ARCHIVED -  Decision CRTC 95-605

Decision

Ottawa, 25 August 1995

Decision CRTC 95-605

Westcom TV Group Ltd.

Edmonton and Red Deer, Alberta - 940972300 - 940973100

Licence renewals for CITV-TV and CITV-TV-1

Following a Public Hearing held in Winnipeg beginning on 5 June 1995, the Commission renews the broadcasting licences for the television programming undertakings CITV-TV Edmonton and CITV-TV-1 Red Deer, from 1 September 1995 to 31 August 2002, subject to the conditions in effect under the current licences as well as to those conditions specified in the appendix to this decision and in the licences to be issued.

Westcom TV Group Ltd. is a wholly-owned subsidiary of WIC Western International Communications Ltd. (WIC). The ultimate control of the licensee rests with Western Broadcasting Company Ltd. which, in turn, is controlled by Frank A. Griffiths through a voting trust agreement.

CITV-TV Edmonton is an independent station. It broadcasts 168 hours of programming each week. While CITV-TV-1 Red Deer receives most of its programming from CITV-TV, the Red Deer undertaking also produces its own 30-minute, local newscast which is broadcast daily Monday to Friday.

Local reflection

On 24 March 1995, the Commission issued Public Notice CRTC 1995-48 in conjunction with the release of decisions renewing the licences of privately-owned, English-language television stations in British Columbia, Ontario and Quebec. In that public notice, the Commission reiterated the importance of the principle of local reflection and reminded television licensees that they have a special responsibility to serve the public within the particular geographic areas they are licenced to serve.

(i) Local news

During the current licence term, the licensee not only achieved but surpassed its commitment to produce 11 hours of original, local news weekly. According to the Commission's monitoring of CITV-TV's program logs, the station produced an average of 13 hours 48 minutes of original, local news each week in the broadcast year 1991-1992, an average of 16 hours 30 minutes each week in 1992-1993, and an average of 18 hours 55 minutes each week in 1993-1994.

For the new licence term, the Commission expects the licensee to adhere to the commitment in its renewal application to broadcast, at a minimum, an average of 16 hours of original, local news each week.

(ii) Other local programming

In its present licence renewal application, the licensee advised the Commission that, during the current licence term, it allocated 85% to 93% of CITV-TV's annual budget on Canadian programming to local productions. During the current licence term, the licensee produced "Alberta This Week", "Natives in the 90s" and a civic affairs program entitled "Newsmakers".

As part of its licence renewal application, the licensee also identified several productions which CITV-TV will support during the new licence term. The licensee has developed the scripts and is investing in the production of "Song Spinner", a family-oriented, movie-of-the-week written by an Edmontonian as well as "Nobody's Business", a half-hour situationcomedy, co-written by another Edmontonian. In addition, the licensee is developing with Great North Productions of Edmonton a series consisting of one-hour episodes about "community-based policing", a law enforcement technique. The licensee also assured the Commission, that during the new licence term, it would continue to produce programs dealing with civic, provincial and native affairs.

Requirement for either expenditures on or exhibition of Canadian programming - At the licensee's option

As announced in Public Notice CRTC 1995-48, the Commission has adopted a policy, according to which the licensees of most private English-language television stations earning over $10 million in total annual advertising revenues and network payments are being offered the option of either adhering to a condition of licence on Canadian programming expenditures similar to the existing condition, or adhering to a condition of licence requiring the licensee to exhibit a specific number of hours of Canadian drama (category 7), music (category 8) and variety programming (category 9) during the evening broadcast period for each year of the new licence term. The options and the Commission's policy rationale are described more fully in that public notice.

The licensee must advise the Commission which option it has chosen before the new licence term begins on 1 September 1995. Once the licensee has advised the Commission which option it has chosen to follow, that option becomes the condition of licence in effect throughout the new licence term.

Program development

The Commission reminds the licensee of the Commission's expectations set out in Public Notice CRTC 1989-27 dated 6 April 1989 and entitled "Overview: Local Television for the 1990s" regarding the important role that local television stations play in program development. During the current licence term, the licensee fulfilled its commitment noted in Decision CRTC 89-122 to spend $160,000 in year one of the term, increasing to $180,000 in year five. The Commission notes the licensee's commitment to contribute $110,000 annually over seven years to program development during the new licence term.

Service to the deaf and hard of hearing

Consistent with its policy approach for closed captioning announced in Public Notice CRTC 1995-48, the Commission requires the licensee, from 1 September 1998 to the end of the new licence term, to caption all local news programming, including live segments, using either real-time captioning or another method capable of captioning live programming.

The Commission also requires the licensee to close caption not less than 90% of all programming during the broadcast day, by the end of the new licence term.

Employment equity

In Public Notice CRTC 1992-59 dated 1 September 1992 and entitled "Implementation of an Employment Equity Policy", the Commission announced that the employment equity practices of broadcasters would be subject to examination by the Commission. The Commission recognizes the licensee's involvement in various employment equity initiatives such as its "Native Internship Program" and "Work Experience Programs". Nevertheless, the Commission considers that the licensee could increase its efforts in relation to persons with disabilities and Aboriginal Peoples.

Interventions

The Commission acknowledges the many interventions submitted in support of the applications for the renewal of the licences of CITV-TV and CITV-TV-1.

The Commission also acknowledges one intervention opposing CITV-TV's licence renewal as well as the licensee's reply thereto.

Allan J. Darling
Secretary General

APPENDIX / ANNEXE

Conditions of licence for CITV-TV Edmonton and CITV-TV-1 Red Deer

1. Condition of licence A

The licensee shall expend on Canadian programming, at a minimum,

(i) In the year ending 31 August 1996, the minimum required level of expenditures in the year ending 31 August 1995 (before consideration of any overexpenditures or underexpenditures from prior years), increased (or decreased) by the year-over-year percentage change in the total of the station's annual advertising revenues and network payments, as reported in the relevant Annual Return for the years ending 31 August, averaged over the three previous years;

(ii) In each subsequent year of the licence term an amount calculated in accordance with the following formula: the amount of the previous year's expenditures (before consideration of any overexpenditures or underexpenditures from prior years), increased (or decreased) by the year-over-year percentage change in the total of the station's annual advertising revenues and network payments, as reported in the relevant Annual Return for the years ending 31 August, averaged over the three previous years;

(iii) In any year of the licence term, excluding the final year, the licensee may expend an amount on Canadian programming that is up to five percent (5%) less than the minimum required expenditure for that year as set out or calculated in accordance with paragraphs (i) and/or (ii) above; in such case, the licensee shall expend in the next year of the licence term, in addition to the minimum required expenditure for that year, the full amount of the previous year's underexpenditure;

(iv) In any year of the licence term, excluding the final year, where the licensee expends an amount on Canadian programming that is greater than the minimum required expenditure for that year, as set out or calculated in accordance with paragraphs (i) and/or (ii) above, the licensee may deduct:

  a) from the minimum required expenditure for the next year of the licence term an amount not exceeding the amount of the previous year's overexpenditures; and

  b) from the minimum required expenditure for any subsequent year of the licence term, an amount not exceeding the difference between the overexpenditure and any amount deducted under a) above;

(v) Notwithstanding paragraphs (iii) and (iv) above, during the licence term, the licensee shall expend on Canadian programming at a minimum the total of the minimum required expenditures as set out in or calculated in accordance with paragraphs (i) and/or (ii) above.

For the purpose of the above condition, "expend on Canadian programming" shall have the same meaning as that set out in Public Notices CRTC 1993-93 and 1993-174 dated 22 June and 10 December 1993, respectively.

For the purpose of the above condition, the licensee is not permitted to credit any overexpenditure made in the previous licence term towards Canadian programming expenditures in any year or years of this licence term.

Condition of licence B

The licensee shall broadcast in the evening broadcast period (between 6:00 p.m. and midnight) the following average number of hours per week of Canadian drama, music or variety programming in each year of the licence term:

1995-1996 5:30 hours
1996-1997 6:00 hours
1997-1998 6:00 hours
1998-1999 6:00 hours
1999-2000 6:30 hours
2000-2001 6:30 hours
2001-2002 7:00 hours

For the purpose of the above condition, the categories drama, music and variety are defined as set out in Schedule I of Television Broadcasting Regulations, 1987.

2. The licensee shall adhere to the guidelines on gender 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 accepted by the Commission. The application of the foregoing condition of licence will be suspended as long as the licensee remains a member in good standing of the Canadian Broadcast Standards Council (CBSC).

3. The licensee shall adhere to the guidelines on the depiction of violence in television programming set out in the CAB's "Voluntary Code Regarding Violence in Television Programming", as amended from time to time and accepted by the Commission. The application of the foregoing condition of licence will be suspended as long as the licensee remains a member in good standing of the CBSC.

4. The licensee shall adhere to the provisions of the CAB's "Broadcast Code for Advertising to Children", as amended from time to time and accepted by the Commission.