|
|
|
Ottawa, 22 August 1991
|
|
Decision CRTC 91-625
|
|
CHAY Limited
|
|
Barrie, Ontario - 910462100
|
Following a Public Hearing in the National Capital Region beginning on 8 July 1991, the Commission approves the application by CHAY Limited for authority to redirect certain monetary benefits that it had proposed in the context of an earlier application for authority to transfer effective control of CHAY-FM Barrie from members of the Vincent Dittmer family to Shaw Cablesystems Ltd. (Shaw), approved in Decision CRTC 90-223 dated 8 March 1990.
|
|
In cases involving applications for authority to transfer the ownership or control of broadcasting undertakings, the Commission expects applicants to ensure that the tangible benefits they propose in support of their applications can be implemented, and that their commitments in this regard are adhered to fully, within the time frame specified.
|
|
The Commission places great importance on maintaining the integrity of the public process. Requests by licensees involving any substantial re-direction of the benefits they have promised have been rare in the past; they are given the most careful scrutiny by the Commission to ensure that the benefits to the community served and to the broadcasting system under any new initiatives are at least equal to those that would have been realized under the initiatives they are intended to replace.
|
|
In the present case, the Commission's thorough examination of the licensee's request took into account the fact that it represents the substitution of a major benefit to the communities served by CHAY-FM by one designed to assist the development of Canadian talent. The Commission was also concerned by the short period of time that had passed between approval of the application for authority to transfer control of the licensee to Shaw and receipt of the current request.
|
|
In the transfer of control application, the licensee had proposed to allocate a total of $345,000, including $266,000 in direct expenditures, for the purchase of a mobile studio and satellite uplink and downlink facilities to cover community events, and for the production of a live program entitled "Big Band Saturday Night Roadshow" which was to have been broadcast from various communities in the Barrie region. As authorized herein, the licensee will now redirect the $345,000 over five years to a new Canadian talent project entitled "The Huronia Radio Orchestra".
|
|
Under this initiative, as described in the application and at the hearing, the licensee will produce instrumental cover versions of popular musical selections featuring only Canadian musicians and Canadian producers, and utilizing Canadian recording studios. The licensee stated that its efforts would concentrate on making use of musical resources within the central Ontario region, and that it would organize concerts featuring these local artists, to be staged in the artists' own local communities.
|
|
The licensee indicated that this proposed departure from its original commitments was motivated by its desire to see the largest possible benefit flow directly to Canadian talent rather than to the purchase or rental of facilities such as hardware, staging equipment and satellite time.
|
In response to Commission concerns that the transfer of control approved in Decision CRTC 90-223 bring about benefits to the community served by CHAY-FM, the licensee noted that it had already undertaken certain of the community-oriented initiatives proposed as benefits at that time, and that these would not be totally discontinued.
|
|
For example, it stated that the "Big Band Saturday Night Roadshow" would continue to be produced at different venues in the station's listening area at least six times per year. The licensee added that it has purchased a second community events mobile unit and has hired a new, full-time newsperson to cover area events. The licensee further assured the Commission that it was continuing to provide substantial community support and extensive coverage of community concerns through its news, public information and enrichment programming.
|
|
The licensee emphasized that its expenditures on the "Huronia Radio Orchestra" project will be kept separate and distinct from, and will be over and above, those it has committed to make in connection with "Project Easy", another benefit promised in the context of the application to transfer control of CHAY-FM to Shaw. This project is currently underway and, like the "Huronia Radio Orchestra", is designed to increase the production of Canadian easy listening recordings.
|
|
The Commission notes the licensee's undertaking to submit an annual report on its progress towards fulfilment of its commitments with respect to the "Huronia Radio Orchestra", "Project Easy", and the various other initiatives proposed in the transfer of control application.
|
|
The Commission has also taken into account the various interventions submitted by community groups, musicians, record producers and others, all expressing support for approval of the licensee's proposal.
|
|
Based upon all of the foregoing, including the licensee's firm undertakings with respect to its strong and continuing involvement in the local community, the Commission is satisfied that approval of its request for authority to redirect the sum of $345,000 over five years to the new "Huronia Radio Orchestra" initiative is in the public interest.
|
|
Allan J. Darling
Secretary General
|
|
|
|