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Decision
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Ottawa, 4 August 1989
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Decision CRTC 89-545
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Radio Clare Association
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Yarmouth (Comeauville), Nova Scotia - 882696800Following a Public Hearing in Moncton, New Brunswick on 10 April 1989, the Commission approves the application for a broadcasting licence to operate a French-language FM community radio broadcasting undertaking at Yarmouth on the 104.1 MHz frequency (channel 281B) at an effective radiated power of 39,300 watts. The licence will expire 30 June 1994 and is subject to the conditions set out in this decision and in the licence to be issued.
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In accordance with the applicant's proposal and the Commission's policy statement on The Review of Community Radio (Public Notice CRTC 1985-194 dated 26 August 1985), the Commission will issue a special FM licence for community radio, Type A, for this station which will be operated in a Group IV music format.
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The Commission notes that this community station is owned and controlled by a non-profit organization whose structure provides for membership, management, operation, and programming primarily by members of the community at large. Radio Clare Association (Radio Clare) proposed to establish a community radio station to serve the French-speaking Acadian population of southwestern Nova Scotia who live in several small rural communities in Digby County, in and about Clare or St. Mary's Bay and in Yarmouth County, particularly the Argyle and Pubnico areas. This region, in which the francophone population totals more than 10,000 residents, is not currently served by any local French-language radio station, although the CBC's French-language AM radio network service is provided through CBAF-18-FM Church Point and CBAF-30-FM Yarmouth, which rebroadcast programs originating from Moncton and Halifax. As well, a very large number of English-language radio signals, most of which originate from the northeastern United States, can be received in the area.
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In approving this application, the Commission has taken into consideration the dynamism and perseverance demonstrated by the promoters of this project, as well as the information provided with the application, including the results of a market study which was conducted for Radio Clare by CEGIR. Additional information on audience listening habits and a breakdown of local advertising revenues in this market were provided at the hearing. The Commission has taken particular note of the resources available in the area and the applicant's financial plan.
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Radio Clare pointed out, among other things, that the area has a strong economy based primarily on fishing, shipbuilding and forestry. There are more than 80 associations and cultural organizations in the region, most of which function in French. The applicant also mentioned the presence of the Université Sainte-Anne, an important educational institution established almost 100 years ago, which offers a variety of services to the community, including a library, a recently-opened theatre, and a provincial pedagogical resource centre.
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With regard to funding, Radio Clare's application projected $324,000 for capital expenditures. In this regard, the Commission has received confirmation that the applicant is eligible for a "Minority Official Language Community Radio Program" grant from the federal Department of the Secretary of State to cover 50% of its capital expenditures. Further in this respect, at the hearing, the applicant also submitted a letter dated 5 April 1989 stating that the government of Nova Scotia had awarded it a grant of $80,994. The applicant indicated that the balance of its capital expenditures would be financed through fund-raising campaigns and volunteer activities undertaken on behalf of the community radio project. It stated, in this regard, that its first fund-raising campaign, which was conducted on an ad hoc basis during its initial testing period with temporary broadcasts, yielded $15,000 in cash and pledges, and it expressed confidence that it would more than achieve its objective during its next fund-raising campaign. The applicant also stated that the municipality of Clare had promised to donate a sum of $5,880 annually for five years, in addition to the $60,000 it had invested to renovate a building and construct studios at Comeauville. The Commission further notes that at the time of the public hearing, Radio Clare had about 400 members and, in light of all of the above, it is satisfied that the applicant will have the necessary funds and sufficient community support to implement this project.
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Radio Clare projected station operating revenues of $121,675 during the first year, of which $32,448 would be earned from local advertising. Other sources of revenue will include, in particular, government training and job-creation programs and various fund-raising activities. The applicant pointed out at the hearing that it intends to become gradually less dependent on government subsidies. In this regard, the Commission encourages Radio Clare to diversify its sources of funding as much as possible over the next few years in order to lessen the effects of advertising on its programming.
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Further, the Commission notes that Radio CJLS Limited, licensee of CJLS Yarmouth, appeared at the public hearing to present an intervention in which it expressed its concerns particularly with regard to the projected contours of the station. While not opposed to the establishment of a French-language radio station to serve the francophone communities in southwestern Nova Scotia, the intervener said it was concerned that the new station could further fragment CJLS's audience, particularly in Yarmouth County which is its principal market. It suggested that the new station's service contour be limited to the area around Clare and that, if necessary, low-power retransmitters be added.
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At the public hearing, Radio Clare emphasized that its engineering studies had indicated that the project as submitted offered the most advantages, as much from an economical standpoint as for practical reasons, and it stated that its proposal would not adversely affect the operation of CJLS. It mentioned in particular that being able to transmit from the CBC's antenna site at Hebron would enable Radio Clare to provide all of the francophone communities in the region with a signal of good quality, particularly in the areas situated south of Yarmouth, near Argyle and Pubnico. Radio Clare also noted that the substantial savings to be realized by sharing an antenna site with the CBC would enhance significantly the viability of the undertaking. In this regard, it commented that its community radio project is a modest venture, and remarked that its viability does not depend upon the principal market of CJLS. Specifically, the applicant said [TRANSLATION]: "The viability of this station certainly does not depend on the market of CJLS, which is primarily centered in Yarmouth. Radio Clare is viable on the strength of the Clare market alone".
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In considering CJLS's intervention, the Commission has also taken into account the fact that this station has been established in its market for several years and enjoys a very dominant position in the region in terms of audience share. BBM audience data for the fall of 1988, as provided by CJLS at the public hearing, indicates that this station attracted 78% of the total potential audience in Yarmouth County and 60% of that in Digby County. The intervener also indicated that approximately 75% of its revenues are derived from Yarmouth County, 15% from Shelburne County, and 10% from Dibgy County, and that while it anticipates a slight drop in revenue in the Clare area, it does not expect that its revenues will decline in Yarmouth County, its principal market, or in Shelburne County. The Commission has concluded that the intervener's suggestion that Radio Clare's contours be restricted to within Yarmouth County would have little effect on the region's advertising base or on the revenues of CJLS.
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Further, in view of the sound financial position of radio station CJLS, whose before-tax profits in recent years have regularly exceeded the Canadian average for radio stations, with the exception of 1985, and exceeded the average for stations in Atlantic Canada, the Commission considers that the establishment of the proposed French-language community radio station will not jeopardize the survival of the English-language radio service provided by CJLS or unduly fragment the English-speaking audience that it is meant to serve.
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It is a condition of licence that not more than 20% of the licensee's total air time be in the form of advertising, in accordance with the community radio policy for Type A stations. Radio Clare stated that, in order to ensure quality programming, and as a precautionary measure, it intends to increase gradually the duration of its broadcast week, from 20 hours per week in the first year to 50 hours in the fourth year. The Commission reminds the licensee that at any time during the licence term herein granted, it may increase its broadcast week to a maximum of 50 hours. However, should the total weekly air time exceed the 50-hour limit by more than 20%, pursuant to the community radio policy the licensee will be required to file an application to amend its licence.
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Following discussions at the public hearing, in a letter dated 28 April 1989 the applicant proposed a number of changes to its Promise of Performance. The Commission approves the proposals to increase the amount of spoken word content from 23% to 27.7% and the combined foreground/mosaic programming from 40% to 50%. It also approves the proposed levels for the various sub-categories of category 5 music and the increase in traditional and special interest music from 5% to 12.3% of the total air time. However, the Commission denies the proposal to reduce from a minimum of 2 hours to 30 minutes per week the time allocated to commercial-free programs produced by groups or individuals. The Commission also notes that the applicant committed to broadcast at least 65% French-language vocalmusic and that 90% of the newscasts would be devoted to local and regional news and information. Pursuant to the requirements of the policy on community radio, the Commission expects Radio Clare to develop innovative forms of community-oriented programming. It further expects that this community radio station will offer distinctive programming that addresses issues of concern to specific elements of the various communities it serves, including the surrounding towns and villages and diverse interest groups. The Commission notes in this regard that at the hearing, Radio Clare stated that the Clare and Argyle areas have a number of common interests, and that it intends to make use of the community radio station to reinforce the common bonds that exist among the Francophones of southwestern Nova Scotia. The applicant also stated that it plans to produce programs in the Argyle area in co-operation with the regional committee of the Fédération acadienne de la Nouvelle-Écosse. The Commission notes that commencing in the summer of 1989 the Fédération des Jeunes Canadiens Français Inc. would make available to area residents mobile production facilities. It further notes that the Argyle area has at its disposal a production studio which is located in the high school at Sainte-Anne-des-Ruisseaux.
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In its policy statement on community radio, the Commission encouraged community radio stations to develop and support all forms of local and regional artistic expression. In this regard, Radio Clare committed to allocate $3,000 annually for this purpose. Among other initiatives, it intends to broadcast live or taped versions of concerts held in the area. The Commission has also noted the applicant's plans to adapt Acadian literary works for radio.
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The Commission has taken into consideration the supporting interventions presented at the public hearing by the Fédération Acadienne de la Nouvelle-Écosse, the Société Nationale des Acadiens, the Fédération des Jeunes Canadiens Français Inc. and the Fédération des Francophones Hors Québec Inc., as well as the 22 written interventions submitted by individuals and organizations in the area.
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It is a condition of licence that the licensee adhere to the Canadian Association of Broadcasters' (CAB) self-regulatory guidelines on sex-role stereotyping, as amended from time to time and approved by the Commission.
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It is also a condition of licence that the licensee adhere to the provisions of the CAB's Broadcast Code for Advertising to Children, as amended from time to time and approved by the Commission.
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The Department of Communications (DOC) has advised the Commission that this proposal is technically acceptable, but that issuance of a Technical Construction and Operating Certificate is conditional on the resolution of any problems involving interference to aeronautical NAV/COM services.
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In accordance with paragraph 13(1)(b) of the Broadcasting Act, the Commission will only issue the licence, and the authority granted herein may only be implemented, at such time as written notification is received from the DOC that it will issue a Technical Construction and Operating Certificate.
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It is a condition of licence that construction of the undertaking be completed and that it be in operation within twelve months of the date of receipt of written notification from the DOC that it will issue a Technical Construction and Operating Certificate or, where the applicant applies to the Commission within this period and satisfies the Commission that it cannot complete the construction and commence operation of the station before the expiry of this period and that an extension is in the public interest, within such further period as is approved in writing by the Commission.
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Fernand Bélisle
Secretary General
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