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Joseph Rajda, doing business under the name of Pols-Haven
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Nepean, Ontario - 199702824
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New specialty FM station - denied
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1. Following a Public Hearing held in the National Capital Region beginning on 16 February 1998, the Commission denies the application submitted by Joseph Rajda for a broadcasting licence for an English- and French-language specialty FM radio programming undertaking at Nepean. The proposed station was to operate on the frequency 97.1 MHz, channel 246LP, with an effective radiated power of 50 watts.
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2. The application by Mr. Rajda was based upon providing a commercial, "for-profit" operation, directed to listeners in the Barrhaven area of Nepean. Barrhaven is a residential suburb south of Ottawa, with a total population of approximately 20,000.
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3. The applicant did not submit a market survey with the application that demonstrated a demand for the proposed service commensurate with advertising revenue projections. Mr. Rajda originally projected advertising revenues from local Barrhaven businesses of over $250,000 in the first year of operation based on a 64-hour broadcast week. At the hearing, the applicant revised the first-year revenue projections downward, to approximately one-half of the original amount. With respect to anticipated profitability, when questioned about the proposed undertaking's ability to withstand potential financial losses, Mr. Rajda indicated only that he would be prepared to donate his time.
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4. The applicant proposed to have one or two full-time employees, and between five and eight staff members on a part-time or contract basis. The Commission is concerned that, in the event of financial losses, projected staffing levels and related programming commitments may be difficult to maintain. The Commission also notes that the applicant, at the time of the hearing, was waiting to hear that a change to Nepean's by-laws would allow him to operate a home-based business. The Commission notes that the applicant did not present any plans for an alternate location for his undertaking, or any other changes consequent on the by-law change not being made.
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5. The applicant planned to broadcast a minimum of 64 hours of programming each week, from a home-based studio in Barrhaven. The proposed programming was to consist of a mix of bilingual spoken word content and music. The musical component of the programming was planned to be largely marching band music, with no more than 51% of all music played to be characterized as Pop, Rock and Dance (category 21) and Country-Oriented (category 22). While the applicant intended to offer a community-based service, few details were provided about how the content of the service would be produced.
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6. The Commission notes that the applicant's proposed programming offered elements not usually found on commercial radio stations. Such eclectic programming is usually limited to block segments targeted to niche audiences on non-commercial stations. Given the applicant's plans for a fully commercial service and its limited signal, the Commission is not convinced that the proposed station would be able to maintain sufficient audience for a service lacking in demonstrated demand.
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7. Related to these programming concerns, the Commission is not satisfied that the applicant has demonstrated a full understanding of the obligations under the Broadcasting Act and the Radio Regulations, 1986.
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8. Given the eclectic nature of the proposed programming and the relatively small business community in Barrhaven, the Commission has determined that the revenue projections for the proposed station are overly optimistic, especially in view of the fact that the proposed signal would cover only the Barrhaven area. The Commission is not convinced that the applicant would be able to achieve advertising revenue at a level necessary to implement the programming plans. Accordingly, the Commission has denied this application.
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9. The Commission acknowledges and has considered the interventions submitted with respect to this application.
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Laura M. Talbot-Allan
Secretary General
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This document is available in alternative format upon request.
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