitter, CJPB-FM, on the same frequency less than 15 kilometres away in St-Laurent. CJPB-FM, a community radio station, was approved in 2016.

CHR says it considered other possibilities for a transmitter, including on AM and at 88.1 MHz, the channel formerly used by a tourist information station at Trudeau airport in Dorval.

“We have also looked at the possibility of AM transmission but it is very difficult to install an AM operation in Pointe-Claire and considering an AM operation from the south shore to reach this area is prohibitive,” CHR writes in the application. “We have also considered HD Radio but we consider that the technology is not mature and promoted enough in Canada.”

The 88.1 plan was seriously considered, but eventually ditched because they could not get approval from CBC, which has a Radio One station at 88.5.

The CRTC application is accepting comments for the next month. You can file comments at crtc.gc.ca, under Open Part 1 Applications.

| Radio

New proposed country music radio station in Joliette could block VPR in Montreal

In 2014, Montreal-based fans of U.S. public radio got very concerned when they heard of an application from Concordia University’s student radio station CJLO for an FM retransmitter downtown on the same frequency as Vermont Public Radio.

WVPS 107.9, with a 48.8kW transmitter on top of Mount Mansfield, is the easiest way for Montrealers to listen to VPR (and the many NPR programs it carries). But since it’s an American station, its signal isn’t protected here, so a Canadian station could operate on the same frequency provided it doesn’t interfere with the U.S. station’s signal south of the border.

The CRTC denied CJLO’s application solely based on its own merits, finding there was not a compelling technical need for a new transmitter. Since then, VPR’s signal has continued unimpeded.

But with 107.9 being the last available frequency in greater Montreal, it was only a matter of time before someone tried again.

In December, the CRTC published a call for comments on the possibility of adding a new radio station in Joliette, about 50 kilometres north of Montreal.

Consistent with policy, the call comes after an application was filed seeking to create a new station. The application is by Arsenal Media, which announced in July it was seeking to build a new country music station in Joliette as a sister station to CJLM-FM (O103.5). The station would operate under Arsenal’s Hit Country brand, Quebec’s only multi-station francophone country music radio brand.

According to the CRTC’s call for comments, the station would operate at 107.9 MHz, with a maximum effective radiated power of 25,000 watts. While we don’t have details on how that signal is directed, it most likely would be strong enough to either cause interference to WVPS or wipe it out completely for people in greater Montreal, particularly the eastern parts. CJLM-FM can already be heard in eastern Montreal and the new country station would have a higher power output.

There are a few steps that would need to be taken before this happens, though. First, the CRTC will need to determine that the Joliette radio market can support a new commercial radio station. Comments from Arsenal, competing radio companies and the public will be taken into consideration by the CRTC in determining its decision.

If the CRTC agrees the market could accept another station, then, if other broadcasters express interest in setting up a radio station in Joliette, the commission will begin a competitive process to decide which one to grant a license to. (Other applicants can choose other frequencies if they want, but not many are technically feasible.)

If no other broadcasters express interest, then the CRTC would proceed with Arsenal’s application and judge it on its own merits.

The CRTC is accepting public comments on “the appropriateness of issuing a call for radio applications to serve Joliette” until Jan. 31. They can be filed online here.

Note that all information submitted becomes part of the public record. And this is a call for comments about whether to add a radio station in Joliette. Comments about how much you love NPR will fall on deaf ears because it’s not the CRTC’s job to protect American signals in Canada.

| TV

How the Rogers-Shaw deal would affect Global News

The Canadian Radio-television and Telecommunications Commission today begins a five-day hearing into the proposed purchase of Shaw Communications by Rogers. You can follow a live stream online and see the agenda here.

While there are a lot of competition-related concerns about this purchase, and particularly how it will remove a fourth wireless provider in Ontario, Alberta and British Columbia, the CRTC’s concern in all this is somewhat narrow. Its permission isn’t needed for a wireless, internet or telephone provider to buy another. (The Competition Bureau and Innovation, Science and Economic Development Canada will undertake their own proceedings to evaluate those concerns, and their approval is also needed before the transaction can proceed.)

Instead, the CRTC’s permission is only required for the transfer of broadcasting assets. Shaw sold its television and radio assets to Corus in 2016, leaving the following:

  • Its licences for television distribution, including Shaw Cable the Shaw Direct satellite TV service
  • Its licences for community television channels tied to those cable distributors
  • Its licences for video on demand and pay-per-view services tied to those cable distributors (Rogers is not acquiring these as it has its own licences)
  • Its licence for a satellite broadcasting distribution relay service, which provides TV signals to other providers
  • Its stake in CPAC

Competition issues will be brought up in discussion of those points. For example, under this deal Rogers would get two thirds ownership of CPAC, giving it effective control (Videotron, Cogeco and Eastlink are also minority owners).

But an issue that hasn’t gotten much attention (besides from the Globe and Mail and a few others) is what this means for Global News.

You see, back in 2017 when the CRTC decided to screw over community television, it put in place a new subsidy system whereby large TV providers can redirect some of the money they would have spent on community television and instead send it to affiliated local TV stations to use for local news. Rogers could give some money to Citytv, Bell could give some money to CTV, Videotron could give some money to TVA, and Shaw could give some money to Corus. Though Shaw and Corus are separate companies, they are both ultimately controlled by the Shaw family, so for the CRTC’s purposes they’re related.

Once Rogers acquires Shaw, it will take the money that went to Corus for Global News and instead redirect it to Citytv stations.

According to CRTC filings, $8.8 million from Shaw Cable and $4.2 million from Shaw Direct were sent to Global for “locally reflective news programming” in 2019-20, for a total of about $12.9 million. That represents about 12 per cent of the $106 million Corus spent on local news in 2019-20.

That would mean significant cuts to Global News, unless Corus just decides to swallow the loss. Since Global as a whole is unprofitable, that seems unlikely.

It’s worth noting that while Corus has pointed this out in a submission, Corus is not on the agenda to appear at the CRTC hearing. Its owner is more interested in the profits from the sale than Corus’s concerns about local news.

The other fund

Now, because there are some private commercial television stations out there that aren’t owned by large cable companies, the CRTC set up a special fund to help them. The Independent Local News Fund is financed by a 0.3% tax on all licensed TV distributors, and is divided among independent TV stations based on the amount of local news they produce.

Because the Rogers-Shaw deal would orphan Global, it could then apply to the ILNF for funding for local news.

But the ILNF’s total budget is $21 million a year ($3 million of which comes from Shaw), so unless it would be willing to part with half its funding, either Global or the other independent stations (or most likely both) would have to lose a lot of money.

When the CRTC approved the purchase of V by Bell Media, V became ineligible for funding from the ILNF, and so its funding was redistributed among the remaining stations. But V only got about $3.2 million from the fund, so there’s a $10 million gap.

The CRTC set the 0.3% tax based on how television stations were owned at the time. A logical solution would be to increase that tax, but that would require a separate hearing, and either a cut to some other contribution line or an increase in costs to television providers that would then be passed on to customers.

Or Canadians could just accept that independent television gets stuck with a big budget cut because Canada’s second-largest communications company wanted to get bigger.