|
Decision
|
|
Ottawa, 18 September 1984
|
|
Decision CRTC 84-805
|
|
Premier Cablesystems Limited carrying on business under the name of Rogers Cable TV - Vancouver, Vancouver, British Columbia - 831915400 - 833145600 - 833042500
|
|
Premier Cablesystems Limited carrying on business under the name of Rogers Cable TV - VictoriaVictoria, Saanich, Esquimalt and Oak Bay, British Columbia - 831916200Premier Cablesystems Limited carrying on business under the name of Rogers Cable TV - FraserCoquitlam, Maple Ridge and Mission, British Columbia - 831914700
|
|
At a Public Hearing in Vancouver on 14 February 1984, the Commission considered applications by Premier Cablesystems Limited (Premier), which is controlled by Rogers Cable T.V. Limited (Rogers) and, in turn Canadian Cablesystems Limited (CCL), for the renewal of the licences for the broadcasting receiving undertakings serving the communities noted above, and to amend these licences by increasing the maximum monthly subscriber fees. Applications to increase the maximum installation fees for the Vancouver and Fraser systems had previously been announced in CRTC Public Notice 1983-267 dated 5 December 1983. In the case of the Vancouver and Coquitlam, Maple Ridge and Mission systems, the 14 February 1984 hearing gave the Commission its first opportunity to consider their renewal since the transfer of effective control of Premier Communications Limited (now Premier) to CCL was approved on 30 July 1980 (Decision CRTC 80-495).
|
|
In approving the transfer of effective control of Premier Communications Limited to CCL in 1980, the Commission had emphasized the many significant commitments undertaken by CCL, the largest cable operator in Canada, to enrich both the quality of cable television service for subscribers in the province of British Columbia, and the Canadian broadcasting system in general. Decision CRTC 80-495 concluded with the following statement:
|
|
The Commission views this transaction to be of paramount importance to the development of the cable industry and will require CCL, Premier and their various licensee subsidiaries to adhere fully to the commitments outlined in this decision. The Commission will expect early implementation thereof and will follow such implementation closely.
|
|
At the 14 February 1984 hearing, the Commission reviewed with representatives of CCL, Rogers and Premier the commitments made by CCL, the parent company, to the development of cable television service in British Columbia.
|
|
The Commission is generally satisfied with the manner and the extent to which CCL, through the licensee Premier, has honoured most of the important 1980 commitments to improve the quality and diversity of service provided by its systems in British Columbia. In terms of corporate organization, the Commission notes that, as promised in 1980, CCL has taken appropriate measures to ensure that a majority of Premier's Board of Directors are residents of British Columbia, and, further, that one-third of the members of Rogers' board of directors is from western Canada.
|
|
In the area of programming, the range of broadcasting and informational services available to subscribers has been greatly increased, and the technical quality of the systems in Vancouver, Victoria and the Fraser area is steadily improving. Converter penetration has also increased so that many of Premier's subscribers now receive a wide variety of services. CCL, through its licensee company, Premier, has taken measures to expand the channel capacity of these systems, and is undertaking ongoing programs of cable plant build, rebuild, and drop and amplifier replacement which are not yet complete.
|
|
In line with commitments made in 1980, CCL has extended financial support to the Canadian program production industry. CCL has established a $2.5 million production fund to be used to assist the production of high quality Canadian television programs.
|
|
Following CCL's commitment to allocate 1% of Premier's gross cable revenues to the "Something for Something" fund, CCL has invested more than $3.5 million to date in Canadian production, some of it towards joint productions with broadcasters and the "Galaxie" children's programming service. The Commission is concerned, however, with the extent to which British Columbia producers have in fact benefited from the projects assisted by this fund and will wish to review further with the licensee the usefulness of this fund.
|
|
The Commission also discussed CCL's 1980 commitments to research and development (R and D). In 1980 CCL committed 21/2% of the regulated revenues of the licensee subsidiaries of CCL and Premier Communications Limited for R and D, and indicated that this would amount to approximately $13.5 million in the following five years. At the hearing in February 1984, CCL stated that, from 1980 to 1983 alone, it had expended $11.6 million on R and D projects, including more than $7 million for a new computer software "super system" to improve billing procedures, marketing activities and to perform other operational tasks. R and D expenditures were also used for the development of a new terminal for pay television subscribers, the use of which, as CCL stated, "has now become so widespread in Canada, both in our systems and in those of other Canadian operators."
|
|
The Commission recognizes that these R and D projects have improved the efficiency of the licensees' overall operations and provided other benefits. However, the Commission is of the opinion that a review of R and D expenditures, as they are presently carried out by Canadian cable television licensees, is both necessary and timely. The Commission will shortly issue a Public Notice inviting comments in this regard. Views will be solicited on various related aspects, including the allocation of funds for R and D, the source of these funds, where the funds are spent, the benefits derived therefrom, and the appropriateness of including R and D costs in the rate base.
|
With respect to cost separation, (Public Notice CRTC 1984-143), the Commission stated that it is currently reviewing the difficulties and complexities related to a universally-applied cost separation process and will issue a separate Notice on this matter. It added:
|
|
With the introduction of new pay television and specialty and other services on discretionary tiers, the Commission now wishes to ensure that it continues to have a proper accounting of the financial results of the rate-regulated basic tier services.
|
|
A further commitment made by CCL in 1980 was the establishment of a Public Benefits Fund of $1 million, a major portion of which was to be allocated to the implementation of bureaux at the British Columbia legislature in Victoria and the House of Commons in Ottawa. These facilities were to enable both federal and provincial elected representatives to provide regular and effective reports to be distributed to their constituents by local cable systems (Decision CRTC 80-495). The Commission notes with concern that, after the Victoria bureau was successfully established in March 1981, and the Ottawa bureau in September 1981, the operation of both of these facilities was terminated in August 1982, following the implementation of the federal government's budgetary restraint policies. At the 14 February 1984 hearing, CCL stated that the bureaux would not be reinstated until the federal government's restraint policies had been lifted.
|
|
The Commission acknowledges the financial constraints that the licensee has been required to operate under, but expects it to restore this important public service as soon as financially feasible. Given the potential benefits for all British Columbia cable subscribers, the Commission encourages Premier to negotiate with other cable licensees in the province with a view to forming a consortium to fund and maintain these services on a cooperative basis, so that Premier subscribers do not bear the full financial burden. In this regard, the Commission expects the licensee to submit a report on the feasibility of such a consortium within nine months of the date of this decision.
|
|
In Decision CRTC 80-495, the Commission noted that CCL had "committed to improve the scope and flexibility of the community channel for Premier systems in the West." In particular, CCL stated that the communities of Vancouver, Richmond and Burnaby would be given autonomous stature through a restructuring of their service areas, and the building of new studios in each community. The Commission acknowledges that CCL, through Premier, has met these commitments with excellent new studios but, as the following decision concerning the Vancouver system indicates, it is not satisfied with the extent and the manner in which so many areas of community programming service were curtailed in 1982.
|
Furthermore, in view of accelerating developments in the broadcasting environment, particularly the introduction and tiering of a variety of Canadian and non-Canadian discretionary network services, the Commission will wish to assess with Premier, at the next licence renewal hearing, how each of these cable undertakings has contributed to the successful marketing of Canadian discretionary services, and, as stated in Public Notice CRTC 1984-81 taken all necessary measures to ensure that pay television services are marketed vigorously and effectively and that all Canadian discretionary services are given the maximum opportunity to succeed. The Commission expects the Rogers/Premier group to continue to provide important leadership in this regard, and will follow all developments with interest.
|
|
In the reasons for decision which follow, the Commission reviews the performance of each of the systems for which Premier submitted applications for licence renewal and rate increase. However, the decisions on Premier's applications (832251300, 832992200 and 832299200) for rate increases with respect to its Fraser and Victoria cable systems will be dealt with in a separate decision when the Commission has completed its deliberations on these applications.
|
|
The Commission wishes to thank the large number of interveners who submitted comments, including the general interventions concerning all three Premier systems presented by Mr. R.J. Gathercole, on behalf of the following public service groups: the Federated Anti-Poverty Groups of British Columbia, the British Columbia Old Age Pensioners' Organization and the Consumers Association of Canada.
|
|
Premier Cablesystems Limited carrying on business under the name of Rogers Cable TV - Vancouver (Rogers Cable TV - Vancouver) Vancouver - 831915400 - 833145600 - 833042500 Renewal
|
|
The Commission renews Rogers Cable TV - Vancouver's licence for the broadcasting receiving undertaking serving Vancouver from 1 October 1984 to 30 September 1987, subject to the conditions of licence specified in appendix 1 to this decision and in the licence to be issued. When it considers the renewal of this licence, the Commission will wish to assess the overall performance of this cable television undertaking, one of the largest in Canada (approximately 250,000 subscribers), in the context of new developments in Canadian broadcasting such as the introduction of pay television and other discretionary programming and non-programming services, the advent of tiering, and in light of the concerns raised in this decision with regard to reductions in Rogers Cable TV - Vancouver's community programming service.
|
|
The Commission acknowledges the substantial technical improvements implemented by the licensee since 1980, including an expansion of the system to 30 channels, and the commitment that, by September 1985, it will further upgrade the plant to a minimum 35-channel capacity at an estimated cost of $9.5 million, with 30% of the plant having a 60-channel capability, including provision for two-way service. The licensee has also undertaken an extensive drop replacement program, and confirmed that the majority of the drops will be replaced within two years. It is also currently engaged in a lengthy apartment rewiring program throughout its service area.
|
|
To complement the expanded channel capacity of the system, the licensee has added a variety of services. Vancouver subscribers can now receive a wide range of programming and non-programming services, including pay television and other discretionary specialty services. In order to ensure that subscribers receive customer service of a consistent high quality, Rogers Cable TV - Vancouver has instituted a 24-hour-per-day, seven-day-per-week telephone service with an appropriate increase in staff so that subscriber problems and inquiries can be dealt with promptly and effectively. The licensee indicated that the new computer-based "super system" for customer accounting has also increased efficiencies in this department.
|
|
Notwithstanding the improvements undertaken by the licensee in the areas noted above, the Commission is concerned with certain aspects of Rogers Cable TV - Vancouver's performance during the past licence term.
|
|
The Commission recognizes the high quality studio facilities that the licensee has established in downtown Vancouver and Richmond, and the improved facility at Burnaby. However, the Commission considers that, when federal budgetary restraint policies came into effect in 1982, the licensee's reaction with regard to its community programming service was unduly severe and that this important area bore a disproportionate cut in staff and financial resources. It notes that the licensee reduced its programming staff by approximately 54%, from 39 to 18 persons; that the hours of original community programming per week were reduced by 80%, from approximately 100 hours per week to 20 hours per week; that the community programming service was curtailed from seven to four evenings per week; that the capital expenditures budget for both studio and mobile equipment was reduced by 70%; and that the community programming operating expense budget was reduced by 28%.
|
|
The Commission notes Rogers Cable TV - Vancouver's statements at the hearing, however, that approximately 26 original hours of community programming was now being produced each week at its Vancouver studio, with five additional hours produced at each of the Burnaby and Richmond studios. The Commission also notes the licensee's statement that another technician will be hired shortly to assist in the maintenance of studio and mobile facilities.
|
|
During the next licence term, the Commission expects the licensee to restore the budgetary commitment to community programming at least to its former level and expects that a full and comprehensive community programming service that is commensurate with a cable system of this size, will be restored. It will monitor closely the steps taken by the licensee in this regard.
|
|
An important aspect of an effective community programming service is accessibility. In order to ensure that a community of Vancouver's size was able to use its production facilities conveniently, in 1976 the licensee established five "neighbourhood television" (NTV) facilities in Burnaby, Richmond, West End Vancouver, Kitsilano and Vancouver East/Strathcona. The NTV's were provided with basic production and editing equipment and staffed with two program co-ordinators. In the case of Burnaby and Richmond they were replaced by full-fledged studios.
|
|
At the hearing, the Commission heard interventions presented by Messrs. Anthony Collins and Barry Spillman, both volunteer producers, claiming that production equipment in the licensee's NTV facilities had generally deteriorated because of lack of maintenance, following the reduction in staff in 1982.
|
|
Premier stated at the hearing that, with regard to the NTV facilities, "it would certainly be our commitment to maintain the same level of staff and to maintain the same level of programming hours." In light of the concerns raised by the interveners regarding the need for upgrading and maintenance of the NTV facilities, the Commission expects the licensee to ensure that all NTV facilities remain fully operational, with the necessary staff, equipment and maintenance to provide an effective, responsive, quality service, and that no steps will be taken to reduce or eliminate any of these NTV facilities without prior CRTC approval.
|
|
The Commission acknowledges the very effective intervention submitted by the Western Institute for the Deaf (WID), expressing its concern that all programs and services that had been provided for hearing-impaired persons in the Vancouver area had been terminated by the licensee in 1982, following the implementation of federal budgetary restraint policies, without due warning or consultation with participants or subscribers.
|
|
The cancelled services included "A Show of Hands", a program produced for hearing-impaired persons for more than 10 years on the community programming channel, and an interpretation of the CBC news produced by the WID on the same channel five times per week.
|
|
In response to the WID intervention, Mr. G. Fierheller indicated Premier's willingness to reinstate programming for the hearing-impaired, noting:
|
|
....we'd be delighted to see "A Show of Hands" or any substitute or new type of programming be developed along these lines. The facilities are available and we are quite willing to make available the people to do the training and assisting in the production of it.
|
|
The licensee also promised that it would investigate the means by which any hearing-impaired subscriber could readily obtain a captioning decoder. The Commission expects Premier to adhere to its commitments and to reinstate this important public service for the hearing-impaired in co-operation with them. The Commission further notes that the CBC now provides a captioned service for its national news, and expects the licensee to cooperate with the WID for the provision of captioned or signed local news. A report should be filed with the Commission within four months of this decision outlining progress made in response to all concerns expressed in this decision in regard to community programming.
|
|
At the hearing six producers of the licensee's multicultural programming service for Vancouver's various ethnic communities presented a most informative intervention. The producers emphasized the popularity achieved by the multicultural special programming service in recent years with Vancouver's large ethnic population, despite financial restraints, services provided by the World View pay television service and the inaccessibility of playback facilities.
|
|
The Commission notes the licensee's intention to continue to provide a multicultural programming service with an annual financial subsidy of approximately $107,000.
|
|
The licensee also indicated that, whereas programming in seven different languages is currently provided on this service, it would be willing to accommodate other language groups who wish to use the facilities. With respect to the unavailability of playback facilities, the Commission notes the licensee's commitment to rectify this problem in the short term, in cooperation with the producers, and expects that such facilities will be available at the main Vancouver studio.
|
|
Rogers Cable TV - Vancouver's multicultural service was dealt with at length in Decision CRTC 82-156. The Commission then determined that an exception to its policy on the use of sponsorship credits and subtitles was warranted, and approved the use of the sponsor's name, address and nature of business or profession, but denied the provision of additional information, such as a telephone number. At the hearing, the producers of the multicultural programming service requested the Commission to allow the inclusion of a telephone number in sponsorship credits. The Commission considers, however, that the sponsorship credit parameters approved in Decision CRTC 82-156, and included in the appendix to this decision, are sufficient to allow the licensee to retain enough sponsors, and that increasing commercialization of the channel is inconsistent with its original intent.
|
|
Accordingly, the Commission is not prepared to amend the condition of licence concerning sponsorship by including a sponsor's telephone number.
|
|
Decision CRTC 82-156 also approved the use of English subtitles in feature motion picture films produced in India or Pakistan and the use of Mandarin or Cantonese subtitles in films produced in Chinese languages when such subtitles formed an integral part of the original production. Further use of subtitles in films was denied. In their intervention, the multicultural producers requested that this authority be expanded to include Italian, Greek and Scandinavian films. However, during the discussion at the hearing, they indicated that an expansion of the authority for subtitle inclusion was necessary only for Scandinavian films. The Commission hereby authorizes the usage of English subtitles in feature motion picture films produced in Scandinavia, when such subtitles are an integral part of the original production, as set out in the condition of licence in the appendix to this decision.
|
|
The Commission also acknowledges the intervention presented by Mr. J. van Bruchem of CJVB Vancouver, a multilingual radio station, which included a number of interesting proposals related to the multicultural special programming service.
|
|
Interventions were also presented at the hearing on behalf of amateur radio operators in the Vancouver area, alleging that widespread and persistent interference problems have been experienced from the licensee's use of channel E and from signal leakage throughout the system. In its response, the licensee indicated that it has undertaken a series of measures to eliminate signal leakage, including a major plant rebuild which should be completed by December 1985; an ongoing drop replacement program; continuous signal leakage audit and repair; and prompt response to complaints. The Commission also acknowledges the licensee's commitment to continue to work closely with the Department of Communications towards the resolution of these technical problems, and to cooperate with the amateur radio organizations in this regard. Accordingly, the licensee is expected to meet with representatives of the amateur radio groups, and to submit a progress report to the Commission within two months, with a subsequent status report within six months of the date of this decision.
|
|
The Commission also acknowledges the intervention presented by Mr. Martin Bragg, General Manager of the Vancouver Play House, outlining a co-operative venture between the Vancouver Play House and the licensee.
|
|
Renewal of the licensee's authority for the carriage of signals and services, and the conditions of its licence, are set out in Appendix 1 to this decision.
|
|
Rate increase
|
|
The Commission also considered an application at the hearing to amend this licence by increasing the maximum monthly subscriber fee from $7.79 to $9.29 effective 1 July 1984, and further to $10.79 effective 1 July 1985; and an application announced in Public Notice CRTC 1983-267 dated 5 December 1983 to increase the maximum installation fee from $27.83 to $35.00 upon approval, and further to $40.00 effective 1 February 1985.
|
|
With regard to the request to increase the maximum installation fee, the Commission notes that the proposed increase will only cover a portion of the actual costs of installation. Having determined that such an increase is justified on financial grounds, the Commission approves the application to amend this licence by increasing the maximum installation fee from $27.83 to $35.00.
|
|
On 12 January 1982, Premier initially submitted an application for a two-stage increase in its maximum monthly fee of $1.50 upon approval and a further $1.50 to become effective 1 September 1983 as well as to increase the maximum installation fee from $25.00 to $35.00. The reasons for the proposed increases were essentially based on economic need including low rates of return, cash flow deficits and low gross margins. This application was considered at a Public Hearing in Vancouver on 11 May 1982, as an appearing item.
|
|
However, prior to the Commission issuing a decision on the above application, the licensee requested, in response to the Federal Budget pronouncement of 28 June 1982, that its rate application be amended to limit its proposed fee increases to 6% and 5% respectively. Decision CRTC 82-840 authorizing the proposed 6% and 5% increases was issued on 9 September 1982.
|
|
In its present application, Premier noted that the reasons for the January 1982 application are still valid and despite having taken a variety of measures to contain costs, operating margins have continued to decline significantly, the return on average net fixed assets has fallen to a level clearly well below the industry norms and serious cash flow deficits will continue to be experienced even with the full increases requested.
|
|
Premier further maintained that despite limiting fee increases to only 6% and 5%, numerous costly projects have, by necessity, been implemented and will continue to have to be implemented regardless of the increases approved in this application, in order to effect the necessary increases in the quantity and quality of services that subscribers demand and deserve. As a mature system, revenue increases through subscriber growth have slowed considerably while operating costs have and will continue to rise. In support of its claim of economic need, the licensee provided the Commission with detailed financial analyses using a number of indices to illustrate the system's historical and projected financial performance.
|
|
Specifically Premier summarized its arguments in support of its position relating to economic need in the following manner:
|
|
In fiscal 1980 this division realized an operating margin of 46%, a number comparable to the norm experienced by other cable companies in Canada. By 1982, the time of our last application, the margin had dropped to 33%. With the full increase which we are requesting today, this margin will only return to a level of 36% by 1985; in other words, 10% less than the level in 1980. Without the increase it will fall to 27%. Statistics contrasting our return on average net fixed assets also demonstrate that if the full amount of the rate increase being requested is approved our profitability will still be well below industry norms. In fiscal 1981 we realized a return of 12%. In 1983 this figure dropped below 8% and by 1985 it is forecasted to return to about 14% if we are granted both stages of the increase we're requesting today. Without the increase it will fall to 3%. All of these numbers are clearly well below industry norms, which generally fall in the range of 20 to 30%.
|
|
Even with the approval of the full amount of the increase the company will continue to incur annual cash flow deficits thus preventing it from being able to fund capital projects with internally generated funds or to repay prior bank loans.
|
|
The approval of this application is necessary in order to prevent a continued decline and to start a return to a reasonable level of profitability. The increase will also provide sufficient funds to reinstate various necessary improvement projects. The most significant improvement project which was deferred is a major plant rebuild. This involves an expenditure of $9,500,000 during the next three years and is necessary so that the company can continue providing a high quality service to its subscribers.
|
|
After reviewing the evidence submitted by Premier at the hearing, including the material on record in the licensee's file, the Commission is satisfied that the licensee has clearly demonstrated that a fee increase is fully justified on the basis of economic need.
|
|
The Commission has considered the system's increasingly low level of profitability since the licensee took over the system in 1980 and considers that the revenues to be generated from the proposed rate increases are required to assist Premier in maintaining the quality of its service by carrying out the necessary rebuilding and upgrading of its facilities and equipment. It also considers that, even with this rate increase, the projected profitability for the system will remain below the average for the cable television industry in Canada and cash flows from operations may not fully cover projected capital expenditures. Moreover, in considering the overall justification for the requested fee increases, the Commission has taken into account all of its established criteria for rate increase applications, as initially set out in the Public Announcement dated 18 September 1974.
|
|
In conjunction with the fee increases approved in this decision, the Commission notes and fully expects Premier to carry out its commitments to undertake a number of significant and necessary capital expenditures, as mentioned previously in this decision, for the aging Vancouver system, including:
|
|
1) an extensive apartment rewiring program throughout Vancouver, estimated to cost as much as $700,000 per year over the next three years;
|
|
2) an ongoing drop replacement program of approximately $300,000 per year;
|
|
3) a major upgrading of plant to 35 channel capacity, involving the replacement of amplifiers and cable, to be completed by 30 September 1985 at a total cost of $9,500,000;
|
|
4) in addition, an upgrading of smaller sections of plant in view of environmental conditions, technical problems or changes in adjacent facilities. Costs range from $400,000 to $800,000 per year.
|
|
Furthermore, the Commission fully expects that with the fee increase approved, the licensee will restore a full and comprehensive community programming service to Vancouver, ensure all N.T.V. facilities remain fully operational and adhere to its commitments to reinstate programming for the hearing-impaired. The Commission will wish to review with the licensee at a future hearing the extent to which these expectations have been carried out.
|
|
Consequently, for all of the above-noted reasons, the majority of the members of the Commission hereby approve the application to amend the licence for the broadcasting receiving undertaking serving Vancouver by increasing the maximum monthly subscriber fee from $7.79 to $9.29.
|
In CRTC Public Notice 1984-95 dated 17 April 1984, the Commission announced that the procedure for two-stage fee increase applications by all cable licensees is temporarily suspended and, as a result, the proposal to increase the maximum monthly subscriber fee to $10.79 effective 1 July 1985 and to increase the maximum installation fee to $40.00 effective 1 February 1985 is denied.
|
|
Commissioners Monique Coupal and Jean-Pierre Mongeau dissented from the decision approving the increase in the maximum monthly subscriber fee. In Mrs. Coupal's opinion, "the rate increase is not justified under the circumstances."
|
|
Premier Cablesystems Limited carrying on business under the name of Rogers Cable TV - Victoria (Rogers Cable TV - Victoria) Victoria, Saanich, Esquimalt and Oak Bay - 831916200 - 832299200 The Commission renews Rogers Cable TV - Victoria's licence for the broadcasting receiving undertaking serving Victoria and the neighbouring communities noted above from 1 October 1984 to 30 September 1989, subject to the conditions of licence specified in appendix 2 to this decision and in the licence to be issued.
|
|
The Commission is satisfied that Rogers Cable TV - Victoria is providing subscribers with a very good cable television service, and that it has introduced a number of measures to improve the technical quality of the system. The licensee has installed modern computer and telephone systems into its new office facility, which has enabled it to deal with customer service requests promptly and efficiently; developed the Saltspring Island antenna site; established an improved contingency power system to increase reliability when power outages occur; increased channel capacity to 270 MHz (30 channels); undertaken an amplifier replacement program to be completed in early 1986, and an extensive rewiring of apartment buildings throughout the Victoria area.
|
|
Rogers Cable TV - Victoria indicated that its community programming service is very active, with the participation of approximately 100 volunteers, and confirmed its intention to continue to provide the same quality of service to subscribers. According to the licensee, the 1982 federal budgetary restraint policies had some impact on the development of its community programming service; however, with the presentation of a magazine program on the community channel three times per week which permits access to volunteers, and other similar programs, the licensee stated that community programming service did not deteriorate. The Commission commends the licensee on its community programming activities in the Victoria area, and expects it to maintain the current level of service.
|
|
The Commission acknowledges the intervention by Mrs. J. Baird, on behalf of the Greater Victoria Media Research Association. The intervener proposed a number of interesting ideas concerning locally originated programs, developments in related technology and the stimulation of increased public awareness of such programming. In response, Rogers Cable TV - Victoria indicated a willingness to incorporate some of these proposals in its community programming service.
|
|
The Commission fully expects Premier to reinstate the cable television news bureau covering the British Columbia Legislature, as soon as it is financially feasible to do so, in co-operation with other licensees.
|
|
Renewal of the licensee's authority for the carriage of signals and services, and the conditions of its licence, are set out in Appendix 2 to this decision
|
|
Rate increase
|
|
A separate decision on the rate increase application will be issued shortly.
|
|
Premier Cablesystems Limited carrying on business under the name of Rogers Cable TV - Fraser (Rogers Cable TV - Fraser) Coquitlam, Maple Ridge and Mission - 831914700 - 832251300 - 832992200 The Commission renews the Rogers Cable TV - Fraser licence for the broadcasting receiving undertaking serving the communities noted above from 1 October 1984 to 30 September 1989, subject to the conditions of licence specified in appendix 3 to this decision and in the licence to be issued.
|
|
At the hearing, Rogers Cable TV - Fraser described some of the measures that were implemented to improve the operation of this system. With respect to the extension of its cable system into the more sparsely populated areas of this lower British Columbia mainland region, the licensee has continued to expand its service, but this has been costly. The installation of a very high capacity microwave (VHCM) system to serve subscribers at a cost of $114,000 has been required. The licensee has also completed improvements to its head-end to increase the reliability and quality of signals. Since 1978, the licensee has spent more than $1.7 million in rebuilding the main part of the Fraser system such that 90% of the system now has a capacity of 35 channels. A comprehensive signal leakage detection program to further ensure the technical quality of the system was also undertaken. The Commission notes that the rebuild of the system should be fully completed by 1985.
|
|
Complaints and queries from subscribers are now dealt with more promptly because of a new telephone system that Rogers Cable TV - Fraser installed. The licensee is also in the process of implementing a new computer system to further improve the efficiency of its customer service.
|
|
The Commission notes with concern, however, that, with the 1982 federal budgetary restraint policies, the licensee made some cutbacks in its community programming service, including a reduction in full-time staff from 10 to 6; a reduction in the number of evenings that community programming was presented from 5 to 4; and the closing of the neighbourhood television office (NTV) in Coquitlam. The licensee stated at the hearing that the present levels of staff, service and budget will not be reduced further, and confirmed:
|
|
We would continue, I say this with no reservation, with the staff that we have on our payroll at this time, and continue with the productivity and services that we're providing with the budget as we have stated. We see no reason to cut back beyond the fine line we've established already.
|
|
The licensee also promised that the full five-night per week community programming service would be reinstated and the Commission expects this commitment to be met. With regard to the termination of the Coquitlam NTV facility, the Commission notes Rogers Cable TV - Fraser's assurances that this measure has not affected the licensee's ability to accommodate persons who are interested in participating in community programming activities, and it will monitor the effectiveness of the community channel in meeting the needs of the licensee's subscribers.
|
|
Renewal of the licensee's authority for the carriage of signals and services, and the conditions of its licence are set out in Appendix 3 to this decision.
|
|
Rate increase
|
|
A separate decision on the rate increase applications will be issued shortly.
|
|
Fernand Bélisle
Secretary General
|
|
Appendix 1
|
|
Licensing Authority
|
|
The boundaries of the authorized areas will be specified in the schedule which will be appended to the licence.
|
|
In addition to the priority services required to be carried by regulation, the licensee is authorized to continue to carry the signals of the following optional stations: CHEK-TV Victoria, KOMO-TV (ABC), KING-TV (NBC), KIRO-TV (CBS), KCTS-TV (PBS) Seattle, KSTW, KCPQ-TV Tacoma, KVOS-TV Bellingham, Washington, CJIV, CFML Burnaby, and CFMS-FM Victoria.
|
|
The Commission authorizes the licensee to continue the multiple distribution of the signal of KIRO-TV Seattle on the augmented channel service for the duration of this licence. In accordance with paragraph 10(a) of the Cable Television Regulations, the Commission designates channel 27 for such distribution.
|
The Commission also approves the continued carriage of the signals of KPLZ-FM, KEZX, KIXI-FM, KUBE-FM, KMPS-FM, KUOW, KYYX-FM, KISW-FM, KRAB, KING-FM, KSEA Seattle, and KZAM Bellevue, Washington. This approval is conditional upon the licensee adhering to the priorities in CRTC Public Notice 1984-124 dated 28 May 1984, entitled "Cable Carriage of Audio Services." In that Notice, the Commission reiterated its policy prohibiting the carriage of any non-Canadian radio service soliciting advertising in Canada, and also stated that the existing authorities for the carriage of U.S. religious stations would not be renewed. Accordingly, the Commission denies the continued carriage of the signals of KISM Bellingham (solicits advertising) and KCMS Edmonds (religious), Washington.
|
|
Furthermore, it is a condition of licence that the licensee cease the distribution of any FM radio signal received from a broadcasting station not licensed by the CRTC, upon receipt of notice in writing from the Commission advising that the FM radio station in question is a religious station and/or solicits advertising in Canada.
|
|
The licensee is also authorized to continue to distribute the following special programming services: the CBC Parliamentary Television Network, Broadcast News, Transportation Information (Airline and Ferry Schedules and Road Conditions), Consumer Information, the educational programming originating from the Knowledge Network of the West Communications Authority, Weather Information, Government Services (Federal, Provincial, Municipal), Stock Market and Financial Information, Multicultural Programming, Children's Programming, Television Program Schedule and Canadian Programs Replay Service. This authority is conditional upon no advertising material, except that contained in the programs which are rebroadcast, being distributed on any channel used for the carriage of these special programming services. Approval of the distribution of the Consumer Information service is also conditional upon it being provided to the community free of charge.
|
|
Further, the authority to distribute the Canadian Programs Replay Service will only take effect upon satisfactory agreements having been concluded between the cable television licensee, the individual television stations and the rights holders.
|
|
The licensee is authorized to distribute the CBC Evening News for the Deaf service on the community channel, as a condition of licence. This authority is conditional upon the service not containing any advertising material.
|
|
Approval of Multicultural Programming is conditional upon the service containing no advertising material other than sponsorship credits, whether through audio or video or both, consisting of the sponsor's NAME, ADDRESS and NATURE OF BUSINESS OR PROFESSION. This service may also contain English subtitles in feature motion picture films produced in Scandinavia, India or Pakistan, and Mandarin or Cantonese subtitles in films produced in Chinese languages when such subtitles form an integral part of the original production.
|
|
Further, in accordance with the licensee's renewal application and pursuant to the Notice of Authorization issued by the CRTC on 30 August 1984, the licensee is authorized to exhibit the following pay television network services: Allarcom Pay Television Limited, Premier Choix: TVEC and World View Television Limited.
|
The Commission also authorizes the distribution of the audio stereo signals of Allarcom Pay Television Limited and Premier Choix: TVEC on its cable audio service conditional upon the licensee adhering to the priorities outlined in CRTC Public Notice 1984-124.
|
|
The licensee is authorized to distribute non-programming services consisting of surveillance, monitoring and opinion polling, controlling and switching, video games, teleshopping, shared computer and information services, traffic control and downloading to personal computer, on an experimental basis, for a period terminating 31 December 1985, conditional upon the licensee adhering to the conditions specified in Decision CRTC 81-920.
|
|
As a condition of licence, the licensee is authorized to distribute the signals of CJIV and CFML Burnaby. This authority is valid as long as the signals contain no commercial content.
|
|
It is a condition of licence that the licensee own and operate, as a minimum, the local head-end, the amplifiers and the subscriber service drops.
|
|
It is also a condition of licence that the licensee delete commercial messages from television signals received from broadcasting stations not licensed to serve Canada and substitute suitable replacement material in the place of such messages upon receipt of notice in writing from the Canadian Radio-television and Telecommunications Commission.
|
|
Rogers Cable TV - Victoria
|
|
Appendix 2
|
|
Licensing Authority
|
|
The boundaries of the authorized areas will be specified in the schedule which will be appended to the licence.
|
In addition to the priority services required to be carried by regulation, the licensee is authorized to continue to carry the signals of the following optional stations: CHAN-TV Vancouver, KOMO-TV (ABC), KING-TV (NBC), KIRO-TV (CBS), KCTS-TV (PBS) Seattle, KCPQ-TV, KSTW Tacoma and KVOS-TV Bellingham, Washington. The Commission also approves the continued carriage of the signals of KRAB, KUBE-FM, KEUT-FM, KUOW, KIXI-FM, KYYX, KING-FM, KEZX, KISW, KSEA, KPLZ-FM, KZOK Seattle, KZAM Bellevue, KNBQ-FM, KTAC-FM, KLAY Tacoma and KBRO-FM Bremerton, Washington. This approval is conditional upon the licensee adhering to the priorities in CRTC Public Notice 1984-124, dated 28 May 1984, entitled "Cable Carriage of Audio Services." In that Notice, the Commission reiterated its policy prohibiting the carriage of any non-Canadian radio service soliciting advertising in Canada, and also stated that the existing authorities for the carriage of U.S. religious stations would not be renewed. Accordingly, the Commission denies the continued carriage of the signals of KISM Bellingham (solicits advertising) and KCMS Edmonds (religious), Washington.
|
|
Furthermore, it is a condition of the licence that the licensee cease the distribution of any FM radio signal received from a broadcasting station not licensed by the CRTC, upon receipt of notice in writing from the Commission advising that the FM radio station in question is a religious station and/or solicits advertising in Canada.
|
|
The licensee is also authorized to continue to distribute the following special programming services: the CBC Parliamentary Television Network, Broadcast News, Weather (local), Stock Market Information, the educational programming originating from the Knowledge Network of the West Communications Authority, Message Board, Multicultural Programming, Children's Programming, Television Program Schedule, Transportation Information (Airline and Ferry Schedules and Road Conditions), Consumer Information, National Weather Information, Canadian Programs Replay Service and Government Services (Federal, Provincial and Municipal). This authority is conditional upon no advertising material, except that contained in the programs which are rebroadcast, being distributed on any channel used for the carriage of these special programming services. Approval of the distribution of the Consumer Information service is also conditional upon it being provided to the community free of charge. Further, the authority to distribute the Canadian Programs Replay Service will only take effect upon satisfactory agreements having been concluded between the cable television licensee, the individual television stations and the rights holders.
|
|
Approval of the distribution of Multicultural Programming is conditional upon the service containing no advertising material other than sponsorship credits, whether through audio or video or both, consisting of the sponsor's NAME, ADDRESS and NATURE OF BUSINESS OR PROFESSION. This service may also contain English subtitles in feature motion picture films produced in Scandinavia, India or Pakistan, and Mandarin or Cantonese subtitles in films produced in Chinese languages when such subtitles form an integral part of the original production.
|
|
Further, in accordance with the licensee's renewal application and the Notice of Authorization issued by the CRTC on 30 August 1984, the licensee is authorized to exhibit the following pay television network services: Allarcom Pay Television Limited, Premier Choix: TVEC and World View Television Limited.
|
The Commission also authorizes the distribution of the audio stereo signals of Allarcom Pay Television Limited and Premier Choix: TVEC on its cable audio service, conditional upon the licensee adhering to the priorities outlined in CRTC Public Notice 1984-124. The licensee is authorized to distribute non-programming services consisting of monitoring and opinion-polling, controlling and switching, video games, teleshopping, shared computer and information services, traffic control and downloading to personal computer, on an experimental basis, for a period terminating 31 December 1985, conditional upon the licensee adhering to the conditions specified in Decision CRTC 81-920.
|
|
It is a condition of licence that the licensee own and operate, as a minimum, the local head-end, the amplifiers and the subscriber service drops.
|
|
It is also a condition of licence that the licensee delete commercial messages from television signals received from broadcasting stations not licensed to serve Canada and substitute suitable replacement material in the place of such messages upon receipt of notice in writing from the Canadian Radio-television and Telecommunications Commission.
|
|
Rogers Cable TV - Fraser
|
|
Appendix 3
|
|
Licensing Authority
|
|
The boundaries of the authorized areas will be specified in the schedule which will be appended to the licence.
|
|
In addition to the priority services required to be carried by regulation, the licensee is authorized to continue to carry the signals of the following optional stations: CHEK-TV Victoria, KOMO-TV (ABC), KING-TV (NBC), KIRO-TV (CBS), KCTS-TV (PBS) Seattle, KVOS-TV Bellingham, KSTW and KCPQ-TV Tacoma, Washington.
|
|
The Commission authorizes the licensee to continue the multiple distribution of the signal of KIRO-TV Seattle on the augmented channel service for the duration of this licence. In accordance with paragraph 10(a) of the Cable Television Regulations, the Commission designates channel 27 for such distribution.
|
The Commission also approves the continued carriage of the signals of KPLZ, KSEA, KISW, KEZX, KING-FM, KYYX, KIXI-FM, KUOW, KMPS-FM, KUBE-FM, KRAB Seattle and KZAM Bellevue, Washington. This approval is conditional upon the licensee adhering to the priorities in CRTC Public Notice 1984-124, dated 28 May 1984, entitled "Cable Carriage of Audio Services." In that Notice, the Commission reiterated its policy prohibiting the carriage of any non-Canadian radio service soliciting advertising in Canada, and also stated that the existing authorities for the carriage of U.S. religious stations would not be renewed. Accordingly, the Commission denies the carriage of the signals of KISM Bellingham (solicits advertising) and KCMS Edmonds (religious), Washington.
|
|
Furthermore, it is a condition of licence that the licensee cease the distribution of any FM radio signal received from a broadcasting station not licensed by the CRTC, upon receipt of notice in writing from the Commission advising that the FM radio station in question is a religious station and/or solicits advertising in Canada.
|
|
The licensee is also authorized to continue to distribute the following special programming services: the CBC Parliamentary Television Network, the educational programming originating from the Knowledge Network of the West Communications Authority, Swap Meet, Television Program Schedule, Transportation Information (Airline and Ferry Schedules and Road Conditions), Consumer Information, Weather Information, Government Services (Federal, Provincial and Municipal), Stock Market and Financial Information, Multicultural Programming and Children's Programming. This authority is conditional upon no advertising material being distributed on any channel used for the carriage of these special programming services. Approval of the distribution of the Consumer Information service is also conditional upon it being provided to the community free of charge.
|
|
Approval of the distribution of Multicultural Programming is conditional upon the service containing no advertising material other than sponsorship credits, whether through audio or video or both, consisting of the sponsor's NAME, ADDRESS and NATURE OF BUSINESS OR PROFESSION. This service may also contain English subtitles in feature motion picture films produced in Scandinavia, India or Pakistan, and Mandarin or Cantonese subtitles in films produced in Chinese languages when such subtitles form an integral part of the original production.
|
|
Further, in accordance with the licensee's renewal application and pursuant to the Notice of Authorization issued by the CRTC on 30 August 1984, the licensee is authorized to exhibit the following pay television network services: Allarcom Pay Television Limited, Premier Choix: TVEC and World View Television Limited.
|
The Commission also authorizes the distribution of the audio stereo signals of Allarcom Pay Television Limited and Premier Choix: TVEC on its cable audio service, conditional upon the licensee adhering to the priorities outlined in CRTC Public Notice 1984-124.
|
|
The licensee is authorized to distribute non-programming services consisting of surveillance, monitoring and opinion polling, controlling and switching, video games, teleshopping, shared computer and information services, on an experimental basis, for a period terminating 31 December 1985, conditional upon the licensee adhering to the conditions specified in Decision CRTC 81-920.
|
|
It is a condition of licence that the licensee own and operate, as a minimum, the local head-end, the amplifiers and the subscribers service drops.
|
|
It is also a condition of licence that the licensee delete commercial messages from television signals received from broadcasting stations not licensed to serve Canada and substitute suitable replacement material in the place of such messages upon receipt of notice in writing from the Canadian Radio-television and Telecommunications Commission.
|
|
|