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Ottawa, 10 April 1992
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Decision CRTC 92-221
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Fundy II Ltd.
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Saint John, New Brunswick - 911484400 - 902514900
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Following a Public Hearing commencing 3 December 1991 in Halifax, the Commission renews the broadcasting licence for CJYC-FM Saint John from 1 September 1992 to 31 August 1998, subject to the conditions specified in this decision and in the licence to be issued.
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Fundy II Ltd. also requested that the Commission amend the licence for CJYC-FM by changing the frequency from 98.9 (channel 255) to 94.1 MHz (channel 231), by changing the transmitter site, and by increasing the effective radiated power from 50,000 to 100,000 watts. This request is denied.
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At the hearing, the applicant stated that its purpose in requesting the amendments described above was "solely to enable CJYC to fill out the pockets within its market area where our signal is deficient, to the point that listeners are poorly served, or completely lost to the station through no signal at all".
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According to the applicant's figures, the proposed technical changes would result in an approximate 67% increase in the number of potential CJYC-FM listeners. The applicant insisted, however, that it did not expect to earn any incremental revenues over the next two or three years as a consequence of the proposed changes in technical parameters. It also stated that it would not alter the station's programming content and orientation, and would accept a condition of licence prohibiting the solicitation of advertising outside of its market.
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The requested amendments were opposed in interventions submitted by, among others, Radio Atlantic (CFNB) Ltd., licensee of CFNB Fredericton, and Radio One Ltd., licensee of CIHI and CKHJ-FM Fredericton. In their appearances at the hearing, both of these interveners dismissed as unrealistic the applicant's claim that the changes would result in no appreciable increase in advertising revenues for CJYC-FM. They noted that the proposed technical parameters would extend the 500 µV/m coverage of CJYC-FM's signal to encompass the entire Fredericton market. They argued that, notwithstanding the applicant's willingness to refrain from the solicitation of advertising revenues in the Fredericton market, the technical changes would fragment the Fredericton radio audience and result in an inevitable redirection of advertising revenues from that market to a station licensed only to serve Saint John.
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The Commission has considered all of the available evidence, including the arguments put forward by the applicant and the interveners. It is clear that one unavoidable effect of the proposed technical amendments would be to extend the CJYC-FM signal into the Fredericton radio market. Given the present economic circumstances of that market, in particular the poor financial performance of CFNB Fredericton in recent years, the Commission is concerned that approval of the proposed changes could result in an unacceptable erosion of that station's audience and revenues. Further, the Commission has determined that such concerns outweigh those of the applicant regarding its ability to reach listeners within CJYC-FM's market. Although the Commission has, accordingly, denied the requested amendments, it acknowledges the applicant's desire to improve the quality of its service to Saint John listeners, and invites Fundy II Ltd. to consider other technical solutions that would address the Commission's concerns outlined above.
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The Commission reaffirms the particular importance it attaches to the development of Canadian talent and is satisfied with the annual budgets allocated and the initiatives proposed by the licensee in this respect. It encourages the licensee to continue its efforts in this regard during the new licence term and to develop new initiatives for the support, development and on-air exposure of local and regional talent.
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It is a condition of licence that the licensee adhere to the guidelines on sex-role portrayal set out in the Canadian Association of Broadcasters' (CAB) Sex-Role Portrayal Code for Television and Radio Programming, 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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In addition to the interventions noted above, the Commission acknowledges the comments contained in those submitted by approximately 60 other interested parties concerning Fundy II Ltd.'s application for licence renewal.
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Allan J. Darling
Secretary General
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