|
|
|
Ottawa, 25 August 1992
|
|
Decision CRTC 92-626
|
|
Radio Beauce Inc.
|
|
Saint-Georges, Quebec - 920072600
|
|
Following a Public Hearing in Quebec City beginning on 19 May 1992, the Commission renews the broadcasting licence for CIRO-FM Saint-Georges from 1 September 1992 to 31 August 1994, subject to the conditions specified in the licence to be issued.
|
|
This term will enable the Commission to assess at an early date the licensee's adherence to its commitment not to solicit advertising in any market other than the Beauce, made when the broadcasting licence for CIRO-FM was issued.
|
In Decision CRTC 86-1185 dated 10 December 1986, the Commission issued the licence to Radio Beauce Inc. based on the technical parameters and coverage area proposed. The Commission noted in particular the licensee's commitment not to solicit advertising in any market except the Beauce. Radio Beauce Inc. had proposed to operate [TRANSLATION] "a regional station serving all of the Beauce and all of Bellechasse including Lac-Etchemin". The licensee acknowledged at the public hearing that it has derived approxmimately $180,000 in advertising revenues from communities outside of the market it had targeted when applying for the licence.
|
|
In this licence renewal application the licensee asked to be relieved of its commitment not to solicit advertising outside the Beauce. In support of its request, the licensee stated that the musical format of CIRO-FM attracts a different audience than that of other stations, and has consequently attracted offers to advertise on its station from merchants and owners of businesses. It indicated at the hearing that its currently authorized market is not sufficient to make the station profitable because there are three other radio stations operating in the same area. It added that: [TRANSLATION] "Most radio and television stations in Quebec City and some stations in other areas ... come and sell advertising in the Beauce market, [whereas it is] not authorized to solicit in their markets".
|
|
The following parties appeared at the hearing and expressed opposition to the applicant's request to be relieved of the non-solicitation commitment: Radio Bellechasse, licensee of CFIN-FM Lac-Etchemin; Radio Mégantic Ltée, licensee of CKLD Thetford Mines and CJLP Disraeli; Radio Victoriaville Ltée, licensee of CFDA Victoriaville; Réseau des Appalaches FM Ltée, licensee of CFJO-FM Victoriaville and Thetford Mines and its transmitter CFJO-FM-1 Lac Mégantic; and the Syndicat des employé(e)s en radiodiffusion des Appalaches (speaking primarily to the case of CKLD Thetford Mines). The interveners argued that approval of the request would result in a decrease in the local advertising revenues available and could have adverse consequences for their stations. Opposing interventions were also filed by the Chamber of Commerce of Amiante, Communéquipe Inc., the Confederation of National Trade Unions, the Economic Development Corporation of Amiante, and the City of Thetford Mines.
|
|
Having examined the evidence on file, including the submissions by the licensee and the interveners, and taking into account the overall economic situation in the market that Radio Beauce Inc. seeks to target, the Commission is concerned that approval of this request, at this time, could adversely affect other radio stations currently serving that market. In the opinion of the Commission these stations could have difficulty maintaining the quality of programming at their current levels, thereby compromising their ability to provide adequate service to their audience.
|
|
Further, the Commission is of the view that the advertising base available for CIRO-FM in the market targeted by the licensee in its original application is large enough for the undertaking to obtain sufficient advertising revenue to remain profitable.
|
|
In view of the foregoing, the Commission expects the licensee to honour at all times its original commitment not to solicit advertising in any market other than the Beauce and, specifically, not to solicit in the counties of Mégantic, Frontenac or Wolfe. The Commission considers that any measures taken by a licensee with a view to establishing relations with new clients constitutes solicitation.
|
|
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, during the new licence term, to continue its efforts towards the support, development and on-air exposure of local and regional talent.
|
|
The Commission acknowledges the intervention submitted by the Canadian Association of Broadcasters in support of this licence renewal application.
|
|
Allan J. Darling
Secretary General
|
|
|
|