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Ottawa, 23 November 1993
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Decision CRTC 93-687
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CJRN 710 Inc.
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Fort Erie, Ontario - 930510300
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Amendment of licence for CKEY-FM
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In Public Notice CRTC 1993-117 dated 5 August 1993, the Commission announced an application by CJRN 710 Inc. (CJRN) for approval to amend the Promise of Performance for CKEY-FM Fort Erie. The applicant has requested flexibility in three areas: vocal-to-instrumental ratio, Canadian content and the use of hit material, based on Public Notice CRTC 1992-3 entitled "Guidelines for Assessing Applications for Programming Flexibility From Licensees of Radio Stations in Border Markets and Small Markets" (the Guidelines). The Commission hereby approves in part the licensee's request.
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In Decision CRTC 91-793 dated 7 October 1993, the Commission granted approval to amend the Promise of Performance for CKEY-FM by increasing the proportion of instrumental musical selections from less than 35% to more than 35% of all musical selections played each week. In filing the present application, the licensee states that this change was not popular with the audience and that a return to the previous lower ratio would respond to audience preferences.
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The Commission is of the opinion that, by reducing the instrumental level to less than 35%, the station will be able to maintain a soft sound with increased vocals to reflect the audience's musical preferences, and that this, in turn, will increase listening and revenues. The Commission hereby approves the licensee's request to change the weekly instrumental level from more than 35% to less than 35%.
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Under the Radio Regulations, 1986 (the regulations), the minimum amount of Canadian content in popular music (Category 2) that must be broadcast on CKEY-FM following this approval will increase to 30% on a weekly basis from the current level of 20%. The applicant, however, has requested approval to reduce the minimum Canadian content in Category 2 music on a weekly basis from 20% to 10%.
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Interventions in opposition to this aspect of the application were submitted by the Canadian Music Publishers Association, the Canadian Independent Record Production Association and the Society of Composers, Authors and Music Publishers of Canada.
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In its Guidelines, the Commission noted that "flexibility regarding Canadian content will not generally be accorded except for the licensees of AM and FM stations in border markets where exceptional circumstances are present, such as those identified in Public Notice CRTC 1984-233 entitled "Windsor Radio Review".
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The applicant states further that the current level of 20% Canadian content has led to an overuse of Canadian material, which CJRN believes results in more tuning to foreign stations. The proposed 10% level would consist of original hit songs by Canadians and new Canadian releases. The applicant states that CKEY-FM's Canadian orientation will not be changed by this reduction. The applicant also argues that Fort Erie is an isolated border community, similar to the Windsor market noted above, and therefore deserves the same extraordinary flexibility. The Commission has historically considered the market area of Fort Erie to include the larger area containing all of the other stations in the Niagara Peninsula. The Commission also notes that the Bureau of Broadcast Measurement (BBM) does not isolate Fort Erie as a separate market.
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In previous cases where stations have been granted regulatory/policy relief under this policy, the stations were in more isolated communities with little or no impact on regional stations. This is not the case with CKEY-FM.
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The Commission notes that in 1990, despite sustaining financial losses in Fort Erie, the applicant was awarded the current FM licence following a competitive process. The licensee at that time emphasized that it foresaw no difficulty in programming the required 20% Canadian content level.
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The Commission further notes that other Canadian stations providing a soft vocal sound have little difficulty in maintaining a 30% level. The Commission reminds CJRN that Canadian records are not considered "hits" until a year after they appear on the recognized trade charts. The Commission therefore rejects the licensee's suggestion that CKEY-FM will be unable to play a wide selection of popular Canadian soft vocal musical selections without resorting to an overuse of Canadian material and thus alienating its audience. The Commission accordingly denies CJRN's request.
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As a result of this denial, and in accordance with the regulations, the licensee is required, in each broadcast week, to devote 30% or more of the musical selections from content category 2, and 10% or more of the musical selections from content category 3, to Canadian selections, and schedule these selections in a reasonable manner throughout each broadcast day.
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As part of this application, CJRN also requested an increase in the maximum weekly use of hit material from 45% to 95%. Approval of this request would require an exemption to the Commission's policy requiring FM stations to maintain the weekly level of hits below 50%.
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The applicant stated that a level of hits of 95% would enhance the station's ability to compete with the many U.S. stations that broadcast 100% hits in a format similar to that of CKEY-FM.
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The Commission is of the opinion that approving this exemption would provide CKEY-FM with a programming advantage not available to the other FM broadcasters serving the Niagara Peninsula. The Commission also notes that its recent introduction of more relaxed radio programming regulations and policies regarding FM provides CKEY-FM and other border stations with enhanced flexibility to compete with non-Canadian stations. Accordingly, the applicant's request is denied.
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The Commission acknowledges the interventions in support of this application received from The Greater Fort Erie Chamber of Commerce and the Office of the Mayor of Port Colborne.
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Allan J. Darling
Secretary General
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